Akerna (NASDAQ:KERN) has reported its unaudited financial results for the quarter and year ended December 31, 2021.
CEO Jessica Billingsley said that the company “experienced significant growth in 2021, with our enterprise business leading the way forward into 2022."
"Our platforms continued to serve our growing clients, and we continued to develop offerings that position Akerna as a differentiated provider of technology solutions to the cannabis industry,” Billingsley explained.
The acquisitions of 365 Cannabis and Viridian Sciences resulted in the robust increases in software revenue, she added.
Q4 2021 Financial Highlights
- Software revenue was $6.2 million, up 80% year-over-year.
- Total revenue was $6.6 million, up 61% year-over-year.
- Gross profit was $3.8 million, up 42% year-over-year. Gross profit margin was 58% in the fourth quarter compared to 66% in the fourth quarter of 2020.
- Loss from operations was $20.1 million, up $9.9 million year-over-year.
- Net loss was $19.5 million, up $7.2 million year-over-year.
- Adjusted EBITDA loss was $2.9 million compared with a loss of $1.9 million in the fourth quarter 2020.
Full Year 2021 Financial Highlights
- Software revenue was $19 million, up 59% year-over-year.
- Total revenue was $20.7 million, up 49% year-over-year.
- Gross profit was $12.6 million, up 67% year-over-year. Gross profit margin was 61% in 2021 compared to 54% in 2020.
- Loss from operations was $33.4 million, up $6.6 million year-over-year.
- Net loss was $33.6 million, up $6.7 million year-over-year.
- Adjusted EBITDA loss was $7.9 million compared with a loss of $11.7 million in 2020, a 32% improvement year-over-year.
- Cash and restricted cash was $14.4 million as of December 31, 2021.
2021 Metrics & Operating Highlights
- Total SaaS ARR of $20.9 million, up 51% year-over-year.
- Average new business deal size up 15% year-over-year.
- Q4 New Bookings ARR of approximately $1.5 million, representing a quarterly record for Akerna.
- Transaction volume up 48% year-over-year.
- Retail order spend up 42% year-over-year.
- Acquisition of 365 Cannabis, cannabis business management software built on Microsoft's Dynamics Office 365 Business Central.
- Acquisition of Viridian, cannabis business management software built on SAP Business One.
- Launched Akerna Connect, enabling cannabis dispensaries to offer online ordering, loyalty programs, and text messaging.
- Secured First Federal Cannabis Regulatory Contract with St. Vincent and the Grenadines.
- Issued $20 million in convertible debt to replace existing convertible debt at more attractive terms.
- Achieved SAP Certified Integration with SAP NetWeaver® for MJ Platform.
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Photo: Courtesy of Towfiqu barbhuiya on Unsplash
