Body and Mind Inc. (CSE:BAMM) (OTCQB:BMMJ) has reported its financial results for the second fiscal quarter ended January 31, 2022.
Q2 FY2022 Financial Summary
- Revenue of $8.05 million, a 27% increase over Q2 FY2021 revenue of $6.32 million and a 6% increase over Q1 FY2022 revenue of $7.57 million.
- Gross profit of $3.02 million, a 10% increase over Q2 FY2021 Gross profit of $2.75 million.
- Net operating loss of $0.97 million.
- Net loss of $2.72 million.
- Basic and diluted loss per share of $0.02.
- Adjusted EBITDA loss of 0.04 million.
- Inventory of $4.07 million as of January 31, 2022.
- At January 31, 2022, BaM had $4.62 million in cash and a working capital surplus of $4.07 million.
- Total Assets were $55.93 million, Total Current Liabilities were $8.42 million and Total Liabilities were $21.20 million at January 31, 2022.
- 113.35 million shares of common stock outstanding as of January 31, 2022.
Q2 FY2022 Operational Milestones
California
- Definitive agreement entered for acquisition of Seaside, California dispensary.
- The Company took over management of Seaside dispensary operations effective December 1, 2021.
- Local and State approval of change in ownership of the Seaside dispensary license received.
- Consolidation of financials from Seaside dispensary for December 2021 and January 2022.
- Rebranded the Long Beach ShowGrow dispensary to become a Body and Mind branded dispensary.
- Manufacturing and Distribution facility in development stage with local approvals in process.
Nevada
- Completion of electrical power upgrade and distillation capacity project for Production facility to provide 10X increase in distillation capacity.
Ohio
- Increased production from the new Ohio production facility.
- Body and Mind branded extracted products on dispensary shelves with an expanded product line in progress.
- Secured high quality biomass for extracted products including shatter and live resin offerings.
Arkansas
- Cultivation operations produced first flower for wholesale and sales in Body and Mind dispensary.
- Finalized phenotyping of Body and Mind strains and perpetual harvest operations established.
Michigan
- Continued vertical market expansion into Michigan.
- Opened Muskegon, Michigan dispensary in February 2022.
- Commenced construction to advance a Phase 1 cultivation and production facility with approximately 22,500 square feet of indoor cultivation and 7,500 square feet of production/manufacturing.
- Confirmed initial power requirements are complete to the cultivation facility and pre-ordered long lead items.
- Completed demolition within the existing structure, underground plumbing and concrete work for flooring and footings is underway.
Illinois
- The Company has management agreements with two entities that have been identified in the Illinois Department of Financial and Professional Regulation (IDFPR) results of the Social Equity Justice Lottery as recipients of Conditional Adult-Use Cannabis Dispensary Licenses (Conditional Licenses) in the greater Chicago-area zone.
- Final license awards by the Illinois Department of Financial and Professional Regulation (IDFPR) delayed due to litigation by other parties.
- Identified and advanced strong real estate opportunities for dispensary locations.
“The Body and Mind team continued our growth strategy by funding the acquisition and consolidating the new Seaside, California dispensary as well as funding and opening our social equity license dispensary in Michigan,” Michael Mills, CEO of BaM, said. “Our positive cash flow from operations reflects our commitment to lean, focused advances as we continue to grow our revenues with new operations in strong markets.”
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Photo: Courtesy of Chris Briggs on Unsplash
