IM Cannabis Corp. (CSE:IMCC) (NASDAQ:IMCC) has reported its preliminary unaudited financial results for the three months and fiscal year ended December 31, 2021.
Preliminary Q4 & FY 2021 Financial Highlights
- Preliminary revenues were at least CA$20 million ($15.8 million) for the fourth quarter, representing an approximate increase of at least 37% sequentially and at least 308% year-over-year.
- Preliminary gross margin before fair value adjustment was at least 18% in the fourth quarter, temporarily impacted by modest investments in the German market and impact of COVID-19 restrictions in Canada that disrupted labour and supply chains.
- Preliminary revenues for fiscal year 2021 were at least CA$54 million, representing an approximate increase of at least 240% from fiscal year 2020. Preliminary gross margin before fair value adjustment was at least 22% in fiscal year 2021.
Q4 Operational Highlights
- Focus Medical Herbs Ltd. successfully imported approximately 399 kilograms of premium, indoor-grown, Canadian dried cannabis following approval from the Ministry of Agriculture to import to the Israeli market. Subsequent to Q4 2021, the WAGNERS brand was launched in Israel.
- Announced the anticipated 2022 launch of WAGNERS brand in the rapidly evolving German medical cannabis market.
- Signed a definitive agreement to acquire Oranim, Jerusalem's leading medical cannabis pharmacy, positioning IMC as one of the largest retailers of medical cannabis in Israel. The deal is pending all requisite approvals.
IM Cannabis operates in Israel, Canada, and Germany.
Management Commentary
"We built significant momentum across our operating platform in 2021, as evidenced by our annual revenues growth of at least 240% to a record of at least $54 million," Oren Shuster, the company’s CEO, said. "In Israel, we have become among the largest distributors of medical cannabis and are well positioned to capture market growth today and in the future with the potential for recreational legalization.”
Photo: Courtesy of Josh Appel on Unsplash
