Medical Marijuana Inc (MJNA)

[Det_Robert_Thorne]

3Q/15 Report filed. $9.37M Loss on $1.85M Revenue

MJNA filed its 3Q/15 report this morning at OTC Markets. I hope to follow up with more analysis a little later, but some quick points:

1) Revenues were $1.85M, down 46% from 3Q/14, and also down 17.5% from 2Q/15

2) HempMeds generated $1.31M in revenue, down 52% from 3Q/14, but up 11.5% from the prior quarter, and on an operating basis, it lost $221.7K

3) Kannaway's revenue of $295.2K was down 59.9% from 2Q/15 and the net operating loss was $532.6K

4) Net operating loss was $1.59M, plus another $5.71M of other expenses ($4.2M of that is the loss on the sale of stock)

5) A $2.07M stock writedown brings the Net Loss to $9.37M. This writedown is probably due to the steep declines in the stock prices of AXIM and CannaVest

6) They continue to value Kannaway on the Balance Sheet at $100M, which is ludicrous, considering its net assets at the time of the sale was less than $1.5M

7) MJNA's OS is now 1,898,898,513 shares, with the nearly 50M increase due to dilution from the conversion of notes.

http://www.otcmarkets.com/financialReportViewer?symbol=MJNA&id=147812

I wonder what the sales would have been without Brazil, HempMeds Korea and the sales to the pet nutritionals company? Or were they just blowing smoke about those?