Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.
Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.
All that needs to be done is the tax law needs to be changed. Then they can afford to pay compliance. I would be put out of business without tax deductions for expenses in my business. It’s called “280e”. This is the reason cannabis businesses are struggling in general and versus black market. It’s not the expense of testing or electricity or the ~25% sales tax.
Testing costs wouldn’t be an issue (or many of the other expenses) if they were allowed business deductions. I would assume the taxes owed from ineligible deductions that any other business model would be entitled to outweigh the standard fees for testing and other business and consumer protection.
31,800 t trade
Also add to the list that Oregon gets its market sorted out with over flow of supply with out going through quarters of loss. It shouldn’t take too long for the weak with little capital to fail and the business gets distributed evenly for the market to thrive.
There was a time when you were new to this board and we were bringing up our concerns and you said stuff like “WW is working his life away! Long days! His health! Gained weight! What is your ice pop melting?! Is your milk too hot before bed?!” Funny how things change the longer you stick around for DD.
Still a believer and think the majority of the recent board discussion is paranoid conspiracy.
The concerning facts IMO:
1. A/S
2. Lease and buildout labs by October
3. Mass opening rec market
Revenues are king.
Currently our assets are almost the market cap alone. We should definitely be valued higher BUT with a huge loss that we have it seems down we go and dilution deals. IF we can get the revenue on pace for $10million for FY 2019 starting this October this will be back over $2 easily IMO as we will have a proven model and have growth perspective.
So as you would once say.. let your milk cool down eat your veggies and take a nappy poo. When you wake up have your mommy burp you and you’ll feel better with a new refreshing perspective.
It means meant that dispensaries weren’t ordering any restock. That cultivators went out of business or took their product to the black market and testing wasn’t required. It means the numbers that are being done in Oregon are peaked. They’ve been stagnant no matter how much is harvested only “X” needs to be testing and will be bought by dispensaries. They aren’t going to over supply for a product to be too dry by time of sale. I wouldn’t expect an increase in Oregon revenues unless other labs fail or we can do ALL tests at ALL locations. The demand determines tested product not the supply. If there’s no demand for tested product the product goes untested and hits the black market and mostly likely for the east coast.
Not blinded but I don’t expect him to finance this project either that’s what private businesses are for. $800,000 is steep for the current state of Evio but I also wouldn’t expect him to invest that into Evio as a public company. Maybe he put $160,000 down and has a mortgage on the rest. He did once loan $60,000 into Evio interest free.
Communication is key and there is no excuse for any of that. I have to handle bad reviews, customer and employee complaints constantly. Take the good with the bad and make necessary changes. There is no excuse for any of that. I was just stating my opinion with facts based on the business and testing market and it’s impact on revenues and the loss.
That is definitely my concern, a $4 million loss. I read it. That’s why my biggest concern is getting these build out leases up and generating revenue ASAP and before October. But again we all expected Mass and Cali to be in full swing Jan and July both were pushed by 6 months. That’s a total year of revenue for one large high volume lab. That’s a big deal. And could swing that revenue IMO. I don’t think anything concrete tells the story until all laws are changed and labs we paid for are operating under mandating laws. Which we are still HOPING and PREDICTING will be Q1 and on Feb reports. Still have labs not built out and mandated testing still not in effect. But betting ahead has highest pay out of it works out and biggest loss if it doesn’t. Timing is everything and all longs here were too early.
I do not disagree with everything you are saying. Mostly I agree with but you are being a little extreme in my opinion and not considering all angles. He most definitely should have addressed these issues and adjusted projected revenues. Definitely should have addressed A/S. We keep saying “next quarter” or “next February” because the laws are also delaying dates. Mass still isn’t open for Rec. Even Canada delayed rec and that whole market is down significantly except CGC.
Evio has more assets than the market cap.
I’m definitely still concerned about the A/S and the continuing loss but WW couldn’t predict revenue going down in Oregon and while expanding. He thought (as we all did) revenue would go up in Oregon and as expansion into other states numbers would be relative to Oregon’s market (which was based off peak fall). Again we didn’t expect to lose 3/4 of a fiscal year to delays in Cali or NO revenue from Mass. These laws passed 2 years ago! Things took longer than we all expected.
His revenue projections didn’t take into account the over flooded Oregon market which isn’t in need of new tested product or the delay in both Cali (from Jan to July, 2 quarters missing revenue) or Mass (from July to ???, still no new date) that’s worth the difference in missed projected revenue.
The rest seems like paranoid conspiracy to me.
Now it definitely doesn’t look good to buy an $800,000 lot. But asset protection is a common and smart practice.
We are over extended with the amount of labs and expenses and revenues and the market isn’t in full swing. Everyone complained he wasn’t in early enough and I think we got labs too early. The testing laws are last to go into effect. Oregon can’t do hub and spoke model based on transfer rules.
Yea. I contributed to an IRA and then use my extra money to “gamble” here. This is my extra curricular hobby money. I guess I’m just a degenerate.
My second biggest concern is getting the leases in Cali are up and calibrated before Q1. I want to see all our labs up and running and see the revenues for harvest season. If they miss harvest season with the build outs and mass (I need to see when they plan to open shop) I know it was delayed from July 1st.
That was peak harvest season. Revenues will always be highest then. Oregon has had a flooded market since then and we didn’t have many new labs running since then. And no new mandated testing. Not sure when mass plans open shop but currently 1 of 3 labs looks good and seems like a good state to expand to. Hopefully mass is smarter than Oregon and limits permits at all levels to control supply and demand. We were all betting on Cali testing to start in January. The reduction of shares is my biggest concern currently.
Also learn about the different filings and what they mean, when their due. Google, YouTube, read boards, google, YouTube.. there’s levels that you’ll continually learn. You’ll want to read their newest 10q (which is a quarterly report usually due 45 days after quarter ends) for most updated information for fiscal year Q3 (April May and June).
But we are all still learning.
We were all new once.
Agree. In my experience it’s always about the learning experience. Make the gamble do your best and soak up as much as you can for the next move and constantly adjust where need be.
That’s only a choice you can make based on your strategy. Long term, trader, if you need the money for something else. Stay researching and due diligence on market cap, share structure, cost of operations, revenues, dilution, and learn as much as you can. Research what those things mean and how to read financials. It’ll take time but it’ll be worth it for you to understand and make your own bets/investments. Also understand there’s trading strategies. Buy low, sell high. Most people on this board have something to learn from. If you follow the posters you can see different strategies. Find what you’re comfortable with.
There’s an IG post showing SIGO product being tested by EVIO.
Let me know if you got it.
I’ll message you a screen shot on Facebook.
Saw an Instagram post by vbfbrands (SIGO) for their banana og which was tested by EVIO.
I think in the long run over the course of years this will be huge. But the market transition has a huge impact on all businesses involved. It’s hard to keep up with the real problems from the east coast that aren’t directly related to Evio, but do impact them greatly. I understand that although this market is legal it is battling the black market but with the license issues in Oregon that over supply caused pounds to drop dramatically. That causes people to look to black market and especially ship to east coast. I’d like to be more aware of local cannabis related news but it’s hard to get out here. I would also like a better understanding of how the business model works through numbers. I understand a little about cultivation from a formula using watts OR space, and time, and market price for bulk, you can predict revenue or have a set goal of what yield should be working backwards. Do you know the plug in numbers for the testing operation? I guess it’s best to try and send an email.
You are correct. Id like to know more about the numbers, goals, as I explained before. I own a restaurant and I use formulas and numbers for everything. My competitors labor rates and prices don’t matter to me because I use my formula to tell me what those costs should be to be profitable and what the minimum goals are before having to make changes. For example how much does an average test/customer cost? How many tests per day can be done? How many employees does it take to run said tests and at how much pay? What are cost of testing? What is rent and utilities? Obviously these change depending on space. But it should be scalable.
Example: 1 machine does 3 tests per hour. 1 $15/hr employee can work 2 machines at 1 time. Each test costs about $100. Cost of goods is $25. So each employee can generate $300/hr - $52 labor cost (after taxes) - $25 = $248 x 3 testers at 5 hours of testing a day = $744 of revenue a day - $150 in other labor costs - $200 in rent and utilities = $349 profit.
Obviously there are other costs on top of that being travel, mileage, marketing, waste etc but id like these numbers for what they currently are and the ideal/goal numbers for this testing business model. I own a restaurant and could do these numbers from any algebraic scenario pertaining to my business model and can make good guess for other restaurants based on factors in the restaurant.
The only thing I can think of for revenue projection was originally we had all thought Cali mandated testing was going to be January 1st. But should have been addressed and changed once we knew that date was changed. None the less we fell short.
I know black market is a huge problem and product getting shipped to the east coast. That won’t totally end until there are dispensaries in driving distance to almost everyone. People definitely would rather be able to choose their experience than get what the dealer has.
Yea sure looks that way to me as well. But still hopeful for Q1 as long as we get those lease labs up and running by then. If we don’t here revenue updates for July (Cali Testing) I will assume revenues were underwhelming. Still waiting for Q1 results. It’s hard to believe this business model couldn’t work as testing is mandated. States coming on slowly helps with over expanding too quickly but not sure how we are down on revenues with more labs. I’d like to hear Tar value with these revenues and this share structure currently (without further dilution as that is real time revenues:shares). It’s still so early but I’d like to see a break down of at least one specific lab with labor cost percentages, expense percentages, margins, etc. I want to know how many employees and revenues it takes to break even and to hit our profit goal. I can give those (rule or thumb) numbers pertaining to most restaurants and can give an estimate of revenue based on seats, hold size, employee costs, and ticket times. I’d like those comparable numbers for this business model. I understand his projections but would like to know our targets. I’m not sure how far off we really are from being in the black.
That’s a total ownership of 6.7 labs and 3 licensee.
The subsidiaries of EVIO, Inc. are as follows:
Trade Name (dba)
Company Name
State of Incorporation
Ownership %
Acquisition Month
EVIO Labs Bend (dba)
CR Labs, Inc.
Oregon
80%
September 2015
EVIO Labs Eugene
EVIO Labs Eugene, LLC
Oregon
100%
May 2016
EVIO Labs Medford (dba)
Smith Scientific Industries, LLC
Oregon
80%
June 2016
EVIO Labs Portland (dba)
Greenhaus Analytical Labs
Oregon
100%
October 2016
EVIO Labs MA
Viridis Analytics
Massachusetts
100%
August 2017
EVIO Labs Berkeley
C3 Labs, LLC
California
60%
January 2018
Keystone Labs
Keystone Labs, Inc.
Ontario, Canada
50%
May 2018
EVIO Labs Humboldt
Leaf Detective, LLC
California
100%
April 2018
In addition to the wholly owned subsidiaries, the Company has entered into license agreements with independent testing laboratories in Florida and Colorado. Under the terms of the agreements, the independent laboratories are granted non-transferable and non-exclusive rights to use the Company’s trademarks, trade-name and testing methodologies.
Revenues = valuation .. no one wants to over buy with hanging dilution. And when there is buying it’s stopped with selling of current dilution. Right now our financial reports have more liabilities than revenues. What do you think the rent and salaries are for the amount of labs we own? And we’ve done less then a million in revenue last quarter.
This is real life shark tank and revenues need to prove the market cap/valuation. We’ll be waiting until February reports to tell the tale.
We can possibly see a small bump with PR revenue updates if they are sufficient.
I don’t own stock in this company. I would think insurance companies would buy this product. I have State Farm and they recently sent me a “Drive safe” gadget for my car that connects to my phone which uses gps and monitors my speed, turns, etc. It then gives you a running score and they give you a discount if you fall into their drive safe category.
Those who sold and those who hold are both silent knowing mandating testing in Cali just started this July and are awaiting revenues. Nothing going on right now. Those who previously sold are smart waiting for better timing. Most here agree mid February will be the telling. Plenty of down time until people come back to buy before then. The numbers don’t lie and right now the numbers are inconclusive. The numbers are the only thing that truly matters.
Gotcha yea probably won’t make it out that far east. We have an itinerary. Lol lots of hiking and waterfalls and stuff. But appreciate it. And if we can I’ll let you know.
Does your farm happen to do any kind of tours? I’m going on vacation to Oregon with my girlfriend last week of August and would be cool to get a quick outdoor grow look. Not sure where you are located though but we are spending one night all over using airBnB. From Portland to Cannon Beach to Hoh Rainforest back to Portland and ending in Bend.
I believe so. I remember a vague convo some time back.
In Oregon.