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again and again...
”…On May 24, 2017, we announced the launch of a new “Craft Cultivation” model to expand our cultivation capabilities and the signing of our first “Craft Cultivator” in Northern California under the name Panther Gap Farms. This farm, which is approved for up to one full acre (approximately 44,000 square feet) of cannabis cultivation and uses 22,000 square feet of engineered greenhouse space, is estimated to yield approximately one metric ton of our proprietary high grade “IVXX” cannabis on an annual basis….
”…During the year ended December 31, 2017, we purchased 2,000 pounds from this cultivator...”
https://www.sec.gov/Archives/edgar/data/1451512/000147793218001325/trtc_10k.htm
In 2017 Panther delivered 2,000 lbs of the sticky icky, Premium Dank AF Killer Bud.
Dp confirms, in the Virtual Investors Conference Call just recently, that trtc has indeed exercised the option to renew both the yearly lease and the yearly operating contract with expert grower and "Craft Cultivator" Panther Gap Farms.
http://www.virtualinvestorconferences.com/agenda-june2018.html
Quote:
________________________________________
"On May 23, 2017, the Company entered into a one-year operating agreement with Panther Gap Farms pursuant to which Panther Gap Farms will grow up to approximately one metric ton of the Company’s IVXX cannabis annually. The operating agreement is renewable, upon mutual agreement between Panther Gap Farms and the Company, for up to three additional terms of one year each. The agreement requires the Company to issue common stock, with a value of $1,150,000, upon execution of the agreement, which the Company issued in August 2017 and held in escrow. In addition to the common stock, the Company is required to issue common stock, with a value of $785,500, for the profit share of the cannabis ultimately sold by the Company upon execution of the agreement. Panther Gap Farms has the right to receive up to $100,000 in cash in lieu of receiving the common stock related to the net profit share. If Panther Gap Farms requests such cash payment, the amount of common stock to be delivered will be reduced by an amount equal to the amount of such cash divided by the lower of the closing price or the 30 day VWAP of common stock on the date of the agreement. The shares to be received by Panther Gap Farms under the profit share agreement are dependent on the ultimate profit recognized by the Company when the cannabis product is sold.
The Company and Panther Gap Farms also entered into a lease agreement pursuant to which the Company leases the property on which the cannabis is grown. The lease agreement requires monthly payments of $30,000 for eight months and is also renewable for up to three additional terms of one year each."
https://ir.terratechcorp.com/all-sec-filings#document-5441-0001477932-18-001325
DP clearly stated either on the Annual or the '18 quarterly how much cannabis was purchased. Has I have stated a few times now, "In 2017 Panther delivered 2,000 lbs of the sticky icky, Premium Dank AF Killer Bud."
Annual
https://www.sec.gov/Archives/edgar/data/1451512/000147793218001325/trtc_10k.htm
Quarterly (Q1 2018)
https://www.sec.gov/Archives/edgar/data/1451512/000147793218002303/trtc_10q.htm
Prices in california are averaging $296.00 an ounce according to
https://marijuanarates.com/blog/california-marijuana-prices
so 2,000 lbs is 32,000 ounces multiplied by $296. Works out to around $9,472,000.00.
So they spent $2,175,000 and got back $9,472,000 in return, leaving trtc to collect $7,297,000.
I'll take that ALL DAY LONG!!!
Humboldt County - America's Marijuana Capital!
"...The property is located in Honeydew, CA, in Southern Humboldt County, in an area known as the "Emerald Triangle" that is home to some of the world's highest quality cannabis products...."
(pics on “intro” page)
https://www.terratechcorp.com/news-media/press-releases/detail/190/terra-tech-%20corp-expands-cannabis-cultivation-capabilities
"...Northern California is, hands down, the cannabis capital of the world, and with 20 years of dipping their toes in regulations behind them, the Bay Area and Emerald Triangle are ready for the post-prohibition era..."
https://www.freedomleaf.com/cannabis-innovations-northern-california/
a few other things to note;
* that 2000lbs delivered was in 2017, they could have easily taken another delivery of top notch product since then. After all the 1 year renewable contract started on May 24, 2017. Any additional marijuana delivered from Jan '18 to May 23, '18 would increase that 2,000 lbs accordingly.
* also, IP has a much better grasp on the actual dollar amounts, For instance, The big sticky buds on top are worth more than the smaller branch buds etc...
No matter it was a Great Deal made by DP!
no wonder...
business is blüming!!!
rapid expansion
trtc Awarded two additional Permits in Santa Ana
"...pleased to announce it has been granted two permits by the City of Santa Ana to operate one retail dispensary on Dyer Road and one on Carnegie Avenue in Santa Ana..."
"...commenced operating and managing a cannabis dispensary in Santa Ana. We are proud to have successfully leveraged this first mover advantage to obtain two new retail permits and expand our presence in Orange County..."
"...The first dispensary will be located at 620 East Dyer Road, with plans to become a fully vertical cannabis complex. The Company purchased this 44,000 square foot facility in January 2018, to expand its presence in Southern California. Following the receipt of the permit, the Company will avail itself of the opportunity to acquire vertically integrated permits from City of Santa Ana to conduct cultivation, distribution, and manufacturing on site. The Company plans to develop the property to include a retail dispensary; increase the size of the facility to over 50,000 square feet and transform it into a vertically integrated cannabis complex. In addition, the Company plans to include an event facility to host large-scale cannabis themed events, such as concerts and movie nights. The Dyer Road facility is adjacent to the 55 Freeway and acts as an entry point into the Southern California marketplace, allowing the Company to benefit from the area’s high population density and traffic. Potential revenues from the retail dispensary, when at full capacity and under current market conditions, are expected to be between $7 million and $10 million per year..."
"...The second dispensary will be located at 1815 E. Carnegie Avenue. The Company also plans to apply for cultivation, manufacturing and distribution permits at this location. Terra Tech selected this 30,000 square foot location because it borders Irvine and Tustin, which have a combined population of over 350,000 residents and have no cannabis dispensaries. The Company believes this strategic location will allow it to serve as a delivery hub to Orange County, opening a new untapped market...."
https://www.sec.gov/Archives/edgar/data/1451512/000147793218003633/trtc_ex991.htm
trtc Secures Stake in 10th Retail Permit
"...pleased to announce that it has secured a 25% ownership stake in The Healing Tree Collective, Inc., a cannabis dispensary operator based in California. On July 23, 2018, The Healing Tree Collective was awarded a retail permit associated with a facility on W. Pendleton Ave, Santa Ana, by the City of Santa Ana. The remaining 75% of The Healing Tree Collective, and therefore the associated permit, is held by other members of the collective, with whom Terra Tech partnered in order to complete the permit application process...."
"...Terra Tech covered the costs of the permit application and Terra Tech’s wholly-owned subsidiary, Black Oak Gallery, will be responsible for managing all of the facility’s operations, including hiring decisions. The facility is located at 3222 W. Pendleton Ave, Santa Ana, California..."
https://www.sec.gov/Archives/edgar/data/1451512/000147793218003672/trtc_ex991.htm
continuing its rapid expansion...
"...the company just announced that it has secured a 25% ownership stake in The Healing Tree Collective, Inc., a cannabis dispensary operator based in California. According to the release, “On July 23, 2018, The Healing Tree Collective was awarded a retail permit associated with a facility on W. Pendleton Ave, Santa Ana, by the City of Santa Ana...."
"...The company operates through multiple subsidiary businesses, including Blum, IVXX Inc., Edible Gardens, MediFarm LLC and GrowOp Technology.
"Blum’s retail medical cannabis facilities focus on providing the highest quality medical cannabis to patients who are looking for alternative treatments for their chronic medical conditions. Blum offers a broad selection of medical cannabis products including; flowers, concentrates and edibles through its Oakland, CA and multiple Nevada locations...."
"...“We are pleased to have leveraged our know-how and experience in the Santa Ana market to secure this retail permit with The Healing Tree Collective, without needing to expend significant time or resources to do so. As the cannabis market continues to mature we expect these permits to become more valuable. We believe that maximizing our first mover advantage by securing a stake in this permit may lead to additional revenue opportunities in the medium and longer term.”..."
"...has a significant war chest ($4.5M) of cash on the books, which is balanced by virtually no total current liabilities. TRTC is pulling in trailing 12-month revenues of $37.6M. In addition, the company is seeing major top-line growth, with y/y quarterly revenues growing at 26.2%..."
https://oracledispatch.com/2018/07/27/terra-tech-corp-otcmktstrtc-continues-show-positive-signals/
business is blüming!!!
the "UNEDITED" full transcript Q2 2018
After AC noticed the transcript posted and stickied was edited I did a side by side comparison between the two, the transcript that has been "stickied" and the transcript on the sec website. The one that has been "stickied" is missing numerous paragraphs. I'm sure that leaving out key information for investors, like that site often does, was just a typo or maybe an oversight by the posters. Surely no one would try and do that thing on purpose.
the COMPLETE conference call transcript
https://www.sec.gov/Archives/edgar/data/1451512/000147793218003921/trtc_ex992.htm
can also be found here
https://investorshub.advfn.com/boards/read_msg.aspx?message_id=143216673
business is blüming!!!
more insider buying...
dp on the buy buy buy... again...
https://ih.advfn.com/p.php?pid=nmona&article=78216795
business is blüming!!!
crucial info ALL board readers should be aware of...
https://investorshub.advfn.com/boards/read_msg.aspx?message_id=131500973
https://investorshub.advfn.com/boards/replies.aspx?msg=131500973
https://investorshub.advfn.com/boards/replies.aspx?msg=131501133
https://investorshub.advfn.com/boards/read_msg.aspx?message_id=131501549
https://investorshub.advfn.com/boards/replies.aspx?msg=131501549
https://investorshub.advfn.com/boards/replies.aspx?msg=131502118
business is blüming!!!
rapid expansion
trtc Awarded two additional Permits in Santa Ana
"...pleased to announce it has been granted two permits by the City of Santa Ana to operate one retail dispensary on Dyer Road and one on Carnegie Avenue in Santa Ana..."
"...commenced operating and managing a cannabis dispensary in Santa Ana. We are proud to have successfully leveraged this first mover advantage to obtain two new retail permits and expand our presence in Orange County..."
"...The first dispensary will be located at 620 East Dyer Road, with plans to become a fully vertical cannabis complex. The Company purchased this 44,000 square foot facility in January 2018, to expand its presence in Southern California. Following the receipt of the permit, the Company will avail itself of the opportunity to acquire vertically integrated permits from City of Santa Ana to conduct cultivation, distribution, and manufacturing on site. The Company plans to develop the property to include a retail dispensary; increase the size of the facility to over 50,000 square feet and transform it into a vertically integrated cannabis complex. In addition, the Company plans to include an event facility to host large-scale cannabis themed events, such as concerts and movie nights. The Dyer Road facility is adjacent to the 55 Freeway and acts as an entry point into the Southern California marketplace, allowing the Company to benefit from the area’s high population density and traffic. Potential revenues from the retail dispensary, when at full capacity and under current market conditions, are expected to be between $7 million and $10 million per year..."
"...The second dispensary will be located at 1815 E. Carnegie Avenue. The Company also plans to apply for cultivation, manufacturing and distribution permits at this location. Terra Tech selected this 30,000 square foot location because it borders Irvine and Tustin, which have a combined population of over 350,000 residents and have no cannabis dispensaries. The Company believes this strategic location will allow it to serve as a delivery hub to Orange County, opening a new untapped market...."
https://www.sec.gov/Archives/edgar/data/1451512/000147793218003633/trtc_ex991.htm
trtc Secures Stake in 10th Retail Permit
"...pleased to announce that it has secured a 25% ownership stake in The Healing Tree Collective, Inc., a cannabis dispensary operator based in California. On July 23, 2018, The Healing Tree Collective was awarded a retail permit associated with a facility on W. Pendleton Ave, Santa Ana, by the City of Santa Ana. The remaining 75% of The Healing Tree Collective, and therefore the associated permit, is held by other members of the collective, with whom Terra Tech partnered in order to complete the permit application process...."
"...Terra Tech covered the costs of the permit application and Terra Tech’s wholly-owned subsidiary, Black Oak Gallery, will be responsible for managing all of the facility’s operations, including hiring decisions. The facility is located at 3222 W. Pendleton Ave, Santa Ana, California..."
https://www.sec.gov/Archives/edgar/data/1451512/000147793218003672/trtc_ex991.htm
continuing its rapid expansion...
"...the company just announced that it has secured a 25% ownership stake in The Healing Tree Collective, Inc., a cannabis dispensary operator based in California. According to the release, “On July 23, 2018, The Healing Tree Collective was awarded a retail permit associated with a facility on W. Pendleton Ave, Santa Ana, by the City of Santa Ana...."
"...The company operates through multiple subsidiary businesses, including Blum, IVXX Inc., Edible Gardens, MediFarm LLC and GrowOp Technology.
"Blum’s retail medical cannabis facilities focus on providing the highest quality medical cannabis to patients who are looking for alternative treatments for their chronic medical conditions. Blum offers a broad selection of medical cannabis products including; flowers, concentrates and edibles through its Oakland, CA and multiple Nevada locations...."
"...“We are pleased to have leveraged our know-how and experience in the Santa Ana market to secure this retail permit with The Healing Tree Collective, without needing to expend significant time or resources to do so. As the cannabis market continues to mature we expect these permits to become more valuable. We believe that maximizing our first mover advantage by securing a stake in this permit may lead to additional revenue opportunities in the medium and longer term.”..."
"...has a significant war chest ($4.5M) of cash on the books, which is balanced by virtually no total current liabilities. TRTC is pulling in trailing 12-month revenues of $37.6M. In addition, the company is seeing major top-line growth, with y/y quarterly revenues growing at 26.2%..."
https://oracledispatch.com/2018/07/27/terra-tech-corp-otcmktstrtc-continues-show-positive-signals/
business is blüming!!!
Will Panther Gap Farms deliver again?
”…On May 24, 2017, we announced the launch of a new “Craft Cultivation” model to expand our cultivation capabilities and the signing of our first “Craft Cultivator” in Northern California under the name Panther Gap Farms. This farm, which is approved for up to one full acre (approximately 44,000 square feet) of cannabis cultivation and uses 22,000 square feet of engineered greenhouse space, is estimated to yield approximately one metric ton of our proprietary high grade “IVXX” cannabis on an annual basis….
”…During the year ended December 31, 2017, we purchased 2,000 pounds from this cultivator...”
https://www.sec.gov/Archives/edgar/data/1451512/000147793218001325/trtc_10k.htm
In 2017 Panther delivered 2,000 lbs of the sticky icky, Premium Dank AF Killer Bud.
Dp confirms, in the Virtual Investors Conference Call just recently, that trtc has indeed exercised the option to renew both the yearly lease and the yearly operating contract with expert grower and "Craft Cultivator" Panther Gap Farms.
http://www.virtualinvestorconferences.com/agenda-june2018.html
Quote:
________________________________________
"On May 23, 2017, the Company entered into a one-year operating agreement with Panther Gap Farms pursuant to which Panther Gap Farms will grow up to approximately one metric ton of the Company’s IVXX cannabis annually. The operating agreement is renewable, upon mutual agreement between Panther Gap Farms and the Company, for up to three additional terms of one year each. The agreement requires the Company to issue common stock, with a value of $1,150,000, upon execution of the agreement, which the Company issued in August 2017 and held in escrow. In addition to the common stock, the Company is required to issue common stock, with a value of $785,500, for the profit share of the cannabis ultimately sold by the Company upon execution of the agreement. Panther Gap Farms has the right to receive up to $100,000 in cash in lieu of receiving the common stock related to the net profit share. If Panther Gap Farms requests such cash payment, the amount of common stock to be delivered will be reduced by an amount equal to the amount of such cash divided by the lower of the closing price or the 30 day VWAP of common stock on the date of the agreement. The shares to be received by Panther Gap Farms under the profit share agreement are dependent on the ultimate profit recognized by the Company when the cannabis product is sold.
The Company and Panther Gap Farms also entered into a lease agreement pursuant to which the Company leases the property on which the cannabis is grown. The lease agreement requires monthly payments of $30,000 for eight months and is also renewable for up to three additional terms of one year each."
https://ir.terratechcorp.com/all-sec-filings#document-5441-0001477932-18-001325
DP clearly stated either on the Annual or the '18 quarterly how much cannabis was purchased. Has I have stated a few times now, "In 2017 Panther delivered 2,000 lbs of the sticky icky, Premium Dank AF Killer Bud."
Annual
https://www.sec.gov/Archives/edgar/data/1451512/000147793218001325/trtc_10k.htm
Quarterly (Q1 2018)
https://www.sec.gov/Archives/edgar/data/1451512/000147793218002303/trtc_10q.htm
Prices in california are averaging $296.00 an ounce according to
https://marijuanarates.com/blog/california-marijuana-prices
so 2,000 lbs is 32,000 ounces multiplied by $296. Works out to around $9,472,000.00.
So they spent $2,175,000 and got back $9,472,000 in return, leaving trtc to collect $7,297,000.
I'll take that ALL DAY LONG!!!
Humboldt County - America's Marijuana Capital!
"...The property is located in Honeydew, CA, in Southern Humboldt County, in an area known as the "Emerald Triangle" that is home to some of the world's highest quality cannabis products...."
(pics on “intro” page)
https://www.terratechcorp.com/news-media/press-releases/detail/190/terra-tech-%20corp-expands-cannabis-cultivation-capabilities
"...Northern California is, hands down, the cannabis capital of the world, and with 20 years of dipping their toes in regulations behind them, the Bay Area and Emerald Triangle are ready for the post-prohibition era..."
https://www.freedomleaf.com/cannabis-innovations-northern-california/
a few other things to note;
* that 2000lbs delivered was in 2017, they could have easily taken another delivery of top notch product since then. After all the 1 year renewable contract started on May 24, 2017. Any additional marijuana delivered from Jan '18 to May 23, '18 would increase that 2,000 lbs accordingly.
* also, IP has a much better grasp on the actual dollar amounts, For instance, The big sticky buds on top are worth more than the smaller branch buds etc...
No matter it was a Great Deal made by DP!
no wonder...
business is blüming!!!
now that's some serious groundwork...
Shares Outstanding
2012 76.89 million
2013 99.04 million
2014 174.3 million
2015 240.19 million
2016 389.36 million
2017 46.07 million (adjusted)
2018 70.85 million (end of Q2), (8/6 - 72,189,614)
* Some serious shareholder equity was created building facilities, getting licenses and laying the ground work to dominate.
2013 99.04 million
Total Revenue 2,125,851
Total Liabilities and Stockholders’ Equity 4,040,585
https://www.sec.gov/Archives/edgar/data/1451512/000147793214001462/trtc_10k.htm
2014 174.3 million
Total Revenue 7,094,270
Total Liabilities and Stockholders’ Equity 7,719,226
https://www.sec.gov/Archives/edgar/data/1451512/000147793215001943/trtc_10k.htm
2015 240.19 million
Total Revenue 9,975,346
Total Liabilities and Stockholders’ Equity 9,165,039
https://www.sec.gov/Archives/edgar/data/1451512/000147793217001483/trtc_10k.htm
2016 389.36 million
Total revenue 25,327,764
Total Liabilities and Stockholders’ Equity 76,178,130
https://www.sec.gov/Archives/edgar/data/1451512/000147793217001483/trtc_10k.htm
2017 46.1 million
Total revenue 35,800,844
Total Liabilities and Stockholders’ Equity 98,187,799
https://www.sec.gov/Archives/edgar/data/1451512/000147793218001325/trtc_10k.htm
2018 68.7 million (end of Q2)
Total revenue 17,333,543 (end of Q2)
Total Liabilities and Stockholders’ Equity 109,791,013 (end of Q2)
https://www.sec.gov/Archives/edgar/data/1451512/000147793218003910/trtc_10q.htm
business is blüming!!!
Shareholders Enrichment Scheme
I hope that trtc is an "insider enrichment scheme" like so many have erroneously claimed. Since the insiders are all in the same boat as shareholders that would make trtc a "Shareholders Enrichment Scheme". After all if A = B and B = C then A = C (according to the transitive property of equality). Wouldn’t everyone agree? Oh wait a minute, facts don't care if anybody agree's or not, they just are...
Share lock up agreements
Derek Peterson - CEO and Chairman
https://www.sec.gov/Archives/edgar/data/1451512/000147793217006160/trtc_8k.htm
Alan Gladstone - Director
https://www.sec.gov/Archives/edgar/data/1451512/000147793218000223/trtc_8k.htm
Michael James - CFO
https://www.sec.gov/Archives/edgar/data/1451512/000147793218000297/trtc_8k.htm
Michael Nahass - President, COO, Director, Secretary and Treasurer
https://www.sec.gov/Archives/edgar/data/1451512/000147793218000486/trtc_8k.htm
Steven Ross - Director
https://www.sec.gov/Archives/edgar/data/1451512/000147793218000541/trtc_8k.htm
DP on lock-up agreements
"Yeah, we signed lockups. Everybody signed them at a little bit of a different time. So I think I signed mine in December. Some signed in January, and that type of thing. So it was a 12-month lockup. Just promising to our shareholders we wouldn’t liquidate any of our Terra Tech stock in that timeframe. And so, yeah, we’re committed to that. That won’t be something that we alleviate from because we think this is a big year for growth for us.
So I’m looking at it from selfish standpoint. I’m looking at it from the perspective of I see what’s happening with Kronos. I see what’s happening with these other Canadian companies that are trading with these multibillion dollar market caps with a revenue base and an asset base that’s nowhere near what we have. And I think a lot of that overhang is due to the federal issues, and the dichotomy between state and federal law.
And so, you know, you’ve seen sales from insiders over the history, and we’ve done that for all different purposes. You know, what I hope our shareholders understand in the past when we’ve had to sell, whether it’s for phantom income taxes, other taxes, or just general security, we work in an environment where we’re personally affected by the job that we do.
I’ve lost my personal bank accounts. I’ve lost my ability to get insurance. I’ve lost – you know, we’ve lost our kids’ college savings plans. We’ve been kicked out. Our retirement plans have been kicked out. I mean, I’ve had credit cards shut down on me, banking institutions shut down on me, personally. Forget the company for a standpoint. And I can tell you most of our officers and directors have experienced the same thing.
So the operation in this space comes at a personal cost. You know, that and scrubbing it against the reality of we could wake up one morning – I don’t think it’s gonna happen, but we certainly could wake up one morning, and the federal government could change its stance on the industry, get far more aggressive. We’ve seen some shots across the bow, and for all practical purposes, they could make an attempt to shut the industry down.
So we’ve all got children, and we’re all human beings at the same time. And we all need to make sure we’ve got some money in the bank so we can feed our family in the case that something like that happens. It’s outside the scope of anything that we could have gauged for, and certainly not something that we brought on. So for all practical purposes, we could be executing with perfection, but the opportunity could be stripped away from us. And we’ve seen it happen in gaming, you know, online gaming, you know, from a legislative or regulatory change.
But our commitment was we want to make sure we don’t sell any stock over the next 12 months. Our commitment to the shareholders on a lot of different things that we’ve done in the past is to align ourselves from that same standpoint. We experienced the reverse just the same as every other shareholder experiences the reverse. But I’m in this for the potential up listing downstream.
And, you know, having worked in Wall Street for ten years, and Mike had worked there for 15-17 years, you know, I know it’s a matter of time before that opportunity is available to us. And I know that opportunity should come with a significant opportunity for market cap expansion over where we are now in this illegal federal environment on the OTC. And so that just put us in the position to kind of save this opportunity for downstream.
I don’t know if it’s gonna happen in 12 months, but we are certainly positioning ourselves for that. And like I said before, the analogy is I want to make sure we’re standing on the front door with our tuxedo when the door opens for the party. I don’t want to be at home still getting ready, which was the catalyst for the reverse along with some other things, and it was the catalyst for the lockup."
https://www.sec.gov/Archives/edgar/data/1451512/000147793218001372/trtc_ex992.htm
meanwhile...
business is blümming!!!
a little reminder
Cliff Notes for '17 Q2 CC
https://investorshub.advfn.com/boards/read_msg.aspx?message_id=140539026
Cliff Notes for '17 Q3 CC
https://investorshub.advfn.com/boards/read_msg.aspx?message_id=140539250
Cliff Notes for 2017 Annual Report CC (never quite finished)
https://investorshub.advfn.com/boards/read_msg.aspx?message_id=140536932
Transcript of the Annual Report CC
https://www.sec.gov/Archives/edgar/data/1451512/000147793218001372/trtc_ex992.htm
Cliff Notes for '18 Q1 (in process)
26.2% increase in revenue y/y
cannabis sales increased over 24.2%
edible garden sales increased 40%
gross profit margins increased 358.8%
stockholders equity increased to 85.7 million
no short term debt
Cliff Notes for '18 Q2 (in process)
1) we generated revenues of $8.72 million, compared to $7.84 for the three months ended June 30, 2017, an increase of $880,000 or 11.2%
2) Our gross profits for the three months ended June 30, 2018 was $2.21 million compared to a gross profit of $1.51 million for the three months ended June 30, 2017, an increase of approximately $700,000. A gross profit margin percentage for the three months ended June 30, 2018 was $25.3 million, compared to $19.2 million for the three months ended June 30, 2017.
3) Selling, general and administrative expenses for three months ended June 30, 2018 were $8 million, compared to $6.03 million for the three months ended June 30, 2017, an increase of $1.97 million or 32.7%.
4) We realized an operating loss of $5.79 million for the three months ended June 30, 2018, compared to an operating loss of $4.52 million for the three months ended June 30, 2017, an increase of approximately $1.27 million or 28.1%.
5) On June 30, 2018, we had a cash balance of approximately $5.2 million, compared to a cash balance of approximately $5.4 million at December 31, 2017.
6) We had no short-term debt as of June 30, 2018.
7) Long-term debt increased from approximately $6.6 million to approximately $12.8 million during the three months ended June 30, 2018.
8) Stockholders’ equity for the second quarter 2018 amounted to approximately $91 million, compared to $76.8 million as of December 31, 2017.
9) As of August 9, 2018, the company received $15 million under its $40 million line of credit commitment.
business is blüming!!!
the "UNEDITED" full transcript Q2 2018
After AC noticed the transcript posted and stickied was edited I did a side by side comparison between the two, the transcript that has been "stickied" and the transcript on the sec website. The one that has been "stickied" is missing numerous paragraphs. I'm sure that leaving out key information for investors, like that site often does, was just a typo or maybe an oversight by the posters. Surely no one would try and do that thing on purpose.
the COMPLETE conference call transcript
https://www.sec.gov/Archives/edgar/data/1451512/000147793218003921/trtc_ex992.htm
can also be found here
https://investorshub.advfn.com/boards/read_msg.aspx?message_id=143216673
business is blüming!!!
Investors conference
https://finance.yahoo.com/news/live-investor-conference-webinar-cannabis-123500137.html?soc_src=social-sh&soc_trk=fb
business is blüming!!!
the "UNEDITED" full transcript Q2 2018
After AC noticed the transcript posted and stickied was edited I did a side by side comparison between the two , the transcript that has been "stickied" and the transcript on the sec website. The one that has been "stickied" is missing numerous paragraphs. I'm sure that leaving out key information for investors, like that site often does, was just a typo or maybe an oversight by the posters. Surely no one would try and do that thing on purpose.
the COMPLETE conference call transcript
https://www.sec.gov/Archives/edgar/data/1451512/000147793218003921/trtc_ex992.htm
can also be found here
https://investorshub.advfn.com/boards/read_msg.aspx?message_id=143216673
business is blüming!!!
insiders buying...
Shareholders Enrichment Scheme
I hope that trtc is an "insider enrichment scheme" like so many have erroneously claimed. Since the insiders are all in the same boat as shareholders that would make trtc a "Shareholders Enrichment Scheme". After all if A = B and B = C then A = C (according to the transitive property of equality). Wouldn’t everyone agree? Oh wait a minute, facts don't care if anybody agree's or not, they just are...
Share lock up agreements
Derek Peterson - CEO and Chairman
https://www.sec.gov/Archives/edgar/data/1451512/000147793217006160/trtc_8k.htm
Alan Gladstone - Director
https://www.sec.gov/Archives/edgar/data/1451512/000147793218000223/trtc_8k.htm
Michael James - CFO
https://www.sec.gov/Archives/edgar/data/1451512/000147793218000297/trtc_8k.htm
Michael Nahass - President, COO, Director, Secretary and Treasurer
https://www.sec.gov/Archives/edgar/data/1451512/000147793218000486/trtc_8k.htm
Steven Ross - Director
https://www.sec.gov/Archives/edgar/data/1451512/000147793218000541/trtc_8k.htm
DP on lock-up agreements
"Yeah, we signed lockups. Everybody signed them at a little bit of a different time. So I think I signed mine in December. Some signed in January, and that type of thing. So it was a 12-month lockup. Just promising to our shareholders we wouldn’t liquidate any of our Terra Tech stock in that timeframe. And so, yeah, we’re committed to that. That won’t be something that we alleviate from because we think this is a big year for growth for us.
So I’m looking at it from selfish standpoint. I’m looking at it from the perspective of I see what’s happening with Kronos. I see what’s happening with these other Canadian companies that are trading with these multibillion dollar market caps with a revenue base and an asset base that’s nowhere near what we have. And I think a lot of that overhang is due to the federal issues, and the dichotomy between state and federal law.
And so, you know, you’ve seen sales from insiders over the history, and we’ve done that for all different purposes. You know, what I hope our shareholders understand in the past when we’ve had to sell, whether it’s for phantom income taxes, other taxes, or just general security, we work in an environment where we’re personally affected by the job that we do.
I’ve lost my personal bank accounts. I’ve lost my ability to get insurance. I’ve lost – you know, we’ve lost our kids’ college savings plans. We’ve been kicked out. Our retirement plans have been kicked out. I mean, I’ve had credit cards shut down on me, banking institutions shut down on me, personally. Forget the company for a standpoint. And I can tell you most of our officers and directors have experienced the same thing.
So the operation in this space comes at a personal cost. You know, that and scrubbing it against the reality of we could wake up one morning – I don’t think it’s gonna happen, but we certainly could wake up one morning, and the federal government could change its stance on the industry, get far more aggressive. We’ve seen some shots across the bow, and for all practical purposes, they could make an attempt to shut the industry down.
So we’ve all got children, and we’re all human beings at the same time. And we all need to make sure we’ve got some money in the bank so we can feed our family in the case that something like that happens. It’s outside the scope of anything that we could have gauged for, and certainly not something that we brought on. So for all practical purposes, we could be executing with perfection, but the opportunity could be stripped away from us. And we’ve seen it happen in gaming, you know, online gaming, you know, from a legislative or regulatory change.
But our commitment was we want to make sure we don’t sell any stock over the next 12 months. Our commitment to the shareholders on a lot of different things that we’ve done in the past is to align ourselves from that same standpoint. We experienced the reverse just the same as every other shareholder experiences the reverse. But I’m in this for the potential up listing downstream.
And, you know, having worked in Wall Street for ten years, and Mike had worked there for 15-17 years, you know, I know it’s a matter of time before that opportunity is available to us. And I know that opportunity should come with a significant opportunity for market cap expansion over where we are now in this illegal federal environment on the OTC. And so that just put us in the position to kind of save this opportunity for downstream.
I don’t know if it’s gonna happen in 12 months, but we are certainly positioning ourselves for that. And like I said before, the analogy is I want to make sure we’re standing on the front door with our tuxedo when the door opens for the party. I don’t want to be at home still getting ready, which was the catalyst for the reverse along with some other things, and it was the catalyst for the lockup."
https://www.sec.gov/Archives/edgar/data/1451512/000147793218001372/trtc_ex992.htm
meanwhile...
business is blümming!!!
now that's some serious groundwork...
Shares Outstanding
2012 76.89 million
2013 99.04 million
2014 174.3 million
2015 240.19 million
2016 389.36 million
2017 46.07 million (adjusted)
2018 70.85 million (end of Q2), (8/6 - 72,189,614)
* Some serious shareholder equity was created building facilities, getting licenses and laying the ground work to dominate.
2013 99.04 million
Total Revenue 2,125,851
Total Liabilities and Stockholders’ Equity 4,040,585
https://www.sec.gov/Archives/edgar/data/1451512/000147793214001462/trtc_10k.htm
2014 174.3 million
Total Revenue 7,094,270
Total Liabilities and Stockholders’ Equity 7,719,226
https://www.sec.gov/Archives/edgar/data/1451512/000147793215001943/trtc_10k.htm
2015 240.19 million
Total Revenue 9,975,346
Total Liabilities and Stockholders’ Equity 9,165,039
https://www.sec.gov/Archives/edgar/data/1451512/000147793217001483/trtc_10k.htm
2016 389.36 million
Total revenue 25,327,764
Total Liabilities and Stockholders’ Equity 76,178,130
https://www.sec.gov/Archives/edgar/data/1451512/000147793217001483/trtc_10k.htm
2017 46.1 million
Total revenue 35,800,844
Total Liabilities and Stockholders’ Equity 98,187,799
https://www.sec.gov/Archives/edgar/data/1451512/000147793218001325/trtc_10k.htm
2018 68.7 million (end of Q2)
Total revenue 17,333,543 (end of Q2)
Total Liabilities and Stockholders’ Equity 109,791,013 (end of Q2)
https://www.sec.gov/Archives/edgar/data/1451512/000147793218003910/trtc_10q.htm
business is blüming!!!
** NV mj sales SOAR past expectations
"The Silver State’s marijuana industry is still in its infancy, but the cannabis market has raked in more than $30 million in tax revenue for the state so far. Retailers in Nevada have sold more than $195 million in cannabis during the first six months of its adult-use market..."
https://www.forbes.com/sites/monazhang/2018/02/26/nevada-makes-30-million-in-marijuana-taxes-during-first-six-months-of-sales/#40f11d513a7f
"...Four months into Colorado’s recreational market, dispensaries in the state saw $22.56 million in sales — a fraction of Nevada’s sales four months into its recreational marijuana program..."
"...Nevada’s adult-use marijuana market is driven by the tourist-friendly Las Vegas. Cannabis analytics firm New Frontier projects the state’s cannabis market to be worth $622 million by 2020..."
"...it looks like the state’s recreational marijuana market will keep up its impressive growth..."
https://www.forbes.com/sites/monazhang/2017/12/26/nevadas-recreational-marijuana-market-hits-38m-soars-past-colorado/2/#69773ccc7bc7
"...Nevada's recreational marijuana industry is on pace to reach $60 million in its first year, exceeding the state's projection of $50 million..."
http://kdwn.com/2018/02/28/nevada-marijuana-sales-exceed-financial-expectations/
"...With all due respect to Denver, Seattle, and Portland, Las Vegas is already the party capital of the world, and this is just an extension of that,” Ferrence said. “ There’s no question that the demand is ever going to relent..."
https://hightimes.com/news/marijuana-sales-in-nevada-exceed-stores-expectations/
"Legal marijuana sales in Nevada set another monthly record in May and are approaching the $500 million mark for the fiscal year...."
http://www.ktvn.com/story/38747892/nevada-pot-sales-set-another-monthly-record-in-may
”…has exceeded even their highest expectations, with sales and tax collections already surpassing year-end projections by 25 percent…”
https://www.reviewjournal.com/news/pot-news/marijuana-sales-in-1st-year-exceed-expectations-in-nevada/
"...which projects recreational sales will reach $500 million-$600 million in calendar year 2018..."
https://mjbizdaily.com/red-hot-nevada-marijuana-market-exceeds-half-billion-dollars-for-fiscal-year/
business is blüming!!!
NJ Lawmakers tour blüms flagship location (Desert Inn) and like what they see!
https://www.scribd.com/document/371089301/New-Jersey-Lawmakers-Marijuana-Visit-to-Nevada
First blüm was voted "The People's Choice" ...
https://www.thecannabist.co/2018/01/31/best-dispensaries-budtenders-2017/97990/
and now confirmed by High Times…
"...You don’t grow a business to six locations in two separate states (with a seventh planned for San Leandro) without doing something right. Their inventory is unrivaled in the East Bay, with prices to match...."
https://hightimes.com/dispensaries/best-dispensaries-east-bay/
more on the blüm design...
"...to help educate patients and establish brand awareness, cannabis boutiques are moving away from that dim-lit, bland image by using vibrant color schemes and design elements to make lasting impressions with customers — and to reverse stigma..."
"...Blum, a pot retail operator owned by Terra Tech Corp., is focused on just that — patient care and safety and the reversal of stigma in the industry...."
https://www.bisnow.com/national/news/retail/marijuana-dispensaries-are-getting-facelifts-to-blaze-past-the-competition-87544
https://www.inc.com/will-yakowicz/ss-high-end-cannabis-dispensary-design-revenue.html
360 degree Tour
rapid expansion
trtc Awarded two additional Permits in Santa Ana
"...pleased to announce it has been granted two permits by the City of Santa Ana to operate one retail dispensary on Dyer Road and one on Carnegie Avenue in Santa Ana..."
"...commenced operating and managing a cannabis dispensary in Santa Ana. We are proud to have successfully leveraged this first mover advantage to obtain two new retail permits and expand our presence in Orange County..."
"...The first dispensary will be located at 620 East Dyer Road, with plans to become a fully vertical cannabis complex. The Company purchased this 44,000 square foot facility in January 2018, to expand its presence in Southern California. Following the receipt of the permit, the Company will avail itself of the opportunity to acquire vertically integrated permits from City of Santa Ana to conduct cultivation, distribution, and manufacturing on site. The Company plans to develop the property to include a retail dispensary; increase the size of the facility to over 50,000 square feet and transform it into a vertically integrated cannabis complex. In addition, the Company plans to include an event facility to host large-scale cannabis themed events, such as concerts and movie nights. The Dyer Road facility is adjacent to the 55 Freeway and acts as an entry point into the Southern California marketplace, allowing the Company to benefit from the area’s high population density and traffic. Potential revenues from the retail dispensary, when at full capacity and under current market conditions, are expected to be between $7 million and $10 million per year..."
"...The second dispensary will be located at 1815 E. Carnegie Avenue. The Company also plans to apply for cultivation, manufacturing and distribution permits at this location. Terra Tech selected this 30,000 square foot location because it borders Irvine and Tustin, which have a combined population of over 350,000 residents and have no cannabis dispensaries. The Company believes this strategic location will allow it to serve as a delivery hub to Orange County, opening a new untapped market...."
https://www.sec.gov/Archives/edgar/data/1451512/000147793218003633/trtc_ex991.htm
trtc Secures Stake in 10th Retail Permit
"...pleased to announce that it has secured a 25% ownership stake in The Healing Tree Collective, Inc., a cannabis dispensary operator based in California. On July 23, 2018, The Healing Tree Collective was awarded a retail permit associated with a facility on W. Pendleton Ave, Santa Ana, by the City of Santa Ana. The remaining 75% of The Healing Tree Collective, and therefore the associated permit, is held by other members of the collective, with whom Terra Tech partnered in order to complete the permit application process...."
"...Terra Tech covered the costs of the permit application and Terra Tech’s wholly-owned subsidiary, Black Oak Gallery, will be responsible for managing all of the facility’s operations, including hiring decisions. The facility is located at 3222 W. Pendleton Ave, Santa Ana, California..."
https://www.sec.gov/Archives/edgar/data/1451512/000147793218003672/trtc_ex991.htm
continuing its rapid expansion...
"...the company just announced that it has secured a 25% ownership stake in The Healing Tree Collective, Inc., a cannabis dispensary operator based in California. According to the release, “On July 23, 2018, The Healing Tree Collective was awarded a retail permit associated with a facility on W. Pendleton Ave, Santa Ana, by the City of Santa Ana...."
"...The company operates through multiple subsidiary businesses, including Blum, IVXX Inc., Edible Gardens, MediFarm LLC and GrowOp Technology.
"Blum’s retail medical cannabis facilities focus on providing the highest quality medical cannabis to patients who are looking for alternative treatments for their chronic medical conditions. Blum offers a broad selection of medical cannabis products including; flowers, concentrates and edibles through its Oakland, CA and multiple Nevada locations...."
"...“We are pleased to have leveraged our know-how and experience in the Santa Ana market to secure this retail permit with The Healing Tree Collective, without needing to expend significant time or resources to do so. As the cannabis market continues to mature we expect these permits to become more valuable. We believe that maximizing our first mover advantage by securing a stake in this permit may lead to additional revenue opportunities in the medium and longer term.”..."
"...has a significant war chest ($4.5M) of cash on the books, which is balanced by virtually no total current liabilities. TRTC is pulling in trailing 12-month revenues of $37.6M. In addition, the company is seeing major top-line growth, with y/y quarterly revenues growing at 26.2%..."
https://oracledispatch.com/2018/07/27/terra-tech-corp-otcmktstrtc-continues-show-positive-signals/
business is blüming!!!
nj cannabis summit
http://mjnewsnetwork.com/events/new-jersey-cannabis-summit-growing-a-sustainable-industry-in-the-garden-state-set-for-oct-24/
business is blüming!!!
bwaahaahaa... nice one!
just an efficiency thing. by responding to a message it takes you straight to the "submit post" page instead of having to go back to the main board and then clicking on "post new message". I've been doing that sorta thing as of late when I have a few posts to put up. been spending tooo much time on social media lately at the expense of other activities, just trying to cut back a little. Like DP stated in a few cc's, 1% improvement here 2% improvement there... adds up after a short while.
It's the little things that sometimes make the biggest difference...
business is blüming!!!
it's def going to be interesting that's for sure. I have no doubts the vv's will be forced to settle in a major way. within 6 months of getting rid of the last of the vv's, revenues are up 40% and bross profits up 358+%
WoW, just WoW!
business is blüming!!!
who's your daddy?
Definitely would NOT want to be in their shoes.
the VV's that is. Here is a few “lowlights” in the lawsuit trtc filed against the VV's and I for one can say I would not want to be in their shoes if this hits a courtroom, lol.
"…committed fraud against Terra Tech, stole its intellectual property, proprietary information, and usurped corporate opportunities intended for Terra Tech in order to benefit of GRO-RITE and NATURALLY BEAUTIFUL."
"…diverting Terra Tech opportunities to Vande Vrede family entities including but not limited to opportunities with Chill Waze, CBD Water and Cultivar, three companies that would have offered Terra Tech strategic and lucrative corporate alliances."
"…disseminating Terra Tech’s proprietary application documents and process to other entities for the benefit of the Vande Vrede entities including GRO-RITE."
"…failing to disclose conflicts of interest between their positions as officers and employees with Terra Tech."
"…using Terra Tech intellectual property including, but not limited to, Daily Revenue Reports, Nevada Cannabis Permit Applications, Compliance Memorandums and Terra Tech Google Analytics in order to usurp opportunities intended for Terra Tech and divert them to the Vande Vrede family entities."
"…using Terra Tech employees to produce PowerPoint presentations, and engage in other work, which was subsequently used to divert opportunities from Terra Tech to the Vande Vrede family entities."
"…using Terra Tech money to expense items that were used for the benefit of the diversion of these opportunities and the Vande Vrede family."
"…attempted to usurp or did usurp an opportunity Terra Tech had with Cultivar for their GRO-RITE, NATURALLY BEAUTIFUL and/or Vande Vrede family businesses."
"Instead of providing that opportunity to Terra Tech or Edible Garden, he forwarded the email, with the opportunity, to Defendants… …who were operating competing entities, GRO-RITE and NATURALLY BEAUTIFUL."
"…used Terra Tech’s name as a way to develop opportunities with vendors and business partners. Once a dialogue was opened, however, he dropped Terra Tech without informing anyone at Terra Tech, including other executives or members of the board, and instead pursued these opportunities for his family businesses and GRO-RITE."
"… Chill Waze CEO Vincent Gareffa emailed Defendant… …at his Terra Tech email address to pitch Chill Waze’s idea for partnering with Terra Tech."
"…never provided anyone at Terra Tech or Edible Garden the opportunity to hear Chill Waze’s pitch and, instead, copied Defendant DANIEL VANDE VREDE at GRO-RITE on all emails he exchanged with Chill Waze."
"…used Terra Tech resources for his own personal gain when he used his Terra Tech American Express credit card to pay for lunch with Chill Waze."
"…at his Terra Tech email address to break down ownership of Chill Waze and attached a PowerPoint presentation, which identifies Defendant as a “Silent Partner/Operations” and Defendant DANIEL VANDE VREDE as “COO/Inventory and Logistics”. Moreover, the PowerPoint presentation indicated that the warehouse was going to be the GRO-RITE location in New Jersey, implying that Chill Waze intended to compete with Terra Tech in New Jersey."
"…asked a Terra Tech employee to send over the Terra Tech Property ID in order to login and access google analytics for the Terra Tech website… …immediately forwarded Terra Tech’s Property ID to CEO Gareffa at Chill Waze so that he could login as a Terra Tech user and access Terra Tech proprietary information."
"…using Terra Tech’s name and resources to attract vendors and business partners, but then keep the opportunities for his family… …took an opportunity presented by Ken Voorhees of Ungerer & Co on February 6, 2018, for the Plant Based organic CBD Water packer."
"…at his Terra Tech email address and stated, “Organic CBD Water 50% Vande 50% Voorhees, $50k each initial seed money. We can open after launch to others."
"…charged his parking In Morristown, New Jersey, to the Terra Tech corporate credit card for that meeting…"
"Daniel Grover from the Great Meadows Design Group emailed Defendant KENNETH VANDE VREDE at his Terra Tech email address to ask Defendant KENNETH VANDE VREDE if he had sent over the executed contract or non-disclosure agreement… From January 31, 2018 through February 22, 2018, the two exchanged emails regarding corporate names and obtaining a New Jersey cannabis permit for “Lincoln Park and Belvidere locations.”"
"…received emails at his Terra Tech email address from Thomas Mastrangelo, a cannabis lobbyist, to discuss the next potential steps in growing the cannabis side of the Vande Vrede family business with GRO-RITE."
"…received an email at his Terra Tech email address from Quantum 9 CEO Michael Mayes… …forwarded the email from CEO Mayes to Defendants… …stating “Help us write our family cannabis permits for NJ.”… …responded and asked, “What’s this for?” Defendant KENNETH VANDE VREDE responded, “Consultant that will help our family write the NJ cannabis application for us. Scored #1 in PA. Has a 93% success rate.”…"
"From August 25, 2017, through February 6, 2018, Defendant KENNETH VANDE VREDE exchanged emails at his Terra Tech email address with CEO Mayes from Quantum 9, which culminated in Quantum 9 sending a work order, contract and non-disclosure agreement to Defendant KENNETH VANDE VREDE, which he forwarded to himself at his GRO-RITE email address, identifying GRO-RITE as the contracting party with Quantum 9 and the entity that would benefit from the work order from Quantum 9."
"…emailed Terra Tech’s proprietary Nevada Permit Applications to Mark Hanselman and David Alston, individuals who are not affiliated or associated with Terra Tech."
"…emailed with David Hollberg, the Pequannock, New Jersey Township Manager/CFO. They agreed to set up a meeting, which took place on January 10, 2018, at GRO-RITE, to discuss GRO-RITE’S application to grow cannabis."
"…used Terra Tech’s proprietary application documents to submit an application to Pequannock Township."
"…attended Terra Tech board meetings on September 26, 2017, and December 19, 2017. At each of these meetings, the board expressly asked Defendant KENNETH VANDE VREDE whether his family was competing with Terra Tech in cannabis. He misrepresented that they were not. In actuality, Defendant KENNETH VANDE VREDE led the family business charge to focus on cannabis cultivation in New Jersey."
"…were to work at least 30 hours per week. However, they worked no more than 28 hours per week there by obtaining benefits for themselves and their family under false pretenses and effectively, stealing Terra Tech resources."
WoW, looks like while shareholders are getting fitted for their tux the VV's will be getting fitted with orange jumpsuits.
I think this part is particularly hilarious...
"...The VandeVredes are seeking, among other things, a declaratory judgement that the they did not violate their fiduciary duties owed to the Company or Edible Garden and reinstating the VandeVredes to their status with the Company and Edible Garden prior to their suspensions..."
lol, they ALL want their jobs back... bwaaahaaahaahaahaha...
maybe the vv's haven't realized it yet or maybe they have... but ain't nobody out there going to want to do business with back stabbing opportunists like them, lol.
business is blüming!!!
Industry Leader
trtc positions for growth in California, Nevada and New Jersey
https://soundcloud.com/newcannabisventures/terra-tech-positions-for-growth-in-california-nevada-and-new-jersey
Investor Presentation - August 2018
https://www.terratechcorp.com/news-media/presentations
https://d1io3yog0oux5.cloudfront.net/_05e749e66192835355facbfdf0098d26/terratechcorp/db/224/433/pdf/Terra+Tech+Investor+Presentation+August+2018+Final.pdf
trtc reports Record Revenues for 2017
https://www.nasdaq.com/press-release/terra-tech-corp-reports-record-revenues-for-year-end-december-31-2017-20180316-00787
trtc #1 in Revenue:
https://www.newcannabisventures.com/cannabis-company-revenue-ranking/
blüm "The People’s Choice" voted the TOP Dispensary in both Nevada and California!!!
https://www.thecannabist.co/2018/01/31/best-dispensaries-budtenders-2017/97990/
trtc one of the Top Four California weed stocks
https://www.potnetwork.com/news/here-are-4-best-california-weed-stocks-smart-investors
trtc ranked #10 on the otcqx Best 50 Companies
http://web.otcmarkets.com/otcqx-best-50/
trtc listed as THE top "fastest-growing public companies: small companies"
business is blüming!!!
more on seed 2 sale
"...So, we’ve been pretty much a pure retail play and now we’re building our manufacturing infrastructure into the retail footprint. We’re going to continue to grow the retail footprint, but most of the product that we purchased is coming from the wholesale market and with the Dyer property, with the Hegenberger property, with 130 lights coming online at the onsite grow, plus the extraction facilities we’re going to be able to accommodate close to 50% of our own product from our own footprint.
the margin expansion that we’re going to anticipate associated with that should be significant and severe we’re pretty excited about the opportunity to ramp that up. We’re obviously also going to use that infrastructure for this continued development of our wholesale brand and to push that product out into the open marketplace. but again, the lowest hanging fruit for us is to utilize as much of that product as possible to push through our own retail channel for the margin expansion.
And it give me kind of an understanding of that, wholesale flour right now ranges anywhere from say, 1,800 to 3,000 for really good teak providers a pound. the cost of cultivation should be about 600 or 700 a pound for indoor cultivation, greenhouse 300, outdoor 100 in change. So, there’s a significant opportunity for us to get massive gross margin expansion once we light these facilities up, we’re excited about the one in Nevada coming online, the 30,000 square foot one, the extraction facility will be online in the not-too-distant future and over the next 12 to 16, 18 months, we’re going to start lighting up all this infrastructure.
the first being the onsite grow at Blüm in Hegenberger to support the retail footprint and then of course, the Dyer property and the extraction facilities coming on the tail end of that too, again add additional products for our seed-to-sale vertical integration strategy. So, we should see great gross margin improvement just organically off the permitted footprint that we have right not notwithstanding any other permits that we get organically or potential acquisitions that may take place.
So, our investment and infrastructure both on the retail and cultivation sides of the business, that’s really what’s going to enable us to maintain our position as one of the largest players in the market right now..."
https://www.sec.gov/Archives/edgar/data/1451512/000147793218003921/trtc_ex992.htm
business is blüming!!!
set to deliver again... and again!
”…On May 24, 2017, we announced the launch of a new “Craft Cultivation” model to expand our cultivation capabilities and the signing of our first “Craft Cultivator” in Northern California under the name Panther Gap Farms. This farm, which is approved for up to one full acre (approximately 44,000 square feet) of cannabis cultivation and uses 22,000 square feet of engineered greenhouse space, is estimated to yield approximately one metric ton of our proprietary high grade “IVXX” cannabis on an annual basis….
”…During the year ended December 31, 2017, we purchased 2,000 pounds from this cultivator...”
https://www.sec.gov/Archives/edgar/data/1451512/000147793218001325/trtc_10k.htm
In 2017 Panther delivered 2,000 lbs of the sticky icky, Premium Dank AF Killer Bud.
Dp confirms, in the Virtual Investors Conference Call just recently, that trtc has indeed exercised the option to renew both the yearly lease and the yearly operating contract with expert grower and "Craft Cultivator" Panther Gap Farms.
http://www.virtualinvestorconferences.com/agenda-june2018.html
Quote:
________________________________________
"On May 23, 2017, the Company entered into a one-year operating agreement with Panther Gap Farms pursuant to which Panther Gap Farms will grow up to approximately one metric ton of the Company’s IVXX cannabis annually. The operating agreement is renewable, upon mutual agreement between Panther Gap Farms and the Company, for up to three additional terms of one year each. The agreement requires the Company to issue common stock, with a value of $1,150,000, upon execution of the agreement, which the Company issued in August 2017 and held in escrow. In addition to the common stock, the Company is required to issue common stock, with a value of $785,500, for the profit share of the cannabis ultimately sold by the Company upon execution of the agreement. Panther Gap Farms has the right to receive up to $100,000 in cash in lieu of receiving the common stock related to the net profit share. If Panther Gap Farms requests such cash payment, the amount of common stock to be delivered will be reduced by an amount equal to the amount of such cash divided by the lower of the closing price or the 30 day VWAP of common stock on the date of the agreement. The shares to be received by Panther Gap Farms under the profit share agreement are dependent on the ultimate profit recognized by the Company when the cannabis product is sold.
The Company and Panther Gap Farms also entered into a lease agreement pursuant to which the Company leases the property on which the cannabis is grown. The lease agreement requires monthly payments of $30,000 for eight months and is also renewable for up to three additional terms of one year each."
https://ir.terratechcorp.com/all-sec-filings#document-5441-0001477932-18-001325
DP clearly stated either on the Annual or the '18 quarterly how much cannabis was purchased. Has I have stated a few times now, "In 2017 Panther delivered 2,000 lbs of the sticky icky, Premium Dank AF Killer Bud."
Annual
https://www.sec.gov/Archives/edgar/data/1451512/000147793218001325/trtc_10k.htm
Quarterly (Q1 2018)
https://www.sec.gov/Archives/edgar/data/1451512/000147793218002303/trtc_10q.htm
Prices in california are averaging $296.00 an ounce according to
https://marijuanarates.com/blog/california-marijuana-prices
so 2,000 lbs is 32,000 ounces multiplied by $296. Works out to around $9,472,000.00.
So they spent $2,175,000 and got back $9,472,000 in return, leaving trtc to collect $7,297,000.
I'll take that ALL DAY LONG!!!
Humboldt County - America's Marijuana Capital!
"...The property is located in Honeydew, CA, in Southern Humboldt County, in an area known as the "Emerald Triangle" that is home to some of the world's highest quality cannabis products...."
(pics on “intro” page)
https://www.terratechcorp.com/news-media/press-releases/detail/190/terra-tech-%20corp-expands-cannabis-cultivation-capabilities
"...Northern California is, hands down, the cannabis capital of the world, and with 20 years of dipping their toes in regulations behind them, the Bay Area and Emerald Triangle are ready for the post-prohibition era..."
https://www.freedomleaf.com/cannabis-innovations-northern-california/
a few other things to note;
* that 2000lbs delivered was in 2017, they could have easily taken another delivery of top notch product since then. After all the 1 year renewable contract started on May 24, 2017. Any additional marijuana delivered from Jan '18 to May 23, '18 would increase that 2,000 lbs accordingly.
* also, IP has a much better grasp on the actual dollar amounts, For instance, The big sticky buds on top are worth more than the smaller branch buds etc...
No matter it was a Great Deal made by DP!
no wonder...
business is blüming!!!
rapid expansion
trtc Awarded two additional Permits in Santa Ana
"...pleased to announce it has been granted two permits by the City of Santa Ana to operate one retail dispensary on Dyer Road and one on Carnegie Avenue in Santa Ana..."
"...commenced operating and managing a cannabis dispensary in Santa Ana. We are proud to have successfully leveraged this first mover advantage to obtain two new retail permits and expand our presence in Orange County..."
"...The first dispensary will be located at 620 East Dyer Road, with plans to become a fully vertical cannabis complex. The Company purchased this 44,000 square foot facility in January 2018, to expand its presence in Southern California. Following the receipt of the permit, the Company will avail itself of the opportunity to acquire vertically integrated permits from City of Santa Ana to conduct cultivation, distribution, and manufacturing on site. The Company plans to develop the property to include a retail dispensary; increase the size of the facility to over 50,000 square feet and transform it into a vertically integrated cannabis complex. In addition, the Company plans to include an event facility to host large-scale cannabis themed events, such as concerts and movie nights. The Dyer Road facility is adjacent to the 55 Freeway and acts as an entry point into the Southern California marketplace, allowing the Company to benefit from the area’s high population density and traffic. Potential revenues from the retail dispensary, when at full capacity and under current market conditions, are expected to be between $7 million and $10 million per year..."
"...The second dispensary will be located at 1815 E. Carnegie Avenue. The Company also plans to apply for cultivation, manufacturing and distribution permits at this location. Terra Tech selected this 30,000 square foot location because it borders Irvine and Tustin, which have a combined population of over 350,000 residents and have no cannabis dispensaries. The Company believes this strategic location will allow it to serve as a delivery hub to Orange County, opening a new untapped market...."
https://www.sec.gov/Archives/edgar/data/1451512/000147793218003633/trtc_ex991.htm
trtc Secures Stake in 10th Retail Permit
"...pleased to announce that it has secured a 25% ownership stake in The Healing Tree Collective, Inc., a cannabis dispensary operator based in California. On July 23, 2018, The Healing Tree Collective was awarded a retail permit associated with a facility on W. Pendleton Ave, Santa Ana, by the City of Santa Ana. The remaining 75% of The Healing Tree Collective, and therefore the associated permit, is held by other members of the collective, with whom Terra Tech partnered in order to complete the permit application process...."
"...Terra Tech covered the costs of the permit application and Terra Tech’s wholly-owned subsidiary, Black Oak Gallery, will be responsible for managing all of the facility’s operations, including hiring decisions. The facility is located at 3222 W. Pendleton Ave, Santa Ana, California..."
https://www.sec.gov/Archives/edgar/data/1451512/000147793218003672/trtc_ex991.htm
continuing its rapid expansion...
"...the company just announced that it has secured a 25% ownership stake in The Healing Tree Collective, Inc., a cannabis dispensary operator based in California. According to the release, “On July 23, 2018, The Healing Tree Collective was awarded a retail permit associated with a facility on W. Pendleton Ave, Santa Ana, by the City of Santa Ana...."
"...The company operates through multiple subsidiary businesses, including Blum, IVXX Inc., Edible Gardens, MediFarm LLC and GrowOp Technology.
"Blum’s retail medical cannabis facilities focus on providing the highest quality medical cannabis to patients who are looking for alternative treatments for their chronic medical conditions. Blum offers a broad selection of medical cannabis products including; flowers, concentrates and edibles through its Oakland, CA and multiple Nevada locations...."
"...“We are pleased to have leveraged our know-how and experience in the Santa Ana market to secure this retail permit with The Healing Tree Collective, without needing to expend significant time or resources to do so. As the cannabis market continues to mature we expect these permits to become more valuable. We believe that maximizing our first mover advantage by securing a stake in this permit may lead to additional revenue opportunities in the medium and longer term.”..."
"...has a significant war chest ($4.5M) of cash on the books, which is balanced by virtually no total current liabilities. TRTC is pulling in trailing 12-month revenues of $37.6M. In addition, the company is seeing major top-line growth, with y/y quarterly revenues growing at 26.2%..."
https://oracledispatch.com/2018/07/27/terra-tech-corp-otcmktstrtc-continues-show-positive-signals/
business is blüming!!!
No doubt a big improvement
One of the many things that made the 40 million in 8 quarterly tranche's deal along with the rs such a great thing for the company is not only did it fix the share structure and enable expansion for another two years minimum but it was also a "see ya wouldn't wanna be ya" to the "dominions and the magna's" predatory lending practices common for otc lenders.
I've posted this a few times but I'm not sure the board remembers so I'll quote it below. Much much better rates and terms, still not on par with a legal biz but definitely much much better.
8 quarterly tranches of 5 million each
"...So that 40 million is coming in eight tranches of five million bucks each quarter over the next 24 months. And one the main reasons we did that we scoped out what our growth and Capex requirements are over the next two years. And we may move those timelines around a little bit..."
"...the capital raise essentially provided the company with enough growth capital to execute on the business model over the next 24 months. We believe these steps will fuel the growth of the company and help create value for shareholders..."
https://www.sec.gov/Archives/edgar/data/1451512/000147793218001372/trtc_ex992.htm
Financing, though not as good as what a 100% legal business entity could get, is getting better and better!
“…We saved about 20 percent in costs on this major capital investment that we’re bringing in versus the prior tranche that we’ve done….”
https://www.sec.gov/Archives/edgar/data/1451512/000147793218001372/trtc_ex992.htm
details of 40 million financing.
"...7.5% Senior Convertible Promissory Note..."
https://www.sec.gov/Archives/edgar/data/1451512/000147793218001290/trtc_424b5.htm
more details…
https://www.terratechcorp.com/news-media/press-releases/detail/217/terra-tech-corp-provides-strategic-business-update-for-2018
* straight from the filings...
"...Global alliance Partners offering securities through Euro Pacific Capital Inc..."
http://www.globalalliancepartners.com/partners/
http://www.europac.com/
seems to be a major upgrade from dominion and magna. There in 26 countries and I noticed that global alliance has a partner in NY and one in San Fran specializing in "mergers & acquisitions / corporate advisory"
http://terracap.com/corporate-advisorymergers-acquisitions/
terracap is short for terranova capital and it is the california office for Global Alliance Partners.
business is blüming!!!
109,791,013 in shareholders equity... (end of Q2)
what does trtc have to show for their hard work and dedication???
not much, lol
TRTC Current Holdings and Activities - Updated 7/29/2018
** California Dispensaries
* Blüm/Oakland Dispensary, 578 West Grand Avenue, Oakland, CA 94612, Dispensary, Cultivation Facility, Operational, Owned
* Blüm/Santa Ana Dispensary, 2911 South Tech Center Drive, Santa Ana, CA 92705, Operational, Owned
* Blüm/San Leandro Dispensary, 1911 Fairway Dr., San Leandro, Ca 94577, Dispensary, Extraction Lab and Production Kitchen, Owned, "Opening very soon"
* Blüm/Carnegie, 1815 Carnegie Avenue, Santa Ana, CA 92705, Dispensary, In Phase 2 of licensing, Construction started, Owned
* Blüm/Dyer, 620 E Dyer, Santa Ana, CA 92705, Dispensary, In Phase 2 of licensing, Construction started, Owned
* The Healing Tree Collective, Inc, 3222 W. Pendleton Ave, Santa Ana, California 92704, Dispensary, Acquired 25% Ownership.
*** pursuing Blüm/West Hollywood Dispensary, apps filed for Dispensary, Consumption Area and Delivery Service - Licensing selection process underway.
** California Cultivation and Production
* Hegenberger, 30 Hegenberger Loop, Oakland, CA 94621, Greenhouse and Extraction Lab (13k sq. ft.), under construction (mid '18)
* 1815 Carnegie, 1815 Carnegie Avenue, Santa Ana, CA 92705, (30k sq. ft.), Owned, Licensed Dispensary, warehouse property, Phase 1 and Phase 2 application process for non-retail commercial cannabis businesses (distribution, cultivation, and/or manufacturing) began Monday, June 4, 2018. Phase 2 publicized list to be released shortly.
* 620 E Dyer, 620 E Dyer, Santa Ana, CA 92705, (41k + sq. ft.), Owned, Licensed Dispensary, warehouse property, Phase 1 and Phase 2 application process for non-retail commercial cannabis businesses (distribution, cultivation, and/or manufacturing) began Monday, June 4, 2018. Phase 2 publicized list to be released shortly.
* Panther Gap Farms, located in Honeydew, CA, up to (44k sq. ft.), lease agreement, Operational.
* The farm, Cultivar Inc., located in Salinas, CA, up to (244k sq. ft.), lease agreement, status unknown
** California Distribution
* Blüm Distribution, Inc., Oakland, CA 94612, status unknown
* Blüm Distribution I, Inc., Oakland, CA 94612, status unknown
Company commentary on California
** Nevada Dispensaries
* Blüm/Las Vegas Dispensary, 1130 Desert Inn Road, Las Vegas, NV 89109 (flagship), Operational, 98% Owned
* Blüm/Las Vegas Dispensary, 1921 Western Avenue, Las Vegas, NV 89102, Operational, 98% Owned, * Sale Pending
* Blüm/Las Vegas Dispensary, 3650 S Decatur, Las Vegas, NV 89103, Operational, 98% Owned
* Blüm/Reno Dispensary, 1085 South Virginia Street, Reno, Nevada 89502, Operational, 50% Owned
*** Stakeholder only additional licensing processes were June 13th-June 23rd, with another process for retail locations September 7th-September 20th. Both processes carry a regulatory 90 days to deny or approve.
** Nevada Cultivation and Production
* NuLeaf Sparks Cultivation, LLC, 859 Deming Way, Sparks, NV 89509, (30,000 sq. ft.) facility, Operational, Commencement of operations June 1st
* NuLeaf Reno Production, LLC, (15k sq. ft.), 50% partners, Operational
*** Future Cultivation and Lab operation located at 6585 W Gary Ave, Las Vegas, NV 89139, Licensed (1ea), non-operational
*** Future Greenhouse operation located at 200 Hawco Court #B, Sparks, NV 89441, (Spanish Springs), Licensed, non-operational, expected completion by late ‘18
*** Future facilities for the Production of Infused Products, 0 Pyramid Way, (Spanish Springs), Licensed, non-operational
Company commentary on Nevada
** New Jersey
* Hydroponic Cultivation Facility, - Operational (lettuce, herbs), (no marijuana authorized yet)
Company commentary on New Jersey
business is blüming!!!
A Big Dose of Reality
trtc positions for growth in California, Nevada and New Jersey
https://soundcloud.com/newcannabisventures/terra-tech-positions-for-growth-in-california-nevada-and-new-jersey
Investor Presentation - August 2018
https://www.terratechcorp.com/news-media/presentations
https://d1io3yog0oux5.cloudfront.net/_05e749e66192835355facbfdf0098d26/terratechcorp/db/224/433/pdf/Terra+Tech+Investor+Presentation+August+2018+Final.pdf
trtc reports Record Revenues for 2017
https://www.nasdaq.com/press-release/terra-tech-corp-reports-record-revenues-for-year-end-december-31-2017-20180316-00787
trtc #1 in Revenue:
https://www.newcannabisventures.com/cannabis-company-revenue-ranking/
blüm "The People’s Choice" voted the TOP Dispensary in both Nevada and California!!!
https://www.thecannabist.co/2018/01/31/best-dispensaries-budtenders-2017/97990/
trtc one of the Top Four California weed stocks
https://www.potnetwork.com/news/here-are-4-best-california-weed-stocks-smart-investors
trtc ranked #10 on the otcqx Best 50 Companies
http://web.otcmarkets.com/otcqx-best-50/
trtc listed as THE top "fastest-growing public companies: small companies"
business is blüming!!!
now that's some serious groundwork...
Shares Outstanding
2012 76.89 million
2013 99.04 million
2014 174.3 million
2015 240.19 million
2016 389.36 million
2017 46.07 million (adjusted)
2018 70.85 million (end of Q2), (8/6 - 72,189,614)
* Some serious shareholder equity was created building facilities, getting licenses and laying the ground work to dominate.
2013 99.04 million
Total Revenue 2,125,851
Total Liabilities and Stockholders’ Equity 4,040,585
https://www.sec.gov/Archives/edgar/data/1451512/000147793214001462/trtc_10k.htm
2014 174.3 million
Total Revenue 7,094,270
Total Liabilities and Stockholders’ Equity 7,719,226
https://www.sec.gov/Archives/edgar/data/1451512/000147793215001943/trtc_10k.htm
2015 240.19 million
Total Revenue 9,975,346
Total Liabilities and Stockholders’ Equity 9,165,039
https://www.sec.gov/Archives/edgar/data/1451512/000147793217001483/trtc_10k.htm
2016 389.36 million
Total revenue 25,327,764
Total Liabilities and Stockholders’ Equity 76,178,130
https://www.sec.gov/Archives/edgar/data/1451512/000147793217001483/trtc_10k.htm
2017 46.1 million
Total revenue 35,800,844
Total Liabilities and Stockholders’ Equity 98,187,799
https://www.sec.gov/Archives/edgar/data/1451512/000147793218001325/trtc_10k.htm
2018 68.7 million (end of Q2)
Total revenue 17,333,543 (end of Q2)
Total Liabilities and Stockholders’ Equity 109,791,013 (end of Q2)
https://www.sec.gov/Archives/edgar/data/1451512/000147793218003910/trtc_10q.htm
business is blüming!!!
Skating to where the puck is going
DP on Cali...
“We expect to achieve a footprint within California markets throughout 2018 that allows for us to produce 20,000 pounds of product per year of cannabis. In Oakland, let’s start there, we’re currently constructing a 13,000-square-foot cultivation facility. That will be coming online later this year. That facility, in and of itself is gonna have the ability to produce one metric ton of cannabis per year. We received a provisional cultivation permit in Q2 2017 and expect to be fully operational by mid-2018.
This location will obviously supply our Bloom Oakland dispensary, which has been operated by us since April 2016 after we acquired it, and we’ve got a great location. There, again, we’re seeing about a thousand patients a day out of our retail footprint in the Oakland marketplace. And this will, again, feed the IVXX brand through multiple stores, but it’ll be a great driver of product with low margins through our retail footprint in Oakland, California.
Santa Ana, as you know, we acquired a dispensary there. The fourth quarter was full first quarter revenues for us out the of Santa Ana location. We’ve got great brand recognition down here in the Southern California marketplace. I think people have been waiting for the Bloom and the IVXX brand to arrive in SoCal for some times. Santa Ana has created a great platform for us to be able to build a significant business down here. They’ve taken a spot leadership standpoint to be the Southern California hub for cannabis activities.”
“on February 1st, we submitted applications to open two additional retail dispensaries in Santa Ana, and we expect the city to announce whether these are approved in the next couple of months. In San Leandro for some of the new people joining the call, we’ve been contracting a new Bloom dispensary, as well as an extraction facility, laboratory, and commercial kitchen.
That is currently underway. They’re gonna open up a different time. The retail facility will open up some time in May, and then we’re thinking the latter part of Q2, early Q3 for the extraction in the facility to go along with that. We think those are gonna be great facilities for us, but we’ll start to see some revenue being driven out of the retail position, we’re hoping sometime in May depending on the local and state licensing”
“…in California, we have our Oakland retail dispensary; we have our Santa Ana retail dispensary, and we have our San Leandro retail dispensary that we’re gonna be opening up here in the not too distant future. But in condition to that, we have the large-scale cultivation facility that we’re building in Oakland right now. We have the onsite cultivation facility that’s part of our Oakland campus. It’s not gigantic, but it produces a couple million dollars of produce on an annual basis. That facility has been in operation for some time now.
But in addition to that, we’ve just purchased a large-scale facility down here in Santa Ana California. We bought an 11.5-million-dollar campus in Santa Ana, where we applied for new retail permits. And as soon as they open up the opportunity to apply for additional cultivation and extraction permits, we’re going to hopefully be building out a large-scale complex and campus down here in Southern California that will house extraction and cultivation, as well as an unbelievably located retail storefront on an very major busy intersection for us here in the Santa Ana marketplace.
So we acquired 44,000-square-feet on three acres, and we’re going through the permitting process there right now. And, again, that’ll be another use of capital over the next year and a half to build all these facilities out, so that we can obviously expand our cultivation and footprint our extraction footprint and be able to have enough product out there to service our existing retail footprint, but also to have a strong wholesale presence in the marketplace throughout California.”
https://www.sec.gov/Archives/edgar/data/1451512/000147793218001372/trtc_ex992.htm
DP on Nevada...
“…in Nevada, we’ve got four retail dispensaries, three in Las Vegas, one in the Reno marketplace. We’ve just finished a 30,000-square-foot cultivation facility, and we’ve got a 15,000-square-foot extraction lab to produce the concentrates, oil lines, and those types of things for the Nevada marketplace. Again, not only for our stores, and New Leaf stores, but also for all the retail storefronts in multiple marketplaces throughout Nevada.
There’s the potential that they’re gonna issue additional permits in Nevada for additional retail locations. We’re not sure what’s going to happen with that just yet, but we do know for certain they’re only going to issue those permits to existing owners of retail dispensaries, so we’ll be able to maintain our market saturation and avoid outside competition from new players coming in and eroding our market share.
We are also planning and building one of our other cultivation permits that we won in Spanish Springs, so not too far away from the existing cultivation facility. We’re in planning and design right now for the construction of a one-acre greenhouse facility. Again, the benefits of greenhouse cultivation is the cost to productions are a lot cheaper. It provides a tremendous amount of feedstock for our traction line so we can produce more edibles and concentrates, and those types of things for the Nevada marketplace as well. So that’s our current footprint and our expanding footprint coming up over the next year and a half there as well.”
https://www.sec.gov/Archives/edgar/data/1451512/000147793218001372/trtc_ex992.htm
DP on New Jersey...
“So where have we spent our money, and where are we going to spend our money? So in New Jersey, for example, we built ourselves a significant footprint across the country. I just want to kind of itemize that because I know we have a lot of new shareholders on the call. We went from 50,000 to 115,000 over the course of a little over a year. So I want to make sure everybody understands what kind of our geographic footprint right now looks like.
So we’ve got a 250,000-square-foot fully glass, fully automated cultivation facility in New Jersey that we grow produce. Again, our intention there is to open up retail dispensaries in New Jersey. Obviously, a big cultivation and extraction backbone on our facilities back there, leverage our current infrastructure, and reduce our time to market. So our hope is opening up multiple retail dispensaries, and obviously having the cultivation extraction backbone utilizing the existing footprint we have in the New Jersey marketplace.”
"...even more so as we work in Nevada on the legislation, the regulatory environment that’s shifting over there now with Chris Christie out, and the entering of Governor Murphy that’s made it a significant stand on his campaign to legalize adult use cannabis in New Jersey. So, first and foremost, the first thing they’re going to do is expand, rapidly, the medical program by the issuance of additional licenses and cultivation extraction in retail."
"...While that’s happening, the secondary approach is to get some framework for regulation around adult use within the state. The beauty of us is we have existing infrastructures that we’ve set back there. We have corporate offices. We have HR. We have admin. We obviously have the Capex of the facility that we built back there. The pack house could come in to potentially host an extraction facility."
"So at the end of the day, we’re relatively ramped up to semblance of first mover advantage for a second round here, and we’re working heavily right now lobbying to guide the regulations to make sure that we have the ability to produce that product at the New Jersey facility. Financing and reverse split. So as many of you see, we’ve got lots of opportunity to build our business in multiple markets..."
https://www.sec.gov/Archives/edgar/data/1451512/000147793218001372/trtc_ex992.htm
business is blüming!!!
growing concerns...
https://mjbizdaily.com/marijuana-growers-stare-down-costly-burgeoning-environmental-regulations/
business is blüming!!!
Hot, Red Hot
"...which projects recreational sales will reach $500 million-$600 million in calendar year 2018..."
https://mjbizdaily.com/red-hot-nevada-marijuana-market-exceeds-half-billion-dollars-for-fiscal-year/
business is blüming!!!
Here is full transcript Q2 2018
EX-99.2 3 trtc_ex992.htm TRANSCRIPT OF INTERVIEW
EXHIBIT 99.2
Terra Tech Corp. (OTCQX:TRTC) Q2 2018 Earnings Conference Call August 9, 2018 4:30 PM ET
Executives
Philip Carlson – Investor Relations
Derek Peterson – Chairman and Chief Executive Officer
Mike James – Chief Financial Officer
Analysts
Philip Carlson
Good afternoon and welcome to Terra Tech’s Fiscal Second Quarter 2018 Financial Results Conference Call. A replay of this call will be available at www.smallcapvoice.com and it will be archived on the Investors Relations section of the Terra Tech website.
Before we begin, please let me remind you that during the course of this conference call, Terra Tech’s management may make forward-looking statements. These forward-looking statements are based on current expectations that are subject to a number of risks and uncertainties that may cause actual results to differ materially from expectations.
These risks are outlined in the risk factors section of the SEC filings. Any forward-looking statements should be considered in light of these factors. Please also note, as a Safe Harbor, any outlook we present is as of today and management does not undertake any obligation to revise any forward-looking statements in the future.
With me on the call today are Mr. Derek Peterson, Terra Tech’s Chairman and Chief Executive Officer and Mr. Mike James, Chief Financial Officer.
With that, I would now like to hand the call over to Derek. Derek, please go ahead.
1
Derek Peterson
Hey Phil, thank you very much for the introduction, I appreciate it and welcome everybody and thank you for joining us today on our 2018 Q2 reports.
Today on the call with me, I have Mike James, our CFO, a little bit later on the call, he’s going to do a little bit of a deeper dive on the financial results. Right now, I kind of want to basically use this time to discuss the operational progress we’ve made so far this year.
So, Q2 2018 recap, I know the press release just came out, the EDGAR filing just came out. During the second quarter of fiscal 2018, we’ve focused on primarily obviously top-line growth and revenue, but investing and build out an infrastructure to support our longer-term growth strategy. Sales were mainly driven by strong performance at our Nevada dispensaries as well as sales for our Blüm, Santa Ana dispensary in Southern California. That’s the one we acquired back in September of 2017. Both of our California, Nevada retail dispensaries, continue to ramp sales to the adult-use markets.
A quick summary of the sales results, $8.7 million in top-line revenue for Q2. This was an 11% increase compared to the same quarter of the prior year and also as you read through you’ll see as promised prior, we’ve been focusing extensively on gross margin expansion. So, we’ve seen gross margin improvement over the same quarter in the prior year, but also over the same quarter – obviously, over the quarter – the prior quarter that we reported in Q1.
So in today’s call, I want to talk mainly about our investments and building out our infrastructure. We’ve made a meaningful progress since our last quarterly call, and as a reminder, we’re building a vertically-integrated seed-to-sale cannabis business that dominates key candidates markets within the U.S., focused primarily on California, Nevada and also in New Jersey. We’ve got our organic and locally grown produce, as you know back in New Jersey and we’re trying to leverage that asset, net infrastructure to go for the new New Jersey permits that are coming up here in a very short timeframe.
What I normally like to do, because we have a lot of new shareholders that join the company pretty frequently. I want to go over a geographical footprint of what our current infrastructure is, I want to talk a little bit about some of the work in progress permits that we have. I obviously want to talk about some of our strategic things that we have going on and some of our plans for the upcoming 12 to 18 months on a go-forward basis. So, why don’t we start kind of geographically in California, we’ll jump over to Nevada, I’ll finish off with New Jersey from there.
So starting in Northern California working south, as many of you know, we have a retail dispensary in downtown Oakland and that was our first acquisition that was the first vertically integrated publicly traded cannabis company in the country that was actually touching the plan. That retail facility is doing very well for us, a lot of activity out there, we see 800 to 1000 patients a day. So that was a very accretive transaction for the company. Also we have an onsite cultivation up there, it’s about 130, 140 life, it’s not a giant infrastructure, we tore that one down several months ago to recondition it for the new regulations that California implemented. We had to make sure everything was up to code in there.
2
And so we’ve done a rehab on that, we’ll be lighting that infrastructure back up in the next couple of months, and we’re basically using that footprint to just grow a handful of unique proprietary strains that we think that they’ll really enjoy up in the Bay Area that will service that retail footprint. In addition to that, migrating a little bit south of their San Leandro, which is about 45 minutes, 30 minutes south of Oakland. They’ve issued three permits; there are no dispensaries have opened there. Our anticipation was we’re closing out construction. We’re working with the city. We hope to get our final permits signed off on.
I don’t want to give an exact timeframe, because so much that is in the hands of the government in terms of when they passed off on the final sign-offs on the property in the use, but everything is tracking really well for us there, and we think we’ll be open in the beginning part of Q4 and we think will be the first dispensary open in San Leandro, even though others got a head start on us in the permitting process there.
So we’re really excited about that location, it’s right off on the freeway, very convenient parking, it’s a good location, it’s located proximate to a little Mexican restaurant for those in the Bay Area and they were lumping out it very well. it’s been there forever and it’s very high traffic. So, we’re going to be able to work out their traffic flow, do some partnerships and that type of thing to attract consumer base to that location as we’d ramp up into our grand opening. I put out some estimates before; I think that’s going to be a healthy location for us to drive top-line revenue in margin expansion for us for the company as a whole.
Coming south for – in addition in San Leandro, we also have an extraction lab that will be opening up, that will likely – for the Q1 of next year, that will be an additional Northern California footprint to increase our extraction footprint for the company for the production of a handful of extra concentrate lines and beverage lines, and some edible lines that we’re going to be pushing out into the wholesale market in California as well. Migrating south from there and Santa Ana as you know, we’ve acquired – we acquired a retail dispensary. We then took that retail dispensary and leverage that relationship in that permit for a first mover advantage in this last round of permitting that we just had.
So for those of you that aren’t aware, we applied for three additional retail facilities, two that were wholly owned and there was the third one, which was a group that was going for a retail permit in the area, but they’ve lacked a history of operation in the industry, which was something that they gave additional points for. So, we partnered up to them with very little consideration out of our pocket, got 25% of the permit. We also won that permit. So, we had a clean suite in the Santa Ana marketplace. So, now we actually have ownership of three wholly owned retail permits and one 25% interest in additional permits in the Santa Ana marketplace.
3
In addition to that as you know, we purchased two buildings in the Santa Ana market, one of them on Dyer Road and one of them are Carnegie servicing, two entirely different demographics in the Santa Ana marketplace. Those facilities will also be permitted up for cultivation extraction as well as distribution. Those three additional permits of each one of those locations will not be merit based, they’re going to be giving those out by zoning, in those properties that we secure need the zoning parameters in the city and as long as we pass the background checks, which we obviously do for retail, we’ll be able to pay for up each one of those facilities with a full suite of permits being distribution, cultivation, extraction and we already have the retail.
So, tremendous amount of value and having that vertical integration at one location for those two separate spots. The partnership permit that we secured for the 25%, that’s strictly retail, as far as that’s concerned. So, we really parlay that acquisition into tremendous success from a permitting standpoint and great expansion throughout the Santa Ana marketplace. One of the reasons we went so aggressive in Santa Ana is because all the surrounding cities: Irvine, Laguna Beach, Newport Beach, you name it, there are so many of them that aren’t permeating retail dispensaries or any candidate business in and of themselves, and they might not do it for probably a couple – few years, it’s a huge opportunity for us to build out significant Southern California presence in service those extra demographics to the delivery model and that type of things.
So, Santa Ana for those of you that don’t know is really conveniently located, what they call like the Orange crush area, which is essentially where the 405 Freeway 57, 55 in the five Freeway, all essentially intersect. So, you can’t really get to the beach, you can’t really get to anywhere in Southern California without at least crossing by a border of Santa Ana, which is what makes those permits and real estate so valuable for us. So, we’re going to begin that building out, the Dyer property, we’re building out is a large scale commercial complex, it’s a 45,000 square foot building on three acres.
We’re doing a couple things. We’re expanding that footprint up to a little bit over 50,000 square feet for the extra permit, and we’re going to be again, developing a vertically integrated facility at that location. but at the same time, we’re going to be using that three-acre parcel for an event center. One of the things the industry lacks in general is the ability to host events in the broad community. So, we’re talking utilization of this property for summer concert series, drive in, movie nights, cannabis festivals, farmers’ markets, you name it. We’re going to be working heavily towards developing this property to become a destination area, which again is the differentiation for that location versus the competition. That’s in the local area.
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The Carnegie location, we’re in a kind of internal debate that we need that redundancy or do we want to leverage that and put that back out in the market and sell that to somebody, and monetize it significantly to bring in the capital of the company. So, I’m going to talk a little bit towards the end of this call about some strategy things that we’re putting in place that will allow the company to raise additional capital to build out their – our portfolio without having to go back to the capital markets, because everybody’s concerned ourselves included about ongoing dilution and we might have some ways to creatively maneuver around that using our core competencies.
So that’s Santa Ana, we’re going to have a giant Southern California presence down here. We’re pretty excited about that opportunity. In addition to that we submitted an application into West Hollywood, we don’t have a definitive timeline of when that will be notified, we apply for a retail dispensary as well as a social lounge for cannabis consumption.
Our anticipation is that we find out likely some time in the next 30 to 60 days, but we’re going to keep close watch on that, it was a very competitive environment. We’ll obviously be thrilled if we’re able to get a footprint up in the West Hollywood area. We think that will be a very accretive asset for the company. if not obviously, we’re doing a shotgun approach to organic permitting. As I said on the last call, we’ve backed off a little bit from the M&A strategy, because the valuations are getting a little bit off the charts and went back to the organic permitting model just because to acquire an organic permit you’re talking a few hundred thousand dollars of time, effort, energy and capital versus spending millions of dollars in the associated dilution that goes along with that triple tier something to the M&A process.
So far, we’ve had tremendous success for permitting in general, for those of you that don’t know, we’ve won a 100% of the permits that we’ve gone through in every jurisdiction. So, that’s a tremendous track record. We’re thrilled with that and we want to leverage that core competency in the future for other opportunities.
Let’s jump over to Nevada. We have four retail dispensaries in Nevada. We have one up in Reno and three around Las Vegas. We have a 30,000 square foot cultivation facility up in Reno marketplace that we have in joint venture with NuLeaf, which is another retail and wholesale chain up in the Nevada marketplace, we have a great relationship. The beauty of this for those of you that weren’t part of the company or as a shareholder back in the day, it was a tremendous leveraging point for us, where we were able to basically push aside our organic build, and do an investment with these guys and get a bigger footprint for less capital than we would have spent building our organic greenfield build, and then we got speed to market obviously, because they were way ahead of the curve.
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So, the relationship worked out great. We hope and anticipate opening up the extraction facility that we did in combination with the 30,000 square foot cultivation in the next couple of months, waiting on final permitting and final construction on that as well. and then obviously that will be the catalyst to introduce the idea to expand in some other wholesale brands into the Nevada marketplace. The beauty of the relationship with the NuLeaf team is they have two wonderfully successful retail locations, one in Las Vegas, and one up in Taho that we’re able to leverage for the pushing of our wholesale product to their shelf space as well. So, it’s a great partnership that we’re delighted now and it’s been working out very well for us.
For those of you that didn’t see, we entered a contract to sell our western location for about a $6.25 million, and I want to give the narrative behind that. When you open up retail shops, I don’t care if there are pizza shops, donut shops, sandwich shops, candidate shops, you have great performers, you have poor performers. You have the same mix of products, the same SOPs, the same sales strategies, but it’s location, location, location, that particular street is a bit challenging to get to in and of itself. but in addition to that, we had a tremendous amount of competition that’s opened up on that street.
So, sales aren’t where we want them to be and we have about $1.4 million of CapEx into that facility. So, we’ve figured what a great opportunity. We’ve got another round of permitting opening up right now in the Nevada marketplace. So, we’re able to go after additional retail permits, which we are and based upon our track record and our success last time, we feel extremely confident, we’re going to be able to secure additional retail permits and multiple markets throughout Nevada to replace this one. So for us, it was a great opportunity to capitalize on those extreme valuations that are taking place, bring a tremendous amount of non-dilutive capital of the company that we can use to build out of the projects without having to go back to the capital markets.
So, leveraging a core competency to create capital to build out other more accretive opportunities for the company. So, that’s a primary focus and I’m going to dig a little bit deeper into that a little bit later on into the call. So that was the narrative behind in that transaction, we think we’ll be able to replace that with a better location in the next round of permitting, which is opening up – on September 1. So, we’re pretty excited to have an answer back on that I don’t know. 60 days or so, they’re pretty efficient when they’re going to that process like they were last time. So, we’ll keep everybody posted on the permitting progress throughout the Nevada marketplace, the West Hollywood marketplaces and all the other jurisdictions that we’re going after.
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In addition to that, let’s jump over to New Jersey. As you know, we run a five-acre greenhouse factor that we grow produce, that produce is under the Edible Garden banner, where we sell that produce through ShopRite, D'Agostino's, Fairway, Stop & Shop, Walmart, those types of major retail footprints. And we’re excited about the growth of that. We’ve been building out a larger scale pack – house pack there to accommodate some additional line segments that we want to introduce into that retail footprint.
We’ve had no business interruption back there and a matter of fact; we’ve seen an uptick in business, back there since we’ve had the separation with the San Breed family. So, I know that’s probably a question on some people’s mind. So, steady as she goes as far as the Edible Garden brand, and again, we’re now at that point, we’re going to leverage that infrastructure that long-term reputation that we have in the state just hopefully secure a permit in the New Jersey marketplace and one of the vertically-integrated permits that they’re opening up right now.
So, that permitting process opened up in August 1, we anticipate and they telegraphed that they’ll announce the winner on November 1. Our CFO Mike James, this morning was in a mandatory meeting in Trenton, New Jersey, that mandatory meeting had well over a 1000 people out. So, it’s going to be a pretty competitive environment, but not something we’re certainly unused to.
So, we are going to essentially be going for a vertically-integrated permit there, which will cover extraction cultivation and a retail footprint. We’re trying to secure property right now. more importantly than that, you have to put together significant team, local ownership, people that have type in the medical industry, that type of thing. So, we spend a lot of our energy putting together a framework that we think we’ll ultimately result in a competitive application for the company. So, we’ll keep you posted on the progress as we go through the New Jersey applications as well. But again, this reiterates what I said last quarter, we’re really migrating right now away from M&A, because of the high valuations and we don’t want the dilution associated with that. Going back to our core competency of organic permitting, where we have 100% success record, shown again in Santa Ana, where we have a 100% clean sweep through every permit that we went for and we want to reiterate that multiple marketplaces that we’re interested in working in.
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So, I want to finish with the strategic investment ideology that we kind of developed as a board. So, one of the things that I think has been frustrating for everybody, ourselves included, because again, we’ve converted all of our preferred shares to common shares, the entire corporate team is on the same level playing field with our shareholder base, the people that are on the call listening any blabber today.
That being said, we want to make sure that we take the most accretive direction with the company’s footprint and returns, the best return for our shareholders at the end of day ourselves included. So, one of the things that we’ve made kind of a bit of a business objective is there’s a two-pronged approach to the utilization of our capital and resources.
We’re looking at strategic investments outside the company. There’s a lot of go public events. There’s a lot of opportunities with these other companies that are called by competitors to us that are getting these extreme valuations up in the Canada. So, we are constantly looking to potentially deploy some capital and some accretive opportunities, where we could turn $1 to something far greater than $1, use that increase to again, fund our own organic growth, maybe even some M&A and our infrastructure CapEx and OpEx.
So, that’s one of the things that we are going to attempt to do is to leverage our resources that the access to deal flow that we have being a leader in the space. The fact that we were a bit of a pioneer in the first publicly traded company in the space and have done a tremendous amount of the heavy lifting. We’ve got I think a broad respect out there for the industry at large and we’re going to utilize that position in the marketplace to better leverage ourselves and utilize those resources to again, get a better return on our capital to create non-dilutive capital for the building of our business rather than having to constantly go back to the capital markets.
In addition to that, because we have such great success in the permitting process, what our focus is now is to go for additional permits and markets that we’re already going after permits for. So, our intention is to secure three permits and let’s say, Nevada. We’re going to go for four, and hopefully, we’ll take that four for – that four is for successful, and we’ll flip that and sell that out to somebody else, utilize that capital to again further our business objectives and organic growth.
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So, if you think about it, somebody is going to get that permit any ways. They’re going to compete against us any ways. If we have oversaturation in the marketplace with our Blüm retail brand, there is no sense in opening up an additional location to cannibalize our own footprint. So, let’s use our core competency to go after additional suites of permits and raise additional millions of dollars for the utilization of building out our other organic footprint. And that’s one of the things we’re thinking about doing at the Carnegie building and Santa Ana that we’ve purchased for $7.5 billion. We’ve got a $10.9 million offer on that property right now.
So again, we are – we’re going to start floating some of these opportunities out there for redundant permits and utilize those gains in that cash flow to build up our own infrastructure, again, without having a return back to the capital markets for everybody. And that will hopefully really put a dent in the amount of times we need to go back and issue shares to raise capital and/or increase the bandwidth of opportunities that were allowed to go after.
So, that’s a key focus of the companies right now. You’ll start to probably see some activity over the next 60 days around this. Again, we want to leverage that core competency that we have from a permitting standpoint, a success record that we had to bring in non-dilutive capital for the company to manage and maintain our growth objectives.
So with that, let me take this time – we’re going to – I always love the question-and-answer period. I want to leave some time available at the end of the call for that. I’m going to turn the call over to Mike James, our Chief Financial Officer to do a deeper dive into financial results for Q2 2018.
Mike James
Thank you, Derek. Good afternoon everyone. I will now provide you with a summary of our second quarter 2018 results. For the more detailed results, please refer to the press release we issued earlier today, which is posted on our website along with the Form 10-Q filed with the Securities and Exchange Commission. In addition, please note that while we compile our financials on the U.S. GAAP including non-operating expenses.
For the three months ended June 30, 2018, we generated revenues of $8.72 million, compared to $7.84 for the three months ended June 30, 2017, an increase of $880,000 or 11.2%. The increase was primarily due to $2.43 million, higher revenues generated from the Nevada MediFarm dispensaries primarily due to the implementation of adult use sales in July 2017. $450,000 in revenues generated by MediFarm So Cal which started operations in September 2017.
A $930,000 revenue decrease in IVXX revenues as we are in the process to be locating the IVXX production facilities to an upgraded facility that will allow for an increase in production and achieve greater distribution throughout California. Project completion is estimated to be in the fourth quarter of 2018 and an $820,000 decrease in Black Oak Gallery revenues resulting from higher California state excise tax rates affected January 1, 2018, which negatively impacted demand and a $210,000 decrease in revenues from Edible Garden.
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Our gross profits for the three months ended June 30, 2018 was $2.21 million compared to a gross profit of $1.51 million for the three months ended June 30, 2017, an increase of approximately $700,000. A gross profit margin percentage for the three months ended June 30, 2018 was $25.3 million, compared to $19.2 million for the three months ended June 30, 2017.
The increase was primarily attributable to the cannabis segment as we reported higher revenues related to our fixed overhead costs.
Selling, general and administrative expenses for three months ended June 30, 2018 were $8 million, compared to $6.03 million for the three months ended June 30, 2017, an increase of $1.97 million or 32.7%.
The increase was primarily due to a $930,000 increase in salaries and related payroll taxes due to new hires in the compliance department and overall headcount increases, a $590,000 increase in stock compensation related to employees bonuses and a $350,000 increase in other professional fees related to outside consultants implementing new accounting systems.
We realized an operating loss of $5.79 million for the three months ended June 30, 2018, compared to an operating loss of $4.52 million for the three months ended June 30, 2017, an increase of approximately $1.27 million or 28.1%. We incurred a net loss of $11.43 million or $0.17 per share for the three months ended June 30, 2018, compared to a net loss of $450,000 or $0.01 for the three months ended June 30, 2017.
Management will continue its efforts to lowering operating expenses and increased revenue. We continue to invest in further expanding our operations and a comprehensive marketing campaign with the goal of accelerating the education of potential clients and promoting our name in our products. Given the fact that most of the operating expenses are fixed or have a fixed character we expect that as revenues increase, our expenses as a percentage of revenues will significantly decrease.
Now turning to the balance sheet. On June 30, 2018, we had a cash balance of approximately $5.2 million, compared to a cash balance of approximately $5.4 million at December 31, 2017. We had no short-term debt as of June 30, 2018. Long-term debt increased from approximately $6.6 million to approximately $12.8 million during the three months ended June 30, 2018.
Stockholders’ equity for the second quarter 2018 amounted to approximately $91 million, compared to $76.8 million as of December 31, 2017. As of August 9, 2018, the company received $15 million under its $40 million line of credit commitment.
Now, I’d like to turn the call back over to Derek for some closing comments.
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Derek Peterson
Hey, Mike. And before I come to the closing comments and questions, I want to touch on a couple of things real quick, some of you have probably read some articles about the California regulatory environment. I wanted to touch on that a little bit. So when we – prior to the changeover in California regulations as many of you know for 20 years, California had a very loose framework around how it conducted cannabis activities on the medical side, and it was almost kind of quasi recreational if you will, because if you had a sore foot, you could well get a medical card.
So, when the regulation came on, come January and February, it was this weird time, where a lot of the people weren’t licensed in the turn of the year. So, a lot of the wholesalers and the brands were unable to secure their licenses, so instead of selling to the regulated market, they were continuing to sell the old market if you will. there were some retailers that were not yet licensed, then they were still selling to – under the old market without having a heavy tax burden. There were companies like ours that were – have their act together and that’s a turn of the year, had all their licensing in place.
The problem was as our shelves were bare for a period of time. So, where we had 75 or 100 products whatever they happen to be, in December of last year, when we turned January, we probably had 1/10th of that if that. So, with this weird kind of period of time, where the dance party was over, but there were in a lot of partners to dance with. and so that created some know hits the sales that hurt margins across the board, plus the regulatory hurdles and bandwidth challenges associated and the costs associated with getting license.
Things are beginning to equalize now. There’s a lot of the wholesale brands that now have their licensing together. the skews available for a retailer are much broader at this point. and now there’s an excuse to come into these stores versus the gray market, black market stores that had a better breath of products come to the churn of the year without the tax burdens associated with them.
And so the heavy regulatory burden put it – really put a strain on the companies that were trying to do things right unfortunately. but again, that’s one of the byproducts of regulation in general and you got to weather your way through it. So, the impact that we thought would happen from recreational sales come January just didn’t happen, and it didn’t happen for almost every player out there, and I think MJ Business Daily just wrote an article about the strength that a lot of these companies have incurred during the change over timeframe, partly because nobody knew who they were able to do business with, we’re at the product available, people aren’t passing testing at this point. there’s product recalls, there are some shortages in the market around certain skews and that’s just again something that’s going to begin to continue to equalize, where we’re at today.
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there’s plenty of skews that business is beginning to equalize. enforcement activities are starting to take place against non-compliant operators, not as aggressively as we’d like, but we’re putting amidst a tremendous amount of pressure back on the regulatory bodies to crack down on the gray market operators, so that they don’t continue to erode. I think there’s a lot of upside left in California, especially when the business begins to migrate away from the gray market into the regulated market.
Again, one of the problems has been is the layering of the tax burden, but consumers are starting to understand the difference between gray market product and regulated product, and the biggest difference obviously is safety. And you can’t really put a price on that. So, the industry is trying to collectively get together to put do a better job in explaining to the market at large that what you’re smoking or what you’re consuming on the gray market, could really be harmful to you in a pretty drastic way, and what’s it worth you to pay a premium, it’s basically the whole organic produce model, there’s a reason that people paid a premium for organic and it’s because of the potential health benefit.
So, we’re trying to change the culture a little bit, but things are beginning to equalize, we feel comfortable where we sit right now. but it was a rocky Q1 and Q2 in the California marketplace for almost all the players. In addition to that, we commented in a lot of infrastructure to build. I did leave one thing out, I generally don’t go off our script on these things as you can probably tell, I’d like to speak a little bit more freely, but we do have a 13,000 square foot cultivation facility up in Oakland that’s coming online in the next couple months. that’s going to be a pretty accretive opportunity for the company. if you think about our company for the $35 million, the $36 million that we did last year, most of that was retail derived at the end of the day.
So, we’ve been pretty much a pure retail play and now we’re building our manufacturing infrastructure into the retail footprint. We’re going to continue to grow the retail footprint, but most of the product that we purchased is coming from the wholesale market and with the Dyer property, with the Hegenberger property, with 130 lights coming online at the onsite grow, plus the extraction facilities we’re going to be able to accommodate close to 50% of our own product from our own footprint.
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the margin expansion that we’re going to anticipate associated with that should be significant and severe we’re pretty excited about the opportunity to ramp that up. We’re obviously also going to use that infrastructure for this continued development of our wholesale brand and to push that product out into the open marketplace. but again, the lowest hanging fruit for us is to utilize as much of that product as possible to push through our own retail channel for the margin expansion.
And it give me kind of an understanding of that, wholesale flour right now ranges anywhere from say, 1,800 to 3,000 for really good teak providers a pound. the cost of cultivation should be about 600 or 700 a pound for indoor cultivation, greenhouse 300, outdoor 100 in change. So, there’s a significant opportunity for us to get massive gross margin expansion once we light these facilities up, we’re excited about the one in Nevada coming online, the 30,000 square foot one, the extraction facility will be online in the not-too-distant future and over the next 12 to 16, 18 months, we’re going to start lighting up all this infrastructure.
the first being the onsite grow at Blüm in Hegenberger to support the retail footprint and then of course, the Dyer property and the extraction facilities coming on the tail end of that too, again add additional products for our seed-to-sale vertical integration strategy. So, we should see great gross margin improvement just organically off the permitted footprint that we have right not notwithstanding any other permits that we get organically or potential acquisitions that may take place.
So, our investment and infrastructure both on the retail and cultivation sides of the business, that’s really what’s going to enable us to maintain our position as one of the largest players in the market right now.
So with that, I’d like to turn this back over to Phil for some question and answers. And then we’ll have some parting comments.
Question-and-Answer Session
Q - Philip Carlson
All right. First question, what is the current status of construction and expected opening dates for the ongoing expansions, including San Leandro, [indiscernible] Oakland, Hegenberger, Santa Ana locations, new lease production of partnership and The Healing Tree Collective partnership locations.
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Derek Peterson
Gee, that’s a lot of stuff still. I’m going to – I’m going to – I’m going to back away from giving exact timeline, because I know what our construction timelines are with the buffer. What I don’t know is when I have a finished facility and I go back to the city to get that stamped up for final permitting depending on what their backlogs are, that can run anywhere from two weeks to two months. So, that’s the reason I hesitate. That’s one of the reasons we didn’t forecast for this year, because I can’t really effectively build a model based upon what our activities are when there’s a – let’s say an impediment between us and the finish line, being the final approval process. So, I gave you some roughs to ride the Hegenberger, the San Leandro opportunities, we see coming in a very short period of time and those again, should be relatively accretive for the company. The Dyer projects were at the very beginning stages again, we just received a retail permit for that, we should be getting the cultivation and extraction and distribution permits within the next 45 days.
Once those are in hand, we can completely start to develop the architectural and engineering drawings, take it out for bid, hire the company, get hold of permits, and start the construction process. Obviously, we’ll finish the retail first. Those would generally take us about six months to build out. So the reality is we’ll open up the retail while we’re still building out the rest of the infrastructure and then the final piece will be the Event Center once the rest of the constructions done.
So, I’m a little bit hesitant to give a timeline on that after the gauges, because we’re at such a beginning stage on that. But that one’s in our backyard and we can manage that one pretty effectively. So, we think that the retail will be open and I would say in the next say, nine months, at worst case scenario, we’ve already gutted the entire building proactively on spec that we would win these permits, so that was an investment well spent. So, we have a blank canvas to start from at this point and literally once we receive all the go aheads we can start construction immediately at this point.
So, I’ll make sure, we do a really good job on upcoming calls and through the press releases of getting investors updates on these projects as time goes on. I think we can probably do a little bit of a better job on that. So, I’ll commit to doing that on a more frequent basis, so people can understand what projects are at what point at any given time.
Philip Carlson
Okay. Next question, what’s going on with the [indiscernible] lawsuit, is there a set date or any idea of when we will know the outcome?
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Derek Peterson
Yes. I’m just going to refer people back to the court filings in the court calendar on that. I really don’t want to speculate outside of that again. The company feels very firm in its stance on what took place. We feel very confident in our position with our legal matters, and I owe it to our shareholders to make sure that we recoup and refoot what the damage that has been done. So, that’s my objective on that is to make sure that I protect the 100 something thousand shareholders that have put our – they have trust in us, and we’re going to work aggressively to do that.
Philip Carlson
Okay. When can we really expect Congress to actually vote on pending hemp, Marijuana CBD bills that are before them?
Mike James
How about all the bills, right? And so on the House side, we still have Pete Sessions it’s blocking a lot of this stuff that’s going through. We’re going to see some introduction on the Senate side. I feel very confident that something is going to happen at the federal level. The Pandora’s Boxes, the lid has been broken off at this point from my purview. We’re getting too much bipartisan support. The polling has just catapulted and steam rolled over everybody and its political suites not to support at this point. However, 2020 is around the corner, and we’ve got a lot at stake for the Republicans and for the Democrats, right, they’re all trying to protect their footing on the House and the Senate at this point.
So, I don’t think anything major is going to happen between now and then. I think there will be a ton of dialogue. I think there will be a ton of acceptance. I think we’ll see a narrative beginning to develop even further than it already has, but I don’t think we’re going to see any concrete laws or anything like that. Maybe on the CBD side, maybe on the hemp side and that type of thing we might see some concessions early on, because it’s not as say, a pivotal of a stance to take if you will. But I don’t think we’re going to see any legalization happened until at least the 2020 elections are behind us.
Sorry, I hope I’m wrong, but that’s kind of what we’re building for engaging. For which again is fine, if you see the consolidation that’s taking place up in Canada and some of the big companies that are coming in, that’s what I had said years ago, but I thought would happen, I always said I thought the alcohol industry would be the best bedfellow and now we see that coming to fruition, it’s just happening in the geography just north of us unfortunately. But the fortunate part is, it still gives us time to build out our brands in our infrastructure. I’m not ready for them to come in and start making acquisitions and investments at this point. I don’t feel well footed and well heeled enough at this point, 12 months, 24 months absolutely; I think will be where we need us to be at that point. So again, it’s a bit of a double edged shot as much as I want that to happen, I’m happy with the timeframe that’s still out that it gives us a bit of an incubated biometric continue to build our footprint out.
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Philip Carlson
Okay. Next question, can you give us an idea the gross profit percentage expansion you expect once the cultivation centers are fully operational?
Derek Peterson
That would be a back-of-the-napkin; you do not want to see my back-of-the-napkin calculation. So, I will work on that, we’ll work on that. So, we can kind of put some of that out a little bit as we get in some other press releases and some other calls, Mike is on the call now. That’s one of the internal things that we’ve been kind of framing out is, okay. What do we want to apportion for the wholesale market, what do we want to apportion for our own retail, and what kind of accretive effect is that have on the gross margin.
Some of the analysis that we have done is, it’s obviously significant, because the cost of production is way below what the wholesale markets are? Especially in the marketplace right now with the shortages and the fact that there is not a lot of clean tested flower available and like there was six or seven to eight, nine months ago. So, it’s going to be extremely accretive for us. We’ll try to nail that down, so we’re going to have some discussions on that in some future calls.
Philip Carlson
Okay. Next question, can you elaborate on the marketing expertise of the management team, and what the near-term marketing strategy looks like?
Derek Peterson
I’m glad to answer that. That’s actually where we put a tremendous amount of investment over the last 60 days is building out our marketing team. That’s one place I feel like we would lag a little bit as we were spending so much energy in building out our footprint infrastructure, if you look at our letsblum Instagram page, we’re going to see an entirely different look and feel. One of our focuses is this. Cannabis consumers that have been here historically aren’t going anywhere, and we want to make sure we spend a lot of our time, effort and energy servicing that cannabis consumer.
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However, I’m sure a lot of your shareholders on the call that have a lot of friends that have asked of our products have maybe said, I tried this, I tried that, that are curious about edibles or waving and that type of thing. We’re really steering our marketing to cater towards that consumer that’s just on the edge to come into our industry as a replacement for alcohol or something else, but they need some education, they need that red carpet rolled out for them. They need that introduction; they need it demystified, right. They need to understand what happens inside these facilities.
So, we’re going to be doing everything from YouTube of read videos to online video campaign, so people can understand what’s going on heavily focused on social media, people build huge businesses, because if you look Fashion Nova and those types of companies, they’ve built tremendous businesses on social media alone. We’re going to be kind of basically utilizing that model for our own advancement. We ultimately know some times in the not-to-too distant future, a lot of these sales are going to be happening under the Amazon type model online and we want to make sure we have the infrastructure to be able to service that and we want to make sure that we have a strong brand reputation in that digital environment.
So, we’ve hired digitally analytics firms, digital media firms. We’re rebranding our Blüm effort under the social media standpoint. We’re doing a lot of collaborations out there; we’re sponsoring a Snoop Dogg concert down here. We’re really – we’re doing some stuff with food beast. We’re really tapping into the food and beverage culture and that type of thing. So, we’re really trying to attract another consumer base that we think on the fringe of buying, but we think it will actually be one of the highest growth areas in the marketplace according to our due diligence.
So, we’re excited to showcase that if you look at letsblum on Instagram, you’ll start to see some of the changes in terms of how we stylized these into kind of lifestyle branding model and we’re really going to put a lot of emphasis in carrying that forward over the next 12 to 24 months.
Philip Carlson
Okay. The next question with the advent of a growing global medical recreational Marijuana market in hand, does Terra Tech have any interest or involvement in international sales?
17
Derek Peterson
International sales, as I said frequently, we’re very focused on California, Nevada and New Jersey. We want to build out the biggest footprint we can in those marketplaces. California is the sixth largest economy in the world, in a perfect world, if we were Canada and have federal legalization. We had $3 billion, $4 billion, $5 billion market caps off the business that’s our size, which is happening up there and capitalizing with hundreds of millions of dollars. We would have a bandwidth and every structure to be able to do that. But we have to work with what we have and what we have is a bit of a different environment. And so we’re going to make sure we monetize that different environment is strategically as we can and it’s a no brainer for us to saturate the California marketplace, that’s where the growth is at. California is a gargantuan market and we’ve got the infrastructure in the reputation here. We’re really going to try to snowball effect that through the Los Angeles marketplace, dipping down into San Diego, building out a different infrastructure and really putting our brand on the map in this market, and then obviously carrying that back to Nevada and then hopefully exposing it to the New Jersey marketplace.
Philip Carlson
How is Terra Tech Corp preparing to be uplifted to a national exchange?
Derek Peterson
I mean we’ve done a tremendous amount of it already, right. I mean it’s frustrated as we all are, with the performance of the equities since it reversed. That was one of the things that we did to position ourselves to meet the standards. The corporate governance side, Sarbanes-Oxley stock for a core compliance, all that type of stuff. We really try to put the nuts and bolts together. I’d use the analogy before when that party opens up, I want to make sure I’m at the front door dressed in my best tuxedo. And I think we’re close to there.
there’s not much more we need to do to prepare ourselves, but I don’t think the exchanges are going to be ready through our dialogue until we see some movement from a federal level. That’s just kind of the feedback that I’ve been getting for those that are touching the plant. those that are on the periphery are still having a challenging time, they will of course, list people in Canada that have no U.S. operations that are conducting something that’s still federally illegal, that’s the – that’s the prevented factor from us uplifting right now. But internally, we’re doing everything we can across the board to be prepped for that, so when the time comes, we can jump on that opportunity as quickly as possible.
18
Philip Carlson
Okay. Next question, what are the reasons for selling the Western Ave property in Nevada?
Derek Peterson
Now, I don’t want to answer during the call. So, I think we’re okay there. Again, we had about $1.5 million of CapEx and investment into that facility, makes sense for us to pull out a few million bucks and utilize that for the development of some other projects without having to go back to the capital markets and I wouldn’t have done that if we didn’t have this next round of permits coming up.
So, the opportunity for us to secure replacement permits and even more permits than that on the retail front. We feel pretty good about – we feel pretty good about it, because one of the things that the jurisdiction get back there is that that competitive environment is not open to everybody in the world back, that competitive environment is only open to those that hold medical marijuana operational certificates with either cultivation extraction or retail. So, it’s a very small pool of applicants are going to even be able to compete for these opportunities.
So, we feel pretty good about our positioning there about replacing that and the ability to be able to monetize that will mean we don’t have to go back to the capital markets for that particular investment and we can utilize that for the growth of some other area of the company.
Philip Carlson
Okay. Next question, what are management’s next steps to New Jersey as a state heads towards legalization?
Derek Peterson
Putting the team together, putting the narrative together, putting the application together securing the real estate, all that’s in progress, we’ve ramped up even ahead of the open window and we think we’re going to have a very competitive application and a very good demographic back in Jersey that we think will be a very competitive environment and the beauty of that is we again, think New Jersey is going to fast track adult use.
So, this is expanded medical once we obtain that license we believe that once they pass the medical ordinance that will be grandfathered into the medical or the adult use ordinance, we’ll able to grandfather in the adult use sales, which give us a bit of a first mover advantage in that marketplace back there. So, much of our time, effort and energy is, to develop that application submitted and hopefully, our 100% success record carries forward to that environment.
19
Philip Carlson
Okay. And last question, Derek, can you comment on the consolidation in the industry, especially what we are seeing in Canada and the valuation to those companies are getting.
Derek Peterson
You’re going to finish on that. No dude. When I let the Wallstreet to start Terra Tech, we started as an equipment company and then we’ve pivoted over to cannabis once that started getting some traction. My strategy was always this, raise capital, build some infrastructure, raise some more capital, take the company public, raise some more capital, build some infrastructure, get some federal legalization, jump up onto the NASDAQ, get a major market cap expansion, because it’s a limited supply opportunity and there is going to be a bunch of capital chasing those opportunities, use that expanded market cap to raise some significant capital, start jumping all over the globe in creating opportunities abound. And I was right. I was wrong on the geography. That’s happening and it’s happening in Canada as everybody is aware of.
The companies are sized; we’re getting unbelievable valuations are raising a tremendous amount of capital. So what we’ve done as the board and what we’ve done as an executive team is we’ve really taken a hard look over the last 30 days on how we can creatively participate. And so I’m talking to everybody, we’ve built out an unbelievable footprint with our company with very limited resources. We’ve built out I think great branded areas. We had a good first mover advantage. We’ve got people calling the company, we’ve got people interested in having conversations with us.
So, we’re out there in the field right now looking for strategic opportunities that can position our shareholders for the best creative and accretive benefit possible. So, am I continue to focus on building the business, building the retail footprint, expanding our manufacturing arm, developing our brands, getting branded herein and that type of thing absolutely. Am I also, and as our executive team also looking at great opportunities, where we could create a one plus one equals three-type scenario, you’ve got to bet your life on it. I’m out there talking to everybody, coming up with creative opportunities for us to leverage our position in the marketplace for a) strategic investment, for b) for utilizing our core competency on permitting to create more capital for the company that we don’t have to pull out capital markets and third, to utilize our footprint in our first mover advantage in our reputation for looking for everything from consolidation, the strategic opportunities to joint ventures to everything you can imagine.
So, our team we have a very sophisticated board with the appointment of Alan Gladstone, who build out of $500 million company with 5,000 employees, Steve Ross, who’s got a tremendous amount of experience in mergers and acquisitions and running Pubco. We’ve got a good team and we’ve got a great advisory team behind the company as well and you guys are seeing big names in big companies and big opportunities coming into this phase, the alcohol industry et cetera and so forth. So believe me, we are out there in the middle of all those narratives and we are going to figure something out that creates extreme value for the shareholders. that’s my focus, because I’m one of those common shareholders. So, I will defend – that’s last question, Phil. I will end on that. Do you have any other questions or was that the last one?
20
Philip Carlson
That’s it. I’ll turn it back to you for closing.
Derek Peterson
Okay. So, my commitment to everybody is to give better transparency on an ongoing basis to what’s going on with all these facilities that we’re building out. to give better transparency into what’s going on in the permitting process as we work through these permits in multiple jurisdictions. and then again, I’m going to give, you should see some activity in the strategic investment area, because we’re having a lot of conversations around that, that’s a business focus of ours and we hope to bring some accretive opportunities to our shareholders in the not-too-distant future.
So we – we’re going to get better about communicating with people across-the-board on an ongoing basis. And I want to use this to just say thank you, we’ve got a lot of long-term shareholders and we’re close to 120,000 right now, I see a lot of the same names I’ve seen four or five years ago.
I get the frustration of what’s going on with the volatility in the market cap, don’t think that doesn’t affect me, don’t think that doesn’t keep me up at night, and don’t think – don’t think that doesn’t cause me to come up with creative solutions on how to make everybody get a good return out of our company.
I’m not going anywhere. And so we get a creative and substantial return for our shareholder base and that’s the commitment I’ve made since day one and I will succeed at that, our management team will succeed at that. I will tell you that that’s something that’s an extreme focus of ours; I’m not going to let anybody down on that. We’ve got a great opportunity, a great infrastructure and great footprint, great access to capital. Fundamentally, we’re in the best position that we’ve ever been in the markets not rewarding us for that. And so I’m going to figure out how to fix that and I’m going to end on that note.
Thank you on behalf of the Board of Directors, our executive team. I want to thank our auditing team for the effort and energy they’ve put in to driving these reviews in annual audit home for us, it’s a very complex business with all the cash and moving pieces. Phil and Stuart, thank you for you guys for hosting this and most importantly, for the several hundred people, who are on the call today. Thank you for the trust, time, effort and energy you spend with us.
good eye AC
I did a side by side comparison to the transcript that has been "stickied" and the transcript on the sec website and the one that has been "stickied" is missing numerous paragraphs. I'm sure that leaving out key information for investors, like that site often does, was a typo or maybe just an oversight by the posters. Surely no one would try and do that thing on purpose.
the COMPLETE conference call transcript
https://www.sec.gov/Archives/edgar/data/1451512/000147793218003921/trtc_ex992.htm
business is blüming!!!
109,791,013 in shareholders equity... (end of Q2)
what does trtc have to show for their hard work and dedication???
not much, lol
TRTC Current Holdings and Activities - Updated 7/29/2018
** California Dispensaries
* Blüm/Oakland Dispensary, 578 West Grand Avenue, Oakland, CA 94612, Dispensary, Cultivation Facility, Operational, Owned
* Blüm/Santa Ana Dispensary, 2911 South Tech Center Drive, Santa Ana, CA 92705, Operational, Owned
* Blüm/San Leandro Dispensary, 1911 Fairway Dr., San Leandro, Ca 94577, Dispensary, Extraction Lab and Production Kitchen, Owned, "Opening very soon"
* Blüm/Carnegie, 1815 Carnegie Avenue, Santa Ana, CA 92705, Dispensary, In Phase 2 of licensing, Construction started, Owned
* Blüm/Dyer, 620 E Dyer, Santa Ana, CA 92705, Dispensary, In Phase 2 of licensing, Construction started, Owned
* The Healing Tree Collective, Inc, 3222 W. Pendleton Ave, Santa Ana, California 92704, Dispensary, Acquired 25% Ownership.
*** pursuing Blüm/West Hollywood Dispensary, apps filed for Dispensary, Consumption Area and Delivery Service - Licensing selection process underway.
** California Cultivation and Production
* Hegenberger, 30 Hegenberger Loop, Oakland, CA 94621, Greenhouse and Extraction Lab (13k sq. ft.), under construction (mid '18)
* 1815 Carnegie, 1815 Carnegie Avenue, Santa Ana, CA 92705, (30k sq. ft.), Owned, Licensed Dispensary, warehouse property, Phase 1 and Phase 2 application process for non-retail commercial cannabis businesses (distribution, cultivation, and/or manufacturing) began Monday, June 4, 2018. Phase 2 publicized list to be released shortly.
* 620 E Dyer, 620 E Dyer, Santa Ana, CA 92705, (41k + sq. ft.), Owned, Licensed Dispensary, warehouse property, Phase 1 and Phase 2 application process for non-retail commercial cannabis businesses (distribution, cultivation, and/or manufacturing) began Monday, June 4, 2018. Phase 2 publicized list to be released shortly.
* Panther Gap Farms, located in Honeydew, CA, up to (44k sq. ft.), lease agreement, Operational.
* The farm, Cultivar Inc., located in Salinas, CA, up to (244k sq. ft.), lease agreement, status unknown
** California Distribution
* Blüm Distribution, Inc., Oakland, CA 94612, status unknown
* Blüm Distribution I, Inc., Oakland, CA 94612, status unknown
Company commentary on California
** Nevada Dispensaries
* Blüm/Las Vegas Dispensary, 1130 Desert Inn Road, Las Vegas, NV 89109 (flagship), Operational, 98% Owned
* Blüm/Las Vegas Dispensary, 1921 Western Avenue, Las Vegas, NV 89102, Operational, 98% Owned, * Sale Pending
* Blüm/Las Vegas Dispensary, 3650 S Decatur, Las Vegas, NV 89103, Operational, 98% Owned
* Blüm/Reno Dispensary, 1085 South Virginia Street, Reno, Nevada 89502, Operational, 50% Owned
*** Stakeholder only additional licensing processes were June 13th-June 23rd, with another process for retail locations September 7th-September 20th. Both processes carry a regulatory 90 days to deny or approve.
** Nevada Cultivation and Production
* NuLeaf Sparks Cultivation, LLC, 859 Deming Way, Sparks, NV 89509, (30,000 sq. ft.) facility, Operational, Commencement of operations June 1st
* NuLeaf Reno Production, LLC, (15k sq. ft.), 50% partners, Operational
*** Future Cultivation and Lab operation located at 6585 W Gary Ave, Las Vegas, NV 89139, Licensed (1ea), non-operational
*** Future Greenhouse operation located at 200 Hawco Court #B, Sparks, NV 89441, (Spanish Springs), Licensed, non-operational, expected completion by late ‘18
*** Future facilities for the Production of Infused Products, 0 Pyramid Way, (Spanish Springs), Licensed, non-operational
Company commentary on Nevada
** New Jersey
* Hydroponic Cultivation Facility, - Operational (lettuce, herbs), (no marijuana authorized yet)
Company commentary on New Jersey
business is blüming!!!
now that's some serious groundwork...
Shares Outstanding
2012 76.89 million
2013 99.04 million
2014 174.3 million
2015 240.19 million
2016 389.36 million
2017 46.07 million (adjusted)
2018 70.85 million (end of Q2), (8/6 - 72,189,614)
* Some serious shareholder equity was created building facilities, getting licenses and laying the ground work to dominate.
2013 99.04 million
Total Revenue 2,125,851
Total Liabilities and Stockholders’ Equity 4,040,585
https://www.sec.gov/Archives/edgar/data/1451512/000147793214001462/trtc_10k.htm
2014 174.3 million
Total Revenue 7,094,270
Total Liabilities and Stockholders’ Equity 7,719,226
https://www.sec.gov/Archives/edgar/data/1451512/000147793215001943/trtc_10k.htm
2015 240.19 million
Total Revenue 9,975,346
Total Liabilities and Stockholders’ Equity 9,165,039
https://www.sec.gov/Archives/edgar/data/1451512/000147793217001483/trtc_10k.htm
2016 389.36 million
Total revenue 25,327,764
Total Liabilities and Stockholders’ Equity 76,178,130
https://www.sec.gov/Archives/edgar/data/1451512/000147793217001483/trtc_10k.htm
2017 46.1 million
Total revenue 35,800,844
Total Liabilities and Stockholders’ Equity 98,187,799
https://www.sec.gov/Archives/edgar/data/1451512/000147793218001325/trtc_10k.htm
2018 68.7 million (end of Q2)
Total revenue 17,333,543 (end of Q2)
Total Liabilities and Stockholders’ Equity 109,791,013 (end of Q2)
https://www.sec.gov/Archives/edgar/data/1451512/000147793218003910/trtc_10q.htm
business is blüming!!!
Shareholders Enrichment Scheme
I hope that trtc is an "insider enrichment scheme" like so many have erroneously claimed. Since the insiders are all in the same boat as shareholders that would make trtc a "Shareholders Enrichment Scheme". After all if A = B and B = C then A = C (according to the transitive property of equality). Wouldn’t everyone agree? Oh wait a minute, facts don't care if anybody agree's or not, they just are...
Share lock up agreements
Derek Peterson - CEO and Chairman
https://www.sec.gov/Archives/edgar/data/1451512/000147793217006160/trtc_8k.htm
Alan Gladstone - Director
https://www.sec.gov/Archives/edgar/data/1451512/000147793218000223/trtc_8k.htm
Michael James - CFO
https://www.sec.gov/Archives/edgar/data/1451512/000147793218000297/trtc_8k.htm
Michael Nahass - President, COO, Director, Secretary and Treasurer
https://www.sec.gov/Archives/edgar/data/1451512/000147793218000486/trtc_8k.htm
Steven Ross - Director
https://www.sec.gov/Archives/edgar/data/1451512/000147793218000541/trtc_8k.htm
DP on lock-up agreements
"Yeah, we signed lockups. Everybody signed them at a little bit of a different time. So I think I signed mine in December. Some signed in January, and that type of thing. So it was a 12-month lockup. Just promising to our shareholders we wouldn’t liquidate any of our Terra Tech stock in that timeframe. And so, yeah, we’re committed to that. That won’t be something that we alleviate from because we think this is a big year for growth for us.
So I’m looking at it from selfish standpoint. I’m looking at it from the perspective of I see what’s happening with Kronos. I see what’s happening with these other Canadian companies that are trading with these multibillion dollar market caps with a revenue base and an asset base that’s nowhere near what we have. And I think a lot of that overhang is due to the federal issues, and the dichotomy between state and federal law.
And so, you know, you’ve seen sales from insiders over the history, and we’ve done that for all different purposes. You know, what I hope our shareholders understand in the past when we’ve had to sell, whether it’s for phantom income taxes, other taxes, or just general security, we work in an environment where we’re personally affected by the job that we do.
I’ve lost my personal bank accounts. I’ve lost my ability to get insurance. I’ve lost – you know, we’ve lost our kids’ college savings plans. We’ve been kicked out. Our retirement plans have been kicked out. I mean, I’ve had credit cards shut down on me, banking institutions shut down on me, personally. Forget the company for a standpoint. And I can tell you most of our officers and directors have experienced the same thing.
So the operation in this space comes at a personal cost. You know, that and scrubbing it against the reality of we could wake up one morning – I don’t think it’s gonna happen, but we certainly could wake up one morning, and the federal government could change its stance on the industry, get far more aggressive. We’ve seen some shots across the bow, and for all practical purposes, they could make an attempt to shut the industry down.
So we’ve all got children, and we’re all human beings at the same time. And we all need to make sure we’ve got some money in the bank so we can feed our family in the case that something like that happens. It’s outside the scope of anything that we could have gauged for, and certainly not something that we brought on. So for all practical purposes, we could be executing with perfection, but the opportunity could be stripped away from us. And we’ve seen it happen in gaming, you know, online gaming, you know, from a legislative or regulatory change.
But our commitment was we want to make sure we don’t sell any stock over the next 12 months. Our commitment to the shareholders on a lot of different things that we’ve done in the past is to align ourselves from that same standpoint. We experienced the reverse just the same as every other shareholder experiences the reverse. But I’m in this for the potential up listing downstream.
And, you know, having worked in Wall Street for ten years, and Mike had worked there for 15-17 years, you know, I know it’s a matter of time before that opportunity is available to us. And I know that opportunity should come with a significant opportunity for market cap expansion over where we are now in this illegal federal environment on the OTC. And so that just put us in the position to kind of save this opportunity for downstream.
I don’t know if it’s gonna happen in 12 months, but we are certainly positioning ourselves for that. And like I said before, the analogy is I want to make sure we’re standing on the front door with our tuxedo when the door opens for the party. I don’t want to be at home still getting ready, which was the catalyst for the reverse along with some other things, and it was the catalyst for the lockup."
https://www.sec.gov/Archives/edgar/data/1451512/000147793218001372/trtc_ex992.htm
meanwhile...
business is blümming!!!
Shareholders Enrichment Scheme
I hope that trtc is an "insider enrichment scheme" like so many have erroneously claimed. Since the insiders are all in the same boat as shareholders that would make trtc a "Shareholders Enrichment Scheme". After all if A = B and B = C then A = C (according to the transitive property of equality). Wouldn’t everyone agree? Oh wait a minute, facts don't care if anybody agree's or not, they just are...
Share lock up agreements
Derek Peterson - CEO and Chairman
https://www.sec.gov/Archives/edgar/data/1451512/000147793217006160/trtc_8k.htm
Alan Gladstone - Director
https://www.sec.gov/Archives/edgar/data/1451512/000147793218000223/trtc_8k.htm
Michael James - CFO
https://www.sec.gov/Archives/edgar/data/1451512/000147793218000297/trtc_8k.htm
Michael Nahass - President, COO, Director, Secretary and Treasurer
https://www.sec.gov/Archives/edgar/data/1451512/000147793218000486/trtc_8k.htm
Steven Ross - Director
https://www.sec.gov/Archives/edgar/data/1451512/000147793218000541/trtc_8k.htm
DP on lock-up agreements
"Yeah, we signed lockups. Everybody signed them at a little bit of a different time. So I think I signed mine in December. Some signed in January, and that type of thing. So it was a 12-month lockup. Just promising to our shareholders we wouldn’t liquidate any of our Terra Tech stock in that timeframe. And so, yeah, we’re committed to that. That won’t be something that we alleviate from because we think this is a big year for growth for us.
So I’m looking at it from selfish standpoint. I’m looking at it from the perspective of I see what’s happening with Kronos. I see what’s happening with these other Canadian companies that are trading with these multibillion dollar market caps with a revenue base and an asset base that’s nowhere near what we have. And I think a lot of that overhang is due to the federal issues, and the dichotomy between state and federal law.
And so, you know, you’ve seen sales from insiders over the history, and we’ve done that for all different purposes. You know, what I hope our shareholders understand in the past when we’ve had to sell, whether it’s for phantom income taxes, other taxes, or just general security, we work in an environment where we’re personally affected by the job that we do.
I’ve lost my personal bank accounts. I’ve lost my ability to get insurance. I’ve lost – you know, we’ve lost our kids’ college savings plans. We’ve been kicked out. Our retirement plans have been kicked out. I mean, I’ve had credit cards shut down on me, banking institutions shut down on me, personally. Forget the company for a standpoint. And I can tell you most of our officers and directors have experienced the same thing.
So the operation in this space comes at a personal cost. You know, that and scrubbing it against the reality of we could wake up one morning – I don’t think it’s gonna happen, but we certainly could wake up one morning, and the federal government could change its stance on the industry, get far more aggressive. We’ve seen some shots across the bow, and for all practical purposes, they could make an attempt to shut the industry down.
So we’ve all got children, and we’re all human beings at the same time. And we all need to make sure we’ve got some money in the bank so we can feed our family in the case that something like that happens. It’s outside the scope of anything that we could have gauged for, and certainly not something that we brought on. So for all practical purposes, we could be executing with perfection, but the opportunity could be stripped away from us. And we’ve seen it happen in gaming, you know, online gaming, you know, from a legislative or regulatory change.
But our commitment was we want to make sure we don’t sell any stock over the next 12 months. Our commitment to the shareholders on a lot of different things that we’ve done in the past is to align ourselves from that same standpoint. We experienced the reverse just the same as every other shareholder experiences the reverse. But I’m in this for the potential up listing downstream.
And, you know, having worked in Wall Street for ten years, and Mike had worked there for 15-17 years, you know, I know it’s a matter of time before that opportunity is available to us. And I know that opportunity should come with a significant opportunity for market cap expansion over where we are now in this illegal federal environment on the OTC. And so that just put us in the position to kind of save this opportunity for downstream.
I don’t know if it’s gonna happen in 12 months, but we are certainly positioning ourselves for that. And like I said before, the analogy is I want to make sure we’re standing on the front door with our tuxedo when the door opens for the party. I don’t want to be at home still getting ready, which was the catalyst for the reverse along with some other things, and it was the catalyst for the lockup."
https://www.sec.gov/Archives/edgar/data/1451512/000147793218001372/trtc_ex992.htm
meanwhile...
business is blümming!!!
A Big Dose of Reality
trtc positions for growth in California, Nevada and New Jersey
https://soundcloud.com/newcannabisventures/terra-tech-positions-for-growth-in-california-nevada-and-new-jersey
Investor Presentation - August 2018
https://www.terratechcorp.com/news-media/presentations
https://d1io3yog0oux5.cloudfront.net/_05e749e66192835355facbfdf0098d26/terratechcorp/db/224/433/pdf/Terra+Tech+Investor+Presentation+August+2018+Final.pdf
trtc reports Record Revenues for 2017
https://www.nasdaq.com/press-release/terra-tech-corp-reports-record-revenues-for-year-end-december-31-2017-20180316-00787
trtc #1 in Revenue:
https://www.newcannabisventures.com/cannabis-company-revenue-ranking/
blüm "The People’s Choice" voted the TOP Dispensary in both Nevada and California!!!
https://www.thecannabist.co/2018/01/31/best-dispensaries-budtenders-2017/97990/
trtc one of the Top Four California weed stocks
https://www.potnetwork.com/news/here-are-4-best-california-weed-stocks-smart-investors
trtc ranked #10 on the otcqx Best 50 Companies
http://web.otcmarkets.com/otcqx-best-50/
trtc listed as THE top "fastest-growing public companies: small companies"
business is blüming!!!