Lifeist Wellness Inc (NXTTF)

[r clarke]

Last quarter was great? Really?

Namaste announced fiscal 2018 Q4 results for the 3 months ended on August 31, 2018. Net revenue came in at $3.9 million, which represents no growth from 2017 Q4. Namaste has relied on acquisitions in the past to show inorganic revenue growth but this quarter proved that its vaporizer online business has no organic growth and has hit a wall at only $3.9 million in quarterly sales. The CannMart segment generated revenue of $32k during the quarter which is basically negligible.

NamasteMD generated sales of $61k which are also immaterial. More importantly, COGS came in at $3 million which implies a gross margin of only 24%! Gross margin was negative in 2017 but 2018 numbers still showed a picture where the business model simply does not work financially. With only $930k in gross profit, the company lost $8.7 million last quarter after paying for its operating expenses including $2.5 million of selling and distribution and $6.9 million of G&A expenses.




"The last quarter was great! How do you come up with this garbage? Lol. The growth stage will show in coming quarters. You will learn..."