The Supreme Cannabis Company Inc. (TSX: FIRE) (OTCQX: SPRWF) (FRA: 53S1) Garners Investment Attention with Release of Q3 2019 Financials
- Supreme Cannabis recently released its Q3 2019 financial results
- Health Canada recently approved Supreme Cannabis’ 7ACRES facility for an additional 50,000 square feet of production capacity
- Market analysts describe Supreme Cannabis as “One of the more interesting small cap investments”
The Supreme Cannabis Company Inc. (TSX: FIRE) (OTCQX: SPRWF) (FRA: 53S1), a leading licensed cannabis producer with a diversified portfolio of products and brands, is making significant headway in the cannabis industry and expanding its production capacity.
The Supreme Cannabis Company recently announced the release of its third-quarter financials, the results of which indicate strong revenue growth achieved through a combination of several factors: expanded capacity at the company’s 7ACRES production facility, expanded product packaging and a desire for high-quality cannabis driven by consumers. “Our company is pleased with the results of our third-quarter financials and with the progress made thus far on our strategic priorities for the 2019 calendar year,” Supreme Cannabis CEO Navdeep Dhaliwal stated in a news release (http://ibn.fm/OcubI
Dhaliwal reflected on the company’s first six months of legal cannabis sales in Canada, noting that Supreme Cannabis “was originally viewed as a contrarian for taking a consumer-oriented approach to the cannabis market.” Despite this, he praised consumers’ ability to ultimately shape the market’s trends, as 7ACRES has received strong consumer feedback. 7ACRES brands have positioned the company as a top-10 revenue producer in the industry as well, earning it recognition as a “coast-to-coast, award-winning premium brand.”
The company’s impressive Q3 2019 financials report a 382 percent increase in net revenue from Q3 2018, growing from $2.1 million to a staggering $10 million. Over the quarter, sales revenue from adult-use recreational markets increased by 63 percent.
The future of Supreme Cannabis’ industry growth looks particularly promising as well, as Health Canada recently approved its 7ACRES facility for five additional flowering rooms, signifying an increase of 50,000 square feet of production capacity (http://ibn.fm/MuX69
). “With five more flowering rooms at 7ACRES… the finish line is now in sight,” company Founder and President John Fowler stated in a news release. Noting that the company’s goal for 7ACRES is to reach full production capacity once all 25 flowering rooms are licensed, Fowler added, “We are excited to fulfill demand for our high-end cannabis from enthusiasts coast to coast.”
Merrill Lynch research analysts Christopher Carey and Lisa Lewandowski recently noted Supreme Cannabis’ impressive results. “We think Supreme is setting up as one of the more interesting small cap investments in the cannabis sector,” they wrote in an update. They credited the company’s “international expansion strategy” as harboring untapped potential, describing it as “an underappreciated catalyst.”
“Supreme is executing; and, with a sound strategy in Canada (focus on premium tier), global optionality, and reasonable valuation, we believe it could prove as more [sic] of the more interesting plays in cannabis,” the pair reported.
For more information, visit the company’s website at www.Supreme.ca
NOTE TO INVESTORS: The latest news and updates relating to SPRWF are available in the company’s newsroom at http://ibn.fm/SPRWF