Flower One Reports Strong Monthly Sales for the Month of JulyPress Release | 08/05/2020
Flower One Reports Strong Monthly Sales for the Month of July
PR Newswire
LAS VEGAS and TORONTO, Aug. 5, 2020
Sales Return to Pre-COVID-19 Levels with Current Weekly Sales Exceeding Q1 2020 Average Weekly Sales
LAS VEGAS and TORONTO, Aug. 5, 2020 /PRNewswire/ - Flower One Holdings Inc. (the "Company") (CSE: FONE) (OTCQX: FLOOF), a leading cannabis cultivator, producer and innovator in Nevada, today announced preliminary July gross sales of $3.2 million, a 64% sequential increase over June 2020 and an indication that the Company's market presence is rebounding strongly post the partial reopening of Nevada hotels and casinos on June 4, 2020. All amounts are expressed in U.S. dollars unless indicated otherwise.
Recent Sales Highlights:
Preliminary year-to-date gross sales, thru the month ending July 31, 2020, of approximately $15.8 million;
July 2020 preliminary monthly gross sales of $3.2 million, representing the second highest company monthly sales behind March 2020 of $3.9 million; and,
July preliminary average weekly gross sales of approximately $0.73 million were an increase of 60% over June average weekly gross sales of approximately $0.46 million and an increase of 8% over Q1 2020 average weekly sales of approximately $0.68 million.
"These past several months have been challenging, and Nevada continues to see the impact of COVID-19 on its economy and its residents. Our Company's dedication to servicing the Nevada cannabis market and providing our retail partners with a consistent supply of some of the highest-quality product available, even in unprecedented circumstances, is evident in our July sales numbers. We are pleased to see the recent pace of our sales returning to pre-COVID-19 levels, even without a full recovery of tourism to Nevada," said Ken Villazor, President and Chief Executive Officer of Flower One.
Villazor continued: "Throughout the past few months, Flower One has acutely focused on improving our operational efficiencies and increasing the market penetration of our growing brand portfolio, including premium brands Cookies and 22Red. We've also continued to diversify our revenue base and added 14 new retail accounts since the start of the second quarter for a total of 93 accounts. We look forward to continuing to support our brand and retail partners as the Nevada economy rebounds."
Marking the First Anniversary of Flower One's Initial Sale from its Flagship Facility
On August 6, 2019, Flower One generated is first official sale from its flagship 455,000 square foot facility. In honor of this milestone, the Company provided an update on its successes in navigating the complexities of large-scale, low-cost cultivation, extraction, product manufacturing and retail fulfilment to help leading cannabis brands efficiently and effectively gain notable retail shelf space in Nevada. These highlights include:
California-based cannabis brand Old Pal received Flower One's inaugural inventory from its flagship facility. Old Pal therefore represented the Company's first sale. A year later, Old Pal is a mainstay in the Nevada market and has consistently maintained its place as one of the top-selling flower brands in the state based on total units sold according to Headset data as of June 30, 2020;
Flower One successfully launched the premium cannabis brands Cookies and 22Red;
Flower One currently provides manufacturing inputs for 4 of the top 10 edibles brands and 2 of the top 10 vape brands in Nevada according to third party June 2020 sales data for Nevada as provided by BDS Analytics, and Headset data, respectively;
In terms of edibles specifically, as of the end of June 2020, BDS Analytics reports that Flower One produces 2 of the top 10 edible brands in Nevada; and
Of all edibles sold in the state of Nevada, the gummy category accounts for 90% of sales according to BDS Analytics. Kiva's Camino gummies brand has captured increasing market share, moving from 9th place in Q1 2020 to 3rd place at the end of June amongst all gummies sold in the state. Further, 4 of 5 Kiva Camino SKUs are now in the top 20 edible items by dollar sales and 3 out of 5 SKUs in terms of units sold in Nevada
