PALM BEACH, Fla., Nov. 17, 2020 /PRNewswire/ -- Even during the pandemic, there are companies and even industries that are growing not in spite of the pandemic, but because of the restrictions that are part and parcel of the pandemic. People are staying home and the games market, the meetings platforms and other web based services are growing… as is the legal cannabis market. People are looking for not only recreational uses, which have increased due to the stay at home restrictions, but also health and medical well being of individuals has steadily risen. A recent article in industry publication, the Marijuana Business Daily, projected that retail sales of medical and recreational cannabis in the United States are on pace to eclipse $15 billion by the end of 2020, an increase of approximately 40% over 2019 sales figures, according to exclusive projections from the 2020 edition of their Marijuan Business Factbook. They added that: "While there's no definitive answer, data suggests consumers from Generation Z – those born in 1997 and later – and consumers who continue to transition out of the illicit market and into the licensed, legal channel contributed to the growth." Active Companies in the industry include CLS Holdings USA, Inc. (OTCQB: CLSH) (CSE: CLSH), Grow Generation Corp. (NASDAQ: GRWG), Aurora Cannabis Inc. (NYSE: ACB) (TSX: ACB), Canopy Growth Corporation (NYSE: CGC) (TSX: WEED), Organigram Holdings Inc. (NASDAQ: OGI) (TSX: OGI).
Marijuana Business Daily continued saying that: "Total U.S. sales could rise as high as $37 billion by 2024… Despite short-term uncertainty, the long-term potential of the cannabis industry remains intact. Sharp sales increases in recently launched medical marijuana programs – as well as continued gains in adult-use markets – are expected to fuel much of the industry's growth over the coming years." New MMJ markets including Florida, Maryland, Nevada, Oklahoma and Pennsylvania are booming, more than offsetting lost medical sales in markets that have legalized adult-use sales, such as Illinois, Massachusetts and Michigan.
CLS Holdings USA, Inc. (OTCQB: CLSH) (CSE: CLSH) BREAKING NEWS: CLS Holdings USA, Inc. Outpaces Statewide Market Growth with Category Leadership - CLS Holdings USA, Inc. (OTCQB: CLSH) (CSE: CLSH), the ''Company'' or ''CLS'', a diversified cannabis company operating as Cannabis Life Sciences, continues to grow its foothold in Nevada, with recent data listing its manufacturing division, City Trees, as the top selling brand in select product categories. With the completion of its September rebrand, this division is poised for continued growth and innovation through the remainder of the year. CLS entities overall also outpaced the growth of the Nevada cannabis market in September. Statewide cannabis industry revenue growth reached a year over year increase of 43% for the month, while CLS' net revenue grew by 70.3%.
A Category and Industry Leader - According to figures generated by BDS Analytics, CLS' branded division, City Trees, produced the top-selling products in the tincture product subcategory in Nevada from January through September 2020. With a total of 37,142 units sold, these products generated over $1.7 million dollars in sales - approximately 44% more than the second best-selling brand in the subcategory. Of the top 10 products sold in the tincture subcategory in 2020 through September, 4 were produced by City Trees. Of the $7.7 million tincture market in Nevada through September 2020, encompassing 34 different brands, City Trees held an average market share of 22.4%. Although flower and concentrate categories represented a majority of the overall cannabis market in Nevada in 2020, innovative product development and clean, modern branding have propelled this division and opened the door for category expansion for the Company.
As a result of continued development and innovation in the ingestible category, City Trees is rising in Nevada's vape category. In the first three quarters of 2020, the brand has risen from the 7th to the 5th highest selling brand, with the greatest improvement occurring in the third quarter. In the 'dabbable concentrate' product subcategory, unit sales rose by over 115% during the third quarter of 2020 compared to the same quarter in 2019. With a focus on quality, sustainability, and innovation, City Trees is showing brand growth across all of the products categories in which it currently operates. This division's growth is further driven by the expansion and utilization of its expanded and enhanced extraction and innovation facility, allowing for a variety of anticipated collaboration projects, new product launches, and growing capacity for extraction and toll processing.
The Company's combined retail and wholesale divisions outpaced the year over year growth of the Nevada cannabis market for September, with the state seeing a 43% revenue increase from September 2019 to September 2020, and CLS entities achieving a 70.3% revenue increase for the same periods. Month over month from August to September 2020, the Nevada cannabis market declined by 1% while CLS' entities increased revenue by 21.2%. These results are a testament to the measured, strategic approach the Company has taken to growing its businesses in ways that ensure the safety and comfort of its customers and employees while capturing new revenue streams that coincide with new market norms. To Read this full press and more for CLSH, please visit: https://www.financialnewsmedia.com/news-clsh/
