Chalice Brands Ltd (CHALF)

[molee]

Chalice Brands Ltd. Pre-announces Highest Revenues to date during Second Quarter 2021

PORTLAND, Ore., July 06, 2021 (GLOBE NEWSWIRE) -- Chalice Brands Ltd., formerly Golden Leaf Holdings Ltd. (CSE:CHAL) (OTCQB:CHALF) (“Chalice” or the “Company”), a premier consumer-driven cannabis company specializing in retail, production, processing, wholesale, and distribution, today pre-announces its unaudited financial results for the second quarter 2021. All amounts stated are in US Dollars unless otherwise noted.

Second Quarter Preliminary Unaudited Financial Highlights:

Achieves highest ever record quarterly revenues from continuing operations of $6.8 million, a 23% year-over-year increase compared to $5.5 million for the same period in 2020.
Estimated gross profit for the second quarter 2021 of $3.1M or 46% gross profit margin compared to $1.7M or 37% gross profit margin rate in 2020, an 82% increase from 2020. Gross margin improvements are due to increased sales of vertical, in-house products manufactured by Chalice and increased third party processing revenues.
“We are immensely proud to execute another record quarter by focusing on profitable operations and the accretive acquisition a Homegrown Oregon. The integration of Homegrown and the adoption of our vertical products within the new stores is ahead of schedule. The staff are highly engaged and motivated to be part of the Chalice family. The whole team is energized and focused on growth as we showcase our brand portfolio nationally and remain dedicated to our ‘crawl-walk-run' strategy,” said Jeff Yapp, Chief Executive Officer and President.

“We will seek to continue our growth both organically and through any opportunistic and accretive transactions we may be able to execute upon,” added John Varghese, Executive Chairman.

The financial information included in this news release is preliminary, unaudited and subject to adjustment. It does not present all information necessary for an understanding of the Company’s financial results for the second quarter of 2021. The Company will provide its full second quarter financial report at the next earnings call, to be announced at a later date.