Today is better, do the math! Clearly significantly UNDERVALUED.
HempFusion Provides Corporate Update, Revenue Guidance
DENVER, Colo., August 25, 2021 - HempFusion Wellness Inc. (TSX: CBD.U) (US: CBDHF) (FWB:8OO) (“HempFusion” or the “Company”), a leading health and wellness Company offering premium probiotic supplements and products containing CBD, is pleased to provide a corporate update and proforma revenue guidance including its two recently completed acquisitions, APCNA Holdings LLC (“Apothecanna”) and Sagely Enterprises Inc. (“Sagely Naturals”), (together with the “Acquisitions”) for fiscal 2021 and 2022.
Based on a fiscal 2020 pro forma revenue basis, HempFusion (combined with the fiscal 2020 revenues of Apothecanna and Sagely Naturals) would have generated approximately USD$11.8 million in revenue. With the completion of the Acquisitions and inclusion of the pre-closing fiscal 2021 revenues of Apothecanna and Sagely Naturals, HempFusion expects to generate revenues of between USD$12.5 million and $13.5 million in fiscal 2021 and USD$20 million to $25 million in fiscal 2022 due in large part to the Company’s expansion plans over the next 18 months and beyond. The Company maintains a clean balance sheet with approximately USD$11.4 million cash as of the end of the Company’s second fiscal quarter.
HempFusion’s combined footprint includes the following:
Distribution to over 15,000 retail locations including Publix, Walgreens, CVS, Rite Aid, Albertsons, Sprouts, Nordstrom, Whole Foods, and Kroger, with several more significant retailers expected to launch in the coming weeks.
Due to the broad consumer reach of the family of companies owned by HempFusion, the Company is able to appeal to roughly 80% of the current population of CBD purchasers including women, Baby Boomers and, the “Gellennial” crossover (Gen X and Millennial).
Six sales channels including its newly launched private label division!
Revenue growth is anticipated to be driven heavily by our robust investment into our DTC (Direct To Consumer) e-commerce platform that has already shown early-stage success.
Global footprint across multiple countries including, but not limited to, USA, Canada, Ireland, United Kingdom, Mexico, South Korea, United Arab Emirates, and China with several more now in the final execution phase
The #1 brand in CBD topicals, with 23% market share in the Drug channel [Drug (IRI-SPINScan 52 week ending 7-11-2021)] and 13.8-per-cent market share in the multiple outlet channels [MULO (IRI-SPINScan 52 week ending 7-11-2021)] and the #1 brand in a top-five largest FDM channel retailer [NielsenIQ product share report from a largest retail grocery chain in the Southeastern US (Nielsen Consumer, LLC., pull week ending 5/22/21)].
A diverse management team with cross-divisional synergies and incredible employees
Substantial investment into regulatory compliance creating a strong base for future FDA regulatory guidelines
Exclusivity of the entire supply chain from soil to oil
Strategic production relationships that enable the Company to meet demand with little to no anticipated disruption in service as operations scale
With the recent closing of the Acquisitions, HempFusion now has the significant distribution of market-leading products into thousands of retailers globally, as well as the ability to roll out highly compliant, organic-certified ingestible through multiple e-commerce and retail platforms. Upon the anticipated approval of ingestible from major retailers, the Company expects to rapidly fill its newly expanded pipeline. Additionally, HempFusion plans to leverage the investment it has made in international distribution to bring a more robust offering to Europe and Asia, including expanding its already strong partnership with gigantic marketplace Alibaba Inc T-Mall.
“I am pleased to present revenue guidance for 2021 and 2022 to our investor community,” commented Dr. Jason Mitchell, the Company’s Chief Executive Officer. “With the Acquisitions closed, not only do we reach over 15,000 retail locations and sell products in eight countries, but we’re also targeting up to $30 million in revenue for 2022. Combining this with our regulatory preparedness for ingestible CBD, we believe that we are poised to be the outstanding leader in the CBD industry. With a current market capitalization under $40 million, we hope this provides investors with a strong sense of confidence in our Company and sets us apart from our competitors,” continued Mr. Mitchell.
ABOUT HEMP FUSION
HempFusion is a leading health and wellness CBD company utilizing the power of whole-food hemp nutrition. HempFusion distributes its family of brands, including HempFusion, Probulin Probiotics, Biome Research, and HF Labs, to approximately 4,000 retail locations across all 50 states of the United States and select international locations. Built on a foundation of regulatory compliance and human safety, HempFusion’s diverse product portfolio comprises 48 SKUs including tinctures, proprietary FDA Drug Listed Over-The-Counter (OTC) Topicals, Doctor/Practitioner Lines and more. With a strong focus on research and development, HempFusion has an additional 30 products under development. HempFusion is a board member of the US Hemp Roundtable, and HempFusion’s wholly-owned subsidiary, Probulin Probiotics, is one of the fastest-growing probiotics companies in the United States, according to SPINs reported data. HempFusion’s CBD products are based on a proprietary Whole Food Hemp Complex™ and are available in-store or by visiting HempFusion online at www.hempfusion.com
or www.probulin.com
.
Follow HempFusion on Twitter
, Facebook
and Instagram
and Probulin on Twitter
, Facebook
and Instagram
.
CONTACT INFORMATION
Jason Mitchell, N.D.
Chief Executive Officer and Director
Email: ir@hempfusion.com
Phone: 416-803-5638
