Things from this mornings email from LVVV
FIrst, they had positive earnings all 8 quarters last year. I mentioned that one already, as a joke, but still, it IS impressive that they are making positive returns every quarter for two years now.
Next, although they are making money every quarter, they are still looking to do another round of equity financing. "Explore options for raising additional capital, such as strategic partnerships or equity financing" that concerns me some, as they are making earnings so why the need for more financing?
Revenues should be good in 2024. two harvests plus the 2023 harvest was late in the year and some of that revenue did not come in for 2023, so call it "2.5 harvests" in 2024. SHould be good for revenue growth. "ERF will deliver the first harvest in June
ERF will prepare the second cultivation run for harvesting in November"
They are looking at a reverse split. "Consider a share consolidation program to access a new investment universe." the new and fancy term is share consolidation, but it is a reverse. I never like those, regardless of the reason. It would lower the outstanding though. I bet he would do a larger one, to reduce outstanding by a lot. LIke maybe 1 for 5, instead of 1 for 2.
"Foster frequent and transparent communication with shareholders, investors, and the public" Ehhh. ALways said, never done by most companies.
I did NOT see that they were going to pay their real estate taxes that are now a few YEARS delinquent. It would be nice to see that before someone takes the property away in a tax sale.
Still standing on the dock, watching but not a buyer. Not until the profits start showing up on the books, instead of being given to ERF as a debt owed to LVVV. I know Bill says he is doing that because of the MJ laws, but hey, you don't pay your taxes, you don't keep any profits, and you show revenue but never collect it (from ERF) so is it really revenue? Yep, still on sidelines. But watching, and hoping someday this really has good news and I'll buy back in.
My take on today's PR.
