Effective January 1, 2018, the state of California started to require mandatory compliance testing. However, the state of California not begun to enforce this mandatory requirement. Enforcement was expected to initiate on July 1, 2018. However, the Company expects that the state of California will start to enforce the mandated compliance testing for all cannabis products sold no sooner than December 31, 2018. Until compliance testing is required and enforced by the state of California for all cannabis sold or distributed, the Company expects its revenues in its California locations to remain fairly consistent between periods.
How do you verify that? Search Google for "california cannabis shortage" In California, Cannabis Shortage Plays out ‘As Advertised’. The shortage was caused by companies not having tested their products before July 1. Which caused EVIO to not make the expected money. So WW statement makes logical sense.
Now do this for every question you have on EVIO and you will see that it all lines up. Over time you will get a good idea how to trade or invest in a company and predict what will be on a 10K with reasonable certainty (barring unseen events).
That is one way to do GOOD DD. You can also read all the news and research everything you can find on the subject. Like knowing what machines are used for testing. their costs, level of skill needed to run machines, numbers and costs of the personel to run said machines, etc...
So with all that in mind. As long as WW stays on track heading to his ultimate vision of "Quest Diagnostics Of Cannabis Testing". I will keep investing in this stock and not sweat the little stuff.