Why Q3 results likely won't be good
I don't see why the Q3 results will boost the stock price from its current, inflated level.
Red Dice's reporting will be just as muddled as in Q2, and they made a half-hearted effort in Q3 to promote Dixie Botanicals.
RSHO was introduced fairly late in Q3, and the other "Cib" products didn't begin to ship until Q4.
There will be a lot of startup costs for HempMedsPx, but relatively little revenue.
CanChew gum was "on sale" for a good portion of the quarter, which means lower gross profit on each sale, and it probably also means that sales weren't that good, because they required continual discounts.
The $2M (minimum) deal with ARITEX, AG for CanChew distribution in Russia and the CIS countries probably means only about $250K revenue per quarter (since MJNA owns 50% of CanChew) and since it's wholesale-based, probably $75K in gross profits, from which they'll subtract the expenses. In Q2, CanChew had nearly $300K in expenses.
CannaVest probably gave them more cash in Q3 as part of the $10M payment due at the end of that quarter, which will give them enough cash to get through Q3, and I expect the same thing with the $6.5M payment in Q4.
Of course, the "profit" from the Cannavest deal will book as Extraordinary Income, and the value is only as good as the CannaVest Shares.
After the end of Q4, in order to get enough cash to operate, MJNA will have to either issue more of its own shares (violating the management "cap",) or sell its shares in CannaVest. That will probably require CannaVest to issue a filing registering those shares, and those held by other major holders.
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