Plus Products Reports Unaudited 2019 Second Quarter Results
Q2 2019 Revenues Increase 125% Over Q2 2018 to $3.6 Million
SAN MATEO, Calif., Aug. 30, 2019 (GLOBE NEWSWIRE) — Plus Products Inc. (CSE: PLUS) (OTCQB: PLPRF) (the “Company” or “PLUS”), a leading cannabis branded products company in the U.S., today released its unaudited financial and operational results for the three and six months ended June 30, 2019, expressed in U.S. Dollars. These filings are available for review on the Company’s SEDAR profile at www.sedar.com and with the Canadian Securities Exchange (the “CSE”).
Q2 Financial Highlights (amounts are approximate and are stated in U.S. Dollars, unless stated otherwise):
Revenues climbed to $3.6 million in Q2 2019, representing a 125% year-over-year growth over Q2 2018 revenues of $1.6 million. Gross margins have improved to $0.7 million, or 20%, in Q2 2019, compared with $0.2 million, or 14%, in Q2 2018, due to continued operating efficiencies at the Company’s Southern California plant opened in December 2017. The Company continues to invest in building talent, market share, infrastructure and financial capacity to support its future growth. Spending on operating expenses was $5.3 million in Q2 2019 up from $1.3 million in Q2 2018 with the hiring of key top management personnel, consulting fees pertaining to future operational and marketing efforts and expenses pertaining to being a public company. The Company’s cash balance rose to $34.1 million at June 30, 2019, up from $22.4 million as at December 31, 2018. The Company raised $23.68M from the sale of convertible debentures and as a result of warrant exercises in the first six months of 2019. Net working capital was $38 million in Q2 2019 compared to $22.4 million in Q4 2018. Current liabilities as at June 30, 2019 were $1.6 million as compared to $2.2 million at December