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MONTREAL, September 28, 2021 / CNW / – Canada House Wellness Group Inc. (CSE: CHV) (“Canada lodge“or the”Society“) is pleased to report its financial results for the three months ending July 31, 2021. All amounts are expressed in thousands of Canadian dollars. Full details can be found at www.sedar.com.
- The cash was $ 741 like a July 31, 2021 compared to $ 1,835 like a April 30, 2021.
- The turnover was $ 4,024, an augmentation of $ 1,497 or 59%, compared to $ 2,527 during the same period of the previous year.
- The loss and the overall loss for the three months were $ 2,575, an augmentation of $ 1,943 or 307% compared to a loss of $ 632 during the same period in 2020. Loss and aggregate loss for the three months ending July 31, 2021 included a one-off depreciation of stocks of $ 1,004 and there was an unrealized gain on changes in the fair value of biological assets of $ 712 at the same period of the previous year.
- Cash flows used in operating activities were $ 347, an augmentation of $ 69 or 25%, compared to $ 278 during the same period in 2020.
- Cash flows used in investing activities have been $ 576 during the three months ending July 31, 2021, $ 131 net cash was provided by investing activities during the same period of the previous year.
- The net cash used in financing activities was $ 171 compared to $ 268 during the same period in 2020.
- Equity was a surplus of $ 4,484 compared to $ 6,873 from April 30, 2021.
- At May 27, 2021, the wholly owned subsidiary of Canada House Clinics Inc. (“CSC“) completed the acquisition of Margaree Health Group Inc. (“Daisy“). Daisy is a medical cannabis clinic dedicated to veterans of New Scotland. Margaree patients will be served by the Halifax CSC clinic. CHC purchased 100% of the issued and outstanding shares of Margaree for cash consideration of $ 500,000 and a three-year price supplement measured against Margaree turnover during the earn-out period. The CHC is also committed to further increasing its contributions to veterans’ causes, both through the Nonprofit Association for Post-Traumatic Growth and additional programs.
- At May 31, 2021, Abba Medix Corp. (“Abba“), the Company’s wholly owned subsidiary, has completed its first Cannabis New Brunswick purchase order for 3.5 gram dried flower formats of Critical Orange Punch and VetStar Night varieties. The Company has entered into a agreement with a New Brunswick licensed producer based on sourcing top quality locally grown cannabis products to complement its offerings at Cannabis New Brunswick, Abba’s medical patient base and other provincial distribution channels.
- At June 1, 2021, Abba has completed shipping its first order of adult dried flower products to a third-party distributor, National Cannabis Distribution (“MNT“), on sale at Saskatchewan, the fifth province in which Abba’s products have been made available to recreational consumers. Abba initially offered pre-rolled 15 gram and 0.5 gram dried flower formats, including Purple Bud and Critical Orange Punch genetics grown in-house for Saskatchewan consumers and subsequently received additional purchase orders to bring additional products to authorized retailers served by NCD in Saskatchewan.
- At June 7, 2021, the Company has entered into a product acquisition agreement with Groupe Fuga Inc. (âFugaUnder the terms of the agreement, Abba will distribute Fuga’s first product: Tropicanna Cookies, a strain with unique properties designed under high industry standards to its medical patient base and through its recreational sales channels. Fuga is a medicinal and recreational cannabis cultivator located in Stoneham, Quebec.
- At June 7, 2021, the Company has changed its head office to 551 Rue Saint-Marc, Louiseville, Quebec, J5V 2L4, Canada.
- At June 14, 2021, Abba has entered into an exclusive agreement with Montreal Cannabis Medical Inc. (“Cannabis MTL“) for the distribution by Abba of the high quality dried flower of MTL Cannabis to the Abba medical patient base (the”Exclusive agreementUnder the terms of the exclusive agreement, MTL Cannabis has partnered with Abba to be the exclusive distributor of certain varieties of cannabis material produced by MTL Cannabis for sale to medical patients in Canada. The variety of strains that will be provided to help medical patients include: MTL Cannabis signature strain Sage n ‘Sour, as well as Cookies N’ Cream and Candyland, as well as up to six other future genetics. The dried flower format of these varieties was originally offered by Abba’s medical brand, with a long-term plan to develop a line of âMTL Medicalâ branded medical products.
- At July 6, 2021, Abba has exceeded 1,000 active medical patient records. Abba’s active medical patient registrations rose from less than 600 in January 2021 to over 1,000, representing patient growth of over 67% in the first 6 months of this calendar year.
The Company is also pleased to announce that Peili Miao, CPA CGA, was promoted to Chief Financial Officer (CFO). Ms. Miao joined the company 2 years ago as a Financial Controller, bringing 15 years of experience in progressive financial roles, most notably as CFO of a mining company listed on the TSX Venture Exchange. Ms. Miao assumed the role of Acting CFO on March 25, 2021 and led a smooth transition of the Company’s financial and accounting matters during the interim period.
About Canada House Wellness Group
Canada House Wellness Group is the parent company of Abba Medix Corp., a licensed producer of Pickering, Ontario that produces high quality medical grade cannabis; IsoCanMed Inc., a licensed producer in Louiseville, in Quebec, cultivates the best indoor cannabis in its class, in its 64,000 square foot production facility using cutting-edge vertical aeroponic production methodologies; Canada House Clinics Inc., with clinics across the country working directly with primary care teams to provide specialized cannabinoid therapy services to patients with simple and complex medical conditions; and Knalysis Technologies, a provider of fully customizable, cloud-based software that connects physician, provider, and patient with data that supports treatment with medical cannabis.
The goal of Canada House Wellness Group is to become the leading premium artisanal cannabis grower and provider of cannabinoid therapy, targeting medical cannabis markets globally. Please visit www.canadahouse.ca or the Company’s public documents at www.sedar.com.
Caution regarding forward-looking information. This press release contains forward-looking statements, including statements relating, among other things, to the Company’s clinical, production and technology activities, future plans, markets, objectives, goals, strategies, intentions, beliefs, expectations and Company estimates, and can generally be identified by the use of words such as “may”, “will”, “could”, “should”, “would”, “likely”, “possible”, “expect” to “,” intend “,” estimate “,” anticipate “,” believe “,” plan “,” objective “and” continue “(or the negative thereof) and words and expressions of similar significance . Although the Company believes that the expectations reflected in these forward-looking statements are reasonable, such statements involve risks and uncertainties, and such statements should not be relied upon. Certain important factors or assumptions are applied in forward-looking statements, and the actual results can be t differ materially from those expressed or implied in these statements. The important assumptions used to develop forward-looking information in this press release include, among others, the regulations related to the consumption of cannabis under the Regulation respecting access to cannabis for medical purposes and the Act respecting cannabis and amending the Controlled Drugs and Substances Act, the Criminal Code and other laws, passed by the Canadian federal government, legalizing cannabis and edible cannabis products, vapes and oils for recreational use on Oct. 17, 2018 and October 17, 2019; The company’s liquidity and capital resources, including the availability of additional capital resources to finance its activities; level of competition; the ability to adapt products and services to changing market conditions; the ability to attract and retain key executives; and the ability to execute strategic plans. Additional information on material factors that could cause actual results to differ materially from expectations and on material factors or assumptions applied in making forward-looking statements can be found in the most recent annual and interim MD&A of the Company. Company under âRisks and Uncertaintiesâ as well as in other public information documents filed with Canadian securities regulators. The Company assumes no obligation to publicly update or revise any forward-looking statements contained herein, whether as a result of new information, future events or otherwise, except as required by law.
Neither CSE nor its regulatory services provider (as that term is defined in CSE policies) accepts responsibility for the adequacy or accuracy of this release.
SOURCE Canada House Wellness Group Inc.
For further information: Steven Pearce, Vice-President, Legal Affairs, Canada House Wellness Group, 289-980-3584, [emailÂ protected]