Market Overview

Origin House Reports Higher California Sales In Q1

Share:
Origin House Reports Higher California Sales In Q1

CannaRoyalty Corp (OTC: ORHOF), a Canadian cannabis company that operates under the Origin House brand name, reported first-quarter results Wednesday that showed substantial revenue growth — and expenses that grew proportionately higher.  

What Happened

The company's revenue of CA$11.2 million ($8.29 million) was significantly higher than CA$600,000 a year earlier and grew by 41 percent sequentially. 

Origin House's gross margin amounted to C$A1.7 million in the quarter versus a flat figure in the same period of 2018.

Operating expenses surged from CA$4.5 million a year ago to CA$18.2 million, and the adjusted EBITDA loss widened from CA$900,000 to CA$12.7 million.

Why It's Important

Origin House has operations both in Canada and California. The company's revenue growth was helped by a substantial increase in California sales.

During the first quarter, Origin House saw CA$9.25 million in product sales in California versus CA$1.55 million in Canada. 

The company is in the process of being acquired by Cresco Labs Inc (OTC: CRLBF), which at the beginning of April agreed to acquire Origin for around $1.1 billion in an all-stock deal. 

Related Links:

Trulieve Falls Despite Another Record Quarter

Acreage Holdings Reports 487% Year-Over-Year Jump In Revenue, Says Canopy Growth Deal Will Accelerate Growth

Photo courtesy of Origin House. 

 

Related Articles (ORHOF)

View Comments and Join the Discussion!

Posted-In: marijuana Origin House pot weedCannabis Earnings News Markets Best of Benzinga

Cannabis Movers

Sign up for our secret cannabis newsletter!
Never miss out on the breaking news in the Cannabis Industry!