Namaste Achieves Record Quarterly Revenue, Generates CA$8M In Q4

Namaste Technologies Inc. N NXTTF, a cannabis-focused e-commerce company, reported Tuesday it has generated CA$8 million ($6.79 million) in gross revenue over the last three months of 2020, representing a year-over-year increase of 100%.

The Toronto-based company wrapped up the year ended November 30 with CA$27.1 million in gross revenue, compared to CA$16.4 million in 2019.

Net revenue for the fourth quarter amounted to CA$7.2 million. Full fiscal year revenue hit CA$25.1 million.

CEO Meni Morim said the company achieved "the highest recorded quarterly revenue" to date.

"We achieved significant year-over-year growth of revenue as cannabis sales through CannMart's distribution channels made an important contribution to the revenue stream," he added.

Namaste also revealed that the fourth quarter's net loss dropped to CA$6.4 million, versus a CA$29.7 million net loss in the last year's corresponding quarter.

The bet loss for fiscal 2020 amounted to CA$26.4 million, down by 58% year-over-year.

In November, Namaste disclosed its intentions to purchase the remaining interest (49%) in CannMart Labs, an applicant for a processing license under the Cannabis Act for cannabis extraction operations, after initially acquiring a 51% stake in 2018.

The company obtained Health Canada's standard processing license for the CannMart Ontario facility for BHO extraction in February.

To further boost its growth, Namaste recently closed its bought deal public offering of some 65.78 million of its units at CA$0.35 per unit for total gross proceeds of CA$23 million.