Australis Capital Q4 Revenue 'Benefited From Increases In Value In Its Body and Mind Holdings'

Australis Capital Inc. AUSA (OTC: AUSAF) doing business as AUDACIOUS announced Thursday financial results for the fourth quarter and full-year fiscal 2021 ending March 31, 2021.

Q4 2021 Financial Summary 

The Company earned a pre-tax net income of $3.0 million in Q4 FY 2021 compared to pre-tax losses of $19.4 million in Q3 FY 2021 and $10.6 million in Q4 FY 2020. The Company also benefited from increases in value in its Body and Mind BAMM (OTCQB: BMMJ) holdings, favorable legacy settlements and cost reductions led by the new management team and other revaluations. These management efforts led to reductions of 16% in adjusted EBITDA losses for Q4 FY 2021 compared to Q4 FY 2020.

Fiscal Year 2021 Highlights 

• The acquisition of ALPS more than doubled revenues for all of FY 2021 even though the Company only owned ALPS for the last 23 days of the fiscal year. 
• Green Therapeutics was acquired towards the end of fiscal 2021 and will contribute more substantially to revenues in FY 2022 once the licenses are transferred over to complete the balance of the acquisition.
• On a pro forma basis, assuming ALPS and GT were both consolidated from January 1, 2021, revenues would have come in at $1.6 million versus reported revenues of $0.5 million for Q4 FY 2021 and $5.3 million versus $0.7 million for FY 2021.
• At the end of the reporting period on March 31, Australis held $16.3 million in cash, the same as at the end of March 2020.

Q1 Fiscal 2022 Outlook – Strong Growth

• Unaudited unreported preliminary consolidated revenues for the 1st quarter ended June 30, 2021, of the fiscal year 2022 are estimated at $1.7 million, up 277% over the previous quarter and 2,653% over Q1 FY 2021.
• Pro forma unaudited revenues for Q1 FY 2022, including Green Therapeutics are estimated at $2.3 million, an increase of 39% over pro forma revenues of the prior quarter.

"Achieving a five-fold increase in our revenues for the quarter, even with ALPS consolidated for only 23 days and no contribution booked from GT, shows the impact of AUDACIOUS transitioning from an investment company to an operating company and reflects the speed at which we are executing," Terry Booth, Austrlis CEO stated. "In the short time since our new leadership team took over, AUDACIOUS has executed on numerous growth transactions and cleaned up legacy issues:

Price Action 

Australis’ shares were trading 0.27% higher at 15 cents per share at the time of writing Friday morning. 

Photo: Courtesy of Diyahna Lewis on Unsplash