Audacious Reports 2,068% YoY Growth In Q2 Revenue, Anticipates Q3 Revenues North Of $3M

Audacious Reports 2,068% YoY Growth In Q2 Revenue, Anticipates Q3 Revenues North Of $3M

Australis Capital Inc. AUSA AUSAF, which operates as Audacious, announced its financial results Monday for the second quarter of fiscal 2022, revealing total revenues of $2.3 million, representing an increase of 2,068% year-over-year and 31% sequentially.

Revenue for the six months ended Sept. 30, 2021, increased 2,287% to $4 million from $167,602 in the comparable period of fiscal 2021.

Terry Booth, the company's CEO, said that Australis continues to "record stellar growth."

"Our financial results are a direct result of the strength of our unique and differentiated business model, which centers on partnering with leading cannabis brands and building our portfolio of integrated cannabis operations to strategically expand our US and global footprint," Booth added.

Q2 2022 Financial Highlights

  • Gross profit was $1.23 million compared to a gross profit loss of $116,120 in the comparable period of 2021 and increased 16% from gross profit of $1.06 million in the prior quarter.
  • Gross profit for the six months was $2.3 million compared to a gross profit loss of $60,506 in the corresponding period of the prior fiscal year.
  • Net loss totaled $4.32 million, or $0.02 per share, compared to a net loss of $5.82 million, or $0.03 per share, in the second quarter of 2021, and a net loss of $9.67 million, or $0.04 per share in the first quarter of 2022.
  • Operating expenses were $5.64 million, up by 25.8% sequentially.
  • Working capital as of Sept. 30 amounted to $7.40 million as compared to $16.42 million as of Mar. 31, 2021.

Australis believes that it will have sufficient cash and resources to fund its business objectives for the next twelve months, including expansion in its current markets and entering into new jurisdictions, such as New York state, New Jersey and others. In addition, the company also plans to bolster its product line portfolio.  

Going forward, the company anticipates continued strong growth with anticipated third-quarter revenues north of $3 million.

"We remain focused on our capital-light business model and following a proven path to success by scaling our operations and streamlining costs while entering new high-growth cannabis markets," Booth added.

Q2 Highlights & Subsequent Events

  • Inked facility contract with Little Leaf Farms, North America's largest grower of baby leaves, for an approximately 450,000 square foot facility in Pennsylvania for the cultivation of baby leaves.
  • Completed comprehensive paid-for feasibility study for a large investment fund in the United Arab Emirates for the establishment of a 20 hectare (50 acre) greenhouse facility to be operated by Pure Harvest.
  • Partnered with Priva to jointly market its APIS solution, ALPS' advanced compliance and maintenance service solution across the global horticulture industry.
  • Signed contract with Pure Harvest Smart Farms to drive expansion in the Middle East through the development of an over 1 million square foot, high-tech, fully-integrated facility to achieve year-round cultivation of high-quality, fresh fruits and vegetables in Kuwait.
  • Green Therapeutics, its wholly-owned business subsidiary, is rapidly growing its Provisions cannabis brand.
  • Successful launch of cannabinoid-infused shot beverage brand LOOS across California, which is currently available in 17 retailers.
  • Signed LOI to acquire 51% stake in Belle Fleur's planned manufacturing facility in Massachusetts.
  • Entered into a term sheet for the formation of a strategic partnership with Golden Triangle Health, a subsidiary of NR Instant Produce Public Company Limited, a leading Southeast Asian food manufacturer and distributor.
  • Signed a multi-year agreement for Audacious to be the "Official CBD of Professional Bull Riders."
  • Launched its new AUDACIOUS consumer-focused website.

AUSAF Price Action

Australis' shares traded 0.21% lower at $0.1497 per share at the market close on Monday.

Photo: Courtesy of Australis Capital Inc.

Posted In: LOOSsecond quarter earningsTerry BoothCannabisEarningsNewsPenny StocksMarkets

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