Market Overview

BLVD Centers Posts First Fiscal Quarter Figures for Period Ending May 31, 2018

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LOS ANGELES, July 31, 2018 (GLOBE NEWSWIRE) --

NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES

BLVD Centers Corporation ("BLVD" or the "Company") (CSE:BLVD) today posted its financial statements for the quarter ended May 31, 2018.

Selected Highlights:

  • Revenue remained steady at just above $30,000,000 annualized.
  • Cash increased to $6,695,000 as cash flow improved.
  • Generated $745,000 in cash flow from operating activities.
  • Adjusted EBITDA (refer to MD&A) was slightly negative at $274,000 

"We have strong and stable operations which is bringing in cash each month," said CEO Chris Heath. "We continue to have significant revenue and a strong and building balance sheet. Once again, the first quarter statements highlight the nature of our opportunity to be a platform company with which to launch into the marijuana industry. With solid eight figure revenues and a strong balance sheet, as well as several locations on the west coast and a deep database with thousands of patients in need of addiction services and products, we are very well placed to take advantage of the market."

"We continue to work toward a transaction in the marijuana industry," continued Mr. Heath. "We anticipate that company's interested in a transaction with us will view our footprint and market presence as a tremendous platform with significant revenue opportunities as a result. Each has a differing view on how to monetize the marijuana opportunities in our centers. We are now focused on vetting these potential deals and interested parties. Ultimately we will work to choose the one that provides maximum shareholder value."

Completion of any transaction would be subject to a number of conditions, including but not limited to, applicable regulatory, stock exchange, director and shareholder approvals. There can be no assurance that a transaction will be agreed to or completed.

The Company's financial statements for the three months ended May 31, 2018 and 2017 and accompanying Management's Discussion & Analysis (MD&A) have been filed on SEDAR and are available at www.sedar.com.

Non-GAAP Measures

This press release refers to "Adjusted EBITDA" which is a non-GAAP and non-IFRS financial measure that does not have a standardized meaning prescribed by GAAP or IFRS. The Company's presentation of this financial measure may not be comparable to similarly titled measures used by other companies. This financial measure is intended to provide additional information to investors concerning the Company's performance. Adjusted EBITDA is defined as EBITDA excluding stock based compensation and gains/losses on financial derivatives. Adjusted EBITDA is a Non-IFRS measure the Company uses as an indicator of financial health, and excludes several items which may be useful in the consideration of the financial condition of the Company, including interest expense, taxes, depreciation, amortization, stock based compensation, good will impairment and gain/losses on financial derivatives. The following table shows our Non-IFRS measure (Adjusted EBITDA) reconciled to our net income for the indicated periods:

('000 CAD)       Three Months Ended
Category       May 31, 2018
Net Income (loss)         $    (770 )
Add Back:  
Depreciation and Amortization     192  
Interest Expense/(Interest Income)     115  
Amortization of non-cash prepaid real estate option fee   123  
Provision for income taxes         -  
EBITDA           $    (340 )
Add Back:  
Stock-based compensation     61  
One-time non-recurring cost     -  
Facility set up           5  
Adjusted EBITDA         $    (274 )
               

Management uses these non-GAAP measures as key metrics in the evaluation of the Company's performance and the consolidated financial results. The Company believes these non-GAAP measures are useful to investors in their assessment of the operating performance and the valuation of the Company. In addition, these non-GAAP measures address questions the Company routinely receives from analysts and investors and, in order to assure that all investors have access to similar data, the Company has determined that it is appropriate to make this data available to all investors. However, non-GAAP financial measures are not prepared in accordance with GAAP, and the information is not necessarily comparable to other companies and should be considered as a supplement to, not a substitute for, or superior to, the corresponding measures calculated in accordance with GAAP.

Forward-Looking Statements

Certain statements contained in this press release constitute "forward-looking information" as such term is defined in applicable Canadian securities legislation. The words "may", "would", "could", "should", "potential", "will", "seek", "intend", "plan", "anticipate", "believe", "estimate", "expect" and similar expressions as they relate to the Company, including, the Company completing a transaction/merger with a company in the cannabis industry, are intended to identify forward-looking information. All statements other than statements of historical fact may be forward-looking information. Such statements reflect the Company's current views and intentions with respect to future events, and current information available to the Company, and are subject to certain risks, uncertainties and assumptions. Material factors or assumptions were applied in providing forward-looking information. Many factors could cause the actual results, performance or achievements that may be expressed or implied by such forward-looking information to vary from those described herein should one or more of these risks or uncertainties materialize. These factors include, without limitation: changes in law; the ability to implement business strategies and pursue business opportunities; the state of the capital markets; the availability of funds and resources to pursue operations; decline of reimbursement rates; dependence on few payors; possible new drug discoveries; a novel business model; dependence on key suppliers; granting of permits and licenses in highly regulated businesses and industries; competition; changes in healthcare regulations or insurance coverage, particularly those relating to mental health or younger citizens; difficulty integrating newly acquired businesses; the time, outcome and cost of any inquiries, audits or litigation with insurance providers, or federal, state or local regulators; low profit market segments; fluctuations in exchange rates; investing in companies or projects which have limited or no operating history and/or are engaged in activities currently considered illegal under US Federal laws; hindering market growth and state adoption due to inconsistent public opinion and perception of the medical-use and adult-use marijuana industry; general economic, market and business conditions, as well as those risk factors discussed or referred to in the Company's disclosure documents filed with the securities regulatory authorities in certain provinces of Canada and available at www.sedar.com. Should any factor affect the Company in an unexpected manner, or should assumptions underlying the forward looking information prove incorrect, the actual results or events may differ materially from the results or events predicted. Any such forward-looking information is expressly qualified in its entirety by this cautionary statement. Moreover, the Company does not assume responsibility for the accuracy or completeness of such forward-looking information. The forward-looking information included in this press release is made as of the date of this press release and the Company undertakes no obligation to publicly update or revise any forward-looking information, other than as required by applicable law. All figures are in Canadian dollars unless otherwise indicated.

BLVD Centers Corporation
Nitin Kaushal
Director
(424) 372-1123
investorinfo@BLVDcenters.com
www.BLVDir.com

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