CCC (Cannabis Control Commission) in Massachusetts approved cultivation and processing facilities and Mission Dispensary of 4Front Ventures Corp (OTCMKTS:FFNTF). The agency also approved production operations and adult-use cannabis retail sales of 4Front, which will commence sales on September 4, 2020.
Improves bottom line and topline growth
4Front addresses the adult-use market in Massachusetts and improves its bottom line and topline growth significantly in H2 2020 and 2021 by expanding its operations. The company is also expanding its manufacturing facilities in Georgetown, Massachusetts, to satisfy the domestic market’s growing demand.
CEO of 4Front, Leo Gontmakher, said the company achieved an important milestone by receiving the license for adult-use cannabis in Worcester. The company also obtained a license for adult-use cannabis in August for its Georgetown facility. It is consistent with its policy of setting the targets and accomplishing them on time.
4Front posted a growth of 36% QoQ to $23.7 million in Systemwide proforma sales in Q1 2020. Its IFRS sales in Q1 2020 rose by 37% QoQ to $17.7 million. Despite the ongoing coronavirus, the company is enjoying robust demand for its products in all the regions where it operates because cannabis is an essential business.
Expects to complete the funded expansion in Q4 2020
4Front will complete the funded expansion in Illinois and Massachusetts based manufacturing facilities. It will maintain positive cash flow in H2 2020 and expects to achieve operational leverage next year.
4Front reduced its corporate overheads by 40% in Q1 2020. The company holds a debt of $80.1 million in its Washington operations by the end of Q1 2020. It maintains a facility of 176,000 Sq. Ft. in Washington for production, cultivation, and distribution. 4Front is also putting in efforts to strengthen its balance sheet by financing/ sale-leaseback of the affiliated facilities based in Washington.
Gontmakher said the company focuses on its low-cost production and cultivated models in the targeted states to drive growth going forward. The company strengthened its balance sheet and streamlined its cost structure in Q1 2020 and set the stage to accelerate growth in its core markets like California, Michigan, Massachusetts, Illinois, and Washington.
Post Views: 148 Can you spot the difference between the hemp plant and marijuana plant? Hint: It’s not in the...
Stem Holdings Inc (OTCMKTS:STMH) Reports A Growth Of 960% In Q3 2020: Unveils TJGardens Branded Tinctures
Post Views: 378 Stem Holdings Inc (OTCMKTS:STMH) posted an increase of 960% YoY to $6.7 million in Q3 2020. It...
Indiva Ltd (OTCMKTS:NDVAF) Signs Three Provincial Agreements: Expands Distribution Network To Eight Provinces: Reports A Robust Growth Of 1273.7% In Q2 2020 Revenues
Post Views: 403 Indiva Ltd (OTCMKTS:NDVAF) posted a robust growth of 1273.7% YoY to CAD 2.826 million in revenues in...
4Front Ventures Corp (OTCMKTS:FFNTF) Receives Approval From CCC For Mission Dispensary and Cultivation Facilities In Worcester: Will Commence Adult-Use Cannabis Sales
Post Views: 377 CCC (Cannabis Control Commission) in Massachusetts approved cultivation and processing facilities and Mission Dispensary of 4Front Ventures...
Pure Sunfarms, A Joint Venture Of Village Farms International Inc (NASDAQ:VFF), Ships Bottled Oil Products TO British Columbia
Post Views: 500 Pure Sunfarms, which is a Village Farms International Inc (NASDAQ:VFF) JV, commenced shipment of Cannabis 2.0 products...
Health Canada Grants Cannabis 2.0 License To Abba Medix Corp, An Auxiliary Of Canada House Cannabis Group Inc (OTCMKTS:SARSF)
Post Views: 396 Abba Medix Corp., a wholly-owned subsidiary of Canada House Cannabis Group Inc (OTCMKTS:SARSF), received an amended cannabis...