Business
Digipath Inc. (OTCMKTS: DIGP) Announce 40% YoY Growth in Revenues in Q1 2022
Digipath Inc. (OTCMKTS: DIGP) had announced financial results for its fiscal Q1 2022 ending December 31, 2021, in revenue increased 40% and net loss reduced 26%.
Revenue was $699,585 in Q1 2022
Revenues rose significantly compared to the same quarter last year, increasing by 40% from $500,385 in Q1 2021 to $699,585 in Q1 2022. As a result, net loss significantly decreased, falling from $390,637 in the first quarter of 2021 to $290,325 in Q1 2022, a 26% decline. Gross profit improved significantly as well, rising from $79,500 in Q1 2021 to $276,984 in the current quarter.
Chief Financial Officer, Stone Douglass, said, “We are pleased by the significant progress detailed in our most recent quarterly report. While there is certainly work to be done to further improve efficiencies and our margins, we believe we have an actionable plan to address these issues as we’re spending a little extra capital now to make more revenue later.”
Douglass also stated that they are also encouraged to witness a considerable decrease in Net Loss, particularly as the company continues to grow its sales. With the Gross Profit increasing dramatically, Digipath’s business strategy has been proven and affirmed
Founder and President of Digipath, Todd Denkin, said, “All this leads us to a position of significant optimism as we continue to progress in our efforts to complete the acquisition of a controlling interest in the Steep Hill California lab in Berkeley.”
Digipath run laboratory receives compliance testing permit
Recently the company announced that it had been given a compliance testing permit for California State for the Steep Hill California hemp and cannabis testing lab run by Digipath in Berkeley. In addition to its current R&D testing activities, the Steep Hill California facility now has the ability to provide compliance testing for all marijuana products.
As previously stated, the Company executed a letter of intent with EVIO, Inc. to purchase a majority stake in the Steep Hill California lab in exchange for shares of its common stock. As per the LOI terms, Digipath is managing operations of the lab following the closing of the deal.
