Ventura Cannabis and Wellness Corp (OTCMKTS:CVHIF) reported revenues of $1.7 million from the cannabis business in Q1 2021. Its gross profits surged by 36% and maintained a cash balance of $2.7 million.
Disposes of addiction services business
Ventura Cannabis divested its addiction services business in Q1 2021. Lloyd Kaplan, Chairman of Ventura Cannabis, congratulated its management team for divesting rehab business and lowering accounts payable to more than $900,000 in Q1. The company will use the cash balance prudently for strategic transactions and maintain current cannabis assets.
Type 6 manufacturing license
Ventura Cannabis possesses a type 6 cannabis production license to operate medical-use and adult-use facilities based in the San Francisco Bay Area. The company owns a Type 11 license for the distribution of cannabis statewide. It holds a significant stake in Sacramento based adult-use dispensary license for delivery; it also developed a vape brand. All the cannabis assets in California hold significant revenue potential once they are fully operational.
Secures regulatory approvals to introduce a vaping product
Ventura Cannabis secured regulatory nod and distribution/ production facility in Santa Rosa, California, to introduce its California THC Vape product. The customers can purchase its THC vape product in June 2020.
The fully integrated company for California Vape products, Ventura Cannabis, can expand to include extraction, pre-roll, and edibles in its product line.
Ventura Cannabis maintains a luxury cannabis retail dispensary in Oregon to serve the needs of medical-use and adult-use customers. It expects to generate significant revenues from Oregon operations.
Ventura Cannabis is in the final stages of acquiring wholesale and processing licenses in Oregon. CEO of Ventura Cannabis, Chris Heath, said he is proud of the team to develop a suite of cannabis assets in these challenging conditions in a short period. All these assets in Oregon and California will generate significant revenues for the company going forward. The company will be debt-free and maintain a strong balance sheet.
California based Ventura Cannabis engages in serving underserved and large segments in the US. It focuses on cannabidiol and cannabis markets for senior citizens, the female and male population aged above 40, and addicted individuals.
The demand for legal cannabis worldwide expects to reach $45 billion by the year 2027.