BOSTON, July 12, 2022 (GLOBE NEWSWIRE) — via InvestorWire — AmeriCann Inc. (OTCQB:ACAN) (the “Company”), a cannabis company that develops state-of-the-art cultivation, product manufacturing and distribution facilities, today provides financial and operational updates for its Massachusetts cannabis cultivation, product manufacturing and distribution campus.
The Company achieved a significant increase in year-over-year quarterly revenue, increasing over 36% for the quarter ended June 2022 relative to the quarter ended June 2021, an increase of $213,902.
Monthly revenue for June 2022 increased 30% from June 2021.
“We’re pleased with achieving record revenue for the quarter and with the strong top-line growth rate,” stated President Tim Keogh. “Our operating margins are very strong, and we look forward to reporting our full quarterly financial results in August of 2022.”
The increase in financial performance is attributable to greater revenue received from products produced and manufactured at Building 1, the Company’s initial building at its Massachusetts Cannabis Center development in Freetown, Massachusetts.
Building 1 is a 30,000-square-foot cultivation greenhouse and processing facility that utilizes AmeriCann’s proprietary “Cannopy” cultivation system. Building 1 is fully occupied by Bask Inc., an existing Massachusetts licensed vertically integrated cannabis operator.
AmeriCann receives base rent and a revenue participation fee of 15% of all gross monthly sales of cannabis, cannabis-infused products and non-cannabis products produced at the Massachusetts Cannabis Center. As operations commenced and accelerated at Building 1, AmeriCann established many milestones for its financial performance.
A summary of operational highlights included the following:
- AmeriCann’s operating revenue for the quarter ending June 30, 2022, increased over 36% from the quarter ending June 30, 2021.
- The manufacturing of cannabis-infused products, including the 1906 branded “Drops,” Howl’s Tincture, and Harpoon Extracts, has increased dramatically at the Massachusetts Cannabis Center. Sales of manufactured infused products are expected to be even stronger as continual increases in production and sales for 1906 “Drops” are realized.
- The 1906 branded “Drops” has been the top-selling edible product in the Massachusetts market. Howl’s Tincture was the top-selling brand in the tincture category.
- For the first five months of 2022, the total cannabis sales revenue for the Massachusetts market was $708 million, which was 16% greater than the first five months of 2021. The annualized revenue estimate based on the first five months of 2022 is approximately $1.7 billion. Experts believe the market will exceed $1.8 billion annually.
- The total Massachusetts market has sold $3.2 billion since the inception of the Commonwealth’s regulated cannabis program.
AmeriCann (OTCQB:ACAN) is a cannabis company that develops cultivation, processing and product manufacturing facilities.
AmeriCann uses greenhouse technology that is superior to the current industry standard of growing cannabis in warehouse facilities under artificial lights. According to industry experts, by capturing natural sunlight, greenhouses use 25% fewer lights, and utility bills are lowered by as much as 75% compared to typical warehouse cultivation facilities. As such, AmeriCann’s Cannopy System enables cannabis to be produced with a greatly reduced carbon footprint, making the final product less expensive. Additionally, greenhouse construction costs are nearly half of warehouse construction costs.
AmeriCann is also designing GMP-certified cannabis extraction and product manufacturing infrastructure. The Company has secured licenses to produce cannabis-infused products including beverages, edibles, topicals and concentrates. AmeriCann plans to operate a marijuana product manufacturing business at the Massachusetts Cannabis Center.
This press release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”) (which Sections were adopted as part of the Private Securities Litigation Reform Act of 1995). Statements preceded by, followed by or that otherwise include the words “believe,” “anticipate,” “estimate,” “expect,” “intend,” “plan,” “project,” “prospects,” “outlook” and similar words or expressions, or future or conditional verbs such as “will,” “should,” “would,” “may” and “could,” are generally forward-looking in nature and not historical facts. These forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause the Company’s actual results, performance or achievements to be materially different from any anticipated results, performance or achievements. The Company disclaims any intention to, and undertakes no obligation to, revise any forward-looking statements, whether as a result of new information, a future event or otherwise. For additional uncertainties that could impact the Company’s forward-looking statements, please see the Company’s Registration Statement on Form S-1, which may be viewed at www.sec.gov.
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