Delta 9 Provides Guidance for Q1, 2019 Results, Anticipating Revenues of $5.4M to $5.8M
WINNIPEG, MB (May 7, 2019) – DELTA 9 CANNABIS INC. (TSXV: NINE) (OTCQX: VRNDF) (“Delta 9” or the “Company”) is pleased to provide guidance on select first quarter results for the three-month period ending March 31, 2019:
- Based on preliminary results, the Company anticipates revenues of between $5.4 million and $5.8 million for the three-month period ending March 31, 2019, compared with $332,107 for the three-month period ending March 31, 2018. Revenues are expected to be up over 1,500% in Q1, 2019 versus Q1, 2018.
Full first quarter results will be published on May 30, 2019, after the close of the market, followed by a conference call, details for which can be found at the end of this release.
“The first quarter of 2019 was another record revenue quarter for Delta 9. We expect to see a significant increase in revenues year over year with a meaningful increase sequentially as the Company continues to execute on its strategic growth plan in the Canadian adult use cannabis market,” said John Arbuthnot, CEO. “We are well positioned with high growth revenue streams from our wholesale, retail and business-to-business operations to significantly grow revenues throughout this year.”
Revenue growth for the first quarter was driven by the Company's strong market position in the Manitoba retail market, and an expansion in wholesale revenues in Manitoba and Saskatchewan.
The preliminary estimated financial results and other data for the quarter ended March 31, 2019 set forth above are subject to the completion of the Company's financial closing procedures. These preliminary estimated financial results have been prepared by and are the responsibility of the Company's management and were approved on May 7, 2019. The Company’s independent registered public accounting firm, Baker Tilly HMA LLP, has not audited, reviewed or performed any procedures with respect to these preliminary estimated financial results and other data, and accordingly does not express an opinion or any other form of assurance with respect thereto. The Company currently expects that its final results of operations and other data will be consistent with the estimates set forth above, but such estimates are preliminary and the Company’s actual results of operations and other data could differ materially from these estimates due to the completion of its financial closing procedures, final adjustments and other developments that may arise between now and the time such consolidated financial statements for the period ended March 31, 2019 are issued.
First Quarter 2019 Results Conference Call
Delta 9 will release the results for its first quarter on May 30, 2019. A conference call to discuss the results for its first quarter will be schedule for May 31, 2019, pre-market. The conference call will be hosted that day at 9:00 a.m. Eastern Time by John Arbuthnot, Chief Executive Officer, and Jim Lawson, Chief Financial Officer, followed by a question and answer period.
May 31, 2019
9:00am Eastern Time
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For more information contact:
Investor & Media Contact:
Ian Chadsey VP Corporate Affairs
About Delta 9 Cannabis Inc.
Delta 9 Cannabis Inc. is a vertically integrated cannabis company focused on bringing the highest quality cannabis products to market. The company sells cannabis products through its wholesale and retail sales channels and sells its cannabis grow pods to other businesses. Delta 9's wholly-owned subsidiary, Delta 9 Bio-Tech Inc., is a licensed producer of medical and recreational cannabis and operates an 80,000 square foot production facility in Winnipeg, Manitoba, Canada. Delta 9 owns and operates a chain of retail stores under the Delta 9 Cannabis Store brand. Delta 9's shares trade on the TSX Venture Exchange under the symbol "NINE" and on the OTCQX under the symbol VRNDF. For more information, please visit www.delta9.ca.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Disclaimer for Forward-Looking Information
Certain statements in this release are forward-looking statements, which reflect the expectations of management regarding the Company’s future business plans and other matters. Forward-looking statements consist of statements that are not purely historical, including any statements regarding beliefs, plans, expectations or intentions regarding the future. Forward looking statements in this news release include statements relating to: (i) Delta 9’s financial results for the quarter ended March 31, 2019; and (ii) Delta 9’s strategic growth plan. Such statements are subject to risks and uncertainties that may cause actual results, performance or developments to differ materially from those contained in the statements, including the Company’s actual financial results being different from its estimates as well as all risk factors set forth in the annual information form of Delta 9 dated April 30, 2019 which has been filed on SEDAR. No assurance can be given that any of the events anticipated by the forward-looking statements will occur or, if they do occur, what benefits the Company will obtain from them. Readers are urged to consider these factors carefully in evaluating the forward-looking statements contained in this news release and are cautioned not to place undue reliance on such forward-looking statements, which are qualified in their entirety by these cautionary statements. These forward-looking statements are made as of the date hereof and the Company disclaims any intent or obligation to update publicly any forward-looking statements, whether as a result of new information, future events or results or otherwise, except as required by applicable securities laws.