· Net Sales increase to $7.1 million, a 66% year-to-year increase
· Adjusted Net income grew from $32K in 2017 to $975K in 2018
· Current assets increase by $900K
Jacksonville, Florida, Aug. 31, 2018 (GLOBE NEWSWIRE) -- via NEWMEDIAWIRE -- mCig Inc., (OTCQB:MCIG), a diversified company servicing the legal cannabis markets, announced today is pleased to announce highlights of its year-end financial results as recorded in its recently filed Form 10K.
The Company continues to maintain a strong balance sheet and significant cash position securing its ongoing operations. Net sales increased from $4.8 million in 2017 to $7.1 million in 2018. This represents a 66% increase in net sales - a figure that is in line with mCig’s history of stable sales growth, and was driven primarily by mCig’s cannabis supply and grow division.
The company recorded a Net Loss of $1,076,930 for the year ended April 30, 2018. However, this loss included one-time impairments, legal reserves, and depreciation expenses of retail components not yet fully actualized. mCig fully expects to recoup any 2018 losses in what it predicts will be a very successful 2019.
“At mCig, we focus on enhancing shareholders’ positions through increasing revenue and profitability, and avoiding toxic debt. In 2018, we decreased our stock-based compensation and continued to remain 100% debt free, all while growing our sales by 66%,” remarked Michael Hawkins, CFO.
The company also invested significantly in its own growth in 2018, partnering with the FarmOn!Foundation on a 40-acre hemp pilot project, NYAcres. The success of the pilot prompted mCig to expand this model into other states. In May 2018, the company purchased land in California City and obtained licenses to grow, manufacture and distribute cannabis in the state of California, positioning itself as an early player in the recently legalized state.
“I am pleased to report strong operational and financial results in 2018,” said CEO Paul Rosenberg, “and 2019 is shaping up to be even stronger. With the S-1 approval of our subsidiary, OBITX, expected any day, and the upcoming harvest of our first hemp crop at NYAcres, we are very optimistic that the upcoming year will add increasing value for our shareholders.”
About MCIG Group ( MCIG )
Headquartered in Jacksonville, Florida, mCig, Inc. ( MCIG ) is a diversified company servicing the legal cannabis, hemp, and CBD markets via its lifestyle brands. mCig, Inc. is committed to being the leading distributor of technology, products, and services to fit the needs of a rapidly expanding industry.
Safe Harbor Statement:
Any statements contained in this press release that do not describe historical facts may constitute forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. Any forward-looking statements contained herein are based on current expectations, but are subject to a number of risks and uncertainties. The factors that could cause actual future results to differ materially from current expectations include, but are not limited to, risks and uncertainties relating to the Company’s ability to develop, market and sell products based on its technology; the expected benefits and efficacy of the Company’s products and technology; the availability of substantial additional funding for the Company to continue its operations and to conduct research and development, and future product commercialization; and the Company’s business, research, product development, regulatory approval, marketing and distribution plans and strategies.
This release contains a non-GAAP disclosure, EBIDTA, which consists of net income plus interest expense, net, provision for income taxes and depreciation and amortization. This term, as the Company defines it, may not be comparable to a similarly titled measure used by other companies and is not a measure of performance presented in accordance with GAAP. The Company uses EBIDTA as a measure of operating performance. EBIDTA should not be considered as a substitute for net income.
Contact: Paul Rosenberg Attn: Chief Executive Officer paul@mcig.org
