Kush Bottles, a provider of packaging, supplies, vaporizers, accessories and branding solutions for the regulated cannabis industry, has reported financial results for its first fiscal quarter of 2018, for the period ended 30 November 30 2017.
Revenue was up 258% year-over-year to $8.85m.
Gross margins were 30%, compared with 34% in the prior year period, which is attributed to increased business in the lower margin vaporizer product segment.
Net income, including $382,000 in non-cash stock compensation, $202,000 in depreciation and amortization expense and $1.9 million in SG&A, was $94,615 compared to net loss of $161,000 in the fiscal first quarter of 2017.
Cash balance was $5.5 million as of November 30, 2017 compared to $0.9 million at August 31, 2017.
Working capital was $8.6 million as of November 30, 2017 compared to $3.4 million at August 31, 2017.
Nick Kovacevich, chairman and CEO of Kush Bottles, commented, "We entered fiscal 2018 with excellent momentum as we saw the impact of the strategic initiatives implemented throughout 2017 start to take hold.
Revenues for the first fiscal quarter of 2018 reached approximately $8.85 million, representing a 258% increase compared with fiscal Q1 2017. This strength in the business led to net profits of $94,615 in fiscal Q1 2018. We also saw our cash balance increase to $5.5 million, which we plan to invest towards inventory purchasing, development of proprietary products, and other strategic initiatives."
Kush Bottles, Inc. is a dynamic sales platform that provides unique products and services for both businesses and consumers in the cannabis industry.
Founded in 2010 as a packaging and supplies company for dispensaries and growers, Kush Bottles has sold more than 100 million units and now regularly services more than 4,000 legally operated medical and adult-use dispensaries, growers, and producers across North America, South America, and Europe.