Lowell Farms Inc. (OTCQX:LOWLF), a vertically integrated cannabis company, reported late Thursday its unaudited revenue and operating results for the first quarter of 2023.
Lowell Farms managed to improve its operating loss, which was $2.3 million, a 5% improvement from the same period last year. Compared to the previous quarter, the operating loss improved significantly by 64%.
The net loss for the first quarter of 2023 was $4.0 million, slightly lower than the net loss of $4.1 million in the first quarter of 2022. Adjusted EBITDA, a non-GAAP financial measure, was negative $1.1 million for the quarter, compared to negative $0.9 million in the first quarter of 2022.
Lowell Farms Q1 2023: A Summary
- Net revenue for Q1 2023 decreased by 39% to $7.5 million compared to the same period last year.
- The decline in revenue was mainly due to a 49% decrease in consumer packaged goods (CPG) revenue and an 86% decrease in Lowell Farm Services revenue.
- However, there was a 44% increase in bulk revenue from self-grown wholesale products compared to Q1 2022, although there was a 9% decrease compared to the previous quarter.
- Despite a 31% decrease in volume, the realized price per pound increased by 24% in Q1 2023.
- The company reported a gross profit of $0.1 million, reflecting a gross margin of 1.8%, which is lower than the 12.7% gross margin in Q1 2022.
- Lowell Farms improved its operating loss, which was $2.3 million, representing a 5% improvement from the same period last year.
- Compared to the previous quarter, the operating loss significantly improved by 64%.
- The net loss for Q1 2023 was $4.0 million, slightly lower than the net loss of $4.1 million in Q1 2022.
- Adjusted EBITDA, a non-GAAP financial measure, was negative $1.1 million for the quarter, compared to negative $0.9 million in Q1 2022.
Photo: alohamalakhov via Pixabay.
