Invictus MD Strategies (IMH.V) celebrated today when the company announced that it’s subsidiary, Future Harvest, which Invictus holds an 82.5% stake in, brought in $1.787 million in revenues for the 9 months ending March 31, 2017.
According to the news release, gross margins for this period were $907,864 or 50.8%, compared to the same period last year which Future Harvest generated a gross margin of $642,773 or 35.9%.
Chief Revenue Officer of Future Harvest, Chris Pearson, commented, “…we supply specialty fertilizers and other supplies for hydroponics, the indoor method of growing crops favored by cannabis cultivators. We know there’s a massive market out there; we’re directly focused on what’s made our business successful: high-value crops.”
He went on to explain, “To seize the growing demands in the cannabis sector, we’ve ramped up production by installing a second, fully automated bottling line increasing overall production efficiency by 400%, and a state-of-the-art pill press (patent pending), enabling us to produce water-soluble nutrient tablets, eliminating the need for water and salt and greatly reducing packaging and transportation costs for large-scale commercial applications.”
Then he concluded, “These initiatives further position us for the highly profitable business opportunities within the global cannabis sector.”
Dan Kriznic, Chairman and CEO of Invictus, added, “Future Harvest’s success reinforces our focused execution on being a leader in the burgeoning global cannabis industry as Canada moves closer to legalized recreational marijuana. We remain confident in our ability to delivering strong results this year, and expand Future Harvest’s ability to further increase our shareholder value.”
It has been an active March for Invictus, starting with the company closing a previously announced bought deal private placement with Cannacord Genuity and Eventus Capital for aggregate gross proceeds of $16.22 million.
Almost two weeks later, the company announced that it had completed its final commitment with a cash transaction of $2.0 million to acquire 33.33% of AB Labs, an LP operating under ACMPR which maintains a 16,000-square foot facility located in Hamilton, Ontario.
AB Labs has successfully grown test crops and is currently operating at half capacity with full production capacity expected by the end of May 2017.
Then there’s the AB Ventures thing, which Invictus and AB Labs own. AB Ventures is working on the acquisition of 100 acres which is expected to close on May 1, 2017 and once licensed under the ACMPR, will be used for the future cultivation of cannabis.
Invictus MD also closed a definitive option agreement to purchase 100% interest in an unnamed company, who has constructed a 6,800 square foot production facility with an expansion plan floor plate of 30,000 square feet. The company also has an option to add a 20,000 square foot mezzanine on a 150 acre property in Edson, Alberta.
And let’s not forget that Invictus went from the CSE to the TSX Venture Exchange. It looks like the company is firing on all cylinders. It will be interesting to see how this all unfolds after the Canadian Government finally legalizes.
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