1933 Industries (TGIF.C) added flower and prerolls to their portfolio of brands today, according to a press release.
The notion involved is that other cannabis companies are focusing on growing quantity, while 1933’s AMA brand meets a hole in the market for craft quality cannabis grown at scale.
“We are preparing to enter the smokable flower market segment with a differentiated premium tier product offering. Over the last two years, the Company has built a leading-edge, indoor grow facility focusing on the cultivation of craft cannabis at scale. With the Company’s past frustrations and struggles behind it, we are now reaching a notable milestone with valuable new inventory to sell into our 53 and growing list of dispensary accounts. This premium flower will greatly accelerate our sales momentum into next year because of its much higher price point and in fact, increase as our director of cultivation continues to perfect his craft within our facility. We expect that wholesale demand across our entire product portfolio will accelerate as the market in Nevada readjusts post-covid,” said Eugene Ruiz, president of 1933 Industries.
Nevada stores reopened in May, recording a 52% sales increase when compared to the previous month, when stores were only available for curbside pickup or home delivery.
Sales reached $58.2 million May, down 6% compared to May of 2019, but sales remain strong as the company’s year-to-date figures have reached $273.2 million, according to BDS Analytics.
“What this data tells us is that the Nevada cannabis market has weathered the Covid-19 pandemic well and that the market for cannabis flower is thriving,” said Ruiz.
Sales of flower accounted for 52% of the overall sales, pulling in $30 million, which was a 19% increase over last year. Pre-rolls accounted for 9% with $5.5 million in revenue.
1933 Industries focus for the past two years has been on cannabis concentrates, which represents less than a quarter of their revenue in Nevada. But by adding flower and pre-rolls, the company anticipates introducing a new revenue stream and a developing product portfolio in every category.
—Joseph Morton
