Grown Rogue International (GRIN.C) announced record revenues from its Michigan operations through its partners, Golden Harvests. Their Michigan operation brought in $700,000 USD and greater than 60% gross margin for the month of June.
Golden Harvests operates a 80,000 square foot facility which has 35,000 square feet of operational indoor space that can yield upwards of 5,000 pounds of high quality “A” flower, a space they recently upgraded from 25,000 to 35,000 square feet. The facility has eight individual flower rooms, and Golden Harvests completes weekly harvests, and they expect an additional 25,000 square feet of space to be operational by the end of next June, which they expect to bring their yield to 8,000 pounds.
“This record month shows the progress our company and team have made as we continue to scale our low cost, high quality flower business,” stated Obie Strickler, CEO of Grown Rogue. “We are excited to continue setting record months as we add additional cultivation rooms and expand our distribution network.”
The Detroit Free Press recently said that the Michigan cannabis market had “exploded”, after the Michigan Cannabis Manufacturers Association (MCMA) found that the cannabis market was ~$3.2 billion, with $1 billion coming from legal sales. Michiganders approved cannabis for recreational use in 2018, and saw their first recreational dispensaries open up in December 2019. Despite only being in the early days, Michigan is already the third largest market for recreational cannabis use in the states.
Looking at how things grew in Canada, it’s not crazy to imagine that Michigan will continue to see significant growth for at least a little while going forward. As more people move from the illegal market to the legal one, the legal market will continue to see strong growth.
Which is good news for Grown Rogue, as they aim to increase their sales to match their planned cultivation growth.
Following the news, Grown Rogue International’s share price has not changed and is currently at $0.19.
