Business
Avant Brands Reports Q2 Fiscal 2023 Results with Fourth Consecutive Quarter of Cash Flow from Operations
Record Gross Revenues of $9.0 million (+101% vs Q2 2022). Positive Adjusted EBITDA 1 of $1....
About this update from Avant Brands Inc
[{"type":"text","content":"Avant Brands Reports Q2 Fiscal 2023 Results with Fourth Consecutive Quarter of Cash Flow from OperationsRecord Gross Revenues of $9.0 million (+101% vs Q2 2022).Positive Adjusted EBITDA1 of $1.1 million (+$2.7 million vs Q2 2022).Positive Cash Flow from Operations2 of $2.1 million (+$2.7 million vs Q2 2022).Fourth consecutive quarter of both positive Adjusted EBITDA1 and Cash Flow from Operations2.KELOWNA, BC / ACCESSWIRE / July 17, 2023 / Avant Brands Inc (TSX:AVNT)(OTCQX:AVTBF)((FRA:1BUP) (\"Avant\" or the \"Company\"), a leading producer of innovative premium cannabis products, today reported its financial results for the second quarter ended May 31, 2023, of the Company's fiscal year (\"Q2 2023\" ).\"We are excited to announce another quarter of record revenues,\" said Norton Singhavon, Founder and CEO of Avant. \"Robust domestic and international demand for our products, combined with efficient operations, has allowed us to achieve positive cash flow and adjusted EBITDA. Moreover, the acquisition of the Flowr Group Okanagan has substantially enhanced our ability to fulfill this demand and continue delivering strong revenue growth.\" Financial Highlights (Q2 F2023)All figures compared with Q2 2022Gross Revenue of $9.0 million, which is a record quarter for the Company (+101% or +$4.5 million). The four most recent quarters have been the highest gross revenue quarters in the Company's history.Total Net Revenue of $8.0 million (+96% or +$3.9 million).Recreational Net Revenue of $4.8 million (+53% or +$1.6 million).Export-B2B Net Revenue of $3.2 million (+311% or +$2.4 million).Overall gross margin3 of 34% (vs. 23%), as the Company continues to withstand the impact of price compression and inflation. The Company's gross margins slightly decreased when compared to its most recent fiscal quarter (Q1 2023) as a result of liquidating inventory produced by The Flowr Group (Okanagan) Inc. (\"Flowr\") prior to its acquisition.Record gross margin dollars of $3.3 million (+294% or +$2.5 million).Recreational (Dried Flower Pre-rolls, and Concentrates/Infused products) gross margin of 59% (vs. 50%).Export-B2B gross margin of 37% (vs. 14%), reflecting a blend of high margin exports of Avant's premium cannabis, combined with low margin liquidation of Flowr's pre-acquisition flower inventory.Total of 2,676 kg of cannabis sold (+182% or +1,72...