Business
Heritage Cannabis Books Record Sales in the Month of July; Provides Sales Pipeline Update
Heritage Cannabis Books Record Sales in the Month of July; Provides Sales Pipeline Update.
About this update from Trees Corporation
[{"type":"text","content":"\nHeritage Cannabis Holdings Corp. (CSE: CANN) (OTCQX: HERTF) (“Heritage” or the “Company”), is pleased to announce that unaudited sales for July 2021 hit a monthly record of $3.2M, marking the fifth monthly sales record in 2021. The record sales figures for the Company reflect its growing market share, which is correlated to the Company’s introduction of innovative products and expanded distribution channels.\n\nAs sales momentum builds, Heritage remains focused on increasing margins and containing costs. Gross margins for July also achieved a monthly record, while SG&A costs as a percentage of revenue continue to decline from the level reported in the second fiscal quarter. Spending and capital expenditures by the Company are measured by their expected return on investment and ability to generate near-term revenues.\n\nManagement has prepared an update on its 2021 strategic growth initiatives and its sales pipeline:\n\nVapes\nVape products have been a key driver in recent sales growth initiatives with sales hitting consecutive records every month this year. Headset, Inc. (“Headset”) data shows Heritage as 11th in sales through the first half of 2021 in Canada and gaining significant market share during the same period. Heritage offers vape products under four of its brands (Premium 5, RAD, Purefarma, and Pura Vida) and has been proactively managing its offerings to stay price competitive in all segments, while also delivering innovative products and new flavour profiles to keep up with consumer demands. Three new listings were secured in New Brunswick and five new stock keeping units (“SKUs”) were secured in Alberta. Heritage is now the second largest vape supplier to New Brunswick with a 12% market share.\n\nConcentrates\nHeritage continues to command a large market share of concentrate products and holds the 3rd spot in Canadian sales1 for the first half of 2021. Heritage brand Premium 5 introduced the first dabs and first live resin products in the country in 2020 and is continuing to lead the category in innovation. The company currently has 30 concentrate SKUs in market, with sales of the RAD line showing enormous traction in all markets where they are currently offered. Recent concentrate launches in Ontario have been extremely successful and have prompted a signi...