Business
Grapefruit(TM) USA, Inc. Reports 284% Revenue Growth Year-Over-Year; 124% Revenue Growth Quarter over Previous Quarter, Margins Expand
Grapefruit(TM) USA, Inc. Reports 284% Revenue Growth Year-Over-Year; 124% Revenue Growth Quarter over Previous Quarter, Margins Expand.
About this update from Grapefruit Usa Inc.
[{"type":"text","content":"LOS ANGELES / DESERT HOT SPRINGS, CA / ACCESSWIRE / August 12, 2020 / GrapefruitTM USA, Inc., ("GPFT", "Grapefruit" or the "Company") (OTCQB:GPFT) a California based cannabis distribution and manufacturing corporation, is announcing today that in its quarterly report on Form 10-Q for the six months ended June 30, 2020 filed with the SEC last evening, the Company reported net revenues of $1,272,211 for the six months ending June 30, 2020, an increase of $942,170 or 284% over revenues of $332,041 for the six months ending June 30, 2019.For the three-month period ending June 30, 2020, the Company reported net revenues of $880,652, an increase of $487,093 or 124% over the previous quarter ending March 31, 2020.This marked the second consecutive quarter that the Company reported revenue expansion in excess of 100% or more.The Company's gross margin improved from a negative gross margin for the quarter ending March 31, 2020 to approximately 10% for the quarter ending June 30, 2020 due to a reduction in distribution operations discounts associated with the August 2019 restart of distribution operations, one time legal, accounting and consulting costs incurred in connection with the reverse acquisition of Imaging3, Inc. and the filing and processing of the Company's registration on Form S-1 which was declared effective by the SEC on June 26, 2020. The Company reported a net loss of $2,380,542 for the six months ending June 30, 2020, approximately $1,660,000 of which was attributable to non-cash market driven derivative valuation reductions and non-cash interest charges. The loss from operations for the period ending June 30, 2020 was $712,150 compared to $409,901 for the year ago period, an increase of $302,249 or 74%. This increase was the result of newly restarted distribution operations and non-recurring expenses incurred in connection with the Imaging3, Inc. reverse acquisition and the S-1 registration statement as set forth above. For a full analysis of the Company's results of operations see the Company's Form 10-Q at pages 19-22.With respect to Grapefruit's 2020 second quarter results, Bradley J. Yourist, GrapefruitTM CEO, stated, "Despite the chaos visited upon us all as a result of the worldwide pandemic throughout the second quarter, we were able to grow our revenues 284% ...