Business
Greenlane Reports Fourth Quarter and Full Year 2019 Results
BOCA RATON, Fla., March 30, 2020 (GLOBE NEWSWIRE) -- Greenlane Holdings, Inc. (Nasdaq: GNLN) (“Greenlane” or “the Company”), one of the largest global sellers
About this update from Greenlane Holdings, Inc.
[{"type":"text","content":"BOCA RATON, Fla., March 30, 2020 (GLOBE NEWSWIRE) -- Greenlane Holdings, Inc. (Nasdaq: GNLN) (“Greenlane” or “the Company”), one of the largest global sellers of premium cannabis accessories and specialty vaporization products, today reported financial results for the fourth quarter and full year ended December 31, 2019.\n Fourth Quarter and Full Year Highlights Well-funded to execute upon business transformation, with $47.8 million in cash as of December 31, 2019, compared to $7.3 million as of December 31, 2018.Delivered on strategy to move away from high-volume, low-margin products and sales, in favor of high-margin sales and the promotion of the Company’s house brands: Reduced JUUL sales percentage to 15.9% for the fourth quarter 2019, compared to 45.4% for the third quarter 2019;Improved gross margin on fourth quarter JUUL sales by 4.7%, while sales of JUUL products decreased from $20.2 million for the third quarter 2019 to $5.9 million for the fourth quarter 2019. Continued to grow and diversify portfolio of owned brands and direct-to-consumer retail operations: Increased house brands share of net sales to 11.8% in the fourth quarter of 2019, equaling approximately $4.4 million dollars in net sales;Completed the construction work on Higher Standards’ third retail location in Malibu, CA during the fourth quarter and announced the opening of the store on January 23, 2020;Launched new house brand, the K.Haring Collection, a selection of functional glass art and lifestyle products with the iconic imagery of artist Keith Haring; andDoubled sales of VIBES over every sequential quarter since launch, with the brand now present at over 1,500 B2B customers and growing. Closed on the acquisition of Pollen Gear on January 14, 2019, a leading supplier of premium child-resistant packaging to the cannabis industry, which contributed approximately $10.7 million to net sales for the year ended December 31, 2019.Vapor.com, the Company’s e-commerce platform, experienced sustained growth over sequential quarters, both in terms of daily store transactions and average basket size, which were up approximately 30% and 7%, respectively, from the third quarter of 2019.Signed new distribution and exclusive partnership agreements with leading players in the industry, including Omura, Santa Cruz Shredder, Storz & Bickel and Cookies. Aaron LoCascio, Gr...