Business
Greenlane Reports Preliminary Third Quarter 2021 Financial Data
Company to Host Third Quarter 2021 Conference Call and Webcast on November 16, 2021 at 8:30 a.m. Eastern TimeBOCA RATON, FL / ACCESSWIRE / November 3, 2021 /
About this update from Greenlane Holdings, Inc.
[{"type":"text","content":"Company to Host Third Quarter 2021 Conference Call and Webcast on November 16, 2021 at 8:30 a.m. Eastern TimeBOCA RATON, FL / ACCESSWIRE / November 3, 2021 / Greenlane Holdings, Inc. (\"Greenlane\" or \"the Company\") (NASDAQ:GNLN), one of the largest global sellers of premium cannabis accessories, child-resistant packaging, and specialty vaporization products, today announced preliminary financial data for its third quarter ended September 30, 2021, which reflects approximately one month of combined operations following the successful merger of Greenlane and KushCo Holdings, Inc. (\"KushCo\"), which was completed on August 31, 2021.Preliminary Estimated and Unaudited Third Quarter 2021 Financial and Other Data:On a preliminary (unaudited) basis, the Company anticipates:Net sales of between approximately $40 million and $41 millionGAAP Gross margin of between approximately (2)% to 0%Adjusted Gross margin of between approximately 19% to 21%Total cash balance of approximately $13 million MarginGAAP Gross profit$(1) million to $0 million(2)% to 0%Inventory Rationalization1$9 million Adjusted Gross profit$8 million to $9 million19% to 21%Represents charges relating to one-time inventory rationalization adjustments implemented in connection with the closing of the merger with KushCo Holdings, Inc. Amount is currently under review and represents management's current estimate. The final inventory rationalization adjustment for the quarter ended September 30, 2021, has not been determined as of the date hereof and is subject to change as a result of, among other things, the completion of our financial closing procedures and the preparation of our financial statements for the quarter ended September 30, 2021. The information presented herein should not be considered a substitute for the financial information we will file with the Securities and Exchange Commission in our Quarterly Report on Form 10-Q for the quarter ended September 30, 2021 once it becomes available.Management Commentary\"As we shared when announcing our merger with KushCo, we identified a small part of the legacy Greenlane business that competed with KushCo's packaging business,\" said Nick Kovacevich, CEO of Greenlane Holdings. \"A significant portion of our rationalization work post-merger has been to eliminate the redundancies between those two units and to write off...