Business
IM Cannabis Reports Second Quarter Financial Results
IMC Germany delivers +200% in sales in first three months after German legalization, while overall revenue grows 12% vs Q2 2023 TORONTO and GLIL YAM, Israel,
About this update from Im Cannabis Corp.
[{"type":"text","content":"IMC Germany delivers +200% in sales in first three months after German legalization, while overall revenue grows 12% vs Q2 2023\nTORONTO and GLIL YAM, Israel, Aug. 14, 2024 /PRNewswire/ -- IM Cannabis Corp. (the \"Company\" or \"IMC\") (NASDAQ: IMCC) (CSE: IMCC), an international medical cannabis company, announced its financial results today for the second quarter ended June 30, 2024. All amounts are reported in Canadian dollars and compared to the quarter ended June 30, 2023, unless otherwise stated.\n\nQ2 2024 Financial Highlights \n12% Revenue increase to $14.8M vs. $13.2M in Q2 2023 \n129% increase in IMC Germany sales vs. Q2 2023 to $3.5M. IMC Germany sales now make up 24% of the entire Company revenue, a growth of +105% vs Q2 2023 \n78% decrease in GM vs. 26% in Q2 2023 to 6% mainly caused by inventory clearance of $0.8M plus an accrual of $1.1M for slow moving stock \n29% decrease in operating expenses to $3.7M vs. $5.2M in Q2 2023Management Commentary\n\"The German market is not just poised to start delivering significant growth after the April 1st cannabis legalization, we can already see the impact the legalization has had on our German business. We were well positioned to take advantage of the growing market and delivered a 200% increase in sales in Q2,\" said Oren Shuster, Chief Executive Officer of IMC. \"We are actively making sure that we are allotting the resources and support the German business needs to deliver further accelerated growth.\"\n\"Our revenue in Q2 increased by 12 vs Q2 2023. This growth was driven in part by the 200% Germany grew in Q2 vs Q1 2024. Our selling price per gram of dried flower also increased 21% vs Q2 2023 to $6.09 per gram. In addition, our operating expenses continued to decrease by 29% vs Q2 2023, as a result of last year's restructuring,\" commented Uri Birenberg, Chief Financial Officer of IMC. \"Conversely, we cleared old raw material and accrued for slow moving stock for total of about $1.9 million which impacted our cost of sales, gross margin, and gross profit.\" \nQ2 2024 Conference Call \nThe Company will host a Zoom web conference call today at 9:00 a.m. ET to discuss the results, followed by a question-and-answer session for the investment community. Investors are invited to register by clicking here. All relevant information will be sent upon registration.\nIf you are u...