Business
Pervasip Announces Positive 1st Quarter EBITDA of $124,221 and 178% Growth in Gross Margin
Pervasip Announces Positive 1st Quarter EBITDA of $124,221 and 178% Growth in Gross Margin.
About this update from Pervasip Corp.
[{"type":"text","content":"\n SEATTLE, April 18, 2022 (GLOBE NEWSWIRE) -- Pervasip Corp. (OTCPK: PVSP) (“Pervasip” or the “Company”), a developer of companies and technologies in high value emerging markets, today announced the filing of its unaudited financial statements for its 1st Quarter ended February 28, 2022. As outlined in the 2022 shareholder letter, Pervasip launched a system wide restructuring after hiring new CEO & President German Burtscher and CFO George Jordan in Q4 2021. Adjusted for a onetime expense recognition of $176,246 in annualized severance payments, and $270,571 in depreciation EBITDA for Q1 equals $124,221 with 39% in Gross Margins. This marks a material improvement compared to the period ended February 28, 2021, which equaled ($649,831) in EBITDA and 23% in gross margins.  Table 1: EBITDA    Three Months EndedThree Months Ended     February 28, 2022  February 28, 2021        Revenue$3,824,553 $3,736,409   COGS$2,315,425 $2,886,904   Gross Profit$1,509,128 $849,505     39%  23%        SG&A$1,384,908 $1,499,336        EBITDA$124,221 $(649,831)    3.2%  -   Net loss attributable to Pervasip Corp. for the period ended February 28, 2022 decreased to $(103,788) from $(582,882) for the period ended February 28, 2021, and includes onetime termination expense charges of $176,246 or an adjusted positive net income of $72,458. While December through February are traditionally the slowest quarter of the year in Cannabis, and on the heels of an industry wide post pandemic contraction, Pervasip is reporting 2.4% growth in revenue over last year’s comparative First Quarter, markedly improved gross margins and positive EBITDA. “Our team has executed the first half of our restructuring plans flawlessly over the past few months. Improved gross margins, achieving positive EBITDA and quarter over quarter revenue growth even in the traditionally slowest quarter in our industry and compared to a pandemic high Q1 2021 is a testament to our strength, the direction of the Company and the power of the Artizen br...