Business
Rocky Mountain High Brands Discusses Triumphs, Challenges and Future
Rocky Mountain High Brands Discusses Triumphs, Challenges and Future.
About this update from Rocky Mountain High Brands, Inc.
[{"type":"text","content":"\n PLANO, Texas, Nov. 30, 2023 (GLOBE NEWSWIRE) -- Rocky Mountain High Brands, Inc. (OTC: RMHB) today summarized the many triumphs and challenges it has encountered this year and discussed some of the company’s future plans. Triumphs: RMHB has successfully transitioned into the beverage copacking space through its wholly-owned subsidiary Rocky Mountain Productions Inc. which accounts for approximately 80% - 90% of RMHB revenue. The subsidiary was funded with a capital raised by RMHB. Rocky Mountain Production sales for the first quarter of 2023 were $2,378,000 with an EBITDA of $184,710. That was after only $360,000 in sales for January with a negative EBITDA of ($147,000). Gross sales for the whole year of 2022 were $3,635,428. The first quarter of 2023 marked the sixth straight quarter of increased sales since the fourth quarter of 2021.The Company relocated to a new facility with no production scheduled in the second quarter, which had a significant impact on revenue. The Company planned start up of production in the third and fourth quarter. The Company was able to maintain relationships with existing customers by producing extra inventory before the move and negotiating temporary longer terms. Challenges: Relocating a factory is a challenging project with a high degree of uncertainty and ambiguity. Prior to moving, the Company was proactively communicating with the landlord in an attempt to stay in the existing warehouse. The Company was very clear about priorities and expectations during a negotiating process that went down to our last month of occupancy with the hope of coming to an agreement on basic terms that would be acceptable to both parties.Finalizing a lease is an arduous process because both parties work to ensure that their own interests are addressed in the final agreement. Ultimately, the RMHB had to walk away from the deal because of the financial burden it would have imposed on the Company. The final blow came when the owners of the former building stated that Rocky Mountain Productions would no longer be allowed to manufacture CBD products at that facility. This resulted in a move that was structured at the last minute and management working to break down each phase into smaller, more manageable components. Each iteration included planning, design, development, testing, and review with regular communi...