Canada NewsWire
TORONTO, Jan. 28, 2019
TORONTO, Jan. 28, 2019 /CNW/ - National Access Cannabis Corp. ("NAC" or the "Company") (TSXV: META), a best practices leader in delivering secure, safe and responsible access to legal cannabis in Canada, today announced its results, for the first quarter ended November 30, 2018. All amounts are expressed in Canadian dollars unless otherwise indicated.
"2019 will be a foundational year for National Access Cannabis as the Company continues to scale its retail cannabis footprint across the country, locking-in a long-term competitive advantage for shareholders," said Mark Goliger, CEO of NAC. "The financial power of the platform we are building is only just beginning to show as we continue to build on our current platform of 22 stores. We are very proud of our team for the strong sales results generated in the early days of Canadian recreational legalization, and are well-positioned to generate additional growth and value for shareholders as we continue to open new stores in the coming year and as existing stores mature."
This press release should be read in conjunction with the unaudited condensed interim consolidated financial statements and accompanying notes for the three-month period ended November 30, 2018 and the related management discussion and analysis, as well as the Company's audited consolidated financial statements for the year ended August 31, 2018 and the related annual management discussion and analysis.
Select Operating Highlights
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1 Subject to the close of the acquisition of New Leaf Emporium and regulatory approval the acquisition |
Select Financial Highlights – Q1-2019
Financial Measures
There are measures included in this news release that do not have a standardized meaning under generally accepted accounting principles (GAAP) and therefore may not be comparable to similarly titled measures and metrics presented by other publicly traded companies. The Company includes these measures because it believes certain investors use these measures and metrics as a means of assessing financial performance. EBITDA (earnings before interest, taxes, depreciation and amortization) is a non-GAAP financial measure that does not have any standardized meaning prescribed by IFRS and may not be comparable to similar measures presented by other companies.
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2 See Adjusted EBITDA section of this press release |
Adjusted EBITDA
$ | Three Months Ended | |
30-Nov-18 | 30-Nov-17 | |
Net loss and comprehensive loss for the year/period | (7,876,151) | (1,344,069) |
Interest on short-term debt | 568,493 | - |
Commitment fee | 1,642,857 | - |
Accretion expense | 48,931 | - |
Amortization of property and equipment | 123,851 | 89,409 |
Amortization of intangible assets | 419,133 | - |
Share based compensation | 297,707 | 92,362 |
Adjusted EBITDA | (4,775,179) | (1,162,298) |
Management defines Adjusted EBITDA as the net loss from operations, as reported, before interest, tax, and adjusted by removing non-cash items, including the stock-based compensation expense, depreciation, and further adjusted to remove acquisition related costs. Management believes Adjusted EBITDA is a useful financial metric to assess its operating performance on a cash adjusted basis before the impact of non-cash items and acquisition related costs. Adjusted EBITDA is a non-GAAP financial measure that does not have any standardized meaning under the issuer's GAAP and therefore may not be comparable to similar measures presented by other issuers.
NAC Grants Stock Options to Officer of the Company
The Company has granted stock options to purchase an aggregate of 120,000 common shares of the Company to an officer of NAC. The stock options have an exercise price of $0.61 per common share and expire five years from the date of grant. One-eighth of the options granted will vest on April 21, 2019, with the remaining options granted vesting over the course of seven installments, each installment vesting every three months following the date of grant.
About National Access Cannabis Corp.
NAC is a best practices leader in delivering secure, safe, and responsible access to legal cannabis in Canada. Through its Canada-wide network of medical cannabis clinics, partner pharmacies, NAC Bio's clinical research division, Meta Cannabis Supply Co.™ and NewLeaf Cannabis™ recreational cannabis retail stores, NAC enables patients and the public to gain knowledge and access to Canada's network of authorized Licensed Producers of cannabis. NAC is listed on the TSX Venture Exchange under the symbol (TSXV: META).
For more information, visit:
www.nationalaccesscannabis.com
www.metacannabis.com
www.newleafcannabis.ca
www.nacbio.com
www.nacmedical.com
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Cautionary Statements
This news release contains forward looking statements and forward-looking information within the meaning of applicable securities laws. The use of any of the words "expect", "anticipate", "continue", "estimate", "objective", "ongoing", "may", "will", "project", "should", "believe", "plans", "intends" and similar expressions are intended to identify forward looking statements or information. Forward-looking statements and information in this news release includes, but is not limited to, the planned opening of cannabis retail stores and the planned opening dates of same, the locations of cannabis retail stores, the launch of an online cannabis retail store in Manitoba, and NAC's plans to establish retail cannabis distribution networks in Canada. Although the Company believes that the expectations and assumptions on which the forward-looking statements and information are based are reasonable, undue reliance should not be placed on the forward-looking statements and information because the Company cannot give any assurance that they will prove to be correct. Since forward looking statements and information address future events and conditions, by their very nature they involve inherent risks and uncertainties. Actual results and developments may differ materially from those that are currently contemplated by these statements depending on, among other things, risks relating to the ability to obtain or maintain licenses to retail cannabis products; future legislative and regulatory developments involving cannabis; inability to access sufficient capital from internal and external sources, and/or inability to access sufficient capital on favourable terms; the labour market generally and the ability to access, hire and retain employees; and the medical and retail cannabis industry in Canada generally. The Company cautions that the foregoing list of risks and uncertainties is not exhaustive.
The forward-looking statements and information contained in this news release are made as of the date hereof and the Company undertakes no obligation to update publicly or revise any forward-looking statement or information, whether as a result of new information, future events or otherwise, unless so required by applicable securities laws.
SOURCE National Access Cannabis Corp.
View original content: http://www.newswire.ca/en/releases/archive/January2019/28/c7106.html