TORONTO, Nov. 29, 2021 (GLOBE NEWSWIRE) -- Yooma Wellness Inc. ("Yooma" or the "Company") (CSE: YOOM, AQSE:YOOM), a Toronto-based vertically-integrated global wellness platform that develops and markets a portfolio of wellness brands, today released its interim financial statements (the "Financial Statements") for the three-month period ended September 30, 2021 (the "Reporting Period"). A summary of Yooma's operational and financial highlights during the Reporting Period are set out below and more detailed information is contained in the Financial Statements and related Management Discussion and Analysis which are available on Yooma's SEDAR page at www.sedar.com.
Lorne Abony, Chairman at Yooma, commented: “Yooma’s success in the third quarter solidly-positions the Company in the global CBD and wellness space. Based on actual revenue achieved in the third quarter of US$2.1 million, with only partial revenue contribution so far from key strategic acquisitions acquired during the quarter and subsequent to quarter-end, we believe that Yooma is significantly undervalued compared to its public competitors.”
Jordan Greenberg, CEO at Yooma, added: “We are extremely pleased with the progress Yooma made in the third quarter, including the dual listing of the Company’s shares on the AQSE exchange in London, successful completion of a US$10.3 million capital raise, and the closing of two additional strategic acquisitions. We continue to integrate our existing assets to achieve both operational synergies and revenue growth.”
Yooma Highlights (Q3 2021)
Yooma continues to grow in its quest to become a vertically-integrated global leader in the marketing, distribution and sale of wellness products, including hemp seed oil and hemp-derived cannabinoid ("CBD") ingredients. Significant operational highlights during the Reporting Period included:
Capital Markets Transactions
Completed Acquisitions
Operational Highlights
Post period-end Highlights
Completed Acquisitions
Operational Highlights
Selected Financial Highlights (Q3 2021)
During the Reporting Period, the Company generated revenues of US$2.1 million, but experienced net and comprehensive losses of US$2.6 million, reflecting cost of sales of US$1.6 million and expenses of US$3.2 million, relating primarily to the integration of previously acquired businesses into Yooma’s global platform, expenses incurred in connection with capital raising activities and the AQSE dual-listing, and business and administrative expenses incurred by the Company’s operating divisions.
All sums are in $US | For the three month period ended | For the three month period ended | For the nine month period ended | For the nine month period ended | ||||
30 September | 30 September | 30 September | 30 September | |||||
2021 | 2020 | 2021 | 2020 | |||||
Revenue | 2,128,620 | - | 4,909,637 | - | ||||
Cost of sales | (1,568,512 | ) | - | (3,776,668 | ) | - | ||
Gross profit | 560,107 | - | 1,132,969 | - | ||||
Expenses | ||||||||
Depreciation and amortization | 177,804 | - | 409,327 | - | ||||
Consulting fees | 130,767 | 308,437 | 521,456 | 460,277 | ||||
Professional fees | 363,172 | 217,575 | 1,264,899 | 325,960 | ||||
Listing expense | - | - | 960,725 | - | ||||
Stock-Based compensation | 574,839 | - | 674,441 | - | ||||
Office and administrative | 1,961,692 | 224,788 | 5,447,392 | 458,168 | ||||
3,208,273 | 750,770 | 9,278,240 | 1,244,405 | |||||
Net loss before other income and expenses | (2,648,166 | ) | 750,770 | ) | (8,145,270 | ) | (1,244,405 | ) |
Assets write-off (Note 5) | - | - | (134,810 | ) | - | |||
Other income | 14,402 | 20,216 | 77,250 | 37,715 | ||||
Net loss and comprehensive loss for the period | (2,633,763 | ) | (730,554 | ) | (8,202,830 | ) | (1,206,690 | ) |
Loss per share – basic and diluted: | (0.03 | ) | (0.02 | ) | (0.14 | ) | (0.05 | ) |
Weighted average number of common shares outstanding – basic and diluted: | 78,389,781 | 33,831,330 | 60,310,551 | 24,468,618 |
Yooma Outlook
Yooma continues to integrate its existing operations with its recently completed acquisitions to leverage the global opportunities in the wellness and CBD sectors. The Company is achieving cost synergies and exploring new sales channels for its existing products through its buy-and-build strategy. Yooma has achieved significant revenue growth and is forecasting revenue for Q4 2021 in excess of US$5.0 million, or a US$20.3 million annualized run rate.
A Media Snippet accompanying this announcement is available by clicking on the image or link below:
Chart 1: * Note: 2021 H1 Revenue (Actual) US$2,780,937 and 2021 H2 Revenue (Estimated) US$7,203,620.
* Note: 2021 H1 Revenue (Actual) US$2,780,937 and 2021 H2 Revenue (Estimated) US$7,203,620.
About Yooma Wellness Inc.
Yooma's mission is to build a vertically-integrated global leader in the manufacturing, marketing, distribution, and sale of wellness products including hemp seed oil and hemp-derived and cannabinoid (CBD) ingredients. The company leverages strategically curated sales channels and ecommerce networks to deliver a diverse mix of wellness products through operating subsidiaries in the United States, United Kingdom, France and Japan. Learn more at www.yooma.ca.
Issuer Contact:
Jordan Greenberg, CEO
Email: [email protected]
Phone: 1-512-823-1678
Notice regarding Forward Looking Statements
All information included in this press release, including any information as to future financial or operating performance and other statements of Yooma that express management’s expectations or estimates of future performance or activities, other than statements of historical fact, constitute forward-looking information or forward-looking statements (collectively, “forward-looking statements”) within the meaning of applicable securities laws and are based on expectations, estimates and projections as of the date hereof. Forward-looking statements are included for the purpose of providing information about management’s current expectations and plans relating to the future. Wherever possible, words such as “will”, “intend”, “believe”, “future”, “go forward”, “to become”, “pursuit”, “pursuing”, “potential”, “plan”, “to enter”, “continues to” or the negative of these words or other variations thereof, have been used to identify such forward-looking information. Specific forward-looking statements include, without limitation, all disclosure regarding future results of operations, economic conditions and anticipated courses of action, including statements about Yooma’s mission and strategic plan; revenue forecasts under the “Yooma Outlook” section, commercial partnerships and product launches; and the nature and focus of its business going forward.
There are many risks and uncertainties that may affect forward-looking statements including, among others, regulatory risk in each jurisdiction in which Yooma does or intends to operate; the uncertainties, effects of and responses to the COVID-19 pandemic; reliance on licenses; competition; dependence on senior management and key personnel; general business risk and liability; regulation of the CBD industry; changes in laws, regulations and guidelines; compliance with laws; limited operating history; unfavourable publicity or consumer perception; product liability, risks related to intellectual property; product recalls; difficulties with forecasts; management of growth; litigation; Yooma’s ability to effectively integrate existing and future acquisition targets into its platform; the effects of competition in the industry; the requirement for increasingly innovative product solutions and service offerings; trends in customer growth; sufficiency of current working capital to support future operating and working capital requirements; and other matters which are beyond the control of Yooma. Although the forward-looking statements contained herein reflect management's current beliefs and reasonable assumptions based upon information available to management as of the date hereof, Yooma cannot be certain that actual results will be consistent with such forward-looking information. Yooma cautions you not to place undue reliance upon any such forward-looking statements. Yooma disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required by applicable law. Nothing herein should be construed as either an offer to sell or a solicitation to buy or sell securities of Yooma.