The CBD story has been on the of the most explosive to date for investors. In fact, multi-billion-dollar industries are just now being transformed by CBD, including alcohol, health and wellness, cigarettes, and the retail industry. It’s impacting a range of food, too. Everything from gummy bears and cookies to candy and brownies are being infused with CBD with considerable consumer demand.
Interesting to note, consumer spending on cannabis-based food and drink reached $1 billion in 2017 just in the U.S. in Canada. By 2022, that could be up to $4.1 billion, according to analysts at Arcview Market Research. That’s opening a wide range of opportunity for companies including Naturally Splendid Enterprises Ltd. (OTCQB:NSPDF) (TSX-V:NSP), Charlotte’s Web Holdings Inc. (CWEB), The Green Organic Dutchman Holdings Ltd. (TGOD), Curaleaf Holdings Inc. (CURA), and Green Thumb Industries Inc. (GTII).
Naturally Splendid just announced unaudited gross sales in the second quarter of 2019 nearly doubled compared to the same period last year. Naturally Splendid has recorded approximately $1,000,000 CDN in gross sales during the second quarter (Q2) of 2019, which spans the period from April 1, 2019 to June 30, 2019.
The Company previously reported gross sales of $483,675 CDN in the second quarter (Q2) of 2018, which spanned the period from April 1, 2018 to June30, 2018. Accumulative gross sales for Q1 and Q2 of 2019 are approximately $1,715,000 CDN almost equaling the gross sales for the entire year in 2018. In comparison, the Company recorded audited gross annual sales of $2,073,776 CDN in 2018 and audited gross sales of $1,550,469 CDN in 2017. Currently the Company is on pace to surpass 2018 total gross sales early in the third quarter of this year.
Naturally Splendid is experiencing growth in gross sales in many of its divisions. The core concept of duo revenue streams emanating from producing and distributing Company branded products, as well as offering Contract Manufacturing Services has provided a foundation to leverage these assets and drive sustainable shareholder value. Sales of the Company’s recently launched Natera Sport KEY-TO-LIFE keto bars continue increase as distribution points for this product expand throughout Canada including Whole Foods, Sobeys’s, Loblaws, Longo’s, Metro, Save-On- Foods, Nature’s Fare and No Frills, as well as many more retailers across the country in just the first three (3) months of the official launch date.
“The significant time and strategically deployed capital allotted to the continued advancement of Naturally Splendid’s manufacturing facilities has positioned the Company as both a premier manufacturer of healthy food products, but has also establish Naturally Splendid as an early mover in the evolving cannabis edibles market,” says Naturally Splendid President Craig Goodwin. “We are definitely pleased with the increase in our gross sales throughout our divisions. More importantly, we believe the Company is reaching the stage of being cash flow positive on a more consistent basis. This is due in fact to not only the increased gross sales, but also increasing margins as scales of economy begin to show a positive effect on our bottom line. As the Company approaches being cash flow positive, we can begin to focus more attention and resources towards the lucrative omega markets globally and focus attention on the positively evolving cannabinoid opportunities, specifically focusing on the Cannabidiol (CBD) markets.”