C21 Investments Inc (OTCMKTS:CXXIF) reported revenues of $8.15 million in Q1 2021. It posted 84% growth compared to Q4 2020 revenues despite 6-week only delivery restrictions imposed in Nevada. The company realized $2.9 million in profit because of high-cost sales during the COVID-19 pandemic.
C21 posted a stellar growth of 1400% to $37.7 million in 2020 revenues. Its gross margin accounted for 43% of its revenues. The daily transactions at Silver State in Nevada are around 1,750 in 2020.
Successfully navigates COVID-19 restrictions
C21 reduced the impact of restrictions imposed by Nevada regulators because of ongoing coronavirus crises and posted better results from its dispensaries. Its team adopted prudent measures like third-party delivery and subsequently established in-house delivery. The company launched curbside pickup after the restrictions are eased at the end of Q1 2021. It is also streamlining operations in Oregon.
Completes takeover of Phantom Farms
C21 completed the takeover of Phantom Farms and its related companies, such as SDP Development Group LLC, in February 2020. It issued 7.132 million common shares for purchase agreement restructuring and real estate property to SDP Development.
Sonny Newman, CEO of C21, said the company successfully overcome the challenges posed by COVID-19 pandemic and strengthened its forces and operations to achieve growth in the future.
C21 experienced the impact of ongoing coronavirus on its Q2 2020 revenues and implemented measures to rebound to post record revenues at Nevada’s dispensaries.
C21 is servicing its debt through internal accruals after Q1 2021. Silver State Relief in Nevada overcomes the challenges of coronavirus and posting record revenues. In 2020, Silver State captured 24% of the nationwide sales.
The company is experiencing Nevada’s success by introducing Oregon brands, and Phantom Pharm Flowers and Hood Oil are a great hit in its retail sales. It expects strong growth going forward because of scalable extraction and cultivation facilities and profitable dispensary operations.
Sonny gets a 3-year extension
Sonny, the present CEO of C21, got his assignment extended for another three years because it streamlined and integrated operating assets that resulted in positive cash flow.