Hemp-Focused Wellness Co. Moves Closer To Profitability, Reports Flat 2023 Revenue, Increase In Gross Profit

Author: Jelena Martinovic | March 28, 2024 12:04pm

Hemp-focused CV Sciences, Inc. (OTCQB:CVSI) announced its financial results on Thursday for the year ended Dec. 31, 2023.

The San Diego-based company reported a gross margin of 44.3% for fiscal year 2023, representing an improvement from 34.2% for 2022. For the fourth quarter, its gross margin was 45.8%, representing a sequential improvement from 45.1% in the third quarter.

“Our 2023 progress demonstrates our continuous commitment to innovation and cost-efficient execution as we move closer to profitability and positive cash flow," Joseph Dowling, CEO of CV Sciences said. "As the CBD category consolidates, we have increased our market share in key sales channels, including the natural product retail channel. We will continue to focus our resources on new product development, as evidenced by our pet line expansion with our recent launch of pet chews for hip and joint health and calming care."

With earnings season wrapping up, 2023 financial performance and 2024 outlook will surely be one of many hot topics at the upcoming Benzinga Cannabis Capital Conference that returns to Florida this April 16-17. The two-day event at The Diplomat Beach Resort will be a chance for entrepreneurs, both large and small, to network, learn and grow.

See also: Capitalizing On Plant-Based Trend: Cultured Foods Acquisition Allows This US Hemp Co. To Expand In Europe

FY 2023 Financial Highlights

• Revenue totaled $16 million, compared to $16.2 million for 2022.
• Gross profit totaled $7 million, up from $5.5 million in the prior year.
• Total operating expenses amounted to 3.7 million, down from $12.4 million in 2022.
• Net income attributable to common stockholders was $3.1 million, compared to $9.1 million net loss in the prior year.
• Adjusted EBITDA came in negative at $2.3 million, compared to $6.1 million adjusted EBITDA loss in 2022.
• As of Dec. 31, 2023, the company had $9.2 million in total current assets, compared to $12.7 million as of Dec.31.
• Total liabilities amounted to $6.3 million, down from $13.5 million in the prior year.

Related News

• Hemp-Focused Wellness Company: Revenue Jumps To $4.1M, Gross Margin Peaks At 45.1%
• CV Sciences FY22 Revenue Declines 19% To $16.2M

CVSI Price Action

CV Sciences’ shares traded 1.48% lower at $0.0384 per share at the time of writing on Thursday morning.

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Posted In: CVSI