Halo Provides Operational Update
Halo Labs Inc. (“Halo” or the “Company”) (NEO: HALO, OTCQX: AGEEF, Germany: A9KN) is pleased to provide shareholders with an operational update in the context of the ongoing Coronavirus (COVID-19) pandemic as the Company continues to grow dispensary sales revenues in these challenging conditions.
“We continue to see strong operational performance in Oregon, as reflected by our results. Additionally, sales velocity of Halo’s branded products indicates that California may be poised to really take off in the coming months. We are preparing for this growth by re-opening Cathedral City operations, staffing up in Ukiah, and growing our California sales force,” comments Andreas Met, Chief Operating Officer and Director of Halo Labs.
Operating highlights in the first quarter of 2020 for Halo by market include:
- Record quarter-over-quarter sales in first 3 months of 2020 up 38% from Q1 2019
- April 2020 ($1.2 million) up 29% from April 2019 ($927,000)
- $5.1 million revenue year to date in 2020 (January 1- April 30) including a record month in March 2020 ($1.5 million)
- Installed two greenhouses at Evans Creek to initiate wholesale clone business to other cultivators and augment current propagation capabilities
- Cultivation underway of award winning OG DNA Genetics cannabis strains
- New product ranges launched
- Sales growth accelerating via new products and should grow further after definitive agreement reached on partnership with Feel Better and recording artist G-Eazy for the Flowershop line of products
- Total Q1 2020 sales of Halo branded products were approximately $376,000
- Total April 2020 sales of Halo branded products alone were approximately $343,000
- Build out of North Hollywood dispensary to commence once local approval received
- 5 hectare planned greenhouse harvest continues at Bophelo
- Transformation of 200 hectare growing space from conditional to permanent approval is underway in Lesotho
- Acquisition of Canmart in the United Kingdom expected by the end of Q2 2020
In Oregon, Halo has managed to maintain a strong growth rate. Halo’s quarter-on-quarter sales for the first 3 months of 2020 compared to 2019 are up by 38%. Total 2020 sales were $5.1 million from January to April of 2020.
Halo is now able to offer customers a wider assortment of cartridges, comprising three distinct types. These include a Mojave live resin product, an Exhale cannabis derived terpene formulation (with an 80% minimum of THC concentration), and a Hush branded botanical terpene offering. Halo now sells over 30 varieties per distillate cartridge brand.