Flowr Corp (OTCMKTS:FLWPF) posted revenues of $1.01 million in Q1 2020. Cashing on its position in the premium segment, the company realized an average per gram price of $6.93 in Q1 2020. It sold 123 kgs of BC Pink Kush, a flagship strain, in this quarter. The company does not have sufficient inventory to satisfy the demand in Q1. It improved the inventory in Q2 because of harvest of superior quality – Pink Kush towards the end of the quarter.
Health Canada approves to enhance the capacity
Flowr received approval from Health Canada to double its manufacturing capacity at its Kelowna 1 facility. The automated packaging equipment will improve its production efficiencies.
Restructures worldwide operations
Flowr slashed its workforce worldwide in March 2020, resulting in annual cost savings of $6 million.
Holigen, a subsidiary of Flowr, received the GMP certification from the EU in late March 2020, for its Sintra Portugal-based facility. Flowr introduced revitalized and innovative recreational brand in Q1 2020 besides several initiatives for online marketing.
Flowr appointed Irina Hossu as CFO during this quarter for the global growth initiative. Previous roles of Irina in her 15 years service include senior financial leadership at prominent industries comprising beverage and alcohol, consumer packaged goods, and financial technology worldwide.
Developments after Q1 2020
Flowr mobilized funds of $21.5 million through a private placement in two stages. In the first stage, the company collected $10.5 million on April 27, 2020, and over $11 million on June 3, 2020, as the second stage.
Flowr signed an Equity Line and Profit Sharing Agreement on May 14, 2020, with Terrace Global Inc to support its operations and development of Holigen. As per the terms of the pact, the company will receive funds of a minimum of $3 million from Terrace.
To gear up for the 2020 planting season in Portugal, Flowr shipped 14,000 clones. As part of the partnership, Terrace supplied 30,000 seeds that comprise eight different high THC strains. Flowr, together with Terrace, planted clones and seeds at Aljustrel facility on an area of 1 million Sq. Ft.
CEO of Flowr, Vinay Tolia said the company is pleased with the performance of the Aljustrel facility and will work with Terrace for a successful harvest towards the end of this year.
 Reports A Drop Of 44.1% In Q1 2020 Revenues){kind=link}