Terra Tech Corp (OTCMKTS:TRTC) posted a drop of 13.34% YoY to $14.29 million in 2020 revenues. It is on the backdrop of a decline in dispensary revenues of $5.98 million. However, the company partially offset this drop by increasing manufacturing and cultivation revenues of $3.78 million.
The closure of the dispensaries in the bay area because of civil unrest impacted the revenues. Reduced customer traffic due to coronavirus also affected the revenues.
Terra Tech’s profits declined to $3.60 million in 2020 from $10.35 million in 2019. The company’s margin also dropped to 25.2% in 2020 from 62.8% in the last year.
Its G&A and selling expenses are declined by 32.93% YoY to 24.6 million in 2020. The company holds a cash balance of $888,000 as of December 31, 2020.
The new CEO of Terra Tech, Frank Knuettel, said the company experienced several challenges: the closure of the dispensaries and difficult capital markets in 2020. Terra Tech incorporated certain changes to maintain its business.
Despite the challenges behind, Terra Tech entered a pact to take over Unrivaled. It improves the scale supported by strong brands and growth in revenues.
Since the inception, Unrivaled demonstrated improved performance under the leadership of Dallas Imbimbo, a strong management team. Frank said the integration of the management team of Unrivaled with Terra Tech will help to improve revenues besides accretive acquisitions.
Target for 2021
Terra Tech expects to post revenues of more than $70 million in 2021, with new operational becoming operational.
Inducts Tiffany Davis
Terra Tech inducted Tiffany Davis into its board of directors on April 08, 2021. Davis will bring 20 years of experience in the cannabis sector as a financial executive. She also works now as CFO and CEO of Generation Alpha.
Commenting on the appointment of Davis, Frank said the company is excited to welcome her into the board of directors of Terra Tech. Her finance, supply chain management, and M & M&A in the cannabis space is vital for the team at Terra Tech.
Davis will improve corporate governance and strengthen the operational management of Terra Tech. She will also add additional businesses to Terra Tech besides rebuilding.