Slang Worldwide Inc (OTCMKTS:SLGWF) posted an increase of 10.80% YoY to CAD 9.658 million in Q4 2020. It is on the backdrop of rebounding demand in its core markets such as Oregon and Colorado.
Slang’s operating expenses are declined to CAD 6.493 million in Q4 2020. The company’s revenue for the entire year is CAD 26.8 million (down 8.219% YoY).
Slang maintains a cash equivalent and cash balance of CAD 6.5 million by the end of 2020.
It improved CE and Cash balance to CAD 12.4 million in March 2021. The company lowered its loss in 2020 to CAD 15 million.
Slang expects to report a growth of 112% YoY to CAD 9.9 million in Q1 2021.
Reenters California market
Slang will offer its products in the Californian market in Q2 2021 by entering a pact with Natura Life + Science.
The company will reenter the Massachusetts markets by signing a deal with Trulieve Cannabis Corp. It will ensure its product availability in Q3 2021.
CEO of Slang, Chris Driessen, said the company demonstrated growth in Q4 2020 by posting revenues of CAD 9.658 million. The company implemented a scalable strategy and responsibly spending capital in the quarter to improve the bottom line and top-line results.
The company centers its growth strategy on core markets in Oregon and Colorado by consolidating its supply chain assets and own brands. It will integrate wholesale, distribution, manufacturing, and cultivation in its supply chain.
Slang recognized higher wholesale revenues through its subsidiaries LBA Global Corporation in Oregon, Slang Colorado Cultivation, and Slang Colorado Distribution.
In addition to consolidating its supply chain assets, Slang will improve its margins in 2021 by completing the takeover of Allied Concessions Group, Inc.
Slang will form strategic alliances with top operators in emerging markets like Michigan, Massachusetts, and California to reduce operating costs. The emerging markets are vital for Slang as it creates value for its brands to strengthen its footprint in these locations.
Slang diversified its product line by introducing innovative SKUs in 2020. It also expanded the existing product portfolio by adding Bakked Gyro live resin dabbing solution in Q4 2020.