GTEC Holdings Ltd (OTCMKTS:GGTTF) posted revenues of $2.2 million (down 5.3% YoY) in Q1 2021. It is on the backdrop of selling 342 kg of cannabis.
The company improved its margins to $811,000 million (up 18.22% YoY) in Q1 2021. It derived 82% of the total revenues from the sale of recreational cannabis.
Solid foundation
Its operating expenses surged by 22% to $1 million. CEO of GTEC, Norton Singhavon, said the company focused on developing a solid foundation in Q1 2021 to benefit from incremental growth in the rest of the year. GTEC is already experiencing its positive results in Q2 2021.
GTEC is debt-free and maintains a healthy balance sheet. It will focus on bringing high-quality products to its customers.
Closes $2 million debt
GTEC closed a convertible promissory note of $2 million in Q1 2021. It raised funds of $500,000 by divesting its balance retail assets.
Tumbleweed Farms Corp entered a pact with Habitat Craft Cannabis Ltd. As per the terms of the deal, Habitat will receive co-pack/ sales services from Tumbleweed Farms.
3PL Ventures Inc constructed a customized indoor cultivation facility on 60,000 sq. Ft. in Vernon, B.C. On February 19, 2021, the company submitted an evidence package to the regulator – Health Canada.
BLK MKT Cherry Punch is the best-selling product in December 2020 in Ontario. The company also strengthened its SKUs to 22 in British Columbia and 16 in Ontario.
GTEC commenced the sales of pre-rolls under the brands – Tenzo and BLK MK on December 6, 2020.
GTEC received an overwhelming response for its recently introduced cultivars such as Peanut Butter MAC and Alien Sin Mint Cookies. It also reported substantial reorders.
The company introduced the first blunt under the trademark BLK MKT in the legalized cannabis market of Canada. It also unveiled Candy Rain, its exclusive cultivar, under the sub-brand – BLNT.
E-commerce push
GTEC unveiled a new e-commerce site for its medical cannabis push.
The company also acquired cannabis patients. It announced an increase in clients since the e-commerce push.
GTEC expects to improve revenues through its medical cannabis sales.
GTEC also received several orders for PRISTINE seeds to satisfy the demand in Ontario’s upcoming grow season.
In Q2 2021, GTEC raised funds of $23 million through a bought-deal offering.
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