YTD Revenues Increase 168% to $6M and $282K Net Income ($862K as Adjusted)
JACKSONVILLE, FL, April 16, 2018 (GLOBE NEWSWIRE) — mCig Inc., (MCIG), a leading distributor of innovative products, technologies, and services for the global medical cannabis industry, announces its third quarter and year to date results ending January 31, 2018.
MCIG recorded $780K in revenue bringing its year-to-date (YTD) total to $6.0 million in revenue, as compared to $2.2 million for the same period last year, an increase of 168%. During the quarter ending January 31, 2018, the Company expanded into agriculture with its expansion into the organic hemp growing business in New York and in its application process for cannabis growing and manufacturing licensure in California.
Income from operations increased YTD by $300K ($600K as adjusted) as compared to the same period last year, a 316% as adjusted increase in profitability from operations. Cost of Goods and Services sold has been reduced by 7% YTD and 19% for the quarter ending January 31, 2018. We attribute this decline in costs of goods primarily to the reduction of percentage of income derived from the construction division, which traditionally has low margins, from 51% of the revenue to just 15% of our revenue generated.
While expending $2.3 million YTD in advancing our operations and expanding our capital assets, we have reduced our liabilities by 34% and our cash position has increased 61% as compared to the same period last year.
Paul Rosenberg, MCIG’s CEO, stated, “We continue to expand operations and 2018 looks to be a very good year for MCIG. As we spin-off our tech division and supply division, we will focus on our development and growth into agriculture, extraction, and product development.”
About MCIG Group (MCIG)
Headquartered in Jacksonville, Florida, mCig, Inc. (www.mciggroup.com) is a diversified company servicing the legal cannabis, hemp and CBD markets. mCig, Inc. is committed to being the leading distributor of technology, products, and services to fit the needs of a rapidly expanding industry.
Safe Harbor Statement
Any statements contained in this press release that do not describe historical facts may constitute forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. Any forward-looking statements contained herein are based on current expectations, but are subject to a number of risks and uncertainties. The factors that could cause actual future results to differ materially from current expectations include, but are not limited to, risks and uncertainties relating to the Company’s ability to develop, market and sell products based on its technology; the expected benefits and efficacy of the Company’s products and technology; the availability of substantial additional funding for the Company to continue its operations and to conduct research and development, and future product commercialization; and the Company’s business, research, product development, regulatory approval, marketing and distribution plans and strategies.
This release contains a non-GAAP disclosure, EBIDTA, which consists of net income plus interest expense, net, provision for income taxes and depreciation and amortization. This term, as the Company defines it, may not be comparable to a similarly titled measure used by other companies and is not a measure of performance presented in accordance with GAAP. The Company uses EBIDTA as a measure of operating performance. EBIDTA should not be considered as a substitute for net income.