Latest news with #CNTMF
Yahoo
30-05-2025
- Business
- Yahoo
FLUENT Corp (CNTMF) Q1 2025 Earnings Call Highlights: Revenue Growth Amid Market Challenges
Release Date: May 29, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Revenue increased by 5.9% year over year to $26.8 million, despite challenges in the core Florida market. The company's cash position improved significantly, rising to $30.7 million from $8.5 million a year ago, providing strong financial flexibility. Completion of the Rosa cultivation facility in Tampa, with the first harvest expected in August 2025, indicating operational progress. Launch of two new whole flower brands, NAC and Bago, reflecting product diversification and refinement of quality standards. Significant operational improvements in New York, including cost reductions and increased output at the Chestertown facility. The Florida market experienced revenue decline, with sales dropping from $21.1 million to $19.2 million year over year. Adjusted gross profit margin decreased slightly from 48.6% to 46.8%, indicating pressure on profitability. Cash flow used in operations was $1.5 million, a decline from $4.1 million generated in the same period last year. The company faces ongoing challenges with price compression and market saturation in its core Florida market. Regulatory and macroeconomic uncertainties persist, impacting the company's ability to predict future market conditions. Warning! GuruFocus has detected 6 Warning Signs with CNTMF. Q: Can you provide an overview of Fluent Corp's financial performance for the first quarter of 2025? A: Robert Beasley, CEO, reported that the company's revenue for Q1 2025 was $26.8 million, marking a 5.9% increase year over year. Adjusted EBITDA was $3.5 million, reflecting investments in New York and market challenges in Florida. The cash position improved significantly to $30.7 million, up from $8.5 million the previous year. Q: What are the operational highlights for Fluent Corp in Florida? A: Robert Beasley, CEO, mentioned the completion of the Rosa cultivation facility in Tampa, with the first harvest expected in August 2025. The North Miami Beach dispensary was relocated to Aventura to enhance patient experience and profitability. Two new whole flower brands, NAC and Bago, were launched, along with a single-serve edible product. Q: How is Fluent Corp progressing in New York? A: Robert Beasley, CEO, highlighted improvements at the Chestertown facility, including cost reductions and increased output. The Buffalo cultivation facility is nearing completion, with the first harvest anticipated by Q4 2025. The NAC product line was expanded to include pre-rolls, with infused pre-rolls expected soon. Q: What are the developments in Texas and Pennsylvania for Fluent Corp? A: Robert Beasley, CEO, stated that the company is monitoring House Bill 46 in Texas and is ready for expansion. The Houston Education and Pickup Center is expected to open in Q3 2025. In Pennsylvania, Fluent Corp is tracking legislative developments for adult use legislation and is looking for growth opportunities. Q: Can you summarize the financial highlights presented by the CFO? A: Patricia Fonseca, CFO, reported total revenue of $26.7 million for the quarter, up from $25.2 million the previous year. Adjusted gross profit was $12.5 million, representing 46.8% of revenue. Cash flow used in operations was $1.5 million, with the company holding $3.7 million in cash and cash equivalents as of March 31, 2025. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus.
Yahoo
18-04-2025
- Business
- Yahoo
FLUENT Corp (CNTMF) Q4 2024 Earnings Call Highlights: Navigating Challenges and Expanding Horizons
Annual Revenue: $103.6 million, a 6.4% increase over 2023. Q4 Revenue: $24.9 million, down from $25.5 million in Q4 2023. Florida Revenue (Q4): $20.3 million, compared to $21.6 million in 2023. Adjusted Gross Profit (Q4): $10 million or 40.1% of revenue, down from $12.6 million or 49.4% in 2023. Adjusted EBITDA (Q4): $3 million, compared to $6.9 million in 2023. Cash Flow Used in Operations (Q4): $14.7 million, compared to cash flow provided by operations of $1.4 million in 2023. Adjusted Gross Profit (Full Year): $50.3 million or 48.6% of revenue, compared to $49.5 million or 50.9% in 2023. Adjusted EBITDA (Full Year): $25 million, compared to $27.2 million in 2023. Cash and Cash Equivalents (End of 2024): $40.1 million. Total Debt Outstanding (End of 2024): $82.4 million. Store Locations: 42 locations across Florida, New York, Pennsylvania, and Texas, with plans to open three more in Florida by year-end. Warning! GuruFocus has detected 3 Warning Signs with CNTMF. Release Date: April 17, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. FLUENT Corp (CNTMF) achieved a record-breaking annual revenue of $103.6 million in 2024, marking a 6.4% increase over 2023. The successful acquisition of RIV Capital expanded FLUENT Corp's operational footprint in New York, enhancing its multistate presence. The company strengthened its financial position with a non-dilutive debt refinancing and ended the year with over $40 million in cash and cash equivalents. FLUENT Corp launched new brands, MOODs and KNACK, in New York, and introduced Hyer Kind, a concentrates line, in Florida, which are gaining early traction with consumers. The company is expanding its operational footprint with 42 locations across Florida, New York, Pennsylvania, and Texas, and plans to open three more stores in Florida by year-end. Revenue in the fourth quarter of 2024 decreased to $24.9 million from $25.5 million in Q4 2023, primarily due to price pressures from increased inventory in Florida. Florida revenue dropped to $20.3 million compared to $21.6 million in 2023, impacting overall financial performance. Adjusted gross profit for Q4 2024 was $10 million or 40.1% of revenue, down from $12.6 million or 49.4% of revenue in 2023. Adjusted EBITDA for Q4 2024 decreased to $3 million from $6.9 million, driven by the decline in the Florida market. Cash flow used in operations for the last quarter of 2024 was $14.7 million, a significant decline from the $1.4 million provided by operations in the prior year. Q: With the current share price and a modest valuation of 1x revenue, have you considered a share buyback program from your available cash flow? A: Robert Beasley, CEO: We have considered a share buyback at the Board level several times. Now that we have the cash available, it is on the table as a possible option. However, it has not reached the level of serious consideration yet, but it remains one of the many options to impact share value for the benefit of shareholders. Q: Can you provide more details on the financial performance in Florida and its impact on overall results? A: Patricia Fonseca, CFO: In Q4 2024, Florida revenue was $20.3 million compared to $21.6 million in 2023, primarily due to price pressures from increased inventory. This impacted our adjusted gross profit and EBITDA, which decreased due to the slowdown in the Florida market. Q: What are the expectations for the new cultivation facilities in Tampa and Buffalo? A: Robert Beasley, CEO: Construction is near completion for both facilities. The Tampa facility, Rosa, is expected to be operational by Q3 2025, and the Buffalo facility is anticipated to have its first plant date around June 2025. These facilities are designed for high-quality flower output, enhancing our production capabilities in Florida and New York. Q: How did the acquisition of RIV Capital impact your operations in New York? A: Robert Beasley, CEO: The acquisition provided us with a solid operational footprint in New York, including retail, wholesale, and cultivation assets. This expansion has been pivotal in strengthening our multistate presence and enhancing our brand portfolio with successful launches like MOODs and KNACK. Q: What are the strategic plans for expanding your retail presence? A: Robert Beasley, CEO: We currently have 42 locations across Florida, New York, Pennsylvania, and Texas, with plans to open three more stores in Florida by year-end. Additionally, we are building a wholesale program in New York under the name Entourage to leverage the increasing retail presence in the state. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus.
