This item is part of Stockwatch's value added news feed and is only available to Stockwatch subscribers.

Here is a sample of this item:

by Stockwatch Business reporter

The Canadian Securities Exchange Composite Index lost 5.62 points to 594.81 Tuesday. Valens Groworks Corp. (VGW) dropped 24 cents to $4.08 on 2.06 million shares after releasing its financial results for the fiscal second quarter of 2019. Valens lost $10.52-million on revenue of $8.8-million in Q2, which represents strong revenue growth from Q1. The company lost $6.36-million on revenue of $2.22-million in the first quarter. Though its loss increased significantly, Valens has a strong balance sheet; the company has working capital of $76.26-million with cash and cash equivalents of $57.01-million.

During the quarter, Valens increased its annual extraction capacity of a combination of marijuana and hemp biomass to 425,000 kilograms through its facility in Kelowna. It increased the capacity from 240,000 kg. While it is the highest annual extraction capacity for all Canadian cannabis companies, Valens does not clarify how much of the 425,000 kg will be marijuana and how much will be hemp. Marijuana sells for a much higher price, so this would be useful information. In Valens's Q2 results news release, it says it produced a combined 8,547 kg of marijuana and hemp in the quarter. It then says it has already processed 7,348 kg of hemp in the first 45 days of Q3, so it seems that a large portion of the production may be hemp.

The remainder is available to Stockwatch subscribers.
Sign-up for a FREE 30-day Stockwatch subscription and SEE NO ADS