Plus Products (CSE:PLUS,OTCQB:PLPRF) informed shareholders the company reported preliminary revenues of US$8.4 million for its fiscal quarter ending on December 31, 2018.
As quoted in the press release:
This unaudited revenue represents substantial growth of 684 [percent] when compared to fiscal 2017 revenues of US$1.1 million.
Revenue estimates for the fourth quarter of 2018 was $3.4 million, representing an approximately 32 [percent] anticipated increase above the third quarter of 2018 and 776 [percent] above the fourth quarter of 2017. The revenue growth was driven by sales of Plus Products’ concentrated brand portfolio of four full-time SKUs and one rotating seasonal.
“We are proud that in a year where the greater legal California cannabis market shrank and underperformed expectations, PLUS had significant growth in both revenue and market share,” said Jake Heimark, co-founder & CEO of PLUS Products. “When the legal market shrinks in its first year of enforcement, the most likely culprit is an increase in underground market sales as some businesses struggle to figure out how to adapt to the new legal landscape. We believe regulation is ultimately best for the consumer because it ensures businesses will be held accountable to create safe products that are consistent in quality and dosage. For the legal industry to grow and thrive, regulation needs to be uniform and clear so that businesses of all sizes can adapt, and we hope that in 2019 increased enforcement and regulatory clarity will help drive growth in the legal market and help make cannabis safe and approachable for everyone.”