CO2 GRO Inc (TSX-V:GROW, OTCQB:BLONF) reported a 132% increase in revenue for the third quarter of 2021 at $122,103, compared to $24,857 in 3Q of 2020.
The Toronto-based company signed a record number of new commercial feasibilities in the third quarter.
"We signed a record seven new commercial feasibilities in 3Q, 2021 versus four in 2Q, 2021, a significant increase as a result of our sales and marketing efforts,” said John Archibald, CEO of CO2 GRO.
He added: “Our largest commercial feasibility signed to date is with a major EU grower operating 100 million square feet of vegetable grow area. The cumulative 200M square feet of potential commercial opportunity owned by our customers under commercial feasibilities is up from 30M square feet entering 2Q 2021, an increase of over six times. Our most recent commercial feasibilities are for larger domestic and international greenhouse and protected ag fruit and vegetable growers and Canadian Cannabis Licensed Producers.”
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For the period ended September 21, 2021, CO2 grow signed seven new commercial feasibilities to reach 200 million square feet of potential commercial opportunity.
Archibald told the investors that the increased interest in the company’s CO2 Delivery Solutions technology is due to the demonstrated benefits to growers which includes up to a 30% increase in yields, up to doubling of gross profits, and suppression of micro pathogens provided by the technology's Pathogen Perimeter Protection benefit.
CO2 Grow highlighted its year-to-date 2021 revenues of $230,360, compared to $100,331 in YTD 2020.
The company said there are eight commercial feasibilities in progress, while another six have been delayed until 2022.
CO2 Grow is also in discussions with potential international partners with a view to expanding sales into other countries and regions in the second half of 2022.
Current partners are in Spain, Mexico, the Middle East, Israel, the UK, the Netherlands and Belgium, Southern Africa, and Malaysia. International marketing partners enable CO2 GRO to expand its business outside of its core North American markets by re-risking the sales and operational efforts which the partners take on as part of their commitment to developing international business opportunities, the company said.
“With 200M square feet of potential commercial greenhouse and protected ag opportunity currently under commercial feasibilities, we are focused on converting these opportunities to commercial installation sales in 2022,” said Archibald.
He concluded: “We will continue to introduce our CO2 Delivery Solutions technology at global ag-tech and food security conferences, meeting potential customers and marketing partners, and increasing global awareness of our company and technology during 2022.”
The company finished the quarter with a little over $900,000 in cash. CO2 Grow also reported a loss of $299,805 during the 3Q of 2021, compared to $307,182 in 3Q of 2020.
CO2 Grow is working to create global carbon offsets for growers employing atmospheric enrichment (CO2 gassing) as its technology uses up to 90% less CO2 compared to gassing, while achieving comparable yields.
With carbon taxes and rising CO2 gas costs in the near future, CO2 Delivery Solutions provides growers the opportunity to reduce their carbon and ecological footprint, while enhancing their production and profits.
Contact Ritika at ritika@proactiveinvestors.com