Unrivaled Brands Inc (OTCQX:UNRV), the multi-state vertically integrated cannabis company, has released its financial results for the third quarter ended September 30, 2022.
The company, which has operations in California and Oregon, generated revenue from continuing operations of $10.76 million during the three-month period, composed of retail revenue of $8.77 million and cultivation/distribution revenue of $2.00 million.
This compared to revenue from continuing operations of $20.05 million for the third quarter of 2021, which included retail revenue of $7.24 million and cultivation/distribution revenue of $12.81 million.
The gross loss from continuing operations was $0.06 million compared to a gross profit of $0.33 million in the year-ago period.
The merger with UMBRLA and the acquisitions of People's First Choice and SilverStreak Solutions in 2021 led to more operations with additional facilities, employees, and costs to support them, Unrivaled Brands said.
READ: Unrivaled Brands sues People’s California managing directors for alleged fraud related to cannabis dispensary deal
Third-quarter selling, general and administrative expenses rose to $13.24 million from $12.03 million.
The company realized an operating loss from continuing operations of $122.80 million for the three months to end-September, compared with a loss of $11.70 million in the same period last year, mainly due to a $107.97 million impairment of intangible assets and goodwill related to the UMBRLA, People’s, and SilverStreak acquisitions.
As part of its strategic restructuring, Unrivaled Brands terminated its third-party distribution operations in California and its retail and delivery operations at SilverStreak Sacramento, which resulted in a loss on disposal of assets of $1.53 million during the current period.
Contact the author at jon.hopkins@proactiveinvestors.com