Gemfields says unrest could disrupt Mozambique ruby mine
Gemfields said in a statement that "groups associated with the illegal mining and trading of rubies have taken advantage of the political unrest".
(via TheNewswire)
The timing of the Vin(Zero) inventory replenishment cycle and sales resulted in a higher net revenue quarter in Q1 FY 2025, vs. a very low period in Q1 FY 2024.
Toronto, ON. — November 29, 2024 — TheNewswire - Hill Incorporated, formerly Hill Street Beverage Company Inc. (TSXV: HILL) ("Hill” or the "Company"), announces today that it has released its financial results for the three-month period ended September 30, 2024 (“Q1 FY2025”), which can be found at www.sedarplus.com. The progressive bioscience implementation company is dedicated to building pathways to better and healthier living by leveraging deep CPG expertise to commercialize leading-edge technologies, crafting superior cannabis solutions and non-alcoholic beverage products globally. The financial information summarized in this press release is based on unaudited data for Q1 FY2025.
Consolidated net revenue was strong in Q1, with both alcohol-free wine and DehydraTECH licensing lines of business showing increases vs. the same period year ago.
As previously explained, consolidated quarterly revenues will fluctuate significantly due to the new business model and inventory management timing implemented in 2022 in the Vin(Zero) business.
Q1 FY 2025 consolidated net revenues were 134% greater vs. the same quarter year ago, as DehydraTECH licensing revenues grew 4% and the Company had strong Vin(Zero) alcohol-free wine revenues in the quarter vs. the year ago period that had no inventory replenishment and therefore minimal sales revenues.
DehydraTECH licensing revenues in the quarter increased 4% vs. the year ago period, as the launches from more recently added licensees offset the declines from some legacy licensees.
DehydraTECH licensing revenue growth in the quarter was driven primarily by a ramp-up of licensing revenues from MariMed Inc. (through Hill partner Dehydr8, LLC), which more than offset the revenue decline from legacy licensee 1906 as part of their FY2024 renegotiated licensing fee structure.
The timing of the Vin(Zero) inventory replenishment cycle and sales resulted in a higher net revenue quarter in Q1 FY 2025, vs. a very low period in Q1 FY 2024.
As communicated, we have fundamentally transformed our Vin(Zero) business model over the past two years, with major adjustments across all the key areas of production planning, shipping and logistics, warehousing, sales and retail distribution. The new streamlined commercial model creates a new and different cadence to the business, where dramatic quarter-to-quarter swings on the recognized revenues are planned based on inventory efficiencies and the timing of direct inventory arrivals to our distributor.
In Q1 FY 2025, our inventory management cycle resulted in significantly more inventory replenishment and resulting sales for the quarter vs. Q1 FY 2024, generating revenues of $471,760 for the quarter vs. only $9,226 for the Q1 FY 2024. Again, analysis of the business is better done over a period of time vs. looking at quarter-to-quarter fluctuations.
As we adapt to the new cadence of supply shipments and recognized revenues, we look carefully at our case depletions, which represent the shipment figures from our distributor to retailers and are a more accurate indicator of the pace of the business. Our shipments from distributor warehouses to retail customers have increased by 3% so far in 2024 through September and are up 5% over the past twelve months.
The consolidated revenue strength, along with continued focus on managing costs, enabled Hill to continue narrowing the net loss in the quarter, with a 24% improvement over the year ago period.
The quarterly revenue strength, along with significant focus on cost management, resulted in narrowing the net loss for Q1 FY2025 by 24%, building on the 49% reduction in Q1 FY2024 vs. Q1 FY2023.
Update on Save-On-Foods Distribution of Vin(Zero) Alcohol-Free Wine
Hill also provides the update that Canadian grocery retailer Save-On-Foods has discontinued distribution of Vin(Zero) alcohol-free wines in its retail stores in Western Canada, as part of an overall reduction by the retailer in shelf-space for the alcohol-free wine category.
About Hill Incorporated (TSXV: HILL)
Hill Incorporated is a progressive bioscience implementation company that is dedicated to building pathways to better and healthier living by leveraging our deep CPG expertise to commercialize leading-edge technologies to craft superior cannabis solutions and non-alcoholic beverage products globally. Our Hill Avenue Cannabis business unit is pioneering the space where craft consumer products meet bioscience by combining our deep CPG commercialization expertise with our rights to use Lexaria Bioscience Corp’s ground-breaking DehydraTECH patent portfolio for product development, licensing and B2B and B2C sales of cannabis ingredients or products on a global scale. Our Hill Street Beverages business unit represents the Company’s legacy alcohol-free consumer beverage marketing and distribution business.
For more information on our business activities visit www.hillincorporated.com, to learn more about our DehydraTECH cannabis biodelivery technology, go to www.dehydratech-thc.com, or to check out Hill Street Beverage’s award-winning alcohol-free wine line-up and order product to be delivered straight to your home, go to www.hillstreetbeverages.com.
If you wish to sign up for the Hill Incorporated mailing list, click HERE.
For more information, contact:
Craig Binkley, Chief Executive Officer
Email: [email protected]
Phone: 604-609-6154
FORWARD-LOOKING STATEMENTS
Statements in this press release may contain forward-looking information. Any statements in this press release that are not statements of historical fact may be deemed to be forward-looking statements. Forward-looking statements are often identified by terms such as “may”, “should”, “would”, “anticipate”, “expects”, and similar expressions. The reader is cautioned that assumptions used in the preparation of any forward-looking information may prove to be incorrect. Events or circumstances, such as future availability of capital on favourable terms, may cause actual results to differ materially from those predicted, as a result of numerous known and unknown risks, uncertainties, and other factors, many of which are beyond the control of the Company. The reader is cautioned not to place undue reliance on any forward-looking information. Such information, although considered reasonable by management at the time of preparation, may prove to be incorrect and actual results may differ materially from those anticipated. Forward-looking statements contained in this press release are expressly qualified by this cautionary statement. The forward-looking statements contained in this press release are made as of the date of this press release. The Company does not undertake any obligation to update publicly or to revise any of the included forward-looking statements, whether as a result of new information, future events or otherwise, except as required by securities law.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
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