The Toronto-based company generated revenue of CA$2.2 million (US$1.6 million) during the quarter, down by roughly 80% compared to the same quarter last year.
The company posted a negative adjusted EBITDA of CA$3.2 million versus a loss of around CA$3.4 million in the first quarter of fiscal 2019.
"During the first quarter we remained focused on the completion of our cultivation assets as we continue to push aggressively towards being prepared to penetrate the Canadian recreational market with our products, and ramping up revenues starting in the second half of 2020," MJardin CEO Pat Witcher said in a statement.
Here's a breakdown of what the earnings report showed:
- Gross margin of CA$397,957, a decrease of 90% compared to the first quarter of last year
- Net loss of CA$8.1 million versus a net loss of CA$14.8 million in the same period the previous year.
- General and administrative expenses decreased by 43% year-over-year
- AMI, a joint venture consisting of MJardin Group, Nova Scotia Mi'kmaq First Nations, and Halef Group contributed CA$300,000 to net earnings
Other quarterly highlights include: obtaining a sales license for AMI and cultivation license for the GRO facility, to name a few.
The company also said its Warman-based cultivation and processing facility, which obtained Health Canada's approval in December, is on track to add three new varieties per month.
"I am very encouraged with the progress our team is making with bringing our assets online as well as exploring strategic growth opportunities which could start contributing to our profitability in the foreseeable future," continued Witcher.