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– The first quarter of 2022 represents the first quarter of the Company’s revenue increase thanks to the launch of Radient branded products in the consumer market
– Further reduction in operating costs of more than 55% to move towards operating profitability
– Provides updates on M&A activity
Edmonton, Alberta – (Newsfile Corp. – October 6, 2021) – Radiant Technologies inc.(TSXV: RTI) (OTC ROSE: RDDTF) (“Radient” or the “Company”), a commercial manufacturer of new and high quality cannabis extracts and miscellaneous packaged products, is pleased to announce that it has filed its financial results for its first quarter of 2022, ended June 30, 2021. The audited financial statements and MD&A (the “MD&A”) for the fiscal quarter ended June 30, 2021 are available at SEDAR.com, under the Company profile.
Key business developments and subsequent events:
- The first quarter of 2022 marks the start of a transformational year for Radient with a series of strategic initiatives and cost reduction measures led by a new management team. The company has launched a wide range of Radient branded products and formulations in the rapidly growing recreational cannabis market in Canada, with more than 55 active SKUs in the market.
- During the first quarter of 2022, the Company established and consolidated its brand of retail cannabis products primarily under the TRX brand, which are now sold in most major provincial and territorial retail markets in Canada (with the exception of the Quebec). The products included premium cannabis products including live resin vape cartridges, caviar, and THCa diamonds.
Update on mergers and acquisitions:
- Radient announced on June 30, 2021 that he had entered into a binding letter of intent (the “Obligatory Letter of Intent“) with TunaaaaRoom Inc. (“Tunaaaa Room“) to acquire 100% of the issued and outstanding shares of Tunaaaa Room Xtracts Inc. (“TRX“), a cannabis brand co-developed by Radient and TunaaaaRoom. The Company subsequently announced the July 29e 2021 he had entered into a letter of intent (the “Letter of Intent“) to acquire 100% of the issued and outstanding shares of the PBR Laboratories Inc. consumer product testing laboratory (“PBR Laboratories“) (together, the”Potential TransactionsRadient is pleased to note that both potential transactions are progressing and are expected to close by October 30, 2021. Radient will provide shareholders with further updates on the progress of these potential transactions pending the approvals of the Exchange. TSX Venture and regulatory authorities.
Summary of the first fiscal quarter 2022:
- The first quarter of 2022 represents the first quarter of increased revenues thanks to a number of strategic partnerships that have been signed by the Company in order to introduce Radient branded products and SKUs to the consumer market.
- Revenues amounted to $ 749,000 in the first quarter of 2022, which represents an increase of 1,600% over the same quarter of the previous year.
- The Company’s current backlog continues to grow, with the TRX brand of premium cannabis products showing strong business performance in the premium recreational cannabis space in Canada.
- Operating costs were significantly reduced by 55% in the first quarter of 2022 to $ 2.2 million from $ 4.4 million for the same period in the first quarter of 2021. These included a 72% reduction in sales and administration costs. Cost savings of over $ 2.4 million for the first quarter of fiscal 2022 along with increased revenues are in line with Radient’s plans to improve cash flow and achieve operating profitability during fiscal year 2022.
- The Company continued its restructuring plan in Europe until the completion of the liquidation of Radient’s subsidiary, MAG Industries in Germany, in order to focus activity on income generating opportunities in North America.
Management commentary:
Radient CEO Harry Kaura commented, “Radient made several important milestones in cost reduction and revenue generation this quarter, which represents the efforts of our planned strategic turnaround. There is still a lot of work to be done, but I am convinced that the success of the products we have brought to the market so far, coupled with several new initiatives that we have recently announced, are the start of a new chapter for Radient. I look forward to informing shareholders frequently throughout the year.
About Radiant
Radient is a commercial manufacturer of high quality, new and diverse cannabis extracts and packaged products, specializing in identifying existing market gaps and providing products that fill those gaps to consumers. Drawing on scientific and industrial expertise, Radient develops specialized products that contain a unique and highly technical range of cannabinoid and terpenes profiles, while meeting the highest quality and safety standards. Radient also operates a scientific and product testing lab that provides unique solutions to cannabis and wellness spaces. Please visit www.radientinc.com for more information.
SOURCE: Radient Technologies Inc.
For more information, please contact:
Harry Kaura, CEO and Director
ir@radientinc.com
Phone. : 780 465 1318
Forward-looking information:
This press release contains “forward-looking information” within the meaning of applicable Canadian securities laws. Forward-looking information includes, without limitation, statements regarding the growth of the Company’s business operations. In general, forward-looking information can be identified by the use of forward-looking terms such as “plans”, “expects” or “does not expect”, “is planned”, “budget”, “planned”, “Estimates”, “foresees”, “intends”, “anticipates” or “does not anticipate”, or “believes”, or variations of these words and expressions or declares that certain actions, events or results ” could ”,“ could ”,“ could ”,“ could ”or“ will be taken ”,“ occur ”or“ be reached ”. Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause Radient’s actual results, level of activity, performance or achievements, as the case may be, to differ materially. those expressed or implied by this forward-looking information. Although Radient has attempted to identify material factors that could cause actual results to differ materially from those contained in forward-looking information, other factors may cause results not to be as anticipated, estimated or expected. . There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Therefore, readers should not place undue reliance on forward-looking information. Radient does not undertake to update forward-looking information except in accordance with applicable securities laws.
NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATORY SERVICES PROVIDER (AS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS COMMUNICATION.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/98735
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