VANCOUVER, June 29, 2018 /CNW/ - Friday Night Inc. (the Company or Friday Night) (CSE: TGIF) (OTCQB: TGIFF), a leading cannabis, hemp and CBD producer in Nevada, is pleased to announce its financial results for the third quarter ending April 30, 2018.
For the three-month period ending April 30, the Company reported $3,317,497 in sales with total revenues for the first nine months of $8,744,683 million and gross profits of $4,176,656 on strong and growing sales from its US operations. Total sales increased from $2,962,699 in the second quarter to $3,317,497 in the third quarter with third quarter gross profits totaling $1,463,550 versus second quarter gross profits of $1,579,127.
Alternative Medicine Association ("AMA") reported increased sales from $2,025,036 in Q2 to $2,102,453 in Q3, due to the ongoing and strong demand for its high quality products. Infused MFG. ("Infused") sales increased from $937,663 in Q2 to $1,192,051 in Q3 from its Canna Hemp products now selling in Nevada, California and Colorado. Newly acquired Spire Secure Logistics ("Spire") has over $280,000 in signed and executed contracts covering the next several months.
Selected Quarterly Information
The following table shows results for the quarter ended April 30, 2018 in Canadian dollars.
Cash at end of period
Developments in Q3
On February 5, 2018, the Company announced the appointment of Mr. Cameron Watt to its Board of Directors, replacing Mr. Brian Keane. Mr. Watt also serves as the Company's VP of Business Development.
On February 7, 2018, the Company announced that it had received approval from the Depository Trust Company (DTC), making the Company's shares DTC eligible, or electronically tradable.
On February 21, 2018, the Company announced that it has terminated its letter of intent dated December 20, 2017 to acquire Body & Mind Inc. in an all-stock transaction.
On February 26, 2018, the Company announced the acquisition of Spire, as a wholly -owned subsidiary. Spire is a Canadian company specializing in security, intelligence, and compliance with international clients and expertise in both the regulated cannabis industry and other sectors.
On March 2, 2018, the Company announced the closing of the Spire acquisition and announced the appointment of Tim Humberstone as Chief Strategy Officer of Spire.
On March 6, 2018, the Company announced the closing of the previously announced purchase of an additional 2.78 acres of land which is contiguous to the current location that will host AMA new cultivation facility. AMA now owns 4.17 acres of land on a major thoroughfare in Las Vegas which includes the original plot of 1.39 acres that has already received a special use permit for cannabis cultivation and a building permit for its future, state-of-the-art 67,000 sq. ft. cultivation facility.
On March 8, 2018, the Company announced the appointment of Mr. Andy Richards, Chief Executive Officer of Spire to the Board of Directors.
On April 3, 2018, the Company announced a one-year licensing agreement and partnership between the Company's subsidiary, Infused and Grizzly Griptape, LLC., for the launch of "Canna Hemp X", a CBD-infused recovery cream targeting the rapidly growing recovery market and new vertical in the action sports world.
On April 12, 2018, the Company announced that its subsidiary, Spire signed a contract to provide strategic advice and expertise to a Canadian provincial government for the design and implementation of security programs and infrastructure for the legal distribution and sale of cannabis. Under the terms of the contract, Spire will be working with the provincial government to implement program system protocols for both retail and online sales of cannabis, focusing on the prevention of organized crime infiltration and black market diversion. Spire also announced the appointment of Mr. Kevin Meade as Chief Administration Officer and Director of International Programs.
On April 24, 2018, shareholders approved the continuance of the Corporation from the Province of Alberta into the Province of British Columbia and added Mr. Brian Farrell to its Board of Directors.
On May 5, 2015, the Company and its subsidiary, AMA, announced that they had entered into a purchase agreement for an existing 12,160 sq. ft. building adjacent to the future cultivation facility, which will be utilized for cannabis production, processing and extraction purposes. The purchase price was USD $2,250,000. The Company also announced that construction was underway in AMA's new cannabis cultivation facility in Las Vegas, Nevada. The Company was granted approval from the Clark County Zoning Commission in Nevada, for its building redesign from a one story, 35,000 sq. ft. facility to a two story, 67,750 sq. ft. facility for cannabis cultivation on 1.4 acres in an M-1 (Light Manufacturing) (APZ-1) (AE-75) Zone. The Company further announced the decision to continue the management contract of Harvest Foundation. The Company evaluated the potential advantages of expanding the current contract to encompass an acquisition and since decided to postpone acquisition talks.
On May 28, 2018, the Company and its subsidiary, Infused, announced a one-year licensing agreement with professional poker player, Mr. Scotty Nguyen, for the launch of Canna Hemp™ CBD-infused products marketed under Scotty Nguyen "Focus Baby" Disposable Vape Pen and "Focus Baby" Elixir.
On June 5, 2018, the Company and its subsidiary, Infused announced a one-year licensing agreement with Denver Dab Company (DDC") to produce the Company's line of products in the state of Colorado. DDC will manufacture Canna Hemp™ branded products including: CBD Relief Cream, body lotions, lip balms, disposable Vape Pens, Vape Cartridges, Elixirs and Capsules as well as Canna Hemp™ Paws pet products.
On June 6, 2018, the Company announced the closing of the previously announced purchase agreement dated May 15th, 2018 on a production building in Las Vegas, Nevada, which will house a separate hemp processing facility (the CBD Lab) operated by its subsidiary, Infused.
Management focused and executed on several milestones surrounding its Nevada business expansion plans.
Detailed information on the financials and the management's discussion and analysis can be found at http://sedar.com/.
About Friday Night Inc. Friday Night Inc. is a Canadian public company, which owns and controls cannabis and hemp-based assets in Las Vegas Nevada as well as an international cannabis and mining security logistics consulting firm. The Company owns 91% of Alternative Medicine Association, LC (AMA), a licensed medical and adult-use cannabis cultivation and production facility that produces its own line of unique cannabis-based products and manufactures other third-party brands. Infused MFG, also a 91% owned subsidiary, produces hemp-based, CBD products, thoughtfully crafted of high quality organic botanical ingredients. The Company's wholly-owned subsidiary, Spire Secure Logistics is a leading provider of customized security programs, compliance, information technology, buildout design, and due diligence services for the legal cannabis, mining and investment sectors. Friday Night Inc. is focused on strengthening and expanding its current operations.
Neither the Canadian Securities Exchange nor its Regulation Services Provider (as that term is defined in the policies of the Canadian Securities Exchange) accepts responsibility for the adequacy or accuracy of this release.
Notice regarding Forward Looking Statements: This news release contains forward-looking statements. The use of any of the words "anticipate", "continue", "estimate", "expect", "may", "will", "project", "should", "believe" and similar expressions are intended to identify forward-looking statements. Although the Company believes that the expectations and assumptions on which the forward-looking statements are based are reasonable, undue reliance should not be placed on the forward-looking statements because the Company can give no assurance that they will prove to be correct. Since forward-looking statements address future events and conditions, by their very nature they involve inherent risks and uncertainties. These statements speak only as of the date of this news release. Actual results could differ materially from those currently anticipated due to a number of factors and risks including various risk factors discussed in the Company's disclosure documents, which can be found under the Company's profile on www.sedar.com. Friday Night undertakes no obligation to update publicly or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as required by law.
SOURCE Friday Night Inc.
For further information: Alexia Helgason, Corporate Communications, 604-674-4756 (ext. 1), [email protected]; Brayden Sutton, Director/President & CEO, 604-674-4756 (ext. 1)