ESCONDIDO, Calif., Aug. 19, 2019 (GLOBE NEWSWIRE) -- via NetworkWire – MARIJUANA COMPANY OF AMERICA INC. (“MCOA” or the “Company”) (MCOA), an innovative hemp and cannabis corporation, is pleased to announce today its hempSMART™ product sales and other financial highlights for the second quarter ending June 30, 2019.
- Total revenues of hempSMART™ products were $208,580 for the second quarter ended June 30, 2019, as compared to $28,435 from the prior year, representing a significant 633.5% increase year-over-year.
- Gross profit for Q2 2019 increased to $179,441, generating 86% in gross margin, compared to a gross profit of $24,271 for the same period prior year, representing 78% in gross margin.
- International sales accounted for 33.5% of Q2 revenue.
- Total year to date, gross sales for the six-month period ended June 30, 2019 were $323,390 with a $254,373 gross margin compared to $47,455 in sales and a $32,835 gross margin in 2018.
- Net loss decreased substantially to $419,624 for the three month period ended June 30, 2019 compared to a net loss of $7,645,404 for Q2 2018.
- Total assets increased by $2,536,495 from $1,919,782 as of June 30, 2018 to $4,456,277 as of June 30, 2019.
- Total outstanding common shares were reduced to 47,314,625 as a result of the 60:1 reverse stock split that was recently approved.
“Our second quarter of 2019 has been our most successful quarter to date at hempSMART. We continue to generate strong sales and momentum in Q3 with over $100K in gross sales for just the month of July,” said CEO of MCOA Donald Steinberg. “We expect to see sustainable demand for our uniquely formulated hempSMART™ CBD product brand in the coming quarters. MCOA will continue to expand our hempSMART brand in the United States as well as internationally in the European marketplace.”
Please review the Form 10Q filed with the Securities and Exchange Commission on Aug. 19, 2019 for additional financial details.
About Marijuana Company of America, Inc.
MCOA is a corporation that participates in: (1) product research and development of legal hemp-based consumer products under the brand name “hempSMART™”, that targets general health and well-being; (2) an affiliate marketing program to promote and sell its legal hemp-based consumer products containing CBD; (3) leasing of real property to separate business entities engaged in the growth and sale of cannabis in those states and jurisdictions where cannabis has been legalized and properly regulated for medicinal and recreational use; and, (4) the expansion of its business into ancillary areas of the legalized cannabis and hemp industry, as the legalized markets and opportunities in this segment mature and develop.
About Our hempSMART Products Containing CBD
The United States Food and Drug Administration (FDA) has not recognized CBD as a safe and effective drug for any indication. Our products containing CBD derived from industrial hemp are not marketed or sold based upon claims that their use is safe and effective treatment for any medical condition as drugs or dietary supplements subject to the FDA’s jurisdiction.
Forward Looking Statements
This news release contains "forward-looking statements" which are not purely historical and may include any statements regarding beliefs, plans, expectations or intentions regarding the future. Such forward-looking statements include, among other things, the development, costs and results of new business opportunities and words such as "anticipate", "seek", intend", "believe", "estimate", "expect", "project", "plan", or similar phrases may be deemed "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Actual results could differ from those projected in any forward-looking statements due to numerous factors. Such factors include, among others, the inherent uncertainties associated with new projects, the future U.S. and global economies, the impact of competition, and the Company's reliance on existing regulations regarding the use and development of cannabis-based products. These forward-looking statements are made as of the date of this news release, and we assume no obligation to update the forward-looking statements, or to update the reasons why actual results could differ from those projected in the forward-looking statements. Although we believe that any beliefs, plans, expectations and intentions contained in this press release are reasonable, there can be no assurance that any such beliefs, plans, expectations or intentions will prove to be accurate. Investors should consult all of the information set forth herein and should also refer to the risk factors disclosure outlined in our annual report on Form 10-K, our quarterly reports on Form 10-Q and other periodic reports filed from time-to-time with the Securities and Exchange Commission. For more information, please visit www.sec.gov.
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