Namaste Technologies Inc (CVE:N) (OTCMKTS:NXTTF) (FRA:M5BQ) saw its revenue increase by 49% to C$5.6 million in its third quarter 2020, thanks to blockbuster growth from its online cannabis platform CannMart.
Total net revenue for CannMart for the three-month period to end August 31 was C$2.3 million, a 1,586% increase compared to the year-ago period, according to results released Friday.
Cannabis revenue represented nearly 41% of net consolidated revenue for the quarter versus 3.6% in the same period a year prior.
READ: Namaste Technologies expands Cannabis 2.0 offerings with new butane hash oil products; inks pact with Stigma Grow
The Toronto-based firm also narrowed its net loss to C$7.8 million from the C$14.7 million it posted in 3Q 2019.
"We continue to make progress shifting our sales to cannabis as CannMart posted another quarter with significant year-over-year growth of revenue in the third quarter of 2020 versus the same quarter last year," Meni Morim, Namaste’s CEO, said in a statement Friday.
"CannMart's distribution channels continue to make a significant contribution to Namaste's revenue stream. The work completed in the third quarter of 2020 around internal changes, improvements, and investments to strengthen its foundation for long term growth, including the successful launch of VendorLink, our proprietary scalable platform for brands and vendors to upload and sell their cannabis accessories products through CannMart.com."
Launched in September, VendorLink is a new marketplace platform for cannabis accessory products.
Namaste also entered the direct-to-consumer recreational cannabis market to sell products by licensed retailers via CannMart.com and VendorLink.
The company ended the quarter with C$13.6 million in cash.
Contact Angela at firstname.lastname@example.org
Follow her on Twitter @AHarmantas