Growth and Becomes Debt-Free

Nextleaf Solutions, a Canadian-based cannabis processor and biotech company, has announced its annual financial results for the fiscal year 2023, showcasing robust growth, strategic achievements, and significant financial milestones.

Nextleaf Solutions: A Leader in Cannabis Extraction and Innovation

Nextleaf Solutions Ltd. (CSE: OILS) (OTCQB: OILFF) (FSE: L0MA) is a multi-patented biotech company that specializes in cannabis extraction and purification. The company has a commercialized portfolio of federally regulated adult-use brands, cannabis derivative products, and high purity bulk ingredients. Nextleaf owns over 80 issued and pending patents for its proprietary extraction and distillation technology, which enables the production of standardized cannabinoid oils at low cost and high quality.

Nextleaf operates a 6,540 square foot Health Canada licensed facility in Coquitlam, British Columbia, where it produces cannabis oils and vapes for its own brands and its B2B clients. The company also provides white-label manufacturing and toll processing services for licensed producers and other cannabis companies. Nextleaf has established itself as a leader in the cannabis extraction and innovation sector, with a vision to enhance the lives of consumers through cannabis.

Nextleaf Solutions Reports Impressive Financial Performance for Fiscal Year 2023

Nextleaf Solutions has reported a remarkable total gross revenue of nearly $10 million ($9.96 million) for the fiscal year 2023, representing a growth of 1.86 times (or 186.1%) compared to the previous year. The significant momentum is attributed to the company’s commercialization efforts, notably in the fourth quarter, generating approximately $3.3 million in revenue. This represents a 24% increase from the previous quarter, and a remarkable 77.7% year-over-year growth from the fourth quarter of fiscal year 2022.

The company also achieved a gross profit of $2.3 million for the fiscal year 2023, with a gross margin of 23%. Moreover, the company delivered four consecutive quarters of consistent positive cash flow from operations, demonstrating operational efficiency and financial resilience. The company’s strategic move to become debt-free by retiring its senior note is a testament to a significant financial milestone and a strengthened balance sheet.

Nextleaf Solutions’ CEO and co-founder, Paul Pedersen, expressed his satisfaction with the company’s financial performance and outlook. He said, “We are very pleased with our fiscal year 2023 results, which reflect our successful execution of our business strategy and our ability to generate value for our shareholders. We have achieved strong revenue growth, positive cash flow, and debt-free status, while continuing to invest in our core competencies of extraction, purification, and innovation. We believe we are well-positioned to capitalize on the growing demand for cannabis oils and vapes in Canada and internationally.”

Nextleaf Solutions Expands Its Product Portfolio and Market Presence

Nextleaf Solutions has also expanded its product portfolio and market presence in the fiscal year 2023, with several new product launches and distribution agreements. The company launched its own brand of cannabis vapes, Glacial Gold, in October 2023, offering consumers a premium and affordable option for cannabis consumption. Glacial Gold vapes are made with Nextleaf’s high purity cannabis distillate and natural terpenes, and are available in various strains and potencies. The company has secured distribution agreements with provincial wholesalers in British Columbia, Alberta, Saskatchewan, Manitoba, and Ontario, reaching over 90% of the Canadian population.

Nextleaf Solutions has also entered the international cannabis market, with its first shipment of cannabis vape products to Israel in January 2023. The company partnered with a leading Israeli cannabis company, Cannomed Medical Cannabis Industries Ltd., to supply its Glacial Gold vapes to the Israeli medical cannabis market. Nextleaf Solutions is one of the first Canadian companies to export cannabis vapes to Israel, and plans to leverage its patented extraction technology and global distribution network to access other emerging cannabis markets.

Nextleaf Solutions has also diversified its product offerings, with the launch of its cannabis-infused beverages, Glacial Gold Sparkling Water, in February 2023. The beverages are made with Nextleaf’s water-soluble nanoemulsion technology, which enhances the bioavailability and onset time of cannabinoids. The beverages are available in four natural flavours, and contain 2.5 mg of THC and 2.5 mg of CBD per 355 ml can. The company has secured distribution agreements with provincial wholesalers in British Columbia, Alberta, Saskatchewan, and Manitoba, and expects to launch the beverages in Ontario in the second quarter of 2023.

Nextleaf Solutions’ Chief Commercial Officer, Charles Ackerman, commented on the company’s product expansion and market penetration. He said, “We are very proud of our product portfolio and our market presence, which reflect our commitment to providing consumers with high quality, consistent, and affordable cannabis products. We have successfully launched our Glacial Gold vapes and beverages in multiple provinces, and have entered the Israeli medical cannabis market, which are significant milestones for our company. We are confident that our products will resonate with consumers and create loyal customers, as we continue to expand our product offerings and market reach.”

Nextleaf Solutions Continues to Innovate and Grow

Nextleaf Solutions has also continued to innovate and grow in the fiscal year 2023, with several new patent grants and strategic partnerships. The company has received 12 new patents from various jurisdictions, including Canada, the United States, Australia, and Europe, bringing its total number of issued and pending patents to over 80. The company’s patent portfolio covers its proprietary extraction and distillation technology, as well as its novel formulations and delivery methods for cannabis oils and vapes.

Nextleaf Solutions has also formed strategic partnerships with other cannabis companies and research institutions, to leverage its extraction expertise and innovation capabilities. The company has partnered with BevCanna Enterprises Inc., a leading infused beverage company, to provide cannabis oils and nanoemulsions for BevCanna’s beverages. The company has also partnered with Cannabis At Work, a leading cannabis education and training provider, to offer extraction courses and certifications for cannabis professionals. Additionally, the company has partnered with the British Columbia Institute of Technology (BCIT), a leading polytechnic institution, to conduct research and development on cannabis extraction and purification.

Nextleaf Solutions’ Chief Technology Officer and co-founder, Ryan Ko, highlighted the company’s innovation and growth initiatives. He said, “We are very excited about our innovation and growth initiatives, which reflect our vision to be the world’s most innovative cannabis extractor. We have received several new patents for our extraction and distillation technology, which gives us a competitive edge and a strong intellectual property portfolio. We have also formed strategic partnerships with other cannabis companies and research institutions, which allows us to leverage our extraction expertise and innovation capabilities, and to create synergies and value for our partners and customers.”

Nextleaf Solutions is a Canadian-based cannabis processor and biotech company that has achieved remarkable financial growth and become debt-free in the fiscal year 2023. The company has also expanded its product portfolio and market presence, and continued to innovate and grow, with its patented extraction and distillation technology, and its strategic partnerships. Nextleaf Solutions is a leader in the cannabis extraction and innovation sector, with a vision to enhance the lives of consumers through cannabis.