SALINAS, Calif., Dec. 03, 2020 (GLOBE NEWSWIRE) — Indus Holdings, Inc. (“Indus” or the “Company”) (CSE:INDS; OTCQX: INDXF), a leading, vertically-integrated, California-focused cannabis company, announces updated guidance for the fourth quarter ending December 31, 2020. All figures stated are in US Dollars.
Based on preliminary financial information and subject to year-end closing adjustments, as updated guidance, Indus expects net revenue for the fourth quarter to be approximately $9.5 million to $11.5 million, a decline from the previously expected $14 million.
The updated guidance is the direct result of continued suppressed cultivation yields from our cultivation resulting from the wildfires in late summer, early fall. Previously, the Company anticipated some continued deterioration in yields, however losses have been more pronounced than anticipated.
The Company believes that disruption is temporary in nature and should not impact our expectations for either the first quarter or the balance of 2021. Furthermore, the Company believes that the addition of recently installed Argus automated environmental control systems should mitigate future losses in the event of a recurrence. Such environmental controls allow the cultivation team to swiftly respond to erratic changes in the external environment like those we saw earlier this year.
The decision to update our previously expected financial results for the fourth quarter 2020 was not taken lightly but we feel that it is the prudent one to make. We remain focused on our commitment to building cannabis cultivations at unprecedented scale in California and on driving long-term value for our shareholders.
George Allen, Chairman of the Board for Indus Holdings, Inc.
With the right team in place, we have taken a meticulous approach this year to reevaluate our efficiencies and strategic planning – with a flexibility to adapt – and we saw great improvements so far; and we will continue to do so to respond accordingly.
ABOUT INDUS HOLDINGS, INC
Indus Holdings, Inc. (CSE: INDS; OTCQX: INDXF) is a vertically-integrated cannabis company with advanced production capabilities, including cultivation, extraction, manufacturing, brand sales & marketing, and distribution. Founded in 2014 and based in Salinas, California, Indus offers services supporting every step of the supply chain and an extensive portfolio of award-winning brands, including Cypress Cannabis, House Weed, The Original Pot Co., MOON, Humble Flower, and Kaizen Medicinals. Indus Distribution, a division of Indus Holdings, Inc., is a leading distributor of cannabis products, servicing an extensive portfolio of brands and licensed retailers.
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