Tue, Jun 25, 10:02 AM (118 days ago)
Cannabis Sativa, Inc. reported a 35% decline in revenue for Q1 2024 compared to Q1 2023, primarily due to increased competition in the cannabis telemedicine industry. Gross profit also decreased by 47% from the previous year. Operating expenses dropped by 15%, with notable reductions in depreciation, advertising, and general administrative costs. Despite these cost-cutting measures, the company posted a net loss of $222,568 for Q1 2024, up from a $500,101 loss in Q1 2023. Cash used in operating activities was $24,744, ending the quarter with $59,018 in cash. The company faces liquidity challenges and may seek additional capital, which could dilute current shareholders. Management identified material weaknesses in internal controls due to limited accounting staff. The company is also exploring new business opportunities and potential mergers, though a proposed merger with MJ Harvest, Inc. was withdrawn.