WINNIPEG, Manitoba, Aug. 16, 2021 (GLOBE NEWSWIRE) -- DELTA 9 CANNABIS INC. (TSX: DN) (OTCQX: DLTNF) (“Delta 9” or the “Company”), is pleased to announce financial and operating results for the three-month and six-month period ending June 30, 2021.

Financial Highlights for the three-month period ending June 30, 2021

• Net revenue of $16.75 million for the second quarter of 2021, an increase of 29%, from $13.0 million for the same quarter last year.
  • Sequential net revenue increased 27% versus $13.2 million for the three-month period ending March 31, 2021
• Gross profit of $4.9 million for the second quarter of 2021, an increase of 25%, from $3.95 million for the same quarter last year.
• Net loss from operations of $(0.8) million for the second quarter of 2021 versus a loss from operations of $(0.2) million for the same quarter last year.
• Adjusted EBITDA of $1.2 million for the second quarter of 2021 versus an adjusted EBITDA of $0.05 million for the same quarter last year.
• The Company reported a loss per share of $0.01

Financial Highlights for the six-month period ending June 30, 2021

• Net revenue of $29.98 million for the first six months of 2021, an increase of 21%, from $24.8 million for the same period last year.
• Gross profit of $8.6 million for the first six months of 2021, versus $8.5 million for the same period last year.
• Net loss from operations of $(4.0) million for the first six months of 2021 versus a net income from operations of $1.9 million for the same period last year.
• Adjusted EBITDA of $1.2 million for the first six months of 2021 versus an adjusted EBITDA of $1.17 million for the same period last year.

“I am very proud of our results this quarter, with record top line revenues and our seventh consecutive quarter of positive Adjusted EBITDA." said John Arbuthnot, CEO of Delta 9. “We will continue to advance our bricks and mortar and online retail business strategy. We will add new micro cultivation partners with strategic cooperation agreements that provide for a variety of services and expand our turn key Grow Pod sales into the US market. These activities are clear indicators highlighting the strength of our operations and our management team’s ability to outperform in challenging markets.”

2^nd Quarter Operational Highlights

• Delta 9 announced that its strategic partner Oceanic Releaf Inc. was granted five new cannabis retail store licences in the province of Newfoundland and Labrador from the Newfoundland Labrador Liquor Corporation (NLC). Delta 9 owns a 5% equity stake in Oceanics’ production facility operations, existing retail store, and retail store expansion plans and has a 20-year supply agreement with Oceanic and the Government of Newfoundland and Labrador.
• Delta 9 presented at the Benzinga Virtual Cannabis Capital Conference on Friday, June 4, 2021 and at the Money show on May 12, 2021.
• Delta 9 opened its twelfth Delta 9 Cannabis retail store, and ninth cannabis store in the Province of Manitoba. Delta 9’s newest retail store is located in the City of Winnipeg. Delta 9 continues to make progress on its goal of having 20 stores open in 2021 across the Prairie provinces. Delta 9 will accomplish this through select strategic acquisition targets and laser focus on retail store build-outs at convenient and high traffic shopping locations. This growth strategy has been a successful part of the Company’s overall vertical integration strategy.
  
  

Summary of Quarterly Results:

1. Adjusted EBITDA is a non-IFRS measure, and is calculated as earnings before interest, tax, depreciation and amortization, share-based compensation expense, fair value changes and other non-cash items.
   
   

*Direct Production Cost per gram includes direct labour, nutrients, utilities, growing materials and supplies costs

**Total Cost per gram includes Direct Production Cost per gram plus processing labour, packaging, bottling, and labelling costs

A comprehensive discussion of Delta 9’s financial position and results of operations is provided in the Company’s Management Discussion & Analysis for the three-month and six-month period ending June 30, 2021 filed on SEDAR on August 16, 2021 and can be found at www.sedar.com.

2021 Second Quarter Results Conference Call

A conference call to discuss the above results is scheduled for August 16, 2021, pre-market. The conference call will be hosted that day at 9:00 a.m. Eastern Time by John Arbuthnot, Chief Executive Officer, and Jim Lawson, Chief Financial Officer, followed by a question-and-answer period.

For more information contact:

Investor & Media Contact:
Ian Chadsey VP Corporate Affairs
Mobile: 204-898-7722
E-mail: This email address is being protected from spambots. You need JavaScript enabled to view it.

About Delta 9 Cannabis Inc.

Delta 9 Cannabis Inc. is a vertically integrated cannabis company focused on bringing the highest quality cannabis products to market. The company sells cannabis products through its wholesale and retail sales channels and sells its cannabis grow pods to other businesses. Delta 9's wholly-owned subsidiary, Delta 9 Bio-Tech Inc., is a licensed producer of medical and recreational cannabis and operates an 80,000 square foot production facility in Winnipeg, Manitoba, Canada. Delta 9 owns and operates a chain of retail stores under the Delta 9 Cannabis Store brand. Delta 9's shares trade on the Toronto Stock Exchange under the symbol "DN" and on the OTCQX under the symbol "DLTNF". For more information, please visit www.delta9.ca.

Disclaimer for Forward-Looking Information

Certain statements in this release are forward-looking statements, which reflect the expectations of management regarding the Company’s future business plans and other matters. Forward-looking statements consist of statements that are not purely historical, including any statements regarding beliefs, plans, expectations or intentions regarding the future. Forward looking statements in this news release include statements relating to: (i) the Company’s plans to establish a chain of cannabis retail stores across Canada; and (ii) the anticipated production capacity of the Company’s planned cannabis processing center. Such statements are subject to risks and uncertainties that may cause actual results, performance or developments to differ materially from those contained in the statements, including all risk factors set forth in the annual information form of Delta 9 dated March 31, 2021 which has been filed on SEDAR. No assurance can be given that any of the events anticipated by the forward-looking statements will occur or, if they do occur, what benefits the Company will obtain from them. Readers are urged to consider these factors carefully in evaluating the forward-looking statements contained in this news release and are cautioned not to place undue reliance on such forward-looking statements, which are qualified in their entirety by these cautionary statements. These forward-looking statements are made as of the date hereof and the Company disclaims any intent or obligation to update publicly any forward-looking statements, whether as a result of new information, future events or results or otherwise, except as required by applicable securities laws.