Clever Leaves Holdings Inc. (NASDAQ: CLVR, CLVRW) (“Clever Leaves”
or the “Company”), a global medicinal cannabis company, is
reporting financial and operating results for the third quarter
ended September 30, 2023. All financial information is
provided in US dollars unless otherwise indicated.
“Our third quarter results reflect our
commitment to enhancing our commercial strategy and Colombian
production, as well as optimizing our expenses,” said Andres
Fajardo, CEO of Clever Leaves. “On the cannabinoid side of our
business, demand for our extracts increased, resulting in overall
year-over-year revenue growth of 135% increase in cannabinoid
revenue. We also grew revenue by 6% year-over-year in our
non-cannabinoid Herbal Brands business and maintained the segment’s
gross margin performance, driven by higher sales, stabilized raw
material and labor costs, and general and administrative cost
efficiencies. Within this segment, we continue to strengthen our
relationships with the Food Drug Mass channel, optimize our
go-to-market model for the specialty channel, and grow our
Direct-to-Consumer sales.
“As a result of the measures we have previously
implemented to preserve cash, we have continued to drive
year-over-year reductions in our operating expenses and cash burn.
In fact, our quarter-end cash balance of $6.5 million reflects a
sequential gain relative to our $5.1 million balance at the end of
the second quarter, benefited by the $2.7 million in proceeds we
received from the sale of our Portuguese processing assets in July
and ATM shares issuances. At October 31, our cash balance was $6.2
million, and we have since received $1.9 million in net proceeds
from the sale of our remaining stake in Cansativa this month.
Moving into the remainder of 2023, we are focused on accelerating
expansion in our core cannabinoid markets, reflecting a combination
of high-quality extracts and increasing diversified and genetically
differentiated flower, continued cost reductions via the continued
streamlining of our operational infrastructure, and continued
exploration of monetization of non-core assets.”
Third Quarter 2023 Summary vs. Same Year-Ago
Quarter1
- Revenue in the third quarter of
2023 increased 33% to $3.8 million compared to $2.9 million for the
same period in 2022. The improvement was driven by an increase in
cannabinoid segment revenues of 135% to $1.4 million compared to
$0.6 million for the same period in 2022. The increase in
cannabinoid segment revenues was primarily driven by continued
extract sales strength in Australia and Brazil. Non-cannabinoid
revenues increased 6% year-over-year.
- All-in cost per gram of dry flower
was $0.75, compared to $0.52 in the prior year period. The increase
is attributable to the Company's ongoing extraction and processing
costs on existing inventory, along with costs associated with
ramping Colombian flower exports. The Company also implemented
meaningful cultivation changes to improve its flower quality and
properties, as well as meet more stringent market and regulatory
requirements.
- Gross profit,
including a $0.3 million inventory provision, increased 49% to $1.9
million, compared to a $1.3 million gross profit in the year-ago
quarter, which included a $0.6 million inventory provision.
Adjusted gross profit (a non-GAAP financial measure defined and
reconciled herein), which excluded such inventory provisions,
increased 19% to $2.2 million compared to $1.9 million. The
increase in gross profit reflects the revenue growth generated
during the quarter, along with stabilized pricing for both raw
materials and labor in the non-cannabinoid segment.
- Gross margin
increased 550 basis points to 50.8% compared to 45.3% last year.
Adjusted gross margin (a non-GAAP financial measure defined and
reconciled herein), which excluded inventory provisions, was 57.7%
compared to 64.7%.
- Operating
expenses in the third quarter of 2023 improved to $5.3 million
compared to $25.6 million for the same period in 2022, which
included a $19.0 million intangible asset impairment charge related
to the Company’s Colombian cannabis license. Excluding the year-ago
impairment charge, operating expenses decreased by 20%
year-over-year, reflecting the continued benefits of the cost
reduction and restructuring initiatives the Company previously
implemented.
- Net loss was
$5.1 million compared to a net loss of $20.2 million in the prior
year period. Net loss in the third quarter of 2023 included a $3.7
million impairment charge related to the sale of the Company’s
remaining stake in Cansativa subsequent to the end of the third
quarter. Net loss in the year-ago quarter included the previously
mentioned $19.0 million asset impairment charge.
- Adjusted EBITDA
(a non-GAAP financial measure defined and reconciled herein)
improved to $(2.6) million compared to $(3.7) million. The
improvement reflects the aforementioned benefits of the Company’s
cost reductions and restructuring initiatives previously
implemented.
- Cash, cash
equivalents and restricted cash were $6.5 million at September 30,
2023, compared to $12.9 million at December 31, 2022. The decrease
was primarily attributable to continued operating losses and
working capital needs, partially offset from the sale of non-core
assets and ATM issuances.
Fajardo continued: “Building upon the traction
we have generated throughout the year, we sustained a strong focus
on our target cannabinoid markets. Increasing demand in Australia
and Brazil continued to drive extract sales as we capitalize on our
growing supply partnerships, including in Israel and our approved
product shipments to Brazil. We also focused on leveraging our
partnership with Australian Natural Therapeutics Group to ramp
sales of our dry flower in Australia.
“Furthermore, we are continuing to expand our
commercial flower portfolio and are aiming to complete two new
strains by year-end. As part of our previously announced
partnership with Praetorian Global, we have already achieved
significant milestones in our initial cultivation collaboration. We
believe these strains will help accelerate our market penetration
into Germany, the United Kingdom, and other markets. Looking ahead,
we are focused on optimizing our flower characteristics and
expanding our product portfolio in 2024 to best meet market
demand.
“Moving into the fourth quarter, our goal is to
continue expanding sales of our cannabinoid products, optimize our
capital efficiency and cost structure, and enhance our product
quality and diversity out of Colombian production operations. We
believe we are well positioned to achieve all of these goals to
drive sustainable future growth.”
Revised 2023 Outlook
Clever Leaves is refining its full year 2023
financial outlook to reflect the year-to-date phasing and mix of
its segment-level revenues, along with key improvements to its cost
and capital structure. The Company now expects its full year
revenue to range between $17 million and $18 million, with an
adjusted gross margin of between 55% and 57%, compared to its prior
forecast of between $19 million and $22 million, with an adjusted
gross margin of between 58% and 63%. The revisions primarily
reflect timing variability across the Company’s cannabinoid
markets, mainly Brazil as a result of the timing in the issuance of
internal quotas and Israel as a result of the recent geopolitical
complexities facing the nation. The revisions also reflect softness
experienced in the first half of the year in the specialty channel
of Clever Leaves’ non-cannabinoid segment.
Pursuant to the savings generated from prior
cost reduction and restructuring initiatives, the Company now
anticipates its 2023 adjusted EBITDA performance for the year to
range between $(11.0) million and $(10.0) million, compared to its
prior forecast of between $(13.6) million and $(10.6) million. This
new range reflects the significant cost reductions implemented
during the course of the year. Clever Leaves is also reducing its
range of annual capital expenditures in 2023 to approximately $0.2
million to $0.3 million, as compared to its prior forecast of
between approximately $0.5 million to $0.7 million. The new range
reflects the minimal maintenance needs of its mature Colombian
production infrastructure and represents a nearly 80% reduction
compared to its annual capital expenditures in 2022.
Conference Call
Clever Leaves will conduct a conference call
today at 5:00 p.m. Eastern time to discuss its results for the
third quarter ended September 30, 2023.
Clever Leaves management will host the conference call, followed
by a question-and-answer session.
Conference Call Date: Thursday, November 9, 2023Time: 5:00 p.m.
Eastern timeToll-free dial-in number: 1-855-238-2333International
dial-in number: 1-412-317-5222Conference ID: 10183148
Please call the conference telephone number 5-10 minutes prior
to the start time. An operator will register your name and
organization. If you have any difficulty connecting with the
conference call, please contact Gateway Group at 949-574-3860.
The conference call will be broadcast live and available for
replay here.
A telephonic replay of the conference call will also be
available after 8:00 p.m. Eastern time on the same day through
November 16, 2023.
Toll-free replay number: 1-844-512-2921International replay
number: 1-412-317-6671Replay ID: 10183148
About Clever Leaves Holdings
Inc.
Clever Leaves is a global medical cannabis
company. Its operations in Colombia produce EU GMP cannabinoid
active pharmaceutical ingredients (API) and finished products in
flower and extract form to a growing base of B2B customers around
the globe. Clever Leaves aims to disrupt the traditional cannabis
production industry by leveraging environmentally sustainable,
ESG-friendly, industrial-scale and low-cost production methods,
with the world’s most stringent pharmaceutical quality
certifications. Clever Leaves announces material information to the
public through a variety of means, including filings with the U.S.
Securities and Exchange Commission (the “SEC”), press releases,
public conference calls, and its website
(https://cleverleaves.com). Clever Leaves uses these channels, as
well as social media, including its Twitter account
(@clever_leaves), and its LinkedIn page
(https://www.linkedin.com/company/clever-leaves), to communicate
with investors and the public about Clever Leaves, its products,
and other matters. Therefore, Clever Leaves encourages investors,
the media, and others interested in Clever Leaves to review the
information it makes public in these locations, as such information
could be deemed to be material information. Information on or that
can be accessed through Clever Leaves’ websites or these social
media channels is not part of this release, and references to
Clever Leaves’ website addresses and social media channels are
inactive textual references only.
Non-GAAP Financial Measures
In this press release, Clever Leaves refers to
certain non-GAAP financial measures including Adjusted EBITDA,
Adjusted Gross Profit and Adjusted Gross Margin. Adjusted EBITDA,
Adjusted Gross Profit and Adjusted Gross Margin do not have
standardized meanings prescribed by GAAP and are therefore unlikely
to be comparable to similar measures presented by other companies.
Adjusted EBITDA is defined as income/loss from continuing
operations before interest, taxes, depreciation and amortization,
share-based compensation expense, restructuring expenses, foreign
exchange gain/loss, gains/losses on the early extinguishment of
debt, gain/loss on remeasurement of warrant liability, equity
investment share of gain/loss, other expense/income and income/loss
from discontinued operations. Adjusted Gross Profit (and the
related Adjusted Gross Margin measure) is defined as gross profit
excluding inventory provision. Adjusted EBITDA, Adjusted Gross
Profit and Adjusted Gross Margin also exclude the impact of certain
non-recurring items that are not directly attributable to the
underlying operating performance. Clever Leaves considers Adjusted
EBITDA, Adjusted Gross Profit and Adjusted Gross Margin to be
meaningful indicators of the performance of its core business.
Adjusted EBITDA, Adjusted Gross Profit and Adjusted Gross Margin
should neither be considered in isolation nor as a substitute for
the financial measures prepared in accordance with U.S. GAAP. For
reconciliations of Adjusted EBITDA, Adjusted Gross Profit and
Adjusted Gross Margin to the most directly comparable U.S. GAAP
measures, see the relevant schedules provided with this press
release. We have not provided or reconciled the non-GAAP
forward-looking information to their corresponding GAAP measures
because the exact amounts for these items are not currently
determinable without unreasonable efforts but may be
significant.
Forward-Looking Statements This
press release includes certain statements that are not historical
facts but are forward-looking statements for purposes of the safe
harbor provisions under the United States Private Securities
Litigation Reform Act of 1995. Forward-looking statements generally
are accompanied by words such as “aim,” “anticipate,” “believe,”
“can,” “continue,” “could,” “estimate,” “evolve,” “expect,”
“forecast,” “future,” “guidance,” “intend,” “may,” “opportunity,”
“outlook,” “pipeline,” “plan,” “predict,” “potential,” “projected,”
“seek,” “seem,” “should,” “will,” “would” and similar expressions
(or the negative versions of such words or expressions) that
predict or indicate future events or trends or that are not
statements of historical matters. Such forward-looking statements
as well as our outlook for 2023 are subject to risks and
uncertainties, which could cause actual results to differ from the
forward-looking statements. Important factors that may affect
actual results or the achievability of the Company’s expectations
include, but are not limited to: (i) our ability to continue as a
going concern; (ii) our ability to maintain the listing of our
securities on Nasdaq; (iii) our ability to implement our
restructuring initiatives; (iv) expectations with respect to future
operating and financial performance and growth, including if or
when Clever Leaves will become profitable; (v) Clever Leaves’
ability to execute its business plans and strategy and to receive
regulatory approvals (including its goals in its five key markets
and goals for entry into the United Kingdom); (vi) Clever Leaves’
ability to capitalize on expected market opportunities, including
the timing and extent to which cannabis is legalized in various
jurisdictions; (vii) global economic and business conditions,
including recent economic sanctions against Russia and their
effects on the global economy; (viii) geopolitical events
(including the ongoing military conflict between Russia and Ukraine
as well as the war between Israel and Hamas), natural disasters,
acts of God and pandemics, including the economic and operational
disruptions and other effects of COVID-19; (ix) regulatory
developments in key markets for the Company's products, including
international regulatory agency coordination and increased quality
standards imposed by certain health regulatory agencies, and
failure to otherwise comply with laws and regulations; (x)
uncertainty with respect to the requirements applicable to certain
cannabis products as well as the permissibility of sample
shipments, and other risks and uncertainties; (xi) consumer,
legislative, and regulatory sentiment or perception regarding
Clever Leaves’ products; (xii) lack of regulatory approval and
market acceptance of Clever Leaves’ new products which may impede
its ability to successfully commercialize its products; (xiii) the
extent to which Clever Leaves’ is able to monetize its existing THC
market quota within Colombia; (xiv) demand for Clever Leaves’
products and Clever Leaves’ ability to meet demand for its products
and negotiate agreements with existing and new customers; (xv)
developing product enhancements and formulations with commercial
value and appeal; (xvi) product liability claims exposure; (xvii)
lack of a history and experience operating a business on a large
scale and across multiple jurisdictions; (xviii) limited experience
operating as a public company; (xix) changes in currency exchange
rates and interest rates; (xx) weather and agricultural conditions
and their impact on the Company’s cultivation and construction
plans, (xxi) Clever Leaves’ ability to hire and retain skilled
personnel in the jurisdictions where it operates; (xxii) Clever
Leaves’ ability to remediate a material weakness in its internal
control cover financial reporting and to develop and maintain
effective internal and disclosure controls; (xxiii) potential
litigation; (xxiv) access to additional financing; and (xxv)
completion of our construction initiatives on time and on budget.
The foregoing list of factors is not exclusive. Additional
information concerning certain of these and other risk factors is
contained in Clever Leaves’ most recent filings with the SEC. All
subsequent written and oral forward-looking statements concerning
Clever Leaves and attributable to Clever Leaves or any person
acting on its behalf are expressly qualified in their entirety by
the cautionary statements above. Readers are cautioned not to place
undue reliance upon any forward-looking statements, which speak
only as of the date made. Clever Leaves expressly disclaims any
obligations or undertaking to release publicly any updates or
revisions to any forward-looking statements contained herein to
reflect any change in its expectations with respect thereto or any
change in events, conditions or circumstances on which any
statement is based.
Clever Leaves Investor
Inquiries:Cody Slach or Jackie KeshnerGateway Group,
Inc.+1-949-574-3860CLVR@Gateway-grp.com
CLEVER
LEAVES HOLDINGS INC. |
|
Consolidated
Statements of Financial Position |
|
(Amounts in
thousands of U.S. Dollars, except share and per share data) |
|
(Unaudited) |
|
|
|
|
|
|
|
September
30, 2023 |
|
December 31,
2022 |
|
Assets |
|
|
|
|
Current: |
|
|
|
|
Cash and cash equivalents |
$ |
6,472 |
|
|
$ |
12,449 |
|
|
Restricted cash |
|
66 |
|
|
|
439 |
|
|
Accounts receivable, net |
|
1,746 |
|
|
|
2,252 |
|
|
Prepaids, deposits and other receivables |
|
1,941 |
|
|
|
2,708 |
|
|
Inventories, net |
|
7,709 |
|
|
|
8,399 |
|
|
Total
current assets |
|
17,934 |
|
|
|
26,247 |
|
|
|
|
|
|
|
Investment –
Cansativa |
|
1,896 |
|
|
|
5,679 |
|
|
Property,
plant and equipment, net |
|
12,752 |
|
|
|
13,963 |
|
|
Asset held
for sale - Land |
|
1,500 |
|
|
|
1,500 |
|
|
Intangible
assets, net |
|
2,821 |
|
|
|
3,354 |
|
|
Operating
lease right-of-use assets, net |
|
820 |
|
|
|
1,303 |
|
|
Other
non-current assets |
|
54 |
|
|
|
52 |
|
|
Total Assets |
$ |
37,777 |
|
|
$ |
52,098 |
|
|
|
|
|
|
|
|
|
|
|
|
Liabilities |
|
|
|
|
Current: |
|
|
|
|
Accounts payable |
|
2,088 |
|
|
|
2,299 |
|
|
Accrued expenses and other current liabilities |
|
3,225 |
|
|
|
4,238 |
|
|
Loans and borrowings, current portion |
|
477 |
|
|
|
465 |
|
|
Warrant liability |
|
108 |
|
|
|
113 |
|
|
Operating lease liabilities, current portion |
|
512 |
|
|
|
1,239 |
|
|
Deferred revenue |
|
437 |
|
|
|
1,072 |
|
|
Total current liabilities |
$ |
6,847 |
|
|
$ |
9,426 |
|
|
Loans and borrowings |
|
859 |
|
|
|
1,065 |
|
|
Operating lease liabilities - Long-term |
|
366 |
|
|
|
1,087 |
|
|
Other long-term liabilities |
|
16 |
|
|
|
112 |
|
|
Total Liabilities |
$ |
8,088 |
|
|
$ |
11,690 |
|
|
|
|
|
|
|
Shareholders’ equity |
|
|
|
|
Additional
paid-in capital |
|
223,407 |
|
|
|
221,313 |
|
|
Accumulated deficit |
|
(193,718 |
) |
|
|
(180,905 |
) |
|
Total shareholders' equity |
|
29,689 |
|
|
|
40,408 |
|
|
Total liabilities and shareholders' equity |
$ |
37,777 |
|
|
$ |
52,098 |
|
|
CLEVER
LEAVES HOLDINGS INC. |
Consolidated
Statements of Operations and Comprehensive Loss |
(Amounts in
thousands of U.S. Dollars, except share and per share
data) |
|
|
|
|
|
|
|
|
|
|
(Unaudited) |
|
(Unaudited) |
|
|
For the three months ended September 30, |
|
For the nine months ended September 30, |
|
|
|
2023 |
|
|
|
2022 |
|
|
|
2023 |
|
|
|
2022 |
|
|
Revenue, net |
$ |
3,820 |
|
|
$ |
2,867 |
|
|
$ |
12,779 |
|
|
$ |
12,008 |
|
|
Cost of
sales |
|
(1,878 |
) |
|
|
(1,568 |
) |
|
|
(5,877 |
) |
|
|
(5,635 |
) |
|
Gross Profit |
|
1,942 |
|
|
|
1,299 |
|
|
|
6,902 |
|
|
|
6,373 |
|
|
|
|
|
|
|
|
|
|
|
Expenses |
|
|
|
|
|
|
|
|
General and
administrative |
|
4,155 |
|
|
|
5,442 |
|
|
|
14,327 |
|
|
|
18,865 |
|
|
Sales and
marketing |
|
582 |
|
|
|
615 |
|
|
|
1,600 |
|
|
|
2,075 |
|
|
Research and
development |
|
292 |
|
|
|
343 |
|
|
|
907 |
|
|
|
1,114 |
|
|
Restructuring expenses |
|
- |
|
|
|
(82 |
) |
|
|
- |
|
|
|
3,761 |
|
|
Goodwill
Impairment |
|
- |
|
|
|
19,000 |
|
|
|
- |
|
|
|
19,000 |
|
|
Depreciation
and amortization |
|
290 |
|
|
|
305 |
|
|
|
750 |
|
|
|
950 |
|
|
Total expenses |
|
5,319 |
|
|
|
25,623 |
|
|
|
17,584 |
|
|
|
45,764 |
|
|
|
|
|
|
|
|
|
|
|
Loss
from operations |
|
(3,377 |
) |
|
|
(24,324 |
) |
|
|
(10,682 |
) |
|
|
(39,391 |
) |
|
|
|
|
|
|
|
|
|
|
Other Expense (Income), Net |
|
|
|
|
|
|
|
|
Interest
(income)/expense and amortization of debt issuance cost |
|
5 |
|
|
|
(58 |
) |
|
|
23 |
|
|
|
2,696 |
|
|
Gain on
remeasurement of warrant liability |
|
(60 |
) |
|
|
(196 |
) |
|
|
(5 |
) |
|
|
(2,009 |
) |
|
Gain on
investment |
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
(6,851 |
) |
|
Investment
Impairment |
|
3,705 |
|
|
|
- |
|
|
|
3,705 |
|
|
|
- |
|
|
Loss on debt
extinguishment, net |
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
2,263 |
|
|
Foreign
exchange loss |
|
275 |
|
|
|
669 |
|
|
|
297 |
|
|
|
1,144 |
|
|
Other
(income) expense, net |
|
(31 |
) |
|
|
102 |
|
|
|
(19 |
) |
|
|
111 |
|
|
Total other expenses (income), net |
|
3,894 |
|
|
|
517 |
|
|
|
4,001 |
|
|
|
(2,645 |
) |
|
|
|
|
|
|
|
|
|
|
Loss
before income taxes and equity investment loss |
|
(7,271 |
) |
|
|
(24,841 |
) |
|
|
(14,683 |
) |
|
|
(36,746 |
) |
|
Equity
investment share of loss |
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
64 |
|
|
Deferred
Income Tax (recovery) |
|
- |
|
|
|
(6,650 |
) |
|
|
- |
|
|
|
(6,650 |
) |
|
Loss from
continuing operations |
|
(7,271 |
) |
|
|
(18,191 |
) |
|
|
(14,683 |
) |
|
|
(30,160 |
) |
|
Income
(Loss) from discontinued operations |
|
2,133 |
|
|
|
(1,972 |
) |
|
|
1,869 |
|
|
|
(7,189 |
) |
|
Net
loss |
$ |
(5,138 |
) |
|
$ |
(20,163 |
) |
|
|
(12,814 |
) |
|
$ |
(37,349 |
) |
|
Net
loss per share: |
|
|
|
|
|
|
|
|
Basic and
diluted from continuing operations |
$ |
(4.60 |
) |
|
$ |
(12.93 |
) |
|
$ |
(9.70 |
) |
|
$ |
(24.70 |
) |
|
Basic and
diluted from discontinued operations |
$ |
1.35 |
|
|
$ |
(1.41 |
) |
|
$ |
1.23 |
|
|
$ |
(5.90 |
) |
|
Net
loss per share - basic and diluted |
$ |
(3.25 |
) |
|
$ |
(14.33 |
) |
|
$ |
(8.47 |
) |
|
$ |
(30.59 |
) |
|
Weighted-average common shares outstanding - basic and
diluted |
|
1,580,456 |
|
|
|
1,407,419 |
|
|
|
1,513,575 |
|
|
|
1,221,107 |
|
|
|
|
|
|
|
|
|
|
|
CLEVER
LEAVES HOLDINGS INC. |
Consolidated
Statements of Cash Flows |
(Amounts in
thousands of U.S. Dollars) |
(Unaudited) |
|
|
|
|
|
|
For the Nine months ended September 30, |
|
|
|
2023 |
|
|
|
2022 |
|
|
|
|
|
|
|
Cash
Flow from Operating Activities: |
|
|
|
|
Loss from
continuing operations |
$ |
(14,683 |
) |
|
$ |
(30,160 |
) |
|
Gain (Loss)
from discontinued operations |
|
1,869 |
|
|
|
(7,189 |
) |
|
Net
loss |
$ |
(12,814 |
) |
|
$ |
(37,349 |
) |
|
Adjustments
to reconcile to net cash used in operating activities: |
|
|
|
|
Depreciation
and amortization |
|
1,933 |
|
|
|
2,935 |
|
|
Amortization
of debt discount and debt issuance cost |
|
- |
|
|
|
1,949 |
|
|
Gain on sale
of fixed assets |
|
(2,825 |
) |
|
|
- |
|
|
Inventory
provision |
|
591 |
|
|
|
3,822 |
|
|
Restructuring and related costs |
|
- |
|
|
|
3,791 |
|
|
Gain on
remeasurement of warrant liability |
|
(5 |
) |
|
|
(2,009 |
) |
|
Goodwill
Impairment |
|
- |
|
|
|
19,000 |
|
|
Deferred Tax
(Recovery) |
|
- |
|
|
|
(6,650 |
) |
|
Non-cash
lease expense |
|
483 |
|
|
|
128 |
|
|
Foreign
exchange loss |
|
341 |
|
|
|
1,420 |
|
|
Share-based
compensation expense |
|
954 |
|
|
|
2,606 |
|
|
Investment
Impairment |
|
3,705 |
|
|
|
- |
|
|
Loss on
equity method investment, net |
|
- |
|
|
|
64 |
|
|
Gain on
investment |
|
- |
|
|
|
(6,851 |
) |
|
Loss on debt
extinguishment, net |
|
- |
|
|
|
2,263 |
|
|
Other
non-cash expense, net |
|
- |
|
|
|
600 |
|
|
Changes in
operating assets and liabilities: |
|
- |
|
|
|
- |
|
|
Decrease
(Increase) in accounts receivable |
|
506 |
|
|
|
(369 |
) |
|
Decrease
(Increase) in prepaid expenses & other receivables |
|
767 |
|
|
|
(466 |
) |
|
(Increase)
decrease in other non-current assets |
|
(638 |
) |
|
|
555 |
|
|
(Decrease)
in lease liability |
|
(788 |
) |
|
|
- |
|
|
Decrease
(Increase) in inventory |
|
99 |
|
|
|
(5,067 |
) |
|
(Decrease)
in accounts payable and other current liabilities |
|
(2,178 |
) |
|
|
(4,756 |
) |
|
(Decrease)
Increase in accrued and other non-current liabilities |
|
(96 |
) |
|
|
415 |
|
|
Net
cash used in operating activities |
|
(9,965 |
) |
|
|
(23,969 |
) |
|
Cash
Flow from Investing Activities: |
|
|
|
|
Proceeds
from sale of fixed assets |
|
2,825 |
|
|
|
- |
|
|
Purchase of
property, plant and equipment |
|
(187 |
) |
|
|
(1,856 |
) |
|
Proceeds
from partial sale of equity method of investment |
|
- |
|
|
|
2,498 |
|
|
Net
cash provided by investing activities |
|
2,638 |
|
|
|
642 |
|
|
Cash
Flow From Financing Activities: |
|
|
|
|
Repayment of
debt |
|
(323 |
) |
|
|
(22,897 |
) |
|
Other
borrowings |
|
- |
|
|
|
73 |
|
|
Proceeds
from issuance of shares |
|
1,340 |
|
|
|
27,686 |
|
|
Equity
issuance costs |
|
(199 |
) |
|
|
(1,345 |
) |
|
Stock option
exercise |
|
- |
|
|
|
22 |
|
|
Net
cash provided by financing activities |
$ |
818 |
|
|
$ |
3,539 |
|
|
Effect of
exchange rate changes on cash, cash equivalents & restricted
cash |
|
159 |
|
|
|
(304 |
) |
|
Net
(decrease) in cash, cash equivalents & restricted cash |
$ |
(6,350 |
) |
|
$ |
(20,092 |
) |
|
Cash, cash
equivalents & restricted cash, beginning of period |
|
12,888 |
|
|
|
37,699 |
|
|
Cash, cash equivalents & restricted cash, end of
period |
$ |
6,538 |
|
|
$ |
17,607 |
|
|
CLEVER
LEAVES HOLDINGS INC. |
Adjusted
EBITDA Reconciliation (Non-GAAP Measure) |
(Amounts in
thousands of U.S. Dollars) |
(Unaudited) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended September 30, |
|
Nine Months Ended September 30, |
|
|
|
|
2023 |
|
|
|
2022 |
|
|
|
2023 |
|
|
|
2022 |
|
|
Net
Loss |
|
$ |
(5,138 |
) |
|
$ |
(20,163 |
) |
|
$ |
(12,814 |
) |
|
$ |
(37,349 |
) |
|
Loss
(Income) from discontinued operations |
|
|
(2,133 |
) |
|
|
1,972 |
|
|
|
(1,869 |
) |
|
|
7,189 |
|
|
Gain on
remeasurement of warrant liability |
|
|
(60 |
) |
|
|
(196 |
) |
|
|
(5 |
) |
|
|
(2,009 |
) |
|
Share-based
compensation |
|
|
52 |
|
|
|
958 |
|
|
|
954 |
|
|
|
2,606 |
|
|
Restructuring expenses |
|
|
- |
|
|
|
(82 |
) |
|
|
- |
|
|
|
3,761 |
|
|
Depreciation
and amortization |
|
|
691 |
|
|
|
748 |
|
|
|
1,933 |
|
|
|
2,322 |
|
|
Interest
expense and amortization of debt issuance costs |
|
|
5 |
|
|
|
(58 |
) |
|
|
23 |
|
|
|
2,696 |
|
|
Foreign
exchange loss |
|
|
275 |
|
|
|
669 |
|
|
|
297 |
|
|
|
1,144 |
|
|
Gain on
investment |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
(6,851 |
) |
|
Investment
Impairment |
|
|
3,705 |
|
|
|
- |
|
|
|
3,705 |
|
|
|
- |
|
|
Goodwill
Impairment |
|
|
- |
|
|
|
19,000 |
|
|
|
- |
|
|
|
19,000 |
|
|
Deferred Tax
(recovery) |
|
|
- |
|
|
|
(6,650 |
) |
|
|
- |
|
|
|
(6,650 |
) |
|
Loss on debt
extinguishment, net |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
2,263 |
|
|
Equity
investment share of loss |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
64 |
|
|
Other
(income) expense, net |
|
|
(31 |
) |
|
|
102 |
|
|
|
(19 |
) |
|
|
111 |
|
|
Adjusted EBITDA (Non-GAAP Measure) |
|
$ |
(2,634 |
) |
|
$ |
(3,700 |
) |
|
$ |
(7,795 |
) |
|
$ |
(11,703 |
) |
|
|
|
|
|
|
|
|
|
|
|
CLEVER
LEAVES HOLDINGS INC. |
Adjusted
Gross Profit Reconciliation (Non-GAAP Measure) |
(Amounts in
thousands of U.S. Dollars) |
(Unaudited) |
|
|
|
|
|
|
|
|
|
Three Months Ended September 30, |
|
Nine Months Ended September 30, |
|
|
|
|
2023 |
|
|
|
2022 |
|
|
|
2023 |
|
|
|
2022 |
|
|
Revenue |
|
$ |
3,820 |
|
|
$ |
2,867 |
|
|
$ |
12,779 |
|
|
$ |
12,008 |
|
|
Cost of
sales, before inventory provision |
|
|
(1,614 |
) |
|
|
(1,013 |
) |
|
|
(5,286 |
) |
|
|
(4,532 |
) |
|
Inventory
provision |
|
|
(264 |
) |
|
|
(555 |
) |
|
|
(591 |
) |
|
|
(1,103 |
) |
|
Gross Profit |
|
$ |
1,942 |
|
|
$ |
1,299 |
|
|
$ |
6,902 |
|
|
$ |
6,373 |
|
|
Inventory
provision |
|
|
(264 |
) |
|
|
(555 |
) |
|
|
(591 |
) |
|
|
(1,103 |
) |
|
Adjusted
Gross Profit (Non-GAAP Measure) |
|
$ |
2,206 |
|
|
$ |
1,854 |
|
|
$ |
7,493 |
|
|
$ |
7,476 |
|
|
|
|
|
|
|
|
|
|
|
|
Gross Profit
Margin (%) |
|
|
50.8 |
% |
|
|
45.3 |
% |
|
|
54.0 |
% |
|
|
53.1 |
% |
|
Adjusted
Gross Profit Margin (Non-GAAP Measure) (%) |
|
|
57.7 |
% |
|
|
64.7 |
% |
|
|
58.6 |
% |
|
|
62.3 |
% |
|
|
|
|
|
|
|
|
|
|
|
1 Due to the cessation of the Company’s production operations in
Portugal, as well as the ongoing wind-down process for these
operations, Clever Leaves has determined that these operations meet
the "discontinued operations" criteria as of March 31, 2023, in
accordance with Accounting Standards Codification (ASC) 205,
Presentation of Financial Statements. As a result, the Company’s
Consolidated Balance Sheets and Consolidated Statements of
Operations, and the notes to the Consolidated Financial Statements,
have been restated for all periods presented to reflect the
discontinuation of these operations in accordance with ASC 205. For
additional detail on this presentation, please refer to the
Company’s Form 10-Q for the fiscal period ended September 30, 2023.
Clever Leaves (NASDAQ:CLVR)
Gráfico Histórico do Ativo
De Ago 2024 até Set 2024
Clever Leaves (NASDAQ:CLVR)
Gráfico Histórico do Ativo
De Set 2023 até Set 2024