Charlie S Holdin Stock Price, News & Analysis

Charlie's Holdings (OTCQB:CHUC) announced the launch of PMTA registry-compliant 60ml e-liquid products under its PACHAMAMA brand in select states with FDA PMTA certification requirements. The launch includes five award-winning flavors, featuring "Fuji" and "Mint," targeting states like North Carolina, Kentucky, Oklahoma, Virginia, and Wisconsin that have implemented strict vapor product sales restrictions.

Charlie's is among a select few e-liquid manufacturers offering PMTA registry-compliant flavored e-liquids, with over 640 products under FDA regulatory review. The company has invested millions in PMTA submissions, positioning itself advantageously in a market where less than 1% of PMTAs for e-liquids and related products have survived FDA's regulatory process.

Charlie's Holdings (CHUC) announced FDA acceptance filings for eleven PACHA Disposables Pre-Market Tobacco Applications (PMTAs). Ten of these are for flavored PACHA Syn products, including varieties like Banana Ice, Blue Razz Ice, and Mango Ice. The company has invested over $7 million since 2020 on a team of 200+ professionals for PMTA submissions, with an additional $1 million investment in December 2024 to strengthen applications.

Notably, while pursuing PMTA approval, Charlie's is hedging with nicotine substitute products through their new SBX product line, which uses a proprietary alkaloid not subject to FDA tobacco regulations. The company acknowledges revenue reduction over the past two years due to resource redirection but sees SBX as a strategic opportunity in the vapor products marketplace.

Charlie's Holdings (OTCQB: CHUC) announced its participation in the LD Micro Main Event conference on October 29, 2024, in Santa Monica, California. The company revealed plans to launch SBX Disposables in November, featuring Metatine™ as a nicotine substitute. In a focus group survey, SBX was overwhelmingly preferred over Juul, with 287 out of 306 participants favoring Charlie's product.

The company has invested over $7MM in more than 700 Premarket Tobacco Application submissions with the FDA for various products. Charlie's COO Ryan Stump highlighted that SBX represents their largest commercial opportunity to date, offering a legal alternative across most of the United States.

Charlie's Holdings (OTCQB:CHUC) is set to launch SBX: America's Best Vape™, a revolutionary disposable device featuring patented Metatine™. SBX offers a legal alternative to flavored nicotine vapes across most of the United States. Key features include:

• 20ml capacity with 25,000 puffs
• Dual Mesh Coil for better taste
• Three power modes and customizable airflow
• Ten popular Charlie's flavors

SBX is not subject to regulatory restrictions that apply to most flavored vapes, as Metatine is not classified as a tobacco product. Charlie's believes this breakthrough will provide long-term competitive advantages in the vapor market. The product will be introduced at the National Association of Convenience Stores Convention in Las Vegas, October 8-10.

Charlie's Holdings (OTCQB: CHUC) reported its Q1 2024 financial results, showing a 24% revenue decrease to $3.1 million compared to Q1 2023. Despite this, gross profit increased by 6% to $0.9 million, and operating expenses decreased by 22% to $1.9 million. This led to a reduction in operating loss by 38% to $0.9 million, and net loss decreased by 25% to $1.0 million. Key initiatives include the development and launch of the SPREE BAR product line, using the new Metatine nicotine substitute. The company is focusing on increasing market awareness and preparing for further product launches in the second half of 2024.