CubicFarm Systems Corp. Announces Filing of Third Quarter Financial Statements and Provides Update on Cease Trade Order
CubicFarm Systems Corp. (TSXV: CUB) has filed its Q3 2024 financial results, reporting revenue of $57,000 and $208,000 for the three and nine months ended September 30, 2024, respectively. The company achieved significant cost reductions, with corporate overhead decreasing by 22% to $1.7 million in Q3 compared to the previous year. Net loss for Q3 was $2.6 million, up from $2.2 million last year due to foreign exchange adjustments, while the nine-month net loss improved to $7.0 million from $10.9 million.
The company remains under a failure-to-file cease trade order (FFCTO) issued by the BCSC on July 15, 2024. Following Q2 filings, CubicFarm has submitted revocation and reinstatement applications to the BCSC and TSXV respectively, and is awaiting responses after addressing their information requests.
CubicFarm Systems Corp. (TSXV: CUB) ha presentato i risultati finanziari del terzo trimestre 2024, riportando ricavi di 57.000 $ e 208.000 $ per i tre e i nove mesi terminati il 30 settembre 2024, rispettivamente. L'azienda ha ottenuto significativi tagli ai costi, con le spese generali aziendali che sono diminuite del 22%, raggiungendo 1,7 milioni di dollari nel terzo trimestre rispetto all'anno precedente. La perdita netta per il terzo trimestre è stata di 2,6 milioni di dollari, in aumento rispetto ai 2,2 milioni di dollari dell'anno scorso a causa degli aggiustamenti dei cambi, mentre la perdita netta nei nove mesi è migliorata a 7,0 milioni di dollari rispetto ai 10,9 milioni di dollari.
L'azienda rimane soggetta a un'ordinanza di cessazione del commercio per inadempienza presentata dalla BCSC il 15 luglio 2024. Dopo le presentazioni del secondo trimestre, CubicFarm ha inviato domande di revoca e ripristino alla BCSC e al TSXV, rispettivamente, e sta aspettando risposte dopo aver affrontato le loro richieste di informazioni.
CubicFarm Systems Corp. (TSXV: CUB) ha presentado sus resultados financieros del tercer trimestre de 2024, reportando ingresos de $57,000 y $208,000 para los tres y nueve meses finalizados el 30 de septiembre de 2024, respectivamente. La compañía logró reducciones de costos significativas, con los gastos generales corporativos disminuyendo un 22% a $1.7 millones en el tercer trimestre en comparación con el año anterior. La pérdida neta para el tercer trimestre fue de $2.6 millones, un aumento desde los $2.2 millones del año pasado debido a ajustes cambiarios, mientras que la pérdida neta de nueve meses mejoró a $7.0 millones desde $10.9 millones.
La empresa sigue bajo una orden de cese de comercio por incumplimiento (FFCTO) emitida por la BCSC el 15 de julio de 2024. Tras las presentaciones del segundo trimestre, CubicFarm ha presentado solicitudes de revocación y reinstalación a la BCSC y al TSXV, respectivamente, y está a la espera de respuestas tras abordar sus solicitudes de información.
CubicFarm Systems Corp. (TSXV: CUB)는 2024년 3분기 재무 결과를 발표하며, 2024년 9월 30일에 종료된 3개월 및 9개월 동안 각각 57,000달러 및 208,000달러의 수익을 보고했습니다. 이 회사는 비용을 상당히 절감했으며, 3분기의 기업 간접비가 전년 대비 22% 감소하여 170만 달러에 달했습니다. 3분기 순손실은 260만 달러로, 지난해 220만 달러에서 증가했으며, 이는 외환 변동 조정에 따른 것입니다. 한편, 9개월 총 순손실은 1090만 달러에서 700만 달러로 개선되었습니다.
회사는 2024년 7월 15일 BCSC에 의해 발행된 서류 미제출 거래 중지 명령(FFCTO) 하에 있습니다. 2분기 보고서 제출 이후, CubicFarm은 BCSC와 TSXV에 각각 취소 및 재승인 신청서를 제출하였으며, 정보 요청에 대응한 후 응답을 기다리고 있습니다.
CubicFarm Systems Corp. (TSXV: CUB) a publié ses résultats financiers pour le troisième trimestre 2024, rapportant des revenus de 57 000 $ et 208 000 $ pour les trois et neuf mois se terminant le 30 septembre 2024, respectivement. L'entreprise a réalisé des réductions de coûts significatives, les frais généraux étant diminués de 22 % pour atteindre 1,7 million de dollars au troisième trimestre par rapport à l'année précédente. La perte nette pour le troisième trimestre s'est élevée à 2,6 millions de dollars, contre 2,2 millions de dollars l'année dernière, en raison des ajustements de change, tandis que la perte nette sur neuf mois s'est améliorée à 7,0 millions de dollars contre 10,9 millions de dollars.
L'entreprise reste sous une ordonnance de cessation de commerce pour non-dépôt (FFCTO) émise par la BCSC le 15 juillet 2024. Suite aux dépôts du deuxième trimestre, CubicFarm a soumis des demandes de révocation et de rétablissement à la BCSC et au TSXV, respectivement, et attend des réponses après avoir traités leurs demandes d'information.
CubicFarm Systems Corp. (TSXV: CUB) hat seine finanziellen Ergebnisse für das dritte Quartal 2024 veröffentlicht und berichtet von Einnahmen in Höhe von 57.000 $ beziehungsweise 208.000 $ für die drei und neun Monate bis zum 30. September 2024. Das Unternehmen hat bedeutende Kostensenkungen erreicht, wobei die Gemeinkosten um 22 % auf 1,7 Millionen $ im dritten Quartal im Vergleich zum Vorjahr gesenkt wurden. Der Nettoverlust für das dritte Quartal betrug 2,6 Millionen $, ein Anstieg von 2,2 Millionen $ im Vorjahr aufgrund von Währungsanpassungen, während sich der Nettoverlust über neun Monate auf 7,0 Millionen $ von 10,9 Millionen $ verbessert hat.
Das Unternehmen steht weiterhin unter einer Handelsstop-Anordnung aufgrund der Nichterfüllung (FFCTO), die von der BCSC am 15. Juli 2024 erlassen wurde. Nach den Einreichungen des zweiten Quartals hat CubicFarm Rücknahme- und Wiederherstellungsanträge bei der BCSC und dem TSXV eingereicht und wartet auf Antworten, nachdem alle Informationsanfragen bearbeitet wurden.
- Corporate overhead reduced by 22% to $1.7 million in Q3 2024
- Nine-month net loss improved to $7.0 million from $10.9 million year-over-year
- Successfully filed Q1, Q2, and Q3 2024 financial statements
- Q3 2024 revenue only $57,000, showing minimal sales activity
- Net loss increased to $2.6 million in Q3 from $2.2 million year-over-year
- Company remains under cease trade order affecting stock trading
- Required to amend and refile 2023 Audited Financial Statements
Vancouver, British Columbia--(Newsfile Corp. - December 17, 2024) - CubicFarm® Systems Corp. (TSXV: CUB) ("CubicFarm" or the "Company"), a local chain agricultural technology company, announces that, further to its previous press release of October 17, 2024, the Company is pleased to announce that is has filed its third quarter financial and operating results for the three and nine months ended September 30, 2024, and the related management's discussion and analysis for the three and nine months ended September 30, 2024 and related filings (collectively, the "Q3 Filings"). The Q3 Filings can be accessed under the Company's profile at www.sedarplus.ca and will be available on the same day on CubicFarm's website at https://cubicfarms.com/investors/.
Third Quarter Operational Highlights
For the three and nine months ended September 30, 2024, the Company achieved revenue of approximately
$57,000 and$208,000 , respectively.For the three months ended September 30, 2024, corporate overhead, which includes general and administrative, selling, and research and development expenses, of which excludes impairment loss, amounted to
$1.7 million . This reflects a significant reduction of$0.5 million , or22% , compared to$2.2 million in the prior year, thanks to the successful implementation of the Company's ongoing cost reduction plan throughout 2024. For the nine months ended September 30, 2024, corporate overhead, including impairment, totaled$6.7 million , reflecting a decrease of$2.3 million , or26% , compared to$9.0 million in the prior year. These results highlight our ongoing focus on improving operational efficiency and strengthening financial management.For the three and nine months ended September 30, 2024, the net loss was
$2.6 million and$7.0 million , respectively, compared to$2.2 million and$10.9 million in the prior year. The increase in the three month period was primarily due to foreign exchange adjustments. However, there was an overall reduction in the net loss for the nine months ending September 30, 2024, which was largely driven by lower operating expenses, as previously mentioned. This positive trend highlights our continued efforts to improve efficiency and strengthen financial performance.
"I would like to express my sincere gratitude to our shareholders for their continued patience and trust in the Company as we worked diligently throughout the third quarter to prepare and complete the 2023 audited financial statements, which were filed on October 2, 2024, shortly after the close of the third quarter. We also successfully filed the First and Second Quarter 2024 financial statements on October 17 and October 29, 2024, respectively," said Michael Kyne, CFO of CubicFarm. "The filing of the Third Quarter today fulfills the Company's filing obligations as required by the British Columbia Securities Commission," added Mr. Kyne.
As mentioned in our Second Quarter update, the Company remains focused on implementing further cost reductions while continuing to invest in our Feed as a Service (FaaS) initiatives. We look forward to sharing additional updates with our shareholders in the coming weeks. The British Columbia Securities Commission (the "BCSC") as the principal regulator of the Company issued a failure-to-file cease trade order (the "FFCTO") against the Company on July 15, 2024, under Multilateral Instrument 11-103 - Failure-To-File Cease Trade Orders In Multiple Jurisdictions, prohibiting the trading in or the purchasing of any securities of the Company by any person or company in Canada, including trades in the Company's common shares made through the TSX Venture Exchange, except in accordance with the following conditions for so long as the FFCTO order remains in effect: a beneficial securityholder of the Company who is not, and was not at the date of the FFCTO an insider or control person of the Company, may sell securities of the Company acquired before the date of July 15, 2024 if both of the following apply: (a) the sale is made through a "foreign organized regulated market", as defined in section 1.1 of the Universal Market Integrity Rules of the Canadian Investment Regulatory Organization; and (b) the sale is made through an investment dealer registered in a jurisdiction of Canada in accordance with applicable securities legislation. A copy of the FFCTO has been posted to the BCSC website.
Following the filing of the Q2 documents, the Company submitted a revocation application to lift the FFCTO to the BCSC and a reinstatement application to the TSX Venture Exchange (the "TSXV"). On November 8, 2024, the BCSC issued a comment letter in respect of the application, requesting, among other things, additional disclosures and supporting information related to the 2023 Audited Financial Statements, which will necessitate an amended refiling. On November 18, the TSXV has issued a response letter with follow up questions. The Company has replied to the BCSC's requests, as well as that of the TSX Venture Exchange, and is currently awaiting responses from both parties. The Company will provide further updates as they become available.
About HydroGreen
HydroGreen's Automated Vertical Pastures™ technology utilizes a unique process to sprout grains, such as barley and wheat, in a controlled environment with minimal use of land, labour and water. HydroGreen's fully automated indoor growing technology performs all growing functions including seeding, watering, lighting, harvesting, and re-seeding-all with the push of a button-to deliver nutritious fresh forage for livestock without the typical investment in fertilizer, chemicals, fuel, field equipment, and transportation. Automated Vertical Pastures™ not only provide superior nutritious feed to benefit the animal but also enable significant environmental benefits to the farm.
About CubicFarm
CubicFarm is a local chain agricultural technology company developing and deploying technology to feed a changing world. Its proprietary ag-tech solutions enable growers to produce high quality, predictable produce and fresh livestock feed with HydroGreen Nutrition Technology, a division of CubicFarm Systems Corp. The CubicFarm™ system contains patented technology for growing leafy greens and other crops onsite, indoors, all year round. CubicFarm provides an efficient, localized food supply solution that benefits our people, planet, and economy.
For more information, please visit https://cubicfarms.com.
Contact info@cubicfarms.com for media or investors@cubicfarms.com for investor inquiries.
Forward looking and other cautionary statements
Certain statements in this release constitute "forward-looking statements" or "forward-looking information" within the meaning of applicable securities laws, including, without limitation, statements with respect to: statements regarding the revocation of the FFCTO and the TSXV reinstatement application, the sales agreement for the sale of two DGS machines, potential growth, and strong and future prospects and demand for our technology and solutions. Such statements involve known and unknown risks, uncertainties, and other factors and assumptions which may cause the actual results, performance, or achievements of CubicFarm Systems Corp., or industry results, to be materially different from any future results, performance, or achievements expressed or implied by such forward-looking statements or information including, without limitation, other factors disclosed under "Risk Factors" in the Company's annual information form for the year ended December 31, 2022, and those risks described in other documents incorporated or deemed to be incorporated by reference in the prospectus. Such statements can be identified by the use of words such as "intend", "expect", "believe", "plan", "anticipate", "estimate", "scheduled", "forecast", "predict", and other similar terminology, or state that certain actions, events, or results "may", "can", "could", "would", "might", or "will" be taken, occur, or be achieved. These statements reflect the Company's current expectations regarding future events, performance, and results and speak only as of the date of this news release. Consequently, there can be no assurances that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Except as required by securities disclosure laws and regulations applicable to the Company, the Company undertakes no obligation to update these forward-looking statements if the Company's expectations regarding future events, performance, or results change.
These statements reflect the Company's current expectations regarding future events, performance, and results and speak only as of the date of this news release. Consequently, there can be no assurances that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Except as required by securities disclosure laws and regulations applicable to the Company, the Company undertakes no obligation to update these forward-looking statements if the Company's expectations regarding future events, performance, or results change.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/234238
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