CHARLOTTES WEB HLDGS INC - CWBHF STOCK NEWS

Charlotte's Web Holdings reported a net revenue of $19.4 million for Q1 2022, a 17.3% decline from $23.4 million in Q1 2021. The decrease in revenue was primarily attributed to lower eCommerce traffic and a temporary shipping disruption due to a wildfire. Despite challenges, direct-to-consumer subscriptions increased by 107%. Operating expenses were reduced by 14.4%, leading to improved EBITDA by $3.5 million. The company anticipates a cash flow neutral position by fiscal year-end 2022, with cash and working capital of $14.5 million and $69.9 million, respectively.

Charlotte's Web Holdings will report its first-quarter financial results on May 16, 2022, followed by a conference call on May 17, 2022, at 11:00 a.m. ET. Investors can participate by dialing 1-416-764-8659 or 1-888-664-6392. A replay will be available until May 23, 2022, via 1-416-764-8677 or 1-888-390-0541 with conference ID 55137632. Charlotte's Web, a leader in hemp extract wellness products, operates multiple brands and maintains stringent product quality through a vertically integrated model.

Charlotte's Web Holdings, a leader in full-spectrum CBD products, has announced key management changes effective April 25, 2022. Lindsey Jensen is appointed as Chief Financial Officer, succeeding Wes Booysen, who is leaving for other opportunities. Jensen brings over a decade of finance leadership experience. Jared Stanley, co-founder, is promoted to Chief Operating Officer, overseeing supply chain and operations. These changes aim to strengthen the company's leadership as it navigates future growth and innovation in the CBD market, positioning Charlotte's Web for its next phase.

Charlotte's Web Holdings, Inc. (CWBHF) has received validation for its Novel Food applications from the UK Food Standards Agency (FSA) for full-spectrum hemp extracts, positioning it as a market leader in the CBD sector. This allows Charlotte's Web to be included on the FSA's list of products authorized for sale in the UK, expanding its market presence. The UK CBD market is projected to reach $1.3 billion by 2025, driven by consumer demand for natural wellness products. The company is set to initiate discussions with major UK retailers for sales of its full-spectrum products.

Charlotte's Web reported a slight 1% increase in 2021 revenue to $96.1 million. The Adjusted EBITDA loss improved by $5 million to ($18.6 million). The company ended 2021 with $19.5 million in cash. DTC e-commerce revenue fell 2.3% to $62.3 million, while B2B revenue grew 7.5% to $33.8 million. A net loss of $137.7 million for the year included $107.7 million in non-cash impairments. Charlotte's Web expands market presence amid ongoing regulatory actions, with new product innovations and initiatives for international growth.

Charlotte's Web has entered an exclusive distribution agreement with Savage Cabbage in the UK, enhancing its presence in the growing UK CBD market. As a leading CBD brand, Charlotte's Web aims to leverage Savage Cabbage's established network to expand retail presence beyond e-commerce. This strategic partnership is expected to drive sales of Charlotte's Web's full-spectrum hemp products, benefiting from increasing consumer demand and regulatory advancements in the UK.

Charlotte's Web CBD Gummies have been awarded the title of 2022 Product of the Year in the CBD Gummy category, as recognized by a survey of 40,000 American consumers conducted by Kantar. This award aims to highlight product innovation and consumer preference. Jacques Tortoroli, CEO of Charlotte's Web, emphasizes its significance in a competitive market, noting that the award reflects quality and consumer trust. The Gummies are made from full-spectrum hemp extract and are clinically shown to improve wellness across various domains, including sleep and stress.

Charlotte's Web Holdings, Inc. (CWBHF) will release its 2021 fourth quarter and year-end financial results on March 24, 2022. The earnings call is scheduled for 8:30 a.m. Eastern Time, featuring CEO Jacques Tortoroli and CFO Wes Booysen. A recording will be available until March 31, 2022. The company, known for its premium hemp extract wellness products, operates under several brands including Charlotte's Web™, with products sold in over 14,000 retail locations. The press release indicates ongoing commitment to quality and innovation within the hemp industry.

Charlotte's Web Holdings is venturing into the CBD beverage market with plans to launch new CBD social elixirs in 2022. CEO Jacques Tortoroli emphasized the need to explore new product categories to boost growth. The CBD beverage market is projected to grow from $245 million in 2021 to $1.3 billion by 2026, a 40% CAGR. The elixirs will feature full-spectrum hemp extracts and be vegan, gluten-free, and non-GMO. The leadership team brings significant beverage industry experience, including backgrounds in major companies like PepsiCo and Bacardi.