Digipath Inc. (OTCMKTS:DIGP) was up 3% after the data analytics company focusing on hemp and cannabis markets announced its financial results for Q1 2022 ended December 31, 2021.
Trading Data
On Tuesday, DIGP stock moved up 3.45% to $0.0300 with more than 112k shares, compared to its average volume of 156k shares. The stock moved within a range of $0.0256 – 0.0300 after opening trade at $0.0275.
Earnings Recap
The net loss was significantly decreased, falling to $290,325 in Q1 2022 from $390,637 in Q1 2021, a drop of 26%. In addition, revenues rose significantly compared to the same quarter last year, increasing by 40% to $699,585 in the current quarter from $500,385 in Q1 2021. On the other hand, gross profit improved significantly as well, rising to $276,984 in Q1 2022 from $79,500 in Q1 2021.
CFO of the company, Stone Douglass, said they are delighted by the massive progress detailed in the company’s most recent quarterly results. Douglass said that although there is much that needs to be done to enhance efficiencies and margins, they have an execution plan that can address such issues, and the company is using extra cash to generate additional revenue in the future. So, DIGP is worth watching.
Key Quote
“We are pleased by the significant progress detailed in our most recent quarterly report,” stated Stone Douglass, Chief Financial Officer, Digipath, Inc. “While there is certainly work to be done to further improve efficiencies and our margins, we believe we have an actionable plan to address these issues as we’re spending a little extra capital now to make more revenue later.”
Technical Data
DIGP stock is below the 20-Day and 50-Day Moving averages of $0.0300 and $0.0316 respectively. Moreover, the stock is trading below the 200-Day moving average of $0.0421. The stock is up 6% in the past month.
