If you are currently looking into cannabis companies, then there are plenty of options, and one of those could be the diversified cannabis company CLS Holdings USA Inc. (OTC:CLSH). On April 15, the company announced its financial results for the fiscal quarter that ended on February 29, 2024. It could be a good time to take a look at some of the key highlights from the financial paraphrase results. The revenues generated for the quarter came in at $4926457, and that worked out to a year-on-year decline of 9.4% from the prior-year quarter. CLS Holdings USA attributed the drop in revenues to wider challenges impacting the market.
The company also noted that it had made considerable progress in its consumption lounge project in the state of Nevada. Additionally, CLS Holdings USA had also expanded into New York and New Mexico through licensing deals for its City Trees brand. Although the business environment had been challenging, the company had managed to generate positive net cash flow to the tune of $588,850 from operating activities in the nine-month period that ended on February 29, 2024. That worked out to an improvement of as much as 158% in comparison to the corresponding period last year, when it generated negative cash flow to the tune of $1,018,583.
Additionally, CLS Holdings USA also announced that it had succeeded in cutting down its liabilities by as much as $3.2 million from its total liabilities figure as of May 31, 2023, when its previous fiscal year ended. At the end of the quarter, the market capitalization of CLS Holdings USA stood at around $4 million, and the enterprise value came in at $11 million. The company also stated that it was committed to looking into various opportunities for enhancing shareholder value in the long run.
