HENDERSON, NV--(Marketwired - Sep 21, 2016) - mCig, Inc. (OTCQB: MCIG), a diversified company servicing the legal cannabis, hemp, and CBD markets announced today its summarized unaudited financial results for its first quarter of the 2017 Fiscal Year.
First-Quarter 2017 Highlights:
- The total recognized and unrecognized sales for the first quarter of 2017 was $340,404 that includes $47,870 in deferred revenue and $37,832 in construction revenue in excess of costs. The net sale for the quarter, was $254,702. The deferred revenue and construction revenue in excess of costs will be recognized in the second quarter.
- During the quarter MCIG increased its cash position by 178% bringing its total cash available to $224,435. The Company generated a 105% increase in cash through its operations, with the remainder coming in its investing and financing activities.
- This quarter marks the first time that mCig begins reporting segments within its operations. During this initial reporting period, two of the segments, online sales and wholesale, were profitable.
- The Company decreased its burn rate by 75% or $500,000 through acquisitions, improving efficiencies, and expanding operations. Last year we had a net loss of $663,128, while this year we had a net loss of $161,977.
Michael Hawkins, Chief Financial Officer, stated, "The cash generated through operations and the VitaCig acquisition has had a positive effect on the cash position of the company allowing us to expand our asset base and grow the business." He went on to say, "The Company has significantly reduced its overhead cost, and the business continues to trend in the right direction. During this quarterly report the company begins tracking three segments of its business."
The scheduled shareholder call will be held on September 26, 2016 at 4:00 PM EST. The company anticipates the release of its Form 10Q for the first quarter of its fiscal year during this week.
To participate by telephone, the domestic dial-in number is (712)451-0011. The access code is 889964.
About mCig, Inc.
Headquartered in Henderson, Nevada, mCig Inc. (OTCMKTS: MCIG) A diversified company servicing the legal cannabis, hemp and CBD markets via its lifestyle brands. MCIG has transitioned from a vaporizer manufacturer to industry leading large scale, full service cannabis cultivation construction company with its Scalable Solutions division currently operating in the rapidly expanding Nevada market. The company looks forward to growing its core competencies to service the Ancillary legal Cannabis, Hemp and CBD markets, with broader expansion to take place once federal laws change. For more information visit www.mcig.org.
Safe Harbor Statement
Any statements contained in this press release that do not describe historical facts may constitute forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. Any forward-looking statements contained herein are based on current expectations, but are subject to a number of risks and uncertainties. The factors that could cause actual future results to differ materially from current expectations include, but are not limited to, risks and uncertainties relating to the Company's ability to develop, market and sell products based on its technology; the expected benefits and efficacy of the Company's products and technology; the availability of substantial additional funding for the Company to continue its operations and to conduct research and development, and future product commercialization; and the Company's business, research, product development, regulatory approval, marketing and distribution plans and strategies.
This release contains a non-GAAP disclosure, EBIDTA, which consists of net income plus interest expense, net, provision for income taxes and depreciation and amortization. This term, as the Company defines it, may not be comparable to a similarly titled measure used by other companies and is not a measure of performance presented in accordance with GAAP. The Company uses EBIDTA as a measure of operating performance. EBIDTA should not be considered as a substitute for net income.