Organto Foods Inc,.an integrated provider of organic and value-added organic fruits and vegetables today announced financial results for the quarter ended March 31, 2021. All amounts are expressed in Canadian dollars and in accordance with International Financial Reporting Standards (IFRS), except where specifically noted.
First Quarter 2021 Operating Results:
- Record first quarter revenues of $4,773,062 versus revenues of $1,609,820 in the prior year, an increase of approximately 191% versus the same quarter in the prior year. First quarter revenues represent the largest first quarter revenues in the history of Organto, in-line with previously provided revenue guidance of $4.7 to $4.8 million.
- Record gross profit of $457,815 or 9.6% of revenues versus $160,477 or 9.9% of revenues in the prior year, an increase of approximately 185% versus the same quarter in the prior year, and the largest quarterly gross profit in the history of Organto.
- Cash overhead costs for the quarter reduced to 24.0 % of revenues versus 32.5% in the prior year. These costs include expenditures of approximately $353,100 related to retail branded product development and on-line digital transformation activities and acquisition and organizational development costs, all of which are expected to generate positive future returns on investment. Excluding these investments, cash overhead costs reduced to 16.9% of revenues in the first quarter.
- First quarter balance sheet significantly stronger than the prior year, providing resources for the Company to pursue its aggressive growth strategy.
- Cash on hand of $3,629,677 versus $74,894 in the prior year.
- Working capital of $2,811,381 versus a working capital deficiency of $4,647,107 in the prior year.
- Non-current debt of $4,152,737 with no principal payments due in 2021.
"Our first quarter 2021 results represent our seventh consecutive quarter of record revenues versus the same quarter in the prior year, and the largest quarterly gross profit in our history. We are pleased with the progress we are making as we build out our business in rapidly growing healthy living and healthy eating categories. We continue to invest responsibly in our platform as we expand our product portfolio and branded capabilities to address market opportunities." commented Steve Bromley, Chair and Co-CEO of Organto.
First Quarter 2021 Results
Revenues for the three months ended March 31, 2021 were $4,773,062 as compared to $1,609,820 for the same period in the prior year, an increase of 191% and a quarterly revenue record for the Company as well as the seventh consecutive quarter of record revenue growth versus the same period in the prior year. Sales of vegetable and fruit products, including fresh organic asparagus, avocado, ginger, mango and others, continued to grow and were sold to a variety of customers throughout Europe.
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