REG - Yooma Wellness Inc. - Yooma Wellness Q1-2022 results

Yooma WellnessAnnouncement

31/05/2022 07:00

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RNS Number : 2938N  Yooma Wellness Inc.  31 May 2022

31 May 2022

 

Yooma Wellness Inc.

('Yooma' or the 'Company' or the 'Group')

 

Yooma Wellness Reports Results for Q1 2022

 

Yooma Wellness Inc (CSE: YOOM, AQSE:YOOM), a Toronto-based
vertically-integrated global wellness platform that develops and markets a
portfolio of wellness brands, today released its interim financial statements
(the "Financial Statements") for the three-month period ended March 31, 2022
(the "Reporting Period").  A summary of Yooma's financial highlights during
the Reporting Period are set out below and a summary of recent operational
highlights are included in the Company's press release dated May 17, 2022.
More detailed information is contained in the Financial Statements and related
Management Discussion and Analysis, which are available on Yooma's SEDAR page
at www.sedar.com (http://www.sedar.com) .

 

Lorne Abony, Chairman at Yooma, commented: "Markets continue to be difficult,
and we are working diligently with our strategic adviser, Canaccord Genuity
Corp., to complete a strategic review of potential options for the Company,
which may include a sale of assets or further M&A by the Company, if
financing can be secured on acceptable terms.  We look forward to providing
an update once our review is complete."

 

Jordan Greenberg, CEO at Yooma, added: "A number of Yooma's key acquisitions
from 2021 are performing well, including Vitality CBD in Europe and Vertex
Co., Ltd. in Japan.  Revenues and gross profit have both significantly
increased, year-over-year, and we expect to start seeing returns on our
efforts to rationalise and streamline Yooma's global platform in the
near-term."

 

Selected Financial Highlights (Q1 2022)

During the Reporting Period, the Company generated revenues of US$3.2 million,
but experienced comprehensive losses of US$3.1 million, reflecting, among
other things, cost of sales of US$2.4 million and expenses of US$3.7
million.  The significant year-over-year increase in revenues, cost of sales
and expenses reflects the six significant acquisitions completed by Yooma in
2021, which have expanded Yooma's global platform into Europe, Japan and the
United States.

 

 All dollar amounts in USD.                                                 For the three-month period ended  For the three-month period ended
                                                                            March 31,                         March 31,
                                                                            2022                              2021

 Revenue                                                                    $3,202,465                        $603,680
 Cost of sales                                                              $(2,419,018)                      $(273,527)
 Gross profit                                                               $783,446                          $330,153

 Expenses
 Depreciation and amortization                                              $374,265                          $-
 Consulting fees                                                            $156,766                          $163,123
 Professional fees                                                          $197,263                          $389,796
 Listing expense                                                            $-                                $960,725
 Stock-Based compensation                                                   $160,772                          $47,298
 Fair value adjustment on discounted purchase price                         $216,578                          $-
 Office and administrative                                                  $2,664,615                        $1,197,077
 Liability warrants fair value adjustment                                   $(44,387)                         $-
 Other income                                                               $(49,138)                         $(52,474)
                                                                            $3,676,735                        $2,705,545

 Deferred Income tax recovery                                               $196,012                          $-

 Net loss                                                                   $(2,697,277)                      $(2,375,393)

 Other comprehensive loss
 Foreign currency translation                                               $(396,947)                        $-
                                                                                                              -
 Comprehensive loss                                                         $(3,094,224)                      $(2,375,393)

 Loss per share - basic and diluted:                                        $(0.03)                           $(0.06)

 Weighted average number of common shares outstanding - basic and diluted:  $100,859,744                      $36,606,818

 

 

About Yooma Wellness Inc.

Yooma's mission is to build a vertically-integrated global leader in the
manufacturing, marketing, distribution, and sale of wellness products
including hemp seed oil and hemp-derived and cannabinoid (CBD) ingredients.
The company leverages strategically curated sales channels and ecommerce
networks to deliver a diverse mix of wellness products through operating
subsidiaries in the United States, United Kingdom, France and Japan. Learn
more at www.yooma.ca
(https://c212.net/c/link/?t=0&l=en&o=3200800-1&h=3290795059&u=http://www.yooma.ca/&a=www.yooma.ca%22%20%5Ct%20%22_blank)
.

 

The Directors of the Company accept responsibility for the contents of this
announcement.

 For further information, please contact:
 Yooma Wellness Inc.                                        Via Buchanan

 Jordan Greenberg, CEO                                      Tel:+44 (0) 20 7466 5000

 jgreenberg@yooma.ca (mailto:jgreenberg@yooma.ca)

 AQSE Corporate Adviser:                                    Tel: +44 (0) 20 7469 0930

 Peterhouse Capital Limited                                 Tel: +44 (0) 7990 139 093

 Guy Miller / Mark Anwyl

 Media Enquiries (UK / Europe):                             Tel: +44 (0) 20 7466 5000

 Buchanan                                                   www.buchanan.uk.com (http://www.buchanan.uk.com)

 Henry Harrison-Topham / Jamie Hooper

 Ariadna Peretz / George Beale

 yooma@buchanan.uk.com (mailto:yooma@buchanan.uk.com)

 

 

Notice regarding Forward Looking Statements

 

All information included in this press release, including any information as
to future financial or operating performance and other statements of Yooma
that express management's expectations or estimates of future performance or
activities, other than statements of historical fact, constitute
forward-looking information or forward-looking statements (collectively,
"forward-looking statements") within the meaning of applicable securities laws
and are based on expectations, estimates and projections as of the date
hereof. Forward-looking statements are included for the purpose of providing
information about management's current expectations and plans relating to the
future. Wherever possible, words such as "will", "intend", "believe",
"future", "go forward", "to become", "pursuit", "pursuing", "potential",
"plan", "to enter", "continues to" or the negative of these words or other
variations thereof, have been used to identify such forward-looking
information. Specific forward-looking statements include, without limitation,
all disclosure regarding future results of operations, economic conditions and
anticipated courses of action, including statements about Yooma's mission and
strategic plan; revenue forecasts under the "Yooma Outlook" section,
commercial partnerships and product launches; and the nature and focus of
Yooma's business going forward.

 

There are many risks and uncertainties that may affect forward-looking
statements including, among others, regulatory risk in each jurisdiction in
which Yooma does or intends to operate; the uncertainties, effects of and
responses to the COVID-19 pandemic; reliance on licenses; competition;
dependence on senior management and key personnel; general business risk and
liability; regulation of the CBD industry; changes in laws, regulations and
guidelines; compliance with laws; limited operating history; unfavourable
publicity or consumer perception; product liability, risks related to
intellectual property; product recalls; difficulties with forecasts;
management of growth; litigation; Yooma's ability to effectively integrate
existing and future acquisition targets into its platform; the effects of
competition in the industry; the requirement for increasingly innovative
product solutions and service offerings; trends in customer growth;
sufficiency of current working capital to support future operating and working
capital requirements; and other matters which are beyond the control of Yooma.
Although the forward-looking statements contained herein reflect management's
current beliefs and reasonable assumptions based upon information available to
management as of the date hereof, Yooma cannot be certain that actual results
will be consistent with such forward-looking information. Yooma cautions you
not to place undue reliance upon any such forward-looking statements. Yooma
disclaims any intention or obligation to update or revise any forward-looking
statements whether as a result of new information, future events or otherwise,
except as required by applicable law. Nothing herein should be construed as
either an offer to sell or a solicitation to buy or sell securities of Yooma.

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