IM Cannabis Reports Fourth Quarter and Full Year 2024 Financial Results
IM Cannabis (NASDAQ: IMCC) reported strong Q4 and full-year 2024 results, marking significant operational improvements. The company achieved 25% revenue growth in Q4 compared to Q4 2023, with annual revenue increasing 11% to $54.0M.
Key highlights include a 183% revenue increase in IMC Germany to $15.5M in 2024, and a 42% reduction in operating expenses in Q4 2024. The company achieved a positive Adjusted EBITDA of $0.5M in Q4 2024, compared to losses of $4.3M in Q4 2023. Annual Adjusted EBITDA losses decreased by 87% to $1.1M in 2024.
Despite these improvements, the company faced challenges including a one-time inventory clearance of $3.8M and Oranim revocation expenses of $2.7M. Cash and cash equivalents stood at $0.9M as of December 31, 2024, down from $1.8M the previous year. The company's financial statements include a going concern note regarding its ability to continue operations.
IM Cannabis (NASDAQ: IMCC) ha riportato risultati solidi nel quarto trimestre e per l'intero anno 2024, segnando significativi miglioramenti operativi. L'azienda ha ottenuto una crescita del fatturato del 25% nel Q4 rispetto al Q4 2023, con un aumento annuale del fatturato dell'11% a $54,0M.
I punti salienti includono un aumento del fatturato del 183% in IMC Germania, che ha raggiunto $15,5M nel 2024, e una riduzione del 42% delle spese operative nel Q4 2024. L'azienda ha raggiunto un EBITDA rettificato positivo di $0,5M nel Q4 2024, rispetto a perdite di $4,3M nel Q4 2023. Le perdite annuali di EBITDA rettificato sono diminuite dell'87% a $1,1M nel 2024.
Nonostante questi miglioramenti, l'azienda ha affrontato sfide, tra cui un'uscita di inventario una tantum di $3,8M e spese di revoca di Oranim di $2,7M. La liquidità e le disponibilità liquide ammontavano a $0,9M al 31 dicembre 2024, in calo rispetto ai $1,8M dell'anno precedente. I bilanci finanziari dell'azienda includono una nota di continuità aziendale riguardo alla sua capacità di continuare le operazioni.
IM Cannabis (NASDAQ: IMCC) reportó resultados sólidos en el cuarto trimestre y en el año completo 2024, marcando mejoras operativas significativas. La compañía logró un crecimiento del 25% en ingresos en el cuarto trimestre en comparación con el cuarto trimestre de 2023, con un aumento anual de ingresos del 11% a $54.0M.
Los aspectos destacados incluyen un aumento del 183% en ingresos en IMC Alemania, alcanzando $15.5M en 2024, y una reducción del 42% en los gastos operativos en el cuarto trimestre de 2024. La compañía logró un EBITDA ajustado positivo de $0.5M en el cuarto trimestre de 2024, en comparación con pérdidas de $4.3M en el cuarto trimestre de 2023. Las pérdidas anuales de EBITDA ajustado disminuyeron un 87% a $1.1M en 2024.
A pesar de estas mejoras, la compañía enfrentó desafíos, incluyendo una liquidación de inventario única de $3.8M y gastos de revocación de Oranim de $2.7M. El efectivo y equivalentes de efectivo se situaron en $0.9M al 31 de diciembre de 2024, por debajo de los $1.8M del año anterior. Los estados financieros de la compañía incluyen una nota de continuidad sobre su capacidad para continuar con las operaciones.
IM Cannabis (NASDAQ: IMCC)는 2024년 4분기 및 연간 실적을 강하게 보고하며 상당한 운영 개선을 기록했습니다. 이 회사는 2023년 4분기와 비교하여 4분기 매출이 25% 증가했으며, 연간 매출은 11% 증가하여 $54.0M에 달했습니다.
주요 하이라이트로는 IMC 독일에서 183% 매출 증가를 기록하여 2024년 $15.5M에 도달했으며, 2024년 4분기 운영비용은 42% 감소했습니다. 이 회사는 2024년 4분기에 $0.5M의 긍정적인 조정 EBITDA를 달성했으며, 2023년 4분기에는 $4.3M의 손실을 기록했습니다. 연간 조정 EBITDA 손실은 2024년에 87% 감소하여 $1.1M에 달했습니다.
이러한 개선에도 불구하고, 회사는 $3.8M의 일회성 재고 정리와 $2.7M의 오라님 취소 비용 등 도전에 직면했습니다. 2024년 12월 31일 현재 현금 및 현금성 자산은 $0.9M으로, 전년의 $1.8M에서 감소했습니다. 회사의 재무제표에는 운영 지속 가능성에 대한 주석이 포함되어 있습니다.
IM Cannabis (NASDAQ: IMCC) a annoncé des résultats solides pour le quatrième trimestre et l'année complète 2024, marquant des améliorations opérationnelles significatives. L'entreprise a réalisé une croissance des revenus de 25% au quatrième trimestre par rapport au quatrième trimestre 2023, avec une augmentation annuelle des revenus de 11% à 54,0 millions de dollars.
Les points forts incluent une augmentation des revenus de 183% en IMC Allemagne, atteignant 15,5 millions de dollars en 2024, et une réduction de 42% des dépenses d'exploitation au quatrième trimestre 2024. L'entreprise a atteint un EBITDA ajusté positif de 0,5 million de dollars au quatrième trimestre 2024, par rapport à des pertes de 4,3 millions de dollars au quatrième trimestre 2023. Les pertes annuelles d'EBITDA ajusté ont diminué de 87% pour atteindre 1,1 million de dollars en 2024.
Malgré ces améliorations, l'entreprise a été confrontée à des défis, notamment un déstockage exceptionnel de 3,8 millions de dollars et des frais de révocation d'Oranim de 2,7 millions de dollars. Les liquidités et équivalents de liquidités s'élevaient à 0,9 million de dollars au 31 décembre 2024, en baisse par rapport à 1,8 million de dollars l'année précédente. Les états financiers de l'entreprise incluent une note sur la continuité d'exploitation concernant sa capacité à poursuivre ses activités.
IM Cannabis (NASDAQ: IMCC) hat starke Ergebnisse für das vierte Quartal und das gesamte Jahr 2024 gemeldet, was signifikante betriebliche Verbesserungen zeigt. Das Unternehmen erzielte ein Umsatzwachstum von 25% im vierten Quartal im Vergleich zum vierten Quartal 2023, wobei der Jahresumsatz um 11% auf $54,0M anstieg.
Zu den wichtigsten Highlights gehört ein Umsatzanstieg von 183% in IMC Deutschland auf $15,5M im Jahr 2024 und eine Reduzierung der Betriebskosten um 42% im vierten Quartal 2024. Das Unternehmen erzielte ein positives bereinigtes EBITDA von $0,5M im vierten Quartal 2024, verglichen mit Verlusten von $4,3M im vierten Quartal 2023. Die jährlichen Verluste beim bereinigten EBITDA sanken um 87% auf $1,1M im Jahr 2024.
Trotz dieser Verbesserungen sah sich das Unternehmen Herausforderungen gegenüber, darunter eine einmalige Lagerbereinigung von $3,8M und Rückstellungen für Oranim in Höhe von $2,7M. Die liquiden Mittel und Zahlungsmitteläquivalente beliefen sich zum 31. Dezember 2024 auf $0,9M, ein Rückgang von $1,8M im Vorjahr. Die Finanzberichte des Unternehmens enthalten einen Hinweis zur Fortführungsfähigkeit hinsichtlich seiner Fähigkeit, den Betrieb fortzusetzen.
- Q4 2024 revenue increased 25% year-over-year
- German revenue grew 183% to $15.5M in 2024
- Achieved positive Adjusted EBITDA of $0.5M in Q4 2024
- Operating expenses reduced by 42% in Q4 2024
- 87% reduction in annual Adjusted EBITDA losses
- Net loss from continuing operations increased to $11.8M in 2024 from $10.2M in 2023
- Cash position decreased to $0.9M from $1.8M year-over-year
- One-time inventory clearance cost of $3.8M
- Going concern note included in financial statements
- Total assets decreased by 19.7% to $39.2M
Insights
IM Cannabis Corp's Q4 and FY 2024 results reveal significant operational improvements, though challenges remain. The 25% Q4 revenue growth and 11% annual increase to
Most notable is the company's achievement of
However, the financial picture has concerning elements. Despite operational improvements, IMC still posted an annual net loss of
The cancellation of the Oranim deal had material financial impacts, including one-time expenses of
The transformation from significant EBITDA losses to a positive figure in Q4 2024 suggests IMC may be turning a corner operationally, particularly with its strong German performance. However, investors should closely monitor the company's liquidity position and progress toward sustainable profitability given the persistent net losses and modest cash reserves.
Q4 2024 Caps a Year of Strategic and Operational Improvements for IMC with
The Company's audited consolidated financial statements for the fiscal years ended December 31, 2024 and 2023 and accompanying management's discussion and analysis (the "Q4 MD&A"), together with its Annual Report on Form 20-F, can be accessed by visiting the Company's website at https://investors.imcannabis.com/, and its SEDAR+ and EDGAR profiles at www.sedarplus.ca, and http://www.sec.gov/edgar, respectively.
Annual and Q4 2024 Financial Highlights
- +
25% increase in Q4 Revenue vs Q4 2023 and11% increase annually. $0.5M $4.3M 87% losses decrease in 2024 to$1.1M $8.0M - +
183% increase in IMC Germany Revenue 2024 vs 2023, for a total of$15.5M $5.5M - -
42% decrease in operating expenses in Q4 2024 vs. Q4 2023, and17% decrease annually in 2024 to$18.7M $22.6M
Management Commentary
"When looking at 2024, while I am very proud of the
"The consolidated profit & loss analysis reveals significant improvements in the Company's financial performance. Despite the temporary impact of inventory clearance on gross profit, the substantial
Q4 and Full Year 2024 Conference Call
The Company will host a Zoom web conference call today at 9:00 a.m. ET to discuss the results, followed by a question-and-answer session for the investment community. Investors are invited to register by clicking here. All relevant information will be sent upon registration.
If you are unable to join us live, a recording of the call will be available on our website at https://investors.imcannabis.com/ within 24 hours after the call.
Annual and Q4 2024 Financial Results
- Revenues for 2024 and 2023 were
$54.0M $48.8M $5.2M 11% . The increase is mainly attributed to accelerated growth inGermany's revenue of$10.0M 183% and decreased net Revenue inIsrael of$4.8M Israel is attributed to the cancellation of the Oranim deal, which resulted in a decrease in revenue of approximately$8.5M $13.3M $10.7M $2.6M 25% . The increase is mainly attributed to accelerated growth inGermany's revenue of$3.7M Israel of$1.1M Israel is attributed to the cancellation of the Oranim deal, which resulted in a reduced Revenue of$3.4M - Gross profit for 2024 and 2023 was
$8.5M $9.8M $1.4M 14% , mainly attributed to a one-time inventory clearance of approximately$3.8M $2.7M $0.8M $1.8M 219% . - G&A Expenses in 2024 and 2023 were
$8.0M $11.0M $3.0M 27% . G&A expenses for the three months ended December 31, 2024, and 2023 were$1.2M $3.3M $2.1M 64% . - Selling and Marketing Expenses in 2024 and 2023 were
$7.1M $10.8M $3.7M 34% . Selling and marketing expenses for the three months ended December 31, 2024, and 2023 were$1.8M $2.8M - Other operating expenses in 2024 and 2023 were
$3.2M $2.7M $0.5M $0.5M - Total operating expenses in 2024 were
$18.7M $22.6M 17% . Total operating expenses in the fourth quarter of 2024 were$3.5M $6.0M 42% . - The Company's Adjusted EBITDA loss in 2024 decreased by
87% VS. 2023 from$8.0M $1.1M $3.9M $2.7M $0.5M $4.3M - Net Loss from continuing operations in 2024 was
$11.8M $10.2M $1.2M $3.5M - Basic Income (Loss) per Common Share in 2024 and 2023 were
$(4.51) $(4.45) $(0.32) $(1.47) - Diluted net loss per share in 2024 and 2023 were
$(4.51) $(4.45) $(0.32) $(1.47) - Cash and Cash Equivalents as of December 31, 2024, were
$0.9M $1.8M - Total assets as of December 31, 2024, were
$39.2M $48.8M $9.6M 19.7% . The decline is mainly attributed to the Oranim agreement cancellation of a total amount of$9.5M $3.5M $1.4M $0.8M $1.3M $0.8M $0.1M $7.5M $5.9M - Total Liabilities as of December 31, 2024, were
$36.0M $35.1M $0.9M 3% . The change was mainly due to the Oranim agreement cancelation of$6.8M $2.0M $2.2M $1.6M $7.7M $3.5M $2.0M $1.3M $1.1M
The Company's financial statements for the year ending December 31, 2024, includes a note regarding the Company's ability to continue as a going concern. The Company's Q4 2024 financial results do not include any adjustments relating to the recoverability and classification of assets or liabilities that might be necessary should the Company be unable to continue as a going concern. For more information, please refer to the "Liquidity and Capital Resources" and "Risk Factors" sections in the Q4 MD&A and "Risk Factors" section in the Annual Report on 20-F.
Non-IFRS Measures
This press release makes reference to "Gross Margin" and "Adjusted EBITDA", which are financial measures that are not recognized measures under IFRS and do not have a standardized meaning prescribed by IFRS and are therefore unlikely to be comparable to similar measures presented by other companies. These measures are provided as complementary information to the Company's IFRS measures by providing further understanding of our results of operations from management's perspective. Accordingly, these measures should neither be considered in isolation nor as a substitute for analysis of our financial information reported under IFRS.
For an explanation of how management defines Gross Margin and Adjusted EBITDA, see the Company's management's discussion and analysis for the period ended December 31, 2024, available under the Company's SEDAR+ profile at www.sedarplus.ca on EDGAR at www.sec.gov/edgar.
We reconcile these non-IFRS financial measures to the most comparable IFRS measures as set out below.
About IM Cannabis Corp.
IM Cannabis Corp. (Nasdaq: IMCC) (CSE: IMCC) is an international cannabis company that provides premium cannabis products to medical patients in
The IMC ecosystem operates in
Cautionary Note Regarding Forward-Looking Statements
This press release contains forward-looking information or forward-looking statements under applicable Canadian and
Forward-looking statements are based on assumptions that may prove to be incorrect, including but not limited to: the Company's ability to focus its resources to achieve sustainable and profitable growth in its highest value markets; the Company's ability to mitigate the impact of the Israel-Hamas war on the Company; the Company's ability to take advantage of the partial legalization of medicinal cannabis in
The above lists of forward-looking statements and assumptions are not exhaustive. Since forward-looking statements address future events and conditions, by their very nature they involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated or implied by such forward-looking statements due to a number of factors and risks. These include: the failure of the Company to comply with applicable regulatory requirements in a highly regulated industry; unexpected changes in governmental policies and regulations in the jurisdictions in which the Company operates; the Company's ability to continue to meet the listing requirements of the Canadian Securities Exchange and the Nasdaq Capital Market; any unexpected failure to maintain in good standing or renew its licenses; the ability of the Company and Focus Medical (collectively, the "Group") to deliver on their sales commitments or growth objectives; the reliance of the Group on third-party supply agreements to provide sufficient quantities of medical cannabis to fulfil the Group's obligations; the Group's possible exposure to liability, the perceived level of risk related thereto, and the anticipated results of any litigation or other similar disputes or legal proceedings involving the Group; the impact of increasing competition; any lack of merger and acquisition opportunities; adverse market conditions; the inherent uncertainty of production quantities, qualities and cost estimates and the potential for unexpected costs and expenses; risks of product liability and other safety-related liability from the usage of the Group's cannabis products; supply chain constraints; reliance on key personnel; the risk of defaulting on existing debt; risks surrounding war, conflict and civil unrest in
Please see the other risks, uncertainties and factors set out under the heading "Risk Factors" in the Company's annual report on Form 20-F dated March 31, 2025, which is available on the Company's issuer profile on SEDAR+ at www.sedarplus.ca and Edgar at www.sec.gov/edgar. Any forward-looking statement included in this press release is made as of the date of this press release and is based on the beliefs, estimates, expectations and opinions of management on the date such forward looking information is made. The Company does not undertake any obligation to update forward-looking statements except as required by applicable securities laws. Investors should not place undue reliance on forward-looking statements. Forward-looking statements contained in this press release are expressly qualified by this cautionary statement.
Cautionary Note Regarding Future Oriented Financial Information
This press release may contain future oriented financial information ("FOFI") within the meaning of Canadian securities legislation and analogous
Importantly, the FOFI contained in this press release are, or may be, based upon certain additional assumptions that management believes to be reasonable based on the information currently available to management, including, but not limited to, assumptions about: (i) the future pricing for the Company's products, (ii) the future market demand and trends within the jurisdictions in which the Company may from time to time conduct the Company's business, (iii) the Company's ongoing inventory levels, and operating cost estimates, and (iv) the Company's financial results for 2025. The FOFI or financial outlook contained in this press release do not purport to present the Company's financial condition in accordance with International Financial Reporting Standards as issued by the International Accounting Standards Board, and there can be no assurance that the assumptions made in preparing the FOFI will prove accurate. The actual results of operations of the Company and the resulting financial results will likely vary from the amounts set forth in the analysis presented in any such document, and such variation may be material (including due to the occurrence of unforeseen events occurring subsequent to the preparation of the FOFI). The Company and management believe that the FOFI has been prepared on a reasonable basis, reflecting management's best estimates and judgments as at the applicable date. However, because this information is highly subjective and subject to numerous risks including the risks discussed under the heading above entitled "Cautionary Note Regarding Forward-Looking Statements" and under the heading "Risk Factors" in the Company's public disclosures, FOFI or financial outlook within this Press release should not be relied on as necessarily indicative of future results.
Readers are cautioned not to place undue reliance on the FOFI, or financial outlook contained in this Press release. Except as required by Canadian securities laws and analogous
1. Earnings before interest, taxes, depreciation, and amortization ("EBITDA") and Adjusted EBITDA. Adjusted EBITDA is a non-IFRS financial measure; these measures do not have a standardized meaning prescribed by IFRS and are, therefore, unlikely to be comparable to similar measures presented by other issuers. Non-IFRS measures provide investors with a supplemental measure of the Company's operating performance and, therefore, highlight trends in the Company's core business that may not otherwise be apparent when relying solely on IFRS measures. Management uses non-IFRS measures in measuring the financial performance of the Company.
Logo: https://mma.prnewswire.com/media/1742228/IM_Cannabis_Logo.jpg
Company Contact:
Anna Taranko, Director Investor & Public Relations
IM Cannabis Corp.
+49 157 80554338
a.taranko@imcannabis.de
Oren Shuster, CEO
IM Cannabis Corp.
+972-77-3603504
info@imcannabis.com
CONSOLIDATED STATEMENTS OF FINANCIAL POSITION | ||||||
Canadian Dollars in thousands | ||||||
December 31, | ||||||
Note | 2024 | 2023 | ||||
ASSETS | ||||||
CURRENT ASSETS: | ||||||
Cash | $ 863 | $ 1,813 | ||||
Restricted cash deposit | 64 | - | ||||
Trade receivables | 5 | 13,803 | 7,651 | |||
Other current assets | 6 | 5,419 | 4,825 | |||
Inventory | 7 | 3,215 | 9,976 | |||
23,364 | 24,265 | |||||
NON-CURRENT ASSETS: | ||||||
Investments in affiliate | 8 | 1,631 | 2,285 | |||
Property, plant and equipment, net | 9 | 3,730 | 5,058 | |||
Intangible assets, net | 10 | 3,333 | 5,803 | |||
Goodwill | 10 | 6,679 | 10,095 | |||
Right-of-use assets, net | 11 | 451 | 1,307 | |||
15,824 | 24,548 | |||||
Total assets | $ 39,188 | $ 48,813 | ||||
The accompanying notes are an integral part of the consolidated financial statements. | ||||||
CONSOLIDATED STATEMENTS OF FINANCIAL POSITION | ||||||
Canadian Dollars in thousands | ||||||
December 31, | ||||||
Note | 2024 | 2023 | ||||
LIABILITIES AND SHAREHOLDERS' EQUITY | ||||||
CURRENT LIABILITIES: | ||||||
Current maturities of operating lease liabilities | 11 | $ 262 | $ 454 | |||
Trade payables | 12 | 11,159 | 9,223 | |||
Other current liabilities | 13 | 5,001 | 6,218 | |||
Credit from bank institutions and others | 14 | 15,145 | 12,119 | |||
Convertible debentures | 15 | 1,968 | - | |||
Derivative warrants liabilities and prefunded warrants | 16 | 1,383 | (*)38 | |||
Accrued purchase consideration liability | 19F | - | 2,097 | |||
Put option liability | 19F | - | 2,697 | |||
34,918 | 32,846 | |||||
NON-CURRENT LIABILITIES: | ||||||
Operating lease liabilities | 11 | 171 | 815 | |||
Credit from bank institutions and others | 14 | 466 | 394 | |||
Employee benefit liabilities, net | - | 95 | ||||
Deferred tax liabilities | 487 | 963 | ||||
1,124 | 2,267 | |||||
Total liabilities | 36,042 | 35,113 | ||||
CONTINGENT LIABILITIES | 17 | |||||
EQUITY ATTRIBUTABLE TO SHAREHOLDERS OF THE COMPANY: | 18 | |||||
Share capital and premium | 265,000 | 253,882 | ||||
Capital reserve from translation differences of foreign operations | (1,265) | 95 | ||||
Conversion feature related to convertible debentures | 15 | 297 | - | |||
Capital reserve from share-based payment transactions | 150 | 9,637 | ||||
Accumulated deficit | (258,939) | (249,145) | ||||
Total equity attributable to shareholders of the Company | 5,243 | 14,469 | ||||
Non-controlling interests | (2,097) | (769) | ||||
Total shareholders' equity | 3,146 | 13,700 | ||||
Total shareholders' equity and liabilities | $ 39,188 | $ 48,813 | ||||
(*) Reclassified due to implementation of amendment to IAS 1. See Note 3W1 below. | ||||||
The accompanying notes are an integral part of the consolidated financial statements.
| ||||||
CONSOLIDATED STATEMENTS OF OPERATIONS AND OTHER COMPREHENSIVE LOSS | ||||||||
Canadian Dollars in thousands | ||||||||
Year ended December 31, | ||||||||
Note | 2024 | 2023 | 2022 | |||||
Revenue | 19A | $ 54,031 | $ 48,804 | $ 54,335 | ||||
Cost of revenue | 19B | 45,580 | 37,974 | 43,044 | ||||
Gross profit before fair value adjustments | 8,451 | 10,830 | 11,291 | |||||
Fair value adjustments: | ||||||||
Unrealized change in fair value of biological assets | - | - | (315) | |||||
Realized fair value adjustments on inventory sold or impaired | - | (984) | (1,814) | |||||
Total fair value adjustments | - | (984) | (2,129) | |||||
Gross profit after fair value adjustments | 8,451 | 9,846 | 9,162 | |||||
Selling and marketing expenses | 19C | 7,069 | 10,788 | 11,473 | ||||
General and administrative expenses | 19D | 8,018 | 11,008 | 21,460 | ||||
Restructuring expenses | 19E | - | 617 | 4,383 | ||||
Other expenses | 19F | 3,229 | - | - | ||||
Share-based compensation | 18C | 369 | 225 | 2,637 | ||||
Total operating expenses | 18,685 | 22,638 | 39,953 | |||||
Operating loss | (10,234) | (12,792) | (30,791) | |||||
Finance income | 1,906 | 7,006 | 6,703 | |||||
Finance expenses | (4,466) | (3,671) | (1,972) | |||||
Finance income (expense), net | (2,560) | 3,335 | 4,731 | |||||
Loss before taxes on income (tax benefit) | (12,794) | (9,457) | (26,060) | |||||
Taxes on income (tax benefit) | 20 | (1,023) | 771 | (1,138) | ||||
Net loss from continuing operations | (11,771) | (10,228) | (24,922) | |||||
Net loss from discontinued operations, net of tax | 21 | - | - | (166,379) | ||||
Net loss | (11,771) | (10,228) | (191,301) | |||||
The accompanying notes are an integral part of the consolidated financial statements. | ||||||||
CONSOLIDATED STATEMENTS OF OPERATIONS AND OTHER COMPREHENSIVE LOSS | ||||||||
Canadian Dollars in thousands, except per share data | ||||||||
Year ended December 31, | ||||||||
Note | 2024 | 2023 (*) | 2022 (*) | |||||
Other comprehensive income (loss) that will not be reclassified | ||||||||
Remeasurement gain on defined benefit plans | 67 | 38 | 59 | |||||
Total other comprehensive income (loss) that will not be reclassified | 67 | 38 | 59 | |||||
Other comprehensive income (loss) that will be reclassified to | ||||||||
Adjustments arising from translation of financial statements | (1,502) | (663) | (1,484) | |||||
Total other comprehensive loss | (1,435) | (625) | (1,425) | |||||
Total comprehensive loss | $ (13,206) | $ (10,853) | $ (192,726) | |||||
Net loss attributable to: | ||||||||
Shareholders of the Company | $ (10,585) | $ (9,498) | $ (188,890) | |||||
Non-controlling interests | (1,186) | (730) | (2,411) | |||||
$ (11,771) | $ (10,228) | $ (191,301) | ||||||
Total comprehensive loss attributable to: | ||||||||
Shareholders of the Company | $ (11,878) | $ (10,648) | $ (190,162) | |||||
Non-controlling interests | $ (1,328) | $ (205) | (2,564) | |||||
$ (13,206) | $ (10,853) | $ (192,726) | ||||||
Loss per share attributable to shareholders of the Company | 22 | |||||||
Basic loss per share (in CAD) | $ (4.51) | $ (4.45) | $ (18.81) | |||||
Diluted loss per share (in CAD) | $ (4.51) | $ (4.45) | $ (22.86) | |||||
Loss per share attributable to shareholders of the Company | ||||||||
Basic and diluted loss per share (in CAD) | - | - | $ (139.02) | |||||
Loss per share attributable to shareholders of the Company | ||||||||
Basic loss per share (in CAD) | $ (4.51) | $ (4.45) | $ (157.83) | |||||
Diluted loss per share (in CAD) | $ (4.51) | $ (4.45) | $ (161.88) | |||||
(*) Loss per share includes the effect of Reverse Share Split (see also Note 18A below). | ||||||||
The accompanying notes are an integral part of the consolidated financial statements.
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CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY | ||||||||||||||||
Canadian Dollars in thousands | ||||||||||||||||
Share capital | Treasury | Capital | Capital | Accumulated | Total | Non- | Total | |||||||||
Balance as of January 1, 2022 | $ 237,677 | $ (660) | $ 12,348 | $ 2,614 | $ (50,743) | $ 201,236 | $ 3,709 | $ 204,945 | ||||||||
Net loss | - | - | - | - | (188,890) | (188,890) | (2,411) | (191,301) | ||||||||
Total other comprehensive income (loss) | - | - | - | (1,331) | 59 | (1,272) | (153) | (1,425) | ||||||||
Total comprehensive loss | - | - | - | (1,331) | (188,831) | (190,162) | (2,564) | (192,726) | ||||||||
Common shares issued as settlement of purchase | 3,061 |
- |
- | - | - | 3,061 | - | 3,061 | ||||||||
Issuance of treasury common shares | - | 660 | - | - | - | 660 | - | 660 | ||||||||
Common shares issued through private placements transactions, net of issuance costs (Note 18B4) | 3,757 |
- |
- | - | - | 3,757 | - | 3,757 | ||||||||
Common shares issued upon options exercised (Note 18B9) | 992 | - | (659) | - | - | 333 | - | 333 | ||||||||
Share-based compensation | - | - | 3,767 | - | - | 3,767 | - | 3,767 | ||||||||
Expired options | 289 | - | (289) | - | - | - | - | - | ||||||||
Balance as of December 31, 2022 | $ 245,776 | $ - | $ 15,167 | $ 1,283 | $ (239,574) | $ 22,652 | $ 1,145 | $ 23,797 | ||||||||
The accompanying notes are an integral part of the consolidated financial statements. | ||||||||||||||||
CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY | ||||||||||||||
Canadian Dollars in thousands | ||||||||||||||
Share capital | Capital | Capital | Accumulated | Total | Non- | Total | ||||||||
Balance as of January 1, 2023 | $ 245,776 | $ 15,167 | $ 1,283 | $ (239,574) | $ 22,652 | $ 1,145 | $ 23,797 | |||||||
Net loss | - | - | - | (9,498) | (9,498) | (730) | (10,228) | |||||||
Total other comprehensive income (loss) | - | - | (1,188) | 38 | (1,150) | 525 | (625) | |||||||
Total comprehensive loss | - | - | (1,188) | (9,460) | (10,648) | (205) | (10,853) | |||||||
Common shares issued through private placements | 1,738 |
- | - | - | 1,738 | - | 1,738 | |||||||
Common shares issued as debts settlement with related party | 613 |
- | - | - | 613 | - | 613 | |||||||
Other comprehensive loss classification | - | - | - | (111) | (111) | (1,709) | (1,820) | |||||||
Share-based compensation | - | 225 | - | - | 225 | - | 225 | |||||||
Expired options | 5,755 | (5,755) | - | - | - | - | - | |||||||
Balance as of December 31, 2023 | $ 253,882 | $ 9,637 | $ 95 | $ (249,145) | $ 14,469 | $ (769) | $ 13,700 | |||||||
The accompanying notes are an integral part of the consolidated financial statements. | ||||||||||||||
CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY | ||||||||||||||||
Canadian Dollars in thousands | ||||||||||||||||
Share capital | Capital | Conversion | Capital | Accumulated | Total | Non- | Total | |||||||||
Balance as of January 1, 2024 | $ 253,882 | $ 9,637 | $ - | $ 95 | $ (249,145) | $ 14,469 | $ (769) | $ 13,700 | ||||||||
Net loss | - | - | - | - | (10,585) | (10,585) | (1,186) | (11,771) | ||||||||
Total other comprehensive income (loss) | - | - | - | (1,360) | 67 | (1,293) | (142) | (1,435) | ||||||||
Total comprehensive loss | - | - | - | (1,360) | (10,518) | (11,878) | (1,328) | (13,206) | ||||||||
Common shares issued through private placement transaction, | 944 |
- | - | - | - | 944 | - | 944 | ||||||||
Common shares issued as share-based compensation with | 318 |
- | - | - | - | 318 | - | 318 | ||||||||
Recognition of conversion feature related to convertible | - |
- | 297 | - | - | 297 | - | 297 | ||||||||
Other comprehensive loss classification | - | - | - | - | 724 | 724 | - | 724 | ||||||||
Share-based compensation | - | 369 | - | - | 369 | - | 369 | |||||||||
Expired and exercised options | 9,856 | (9,856) | - | - | - | - | - | - | ||||||||
Balance as of December 31, 2024 | $ 265,000 | $ 150 | $ 297 | $ (1,265) | $ (258,939) | $ 5,243 | $ (2,097) | $ 3,146 | ||||||||
The accompanying notes are an integral part of the consolidated financial statements. | ||||||||||||||||
CONSOLIDATED STATEMENTS OF CASH FLOWS | ||||||
Canadian Dollars in thousands | ||||||
Year ended December 31, | ||||||
2024 | 2023 | 2022 | ||||
Cash flows used in operating activities: | ||||||
Net loss | $ (11,771) | $ (10,228) | ||||
Adjustments for non-cash items: | ||||||
Unrealized gain on changes in fair value of biological assets | - | - | (84) | |||
Realized fair value adjustments on inventory sold or impaired | - | 984 | 4,342 | |||
Revaluation of financial instruments | (249) | (7,223) | (6,000) | |||
Issuance costs allocated to warrants granted | 48 | 268 | - | |||
Disposal of property, plant and equipment | 235 | - | - | |||
Common shares and prefunded warrants issued as share-based compensation with related party | 758 | - | - | |||
Discount expenses in respect of convertible debentures | 173 | - | - | |||
Depreciation of property, plant and equipment | 456 | 644 | 3,044 | |||
Amortization of intangible assets | 1,377 | 1,758 | 2,343 | |||
Depreciation of right of use assets | 351 | 594 | 1,944 | |||
Impairment of goodwill | 495 | - | 107,854 | |||
Impairment of property, plant and equipment | - | - | 2,277 | |||
Impairment of intangible assets | - | - | 7,199 | |||
Impairment of right of use assets | - | - | 1,914 | |||
Finance income, net | 1,928 | 3,019 | 6,532 | |||
Deferred tax payments (benefit), net | (150) | 394 | (3,004) | |||
Share-based payments | 369 | 225 | 3,767 | |||
Revaluation of other current receivable | - | - | 3,982 | |||
Loss from deconsolidation of Oranim | 2,734 | - | - | |||
Restructuring expenses | - | - | 8,757 | |||
Revaluation expenses of investment in affiliate | 837 | - | - | |||
Revaluation expenses (income) of loans receivables | (177) | 601 | - | |||
Changes in employee benefit liabilities, net | (96) | (139) | (63) | |||
Gain from debts restructuring | (960) | - | - | |||
Discount expenses in respect of credit | 87 | - | - | |||
8,216 | 1,125 | 144,804 | ||||
Changes in non-cash working capital: | ||||||
Increase (decrease) in trade receivables | (6,287) | 2,320 | 6,058 | |||
Increase in other current assets | 1,902 | 1,299 | 3,622 | |||
Decrease in biological assets, net of fair value adjustments | - | - | 565 | |||
Increase in inventory, net of fair value adjustments | 6,261 | 4,771 | 883 | |||
Increase (decrease) in trade payables | 7,845 | (6,098) | 11,284 | |||
Increase (decrease) in other current liabilities | (7,147) | (750) | 12,126 | |||
2,574 | 1,542 | 34,538 | ||||
Taxes paid | (96) | (514) | (681) | |||
Net cash used in operating activities | (1,077) | (8,075) | (12,640) | |||
The accompanying notes are an integral part of the consolidated financial statements. | ||||||
CONSOLIDATED STATEMENTS OF CASH FLOWS | ||||||
Canadian Dollars in thousands | ||||||
Year ended December 31, | ||||||
2024 | 2023 | 2022 | ||||
Cash flows used in investing activities: | ||||||
Purchase of property, plant and equipment | (156) | (581) | (1,562) | |||
Proceeds from sales of property, plant and equipment | 96 | - | 210 | |||
Proceeds from loans receivable | - | - | 350 | |||
Deconsolidation of subsidiary | (346) | - | (406) | |||
Investments in affiliate | - | - | (125) | |||
Loan granted | - | (601) | - | |||
Change in restricted cash | (64) | - | - | |||
Net cash used in investing activities | (470) | (1,182) | (1,533) | |||
Cash provided by financing activities: | ||||||
Proceeds allocated to issuance of share capital, net of issuance costs | 944 | 1,688 | 3,756 | |||
Proceeds allocated to issuance of warrants measured at fair value, net of issuance costs | 1,106 | 6,585 | - | |||
Proceeds received from common shares issued upon options exercised | - | - | 333 | |||
Repayment of lease liabilities | (331) | (586) | (1,656) | |||
Payment of interest on lease liabilities | (52) | (63) | (1,429) | |||
Proceeds from loans received | 2,619 | 5,482 | 9,636 | |||
Repayment of loans | (3,834) | (4,827) | (4,976) | |||
Interest paid | (2,080) | (1,664) | (902) | |||
Proceeds received from discounted checks | 5,453 | 2,802 | - | |||
Net cash provided by financing activities | 3,825 | 9,417 | 4,762 | |||
Effect of foreign exchange on cash | (3,228) | (796) | (2,043) | |||
Change in cash | (950) | (636) | (11,454) | |||
Cash at the beginning of year | 1,813 | 2,449 | 13,903 | |||
Cash at the end of year | $ 863 | $ 1,813 | $ 2,449 | |||
Supplemental disclosure of non-cash activities: | ||||||
Right of use assets recognized with corresponding lease liabilities | $ 40 | $ 309 | $ 613 | |||
Common shares issued as settlement of purchase consideration through business combination transactions | $ - | $ - | $ 3,061 | |||
Common shares and prefunded warrants issued as debts settlement with related party | $ 758 | $ - | $ - | |||
Common shares and warrants issued as debts settlement with related party | $ - | $ 1,061 | $ - | |||
Issuance of convertible debentures in exchange for loans (principal and interest) received | $ 2,092 | $ - | $ - | |||
Revaluation of put option liability versus equity | $ 724 | $ 1,820 | $ - | |||
The accompanying notes are an integral part of the consolidated financial statements. | ||||||
View original content:https://www.prnewswire.com/news-releases/im-cannabis-reports-fourth-quarter-and-full-year-2024-financial-results-302415602.html
SOURCE IM Cannabis Corp.
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