Notis Global Inc (OTCMKTS:NGBL) Files Form 10-Q
Notis Global Inc (OTCMKTS:NGBL) posted consolidated net income of almost $6.549 million for the quarter closed June 30, 2016 and loss of nearly $11.395 million for the quarter closed June 30, 2015. The change to income from net loss of nearly $17.944 million was due considerably to the change in derivative liability fair value of $9.940 million resulting in income, and the decline in amortization of debt discount by around $3.485 million, G&A costs by around $2.753 million and financing cost of around $1.230 million.
Total revenue comprised of revenue from CBD oil sales recorded from Notis’s distribution deal with whole Hemp, deferred sales which was identified in the existing period for consulting deals, sale of territory rights to an associated party, rental income, firm’s part of dispensary revenue and in FY2015 the revenue from vaporizers sales.
During 1Q2016, the frim introduced its CBD oil sales plan under the Grower’s Distribution deal. This deal was closed in May 2016. The jump by nearly $187,000 in revenue can be attributed to a jump of nearly $107,000 from CBD oil sales recorded from Grower’s Distribution deal and a jump of nearly $92,000 from rental income and Notis’ share of dispensary sales earned from Washington and Oregon businesses compared to rental income of $16,000 for the equivalent period in 2015. This jump was offset by a decline of $17,000 in accessories and vaporizer sales due to the firm exiting the operations as of March 31, 2016.
Costs of revenues dropped by nearly $673,000 for the quarter closed June 30, 2016 as against the same period of FY2015. During the quarter closed June 30, 3015, the manufacturing associate of the firm reported that they had submitted for court protection and restructuring under Chapter 11 of the U.S. Bankruptcy Code. The firm had deposits and Inventory on dispensing machines linked to this manufacturing associate.© Copyright 2016 OTC News Magazine. All rights reserved.