Investors were not quite impressed with the fourth fiscal quarter and full fiscal year results that were announced by the worldwide medical cannabis firm Khiron Life Sciences Corp (OTCMKTS:KHRNF) on Monday. The stock fell by as much as 13% amidst the heavy selloff.
Market Reaction
On Monday, KHRNF stock fell 13.33% to $0.1638 with more than 574k shares, compared to its average volume of 165k shares. The stock moved within a range of $0.1480 – 0.1903 after opening trade at $0.1903.
Quick Recap
It may now be a good idea for investors to take a closer look at the numbers and figure the situation out. Despite the fall in the stock price, it ought to be noted that in the 2021 fiscal year ended on December 31, 2021, the company managed to bring in revenues to the tune of $12.8 million and that reflected a year on year rise to the tune of 60%.
On the other hand, the medical cannabis sales for the fiscal year came in at $4.6 million and that worked out to as much as 36% of the total revenues generated by Khiron. In the first quarter of 2022, Khiron has projected sales revenues to be around $4.5 million. In this context, it is also important to point out that the company generated gross profits of $4.9 million for the fiscal year and that worked out to a year on year rise of a staggering 230%.
Key Quote
Alvaro Torres, Khiron CEO and Director, comments, “2021 was a transformational year for the Corporation, using a unique patient-oriented strategy has allowed us to continue demonstrating quarterly growth, with a strong commitment to improving the quality of patients’ lives. Khiron’s focus includes creating a meaningful brand that resonates with patients and doctors, selling highly profitable products, creating unique real-world data demonstrating the positive effects of cannabis for medical usage, and finally, diversifying our geographic revenue streams.”
Traders Review
KHRNF stock is trading below the 20-Day and 50-Day Moving averages of $0.19 and $0.17 respectively. Moreover, the stock is trading below the 200-Day moving average of $0.19.
