Radient Technologies Inc. RDDTF RTI, revenue for the quarter ended June 30, 2022, was CA$569,414, ($415,000) a 24% decrease compared to CA$749,222 in the same period in the prior year.

Financial Highlights

• Gross profit for the quarter ended June 30, 2022, was CA$6,157, a 90% decrease compared to CA$66,055 in the same period in the prior year;

• Net loss and comprehensive loss CA$1.5 million, a 25% decrease compared to loss of CA$2 million in the same quarter of 2021.

• Operating expenses for the quarter ended June 30, 2022, were CA$1.7 million, a 15% decrease compared to CA$2 million in the same period in the prior year.

• The company has received a demand notice from its secured lender for approximately CA$10.5 million plus accrued costs and interest.

• The company is pursuing avenues to raise sufficient working capital to allow the company to operate as a going concern but cannot assure it will be able to do so.

Other Highlights

• Acquired Tunaaaaroom Xtracts Inc., for the development and sales of cannabis products, which are now sold through provincially licensed retailers.

• Partnered with All Good Collective Corp. for production of cigarette-style cannabis pre-roll products, which are now sold through provincially licensed retailers.

• Received from Health Canada an amendment to the company's standard processing license for the sale of dried and fresh cannabis and a sale for medical purposes license, allowing the company to offer a comprehensive suite of cannabis products.

• Over CA$1.2 million of hydrocarbon products and pre-roll products have been shipped to customers to date since the company's June 27, 2022 announcement of hydrocarbon commercial production and pre-roll sales growth. The company currently has product purchase orders for approximately CA$2.5 million.

Radient continues to implement its restructuring plan by focusing on the company's hydrocarbon concentrate and cannabis pre-roll product lines.

The Tunaaaaroom Xtracts acquisition has allowed the company to produce quality cannabis 2.0 products, including distillates and isolates of products including THCa Crystalline, Delta 8 THC, CBG, CBN and hydrocarbon products such as High Cannabinoid Full Spectrum Extracts, High Terpene Full Spectrum Extracts, Crumble, Shatter, Live Resin, Budder, Terp Diamonds and more. These hydrocarbon products are sold through provincially licensed retailers in seven Canadian provinces and territories.

Sales of hydrocarbon concentrate and cannabis pre-roll products continue to improve and the company is receiving repeat-customer orders and positive product reviews. In the period following the company's June 27, 2022 announcement of hydrocarbon commercial production and pre-roll sales growth, the company has shipped over CA$1.2 million of hydrocarbon products and pre-roll products to its customers and has product purchase orders for approximately CA$2.5 million.

The company expects sales of these products to continue but requires sufficient working capital to facilitate fulfilling product purchase orders and growth. The company is pursuing avenues to raise sufficient working capital to allow the company to continue to operate as a going concern but cannot assure it will be able to do so.

Loan Facility Demand

Moskowitz Capital Mortgage Fund II Inc. issued a demand notice on August 26, 2022, to the company for payment of approximately CA$10.5 million, plus accrued costs and additional interest to the date of payment pursuant to the terms of a secured loan facility guaranteed by the company. The facility is secured by a first priority mortgage on the land and buildings located at 4035, 4029, and 4025 101 St. N.W., Edmonton, Alberta, as well as all of the company's present and after acquired personal property.

Price Action

Radient Technologies shares closed Friday market session 12.94% lower at $0.0074

Photo by Mackenzie Marco on Unsplash

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