cbdMD(YCBD)2021-05-13 02:27Financial Data and Key Metrics Changes - Total net sales for Q2 fiscal 2021 reached an all-time high of $11.8 million, representing a 26% year-over-year increase and a seasonal sequential dip of 4% [26] - For the six months ending March 2021, total sales were $24.1 million, a 24% increase compared to $19.5 million in the same period last fiscal year [27] - GAAP gross profit margin was 69% for Q2 fiscal 2021, compared to 71% for the same period last year [32] - GAAP loss from operations was approximately $4.1 million for Q2 fiscal 2021, an improvement from a $5.6 million loss in the prior year period [34] Business Line Data and Key Metrics Changes - E-commerce sales for Q2 fiscal 2021 were $8.4 million, a 23% year-over-year increase, representing approximately 71% of total net sales [27] - Wholesale business generated $3.4 million in net sales for Q2 fiscal 2021, compared to $2.6 million in the same quarter of fiscal 2020 [29] - Demand for Paw CBD was strong, and the initial release of cbdMD Botanicals was well received [31] Market Data and Key Metrics Changes - The company has sold products in over 31 countries and is expanding its presence internationally [16] - The U.K. and European Union markets present significant opportunities, with applications filed for regulatory compliance [16][17] Company Strategy and Development Direction - The company aims to be the leading global CBD consumer brand, focusing on new product launches, partnerships, and international market expansion [9] - A new subsidiary, cbdMD Therapeutics, was formed to explore therapeutic applications of CBD [22] - The company is committed to quality and operational excellence, pursuing additional certifications [48] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about substantial net sales growth based on new product launches and market expansion [9] - The company anticipates maintaining gross profit margins between 65% and 70% [32] - Management highlighted the importance of brand equity and quality products in driving future growth [19] Other Important Information - The company had cash and cash equivalents of approximately $23.7 million as of March 31, 2021, up from $14.8 million as of September 30, 2020 [44] - The implementation of a new ERP system aims to improve operational efficiency and data visibility [47] Q&A Session Summary - No questions were raised during the Q&A session, and the conference call concluded without further inquiries [50][51]