MediPharm Labs Corp. (TSX: LABS) (OTCQX: MEDIF) (FSE: MLZ) announced financial results for Q1 2023, revealing EBITDA growth over the past two years and a significant reduction in losses to CA$2.1 million.
Q1 2023 Highlights
- Adjusted EBITDA of $2.31 million (CA $3.1 million) with the inclusion of a one-time reversal of bad debt collected.
- After acquiring VIVO Cannabis Inc. on April 1, 2023, MEDIF has taken steps to decrease the combined non-direct labor workforce of MediPharm and VIVO by around 30%. This strategic reduction is projected to result in annualized savings of over $4 million. The company aims to achieve positive EBITDA synergies between $7 million and $9 million on an annualized basis as it moves forward.
- Q1 2023 saw growth in revenue of 20% on a year-over-year basis and slightly increased quarter over quarter despite the seasonality of the Canadian adult-use market. Operating expenses reduced by 47% as compared to Q1 2022.
- Gross profit was positive for the second …