As a company in business since 2008 with the most awards of its kind and shelf space in stores such as Loblaws, Shoppers, Sobeys etc and online purchasing including club membership … are you able to disclose some revenue numbers to match up to the market cap or do investors have to wait for interims? I suspect investors may be pleasantly surprised to see the market cap to revenue ratio or other similar metrics (EPS, etc) … ?
BEER: Our historical numbers are published in our filings. We did shy of $2M last year. But that was entirely from the MADD branded line and supported by literally zero marketing. With our new capital infusion, our new brands, and our new marketing activities to support the brands, we think the next few years will be a great ride for our investors. We have already had one major customer order four times as much product for the holidays as they did last year.
CCIM: Of the outstanding shares, what percentage are controlled by insiders? Or conversely, what is the effective size of the public float?
BEER: Insiders control about 37.1% of the company, all of which is under escrow. We are definitely in this for the long haul!
CCIM: Terry, I wanted to once more thank you for your time and just a couple more questions while I have you. With the inability to brand and advertise and presuming cannabis infused beverages and edibles are not exempt, how does a beverage company differentiate its products from the competition?
BEER: We have our existing alcohol free brands which we will market, and which are completely unregulated in terms of our ability to market. We fully expect that our cannabis infused brands will be under a complete prohibition for marketing, similar to cannabis flower and oils, but as a company we are pursuing a master brand strategy marketing our company name and our alcohol free products. I have no idea what the competition will do to promote their products, at least until the regulators loosen up the compliance requirements. I think it will take a few years for the authorities to see what a legal and socially responsible industry we can be. Hopefully, we can one day market our brands like alcohol.
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