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Recent Developments In February 2024, our 67% owned subsidiary, Nascent Pharma, LLC ( Nascent ), acquired composition of matter and use patents covering liquid formulations of cannabis, including, among other things, beverages, tinctures, vape pen liquids and liquid filled capsules. Patented uses include using the liquid formulations to alleviate numerous debilitating conditions, including canc…
The business is unprofitable at the operating level (-347.28% margin). The thesis depends entirely on whether and when it reaches sustainable profitability.
Revenue declined 67.8% YoY. Margins deteriorated 135.4pp alongside, both lines moving the wrong way.
ROIC dropped from -191.69% to -287.97%, capital efficiency is deteriorating. Negative free cash flow of -$1M. The business is consuming cash, not generating it.
Profitability & Returns
Revenue (TTM)
$1M
▼ -67.8% YoY
Net Income (TTM)
-$13M
▲ +34.8% YoY
Op. Margin
-1035.91%
▼ -135.4pp YoY
ROIC
-7185.61%
▼ -96.3pp YoY
Cash Flow & Balance Sheet
FCF (TTM)
$246K
▲ +66.6% YoY
Op. Cash Flow (TTM)
$246K
▲ +67.0% YoY
Net Debt
-$8K
Net Cash Position
Cash & Equiv.
$8K
5Y CAGR: +26.4%
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