Surna (OTC:SRNA), the Boulder-based cannabis technology company, saw explosive growth in its Q3, with sales of $3.6mm. While the company reported an operating and net loss, it was able to generate positive cash flow from operations.
The company announced results and a pending conference call in a press release earlier today after filing its 10-Q with the SEC yesterday evening. Sales of $3.6mm increased dramatically from year ago levels of $859K and rose more than 100% from the prior quarter’s $1.68mm. The company reported an operating loss of $540K, down from the prior quarter’s $690K. Surna has spent $540K YTD in product development, with the primary focus on its new reflector technology.
Surna’s stock is roughly unchanged today. The price was under extreme pressure in the first part of 2015 as a number of issues arose, including the abrupt departure of its CEO, Tom Bollich. Since the summer, the stock has more than doubled off of its lows though has consolidated a lot of the recovery:
Surna, which has approximately 122mm shares outstanding, is part of the 420 Opportunity model portfolio, which has a goal of outperforming the 420 Investor Marijuana Index. Through 11/13, the YTD loss of 32.1% has been substantially less than the 66.1% decline in the index. 420 Investor has extensive content on SRNA at www.420investor.com, and the monthly 420 Investor Newsletter featured an in-depth discussion of the company in the September issue.
