urban-gro, Inc. Reports Preliminary Fourth Quarter and Fiscal Year 2020 Results
- Record Q4 2020 revenues of $9.0 million to $9.3 million, which would represent an increase of at least $2.9 million (26%) from revenues of $7.1 million reported in Q4 2019.
- Record 2020 revenues of $25.6 million to $25.9 million, which would represent an increase of at least $1.4 million (6%) from revenues of $24.2 million reported in 2019.
- Net loss for Q4 2020 of negative ($1.7) million to negative ($1.4) million, which would represent an improvement of at least $0.9 million from net loss of negative ($2.6) million in Q4 2019.
- Net loss for 2020 of negative ($5.7) million to negative ($5.4) million, which would represent an improvement of at least $2.7 million from net loss of negative ($8.4) million in 2019.
- Company expects to achieve positive Adjusted EBITDA for the second quarter in a row and achieve full-year 2020 Adjusted EBITDA of negative ($0.9) to ($0.7) million, which would represent an improvement of at least $2.4 million from negative ($3.3) million in 2019.
- Company enters 2021 with contractually committed orders for environmental and cultivation equipment systems for which revenue has not been recognized (“Backlog”) exceeding $14 million.
Lafayette, CO (January 4, 2020) – urban-gro, Inc. (OTCQX: UGRO) (“urban-gro” or the “Company”), a leading global horticulture services company that engineers and designs commercial Controlled Environment Agriculture (“CEA”) facilities and integrates complex environmental equipment systems into these high-performance facilities, announced today its preliminary and unaudited expected Revenues, Net Loss, and Adjusted Earnings Before Interest, Taxes, Depreciation and Amortization (“Adjusted EBITDA”) for its fourth quarter and fiscal year ended December 31, 2020.
urban-gro expects its preliminary and unaudited fiscal fourth quarter 2020 revenue to be between $9.0 million and $9.3 million, compared to $7.1 million in its fiscal fourth quarter 2019, representing more than a 26% increase. Preliminary and unaudited fiscal year 2020 revenue is expected to be between $25.6 million and $25.9 million, compared to $24.2 million reported in its fiscal year 2019. This expected increase in revenue was driven by an increase in the shipment of complex environmental equipment systems and sales of other cultivation equipment predominantly tied to design contracts signed.
urban-gro expects its preliminary and unaudited fiscal fourth quarter 2020 net loss to be between negative ($1.7) million and negative ($1.4) million, compared to negative ($2.6) million in its fourth quarter of 2019. Preliminary unaudited fiscal year 2020 net loss is expected to be between negative ($5.7) million and negative ($5.4) million, compared to negative ($8.4) million in its fiscal year 2019. This expected improvement in net loss is driven by a reduction in operating expenses.
In addition, the Company expects to achieve positive Adjusted EBITDA for the second quarter in a row, with Adjusted EBITDA for fiscal year 2020 expected to be between negative ($0.9) to ($0.7) million, which represents an improvement of more than $2.3 million from Adjusted EBITDA of negative ($3.3) million reported for the full fiscal year 2019.
“Considering the delays in execution resulting from the COVID-19 pandemic in the first half of this year, we made excellent progress and fundamental advancements to ensure growth for urban-gro over the course of 2020,” commented Bradley Nattrass, Chief Executive Officer and Chairman of urban-gro.
Further, the fourth quarter of 2020 is a solid representation of an exciting trend and I believe the flawless execution of our strategy, and the deliberate steps we have taken to secure our next phase of growth, will make 2021 an even better year.
Bradley Nattrass, Chief Executive Officer and Chairman of urban-gro
Entering 2021, we have a Backlog exceeding $14 million. This is just the beginning of what we believe will be a transformational upcoming year for urban-gro
urban-gro expects to file its Form 10-K for the year ending December 31, 2020 by the filing deadline of March 31, 2021.
About urban-gro, Inc.
urban-gro, Inc. (OTCQX: UGRO) is a leading engineering design and services company focused on the commercial horticulture market. We engineer and design commercial Controlled Environment Agriculture (“CEA”) facilities and then integrate complex environmental equipment systems into these high-performance facilities. Operating in the global market, our custom-tailored approach to design, procurement, and equipment integration provides a single point of accountability across all aspects of growing operations. We also help our clients achieve operational efficiency and economic advantages through a full spectrum of professional services and programs focused on facility optimization and environmental health. Visit www.urban-gro.com to learn more.
