| Summarized financial information |
Summarized financial
information concerning the Companys reportable segments is shown in the following tables. Total asset amounts at March 31,
2017 and 2016, exclude intercompany receivable balances eliminated in consolidation.
| |
|
Three Months Ended March 31, 2017 |
|
| |
|
Herbs and
Produce
Products
|
|
|
Cannabis Dispensary, Cultivation and Production |
|
|
Eliminations
and Other
|
|
|
Total |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
| Total Revenues |
|
$ |
917,143 |
|
|
$ |
5,887,038 |
|
|
$ |
20,275 |
|
|
$ |
6,824,456 |
|
| Cost of Goods Sold |
|
|
969,815 |
|
|
|
5,495,578 |
|
|
|
- |
|
|
|
6,465,393 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Gross Profit |
|
|
(52,672 |
) |
|
|
391,460 |
|
|
|
20,275 |
|
|
|
359,063 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Selling, General and Administrative Expenses |
|
|
659,063 |
|
|
|
2,627,005 |
|
|
|
3,100,232 |
|
|
|
6,386,300 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Loss from Operations |
|
|
(711,735 |
) |
|
|
(2,235,545 |
) |
|
|
(3,079,957 |
) |
|
|
(6,027,237 |
) |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Other Expense: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Amortization of Debt Discount |
|
|
- |
|
|
|
- |
|
|
|
(610,616 |
) |
|
|
(610,616 |
) |
| Loss on Extinguishment of Debt |
|
|
- |
|
|
|
- |
|
|
|
(1,039,458 |
) |
|
|
(1,039,458 |
) |
| Loss on Fair Market Valuation of Derivatives |
|
|
- |
|
|
|
- |
|
|
|
1,610,750 |
|
|
|
1,610,750 |
|
| Interest Income (Expense) |
|
|
- |
|
|
|
- |
|
|
|
(157,833 |
) |
|
|
(157,833 |
) |
| Loss on Fair Market Valuation of Contingent Consideration |
|
|
- |
|
|
|
(4,348,761 |
) |
|
|
- |
|
|
|
(4,348,761 |
) |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Total Other Expense |
|
|
- |
|
|
|
(4,348,761 |
) |
|
|
(197,157 |
) |
|
|
(4,545,918 |
) |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Loss Before Provision for Income Taxes |
|
$ |
(711,735 |
) |
|
$ |
(6,584,306 |
) |
|
$ |
(3,277,114 |
) |
|
$ |
(10,573,155 |
) |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Total Assets at March 31, 2017 |
|
$ |
7,133,499 |
|
|
$ |
59,367,012 |
|
|
$ |
11,077,191 |
|
|
$ |
77,572,702 |
|
| |
|
Three Months Ended March 31, 2016 |
|
| |
|
Herbs and
Produce
Products
|
|
|
Cannabis Dispensary, Cultivation and Production |
|
|
Eliminations
and
Other
|
|
|
Total |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
| Total Revenues |
|
$ |
1,401,443 |
|
|
$ |
130,203 |
|
|
$ |
16,521 |
|
|
$ |
1,548,167 |
|
| Cost of Goods Sold |
|
|
1,200,932 |
|
|
|
213,261 |
|
|
|
|
|
|
|
1,414,193 |
|
| Gross Profit |
|
|
200,511 |
|
|
|
(83,058 |
) |
|
|
16,521 |
|
|
|
133,974 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Selling, General and Administrative Expenses |
|
|
518,652 |
|
|
|
202,136 |
|
|
|
1,325,560 |
|
|
|
2,046,348 |
|
| Loss from Operations |
|
|
(318,141 |
) |
|
|
(285,194 |
) |
|
|
(1,309,039 |
) |
|
|
(1,912,374 |
) |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Other Expense: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Amortization of Debt Discount |
|
|
- |
|
|
|
- |
|
|
|
(94,406 |
) |
|
|
(94,406 |
) |
| Loss on Extinguishment of Debt |
|
|
- |
|
|
|
- |
|
|
|
(920,797 |
) |
|
|
(920,797 |
) |
| Gain on Fair Market Valuation of Derivatives |
|
|
- |
|
|
|
- |
|
|
|
(1,160,700 |
|
|
|
(1,160,700 |
) |
| Interest Expense |
|
|
- |
|
|
|
- |
|
|
|
(55,995 |
) |
|
|
(55,995 |
) |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Total Other Expense |
|
|
- |
|
|
|
- |
|
|
|
(2,231,898 |
) |
|
|
(2,231,898 |
) |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Loss Before Provision for Income Taxes |
|
$ |
(318,141 |
) |
|
$ |
(285,194 |
) |
|
$ |
(3,540,937 |
) |
|
$ |
(4,144,272 |
) |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Total Assets at March 31, 2016 |
|
$ |
6,667,866 |
|
|
$ |
2,734,868 |
|
|
$ |
2,750,386 |
|
|
$ |
12,153,120 |
|
|