Feb. 7, 2022, 6:00 a.m. EST

GABY Inc. Reflects on Numerous Operational Improvements and Provides Estimated Financial Results for 2021 Fiscal Year

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    GABY Inc. (GABY)

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  • Over $32MM in revenue for fiscal year 2021, up 675% from 2020

  • Over $11MM in gross profit for fiscal year 2021, up from negative $0.5MM in 2020

  • Q4 2021 gross margin in excess of 45%, up from 39% in Q3 2021

These improvements highlight GABY's unique approach to retail cannabis as the company moves into 2022 with an eye on expansion and acquisition

SAN DIEGO, CA / ACCESSWIRE / February 7, 2022 / GABY Inc. ("GABY" or the "Company") /zigman2/quotes/207479053/delayed CA:GABY 0.00% (otcqb:GABLF), a California consolidator of cannabis dispensaries and the parent company of San Diego's Mankind Dispensary ("Mankind"), is pleased to review a 2021 filled with numerous operational, sales, and marketing improvements since acquiring Mankind in April, 2021. These improvements highlight the Company's successful transition into the retail space, backed by decades of retail leadership experience. These successes underscore the expertise the Company will bring to future acquisitions and greenfield expansions in 2022 and beyond.

Since acquiring Mankind, the GABY team has executed a series of initiatives to improve access to, and availability of, high-quality cannabis, backed by unparalleled cannabis knowledge and industry-leading customer service. By combining retail optimizations with operational efficiencies and improved outreach efforts, GABY has expanded Mankind's customer base, increased profitability, grown its delivery fleet, and achieved numerous milestones and accolades.

Highlights include:

  • GABY estimates its 2021 fiscal year revenue and gross profit as follows:

  • Gross margin in Q4 2021 is expected to be in excess of 45%, an increase from 39% in Q3 2021.

  • GABY leadership executed over US$3MM (C$3.8MM) in annual cost savings which will be reflected starting in Q1 2022.

  • Re-merchandizing strategy and in-store sales training saw basket size increase by an average of US$2.04 (C$2.58) per customer, adding approximately US$670,000 (C$850,000) in sales on an annualized basis.

  • GABY's Kind Republic cannabis flower and extract brand produced sales of US$1.7MM (C$2.2MM) via Mankind Dispensary, in the first twelve months following launch.

  • Expanded delivery fleet and marketing optimizations generate a 10.86% increase in weekly deliveries and 3% increase in ecommerce conversions in Q4 2021.

  • New Standard Operating Procedures implemented to eliminate redundant processes, streamline work flows and prepare operations for organic and acquisitive growth.

  • Mankind is named to the 2021 Inc. Magazine list of 5,000 fastest-growing companies in the United States.

  • GABY launches its "Plant.People.Planet." initiative at Mankind, partnering with charities in San Diego and beyond to inspire positive change.

Early morning shoppers in front of the Mankind "Plant.People.Planet" display wall

"I'm immensely proud of the efforts and results of the GABY management team over the past nine months," said GABY Founder and CEO Margot Micallef. "The changes we've made are proof that ‘corporate cannabis' can work. GABY and Mankind have built an environment that honors California cannabis culture, provides unparalleled cannabis experiences for consumers, and achieves operational and profitability milestones".

/zigman2/quotes/207479053/delayed
CA : Canadian Securities Exchange
$ 0.0050
0.00 0.00%
Volume: 7,500
Dec. 2, 2022 9:30a
P/E Ratio
N/A
Dividend Yield
N/A
Market Cap
$3.56 million
Rev. per Employee
N/A
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