Livewire Ergogenics CEO Reports State of the Company
September 7, 2023
Expresses Confidence in the Company’s Business Model and Market Position Amidst Industry Challenges
Livewire Ergogenics (OTC: LVVV), a leading operator in the cannabis industry, is pleased to provide a shareholder update from the Company’s CEO, Bill Hodson, to address the concerns surrounding the challenges faced by many companies in the US cannabis industry, as well as the significant decrease in the share price of publicly traded cannabis companies. This shareholder update serves to assure our shareholders that we have confidence in our business model and market position, even amidst the current industry challenges.
The cannabis industry is currently grappling with various obstacles, including ongoing regulatory changes, market saturation, and pricing fluctuations exacerbated by inefficient production methods. Livewire Ergogenics recognized these trends early on, and over our four-year history, we have consistently and efficiently adapted our business model to the prevailing market conditions. Our management team has amassed a wealth of experience and remains committed to cultivating high-quality sun-grown products with the guidance of top-tier cannabis and financial experts. Through our preparedness, highly adaptive cultivation and manufacturing processes, and strict commitment to cost control, we are confident to thrive in this challenging environment, which still presents unparalleled opportunities for years to come.
Throughout 2022 and into 2023, Livewire Ergogenics demonstrated its resilience and ability to deliver consistently improving financial performance. We achieved six consecutive profitable quarters and positive net income for the entire year 2022, a stark contrast to many larger operators in the US cannabis industry.
Recently, there has been a surge in discussions surrounding the reclassification of cannabis from Schedule 1 to Schedule 3, and the DEA appears open to expediting the rescheduling process. This potential reclassification would open new markets and eliminate the 280E taxation, which has been a major obstacle for cannabis companies striving for profitability. Consequently, the Global Cannabis Stock Index has rallied for the second consecutive month during 2023, in stark contrast to the 70.4% decline experienced throughout 2022. We firmly believe that Livewire’s share price will benefit not only from our expansion of cultivation areas on Estrella Ranch and improved financial performance but also from the changes in the general market conditions.
Our focus remains on maintaining the lowest possible debt level without sacrificing quality while maintaining a solid balance sheet, with our assets surpassing liabilities. This and our well-established distribution relationship enable us to navigate price volatility effectively. By diligently managing costs and continuing to expand and adapt its business model, Livewire Ergogenics is well positioned to withstand market fluctuations and maintain profitability.
Livewire’s Estrella River Farms has already delivered a significant portion of its 2023 harvest for processing and distribution. We are also preparing for the upcoming second 2023 harvest, which is expected to enter the market by the end of this year. Our plans for several unique, branded products are well underway, and we look forward to sharing more information soon. Additionally, we plan to expand our cultivation areas, including drying and possibly a nursery, while also preparing Estrella Ranch for vacation rental and tours, which recently has been approved by the appropriate authorities. All of this should make for an exceptional 2024.
Our unique business model and focus on California sun-grown quality and innovation position us for success even in these challenging markets. We anticipate significant returns on investment for our shareholders in 2023 and the years ahead.
To ensure our shareholders are well-informed about the latest developments, we encourage you to sign up for our company newsletter and review our filings on OTC. Our newsletter and OTC filings provide frequent and comprehensive updates on our activities, financial performance, and industry insights, allowing shareholders to stay connected and fully informed.
As a demonstration of our commitment to our shareholders, we plan to invite industry experts and qualifying shareholders to visit Estrella Ranch, our flagship facility and home to Estrella River Farms. This invitation aims to showcase and validate our business model and highlight the incredible potential of the world’s first Estate Grown Weedery. By leveraging the expertise of the best industry professionals in the cultivation process, Livewire Ergogenics aims to further solidify its position as a leader in the California cannabis industry.
I would like to take this opportunity to express our gratitude to our shareholders for their continued support and confidence. Livewire Ergogenics remains dedicated to delivering long-term value and maintaining open and transparent communication with our shareholders.
Bill Hodson, CEO
September 7, 2023
For more information and to sign up for the Livewire Ergogenics newsletter, please visit our website at www.LiveWireErgogenics.com.
This release contains forward-looking statements within Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934. All forward-looking statements, predictions, and projections are inherently uncertain as they are based on current expectations and assumptions concerning the successful execution of planned events or the Company’s general future performance. Readers are cautioned not to rely on these forward-looking statements, which are only predictions and speak only as of the date hereof. In evaluating such statements, prospective investors should carefully review various risks and uncertainties identified in this release, the Company’s Social Media postings, and matters set in the Company’s SEC filings. These risks and uncertainties could cause the Company’s actual results to differ materially from those indicated in the forward-looking statements.