LiveWire Ergogenics Reports Third Quarter 2020 Results – Enters last Phase of legal and environmental Compliance
Anaheim, CA, November 16, 2020 — LiveWire Ergogenics Inc. (OTC: LVVV), a company focused on acquiring and managing special purpose real estate properties conducive to producing high-quality, organically-grown and handcrafted cannabis products for medicinal and recreational use in California, today announced its financial results for Q3 ending September 30, 2020.
Bill Hodson, CEO of LiveWire Ergogenics states, “We are nearing the end of a very intense year in so many ways, from a paralyzing pandemic to a very turbulent election year, but we feel that the pending changes in Washington will result in the advancement towards federal legalization of cannabis. In our immediate environment it has been a year of managing the complex approval process for legal and environmental compliance prior to operation on our Estrella Ranch property in the California Central Coast. The acquisition of Estrella Ranch has established our operation in one of the most beautiful and historic locations in California. This location provides the perfect micro-climate for the cultivation of truly exceptional organic and handcrafted-style cannabis based on above ground tractor-less farming techniques that use up to 60% less water than traditional in-ground farming.”
During the quarter ending September 30, 2020 and 2019, sales of our products amounted to $129,000 and $143,000 respectively, a decrease of $14,000. The decrease in sales is due to reduced income from distribution revenue of GHC Ventures, which had been sold in Q2 2020. The decrease was balanced somewhat by increased revenues generated through rental, licensing and management of our real estate and intellectual properties. For the nine months period ending in September 2020 sales increased to $451,415 compared to $160,980 during the same period in 2019, an increase of $290,335.
During the quarter ending September 30, 2020 and September 30, 2019, we incurred a net loss of $104,814 compared to a profit of $94,749 respectively, an increase of $199,563. The increase was mainly due to additional expenses for the continuing infrastructure improvement of Estrella Ranch and the cost of the approval process, compensated for by reduced G&A and interest expenses. During the nine months period ending September 30, 2020, our net loss increased to $1,319,414 compared to a loss of $1,173,249 in the same period in 2019, an increase of $146.165 , with the majority of cost for infrastructure improvements occuring in Q3 2020.
Mr. Hodson continues, “We have spent this year navigating through the complex environmental and legal compliance process for the approval of our ranch operation and continue to make progress on the infrastructure improvements required for legal operation. We have entered a unique revenue and expense-sharing agreement with QDG Agriculture as our main operator on the ranch, an operator with a long and successful track record for the cultivation of organic proprietary cannabis strains. Base d on the actions that we have taken together with QDG, we expect to begin generating revenue from cultivation in the first half of 2021, pending the State approval process. We plan to expand the cultivation area on the ranch sequentially to full capacity during the years ahead, while making sure that the natural environment and surrounding areas will not be negatively impacted. While executing this plan, we will continue to follow the strict financial discipline that we have set for ourselves, maintaining low operating expenses and thrive to produce significant revenues, net income and return on investment for our shareholders during 2021.”
The detailed Financial Report for Q2 2020 can be downloaded at OTC Markets
LiveWire is in the process of centralizing all company operations in Paso Robles. Management is continuing to build a LiveWire holding company that will pursue additional projects and ventures in the cannabis industry that can benefit from the extensive experience of the team that has been assembled during the last year. This is the same team that has taken us through the complex process of legal and environmental compliance and will continue through cultivation.
COUNTY APPROVAL PROCESS
Conduct Site Visit – Passed
Verify Lot Legality – Passed
Finalize Hearing Notice Details – Passed
Agendize for Planning Department Hearing – Passed
Public Hearing – Scheduled
About Livewire Ergogenics Inc. LiveWire Ergogenics, Inc. (LVVV) specializes in identifying and monetizing current and future trends in the health and wellness industry. The Company is focused on acquiring, managing, and licensing specialized cannabis real estate properties conducive to producing high-quality handcrafted cannabis products for medicinal and adult-use in the US. This includes the distribution of these products and the creation of a nationally recognized organic “Estrella Weedery” brand. Livewire Ergogenics does not produce, sell, or distribute products that are in violation of the United States Controlled Substance Act. For more information, please visit: LiveWireErgogenics.com.
Forward-Looking Statements. This release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, as amended. All forward-looking statements are inherently uncertain as they are based on current expectations and assumptions concerning future events or future performance of the company. Readers are cautioned not to place undue reliance on these forward-looking statements, which are only predictions and speak only as of the date hereof. In evaluating such statements, prospective investors should review carefully 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.