| NOTE 17. SEGMENT INFORMATION |
NOTE 17 - SEGMENT INFORMATION
During 2018, the Company acquired additional real property and determined that a previously insignificant operating segment “Real Estate and Construction” was significant and was a reportable segment requiring disclosure in accordance with ASC 280. As of June 30, 2020, the majority of our real property is included in discontinued operations. As of June 30, 2020, the “Real Estate and Construction” has been merged with our “Corporate & Other” reportable segment.
During the six months ended June 30, 2020, the “Herbs and Produce Products” segment was discontinued as was included in discontinued operations. Prior period information below has been revised to conform to current period presentation.
We are now organized into two reportable segments:
|
• |
Cannabis Dispensary, Cultivation and Production - Includes cannabis-focused retail, cultivation and production operations; and |
|
|
|
|
• |
Corporate / CBD - Includes CBD formulation and production, building ownership and corporate support operations. |
|
|
As of and For the Three Months Ended June 30, 2020
(Unaudited)
(in thousands)
|
|
|
|
Cannabis |
|
|
Corporate / CBD |
|
|
Total |
|
|
|
|
|
|
|
|
|
|
|
Total Revenues |
|
$ |
3,007 |
|
|
$ |
301 |
|
|
$ |
3,308 |
|
Cost of Goods Sold |
|
|
1,759 |
|
|
|
157 |
|
|
|
1,916 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gross Profit |
|
|
1,248 |
|
|
|
144 |
|
|
|
1,392 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Selling, General and Administrative Expenses |
|
|
3,606 |
|
|
|
3,770 |
|
|
|
7,377 |
|
Impairment of Assets |
|
|
4,998 |
|
|
|
6,316 |
|
|
|
11,314 |
|
(Gain) / Loss on Sale of Assets |
|
|
- |
|
|
|
- |
|
|
|
- |
|
(Gain) / Loss on Interest in Joint Venture |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loss from operations |
|
|
(7,356 |
) |
|
|
(9,943 |
) |
|
|
(17,299 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Other Income (Expense): |
|
|
|
|
|
|
|
|
|
|
|
|
Interest Income (Expense) |
|
|
(243 |
) |
|
|
(599 |
) |
|
|
(842 |
) |
Other Income / (Loss) |
|
|
(89 |
) |
|
|
1 |
|
|
|
(88 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Other Income (Expense) |
|
|
(332 |
) |
|
|
(598 |
) |
|
|
(930 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Income (Loss) from continuing operations |
|
$ |
(7,688 |
) |
|
$ |
(10,541 |
) |
|
$ |
(18,229 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Total assets at June 30, 2020 |
|
$ |
69,684 |
|
|
$ |
20,862 |
|
|
$ |
90,546 |
|
|
|
As of and For the Six Months Ended June 30, 2020
(Unaudited)
(in thousands)
|
|
|
|
Cannabis |
|
|
Corporate / CBD |
|
|
Total |
|
|
|
|
|
|
|
|
|
|
|
Total Revenues |
|
$ |
6,753 |
|
|
$ |
868 |
|
|
$ |
7,621 |
|
Cost of Goods Sold |
|
|
3,181 |
|
|
|
710 |
|
|
|
3,891 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gross Profit |
|
|
3,572 |
|
|
|
158 |
|
|
|
3,730 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Selling, General and Administrative Expenses |
|
|
7,484 |
|
|
|
8,929 |
|
|
|
16,414 |
|
Impairment of Assets |
|
|
10,118 |
|
|
|
6,316 |
|
|
|
16,434 |
|
(Gain) / Loss on Sale of Assets |
|
|
(35 |
) |
|
|
- |
|
|
|
(35 |
) |
(Gain) / Loss on Interest in Joint Venture |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loss from operations |
|
|
(13,995 |
) |
|
|
(15,087 |
) |
|
|
(29,082 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Other Income (Expense): |
|
|
|
|
|
|
|
|
|
|
|
|
Interest Income (Expense) |
|
|
(488 |
) |
|
|
(1,256 |
) |
|
|
(1,744 |
) |
Other Income / (Loss) |
|
|
(51 |
) |
|
|
28 |
|
|
|
(23 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Other Income (Expense) |
|
|
(539 |
) |
|
|
(1,228 |
) |
|
|
(1,767 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Income (Loss) from continuing operations |
|
$ |
(14,534 |
) |
|
$ |
(16,315 |
) |
|
$ |
(30,849 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Total assets at June 30, 2020 |
|
$ |
69,684 |
|
|
$ |
20,862 |
|
|
$ |
90,546 |
|
|
|
As of and For the Three Months Ended June 30, 2019
(Unaudited)
(in thousands)
|
|
|
|
Cannabis |
|
|
Corporate / CBD |
|
|
Total |
|
|
|
|
|
|
|
|
|
|
|
Total Revenues |
|
$ |
4,477 |
|
|
$ |
- |
|
|
$ |
4,477 |
|
Cost of Goods Sold |
|
|
2,177 |
|
|
|
- |
|
|
|
2,177 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gross Profit |
|
|
2,300 |
|
|
|
- |
|
|
|
2,300 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Selling, General and Administrative Expenses |
|
|
3,402 |
|
|
|
5,211 |
|
|
|
8,613 |
|
Impairment of Assets |
|
|
114 |
|
|
|
396 |
|
|
|
510 |
|
(Gain) / Loss on Sale of Assets |
|
|
- |
|
|
|
- |
|
|
|
- |
|
(Gain) / Loss on Interest in Joint Venture |
|
|
(0 |
) |
|
|
- |
|
|
|
(0 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Loss from operations |
|
|
(1,215 |
) |
|
|
(5,607 |
) |
|
|
(6,822 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Other Income (Expense): |
|
|
|
|
|
|
|
|
|
|
|
|
Interest Income (Expense) |
|
|
(305 |
) |
|
|
(3,314 |
) |
|
|
(3,620 |
) |
Other Income / (Loss) |
|
|
(12 |
) |
|
|
997 |
|
|
|
985 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Other Income (Expense) |
|
|
(318 |
) |
|
|
(2,318 |
) |
|
|
(2,635 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Income (Loss) from continuing operations |
|
$ |
(1,533 |
) |
|
$ |
(7,924 |
) |
|
$ |
(9,457 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Total assets at June 30, 2019 |
|
$ |
92,974 |
|
|
$ |
9,941 |
|
|
$ |
102,916 |
|
|
|
As of and For the Six Months Ended June 30, 2019
(Unaudited)
(in thousands)
|
|
|
|
Cannabis |
|
|
Corporate / CBD |
|
|
Total |
|
|
|
|
|
|
|
|
|
|
|
Total Revenues |
|
$ |
6,522 |
|
|
$ |
- |
|
|
$ |
6,522 |
|
Cost of Goods Sold |
|
|
2,622 |
|
|
|
- |
|
|
|
2,622 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gross Profit |
|
|
3,900 |
|
|
|
- |
|
|
|
3,900 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Selling, General and Administrative Expenses |
|
|
6,454 |
|
|
|
10,750 |
|
|
|
17,204 |
|
Impairment of Assets |
|
|
114 |
|
|
|
396 |
|
|
|
510 |
|
(Gain) / Loss on Sale of Assets |
|
|
- |
|
|
|
- |
|
|
|
- |
|
(Gain) / Loss on Interest in Joint Venture |
|
|
1,067 |
|
|
|
- |
|
|
|
1,067 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loss from operations |
|
|
(3,734 |
) |
|
|
(11,146 |
) |
|
|
(14,880 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Other Income (Expense): |
|
|
|
|
|
|
|
|
|
|
|
|
Interest Income (Expense) |
|
|
(532 |
) |
|
|
(6,015 |
) |
|
|
(6,548 |
) |
Other Income / (Loss) |
|
|
(12 |
) |
|
|
1,009 |
|
|
|
997 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Other Income (Expense) |
|
|
(545 |
) |
|
|
(5,007 |
) |
|
|
(5,551 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Income (Loss) from continuing operations |
|
$ |
(4,279 |
) |
|
$ |
(16,152 |
) |
|
$ |
(20,431 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Total assets at June 30, 2019 |
|
$ |
92,974 |
|
|
$ |
9,941 |
|
|
$ |
102,916 |
|
|