IRVINE, CA -- (Marketwired) -- 03/16/18 -- Terra Tech Corp. (OTCQX: TRTC)(OTCQX: TRTCD) ("Terra Tech" or the "Company"), a vertically integrated cannabis-focused agriculture company, today announced its financial results for the year ended December 31, 2017.
Derek Peterson, Chief Executive Officer of Terra Tech, commented on the achievements from the year, "The rapid growth of the legal cannabis market, coupled with our aggressive expansion strategy, has led to Terra Tech's emergence as a pre-eminent retail and wholesale cannabis company in the United States. Our strategy to establish our Blüm™ and IVXX™ brands as premium cannabis experiences in targeted states set the foundation for the Company to quickly expand into the adult use market when Nevada welcomed legalization in July, 2017, followed by California in January, 2018. These regulatory milestones significantly expanded our addressable market and transformed the Company's potential growth path.
"In California, we currently have dispensary operations in Oakland and Santa Ana, and are continuing to build out another dispensary in San Leandro as well as cultivation and extraction facilities in the state. We are encouraged by our progress establishing recognizable brands, a loyal customer base and developing extensive cultivation capabilities, which we expect to allow for the production of up to 20,000 pounds of cannabis per year, when complete. As the U.S.'s largest state by population, California represents a major market for us. A recent report from BDS Analytics estimates California sales of cannabis to hit $3.7 billion by the end of 2018, and to increase to $5.1 billion in 2019. In Nevada, we have four dispensary operations across Reno and Las Vegas, supported by new cannabis cultivation and extraction facilities in Sparks and Reno, through agreements with NuLeaf. Cannabis analytics firm New Frontier projects Nevada's total cannabis market to be $622 million by 2020 and we are excited by the opportunity to participate in its growth," continued Mr. Peterson.
"Our Edible Garden subsidiary, which produces leafy herbs and greens, continues to perform well. We took steps to streamline our operations which led to slightly improved gross margins at Edible Garden, while also expanding the range of produce sold, supported by an expanded marketing campaign.
"Looking ahead to the remainder of 2018, we are well capitalized having recently secured a $40 million investment commitment, which will enable us to complete some of the ongoing infrastructure construction projects that are underway and will fuel our sales and marketing efforts, driving organic growth. Our relatively large footprint and established operations means we are also well positioned to leverage M&A opportunities to further grow our market share. This is a transitional time in the Company's development and we look forward to generating sustainable, long-term value creation for Terra Tech's shareholders, customers and employees," concluded Mr. Peterson.
Financial Summary for Full Year 2017
Operational Highlights for Full Year 2017
The company will also host a conference call today, Friday, March 16, 2018 at 4:30 PM Eastern Time.
Dial-In Number: 1-857-232-0157
Access Code: 422095
Derek Peterson, Chairman and CEO of Terra Tech Corp., will be answering shareholder questions at the end of the call. Should you have questions during or prior to the conference call please send an email to TRTC@kcsa.com with 'TRTC Question' in the subject line. Mr. Peterson will answer as many questions as time will allow.
For those unable to participate in the live conference call, a replay will be available at http://smallcapvoice.com/blog/trtc/. An archived version of the webcast will also be available on the investor relations section of the company's website.
To be added to the Terra Tech email distribution list, please email TRTC@kcsa.com with TRTC in the subject line.
About Terra Tech
Terra Tech Corp. (OTCQX: TRTC) operates through multiple subsidiary businesses including: Blüm, IVXX Inc., Edible Garden, and MediFarm LLC. Blüm's retail and medical cannabis facilities provide the highest quality medical cannabis to patients who are looking for alternative treatments for their chronic medical conditions as well as premium cannabis to the adult-use market in Nevada and California. Blüm offers a broad selection of cannabis products including; flowers, concentrates and edibles through its Oakland, CA and multiple Nevada locations. IVXX, Inc. is a wholly-owned subsidiary of Terra Tech that produces cannabis-extracted products for regulated medical cannabis dispensaries throughout California and medical and adult-use dispensaries in Nevada. The Company's wholly-owned subsidiary, Edible Garden, cultivates a premier brand of local and sustainably grown hydroponic produce, sold through major grocery stores such as ShopRite, Walmart, Ahold, Aldi, Meijer, Kroger, Stop & Shop and others nationwide. Terra Tech's MediFarm LLC subsidiaries are focused on medical and adult-use cannabis cultivation and permitting businesses throughout Nevada.
For more information about Terra Tech Corp visit: http://www.terratechcorp.com/
For more information about IVXX visit: http://ivxx.com/
For more information about Blüm Nevada visit: http://letsblum.com
For more information about Blüm Oakland visit: http://blumoak.com/
Visit us on Facebook @ https://www.facebook.com/terratechcorp/timeline
Follow us on Twitter @terratechcorp
For more information about Edible Garden visit: http://www.ediblegarden.com/
Visit Edible Garden on Facebook @ https://www.facebook.com/ediblefarms?fref=ts
Visit IVXX on Facebook @ https://www.facebook.com/ivxxbrand?fref=ts
Cautionary Language Concerning Forward-Looking Statements
Statements in this press release may be "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Words such as "anticipate", "believe", "estimate", "expect", "intend" and similar expressions, as they relate to the company or its management, identify forward-looking statements. These statements are based on current expectations, estimates and projections about the company's business based, in part, on assumptions made by management. These statements are not guarantees of future performance and involve risks, uncertainties and assumptions that are difficult to predict. Therefore, actual outcomes and results may, and probably will, differ materially from what is expressed or forecasted in such forward-looking statements due to numerous factors, including those described above and those risks discussed from time to time in Terra Tech Corp.'s filings with the Securities and Exchange Commission. In addition, such statements could be affected by risks and uncertainties related to Terra Tech Corp.'s (i) product demand, market and customer acceptance of its equipment and other goods, (ii) ability to obtain financing to expand its operations, (iii) ability to attract qualified sales representatives, (iv) competition, pricing and development difficulties, (v) ability to integrate GrowOp Technology Ltd. into its operations as a reporting issuer with the Securities and Exchange Commission, and (vi) general industry and market conditions and growth rates and general economic conditions. Any forward-looking statements speak only as of the date on which they are made, and the company does not undertake any obligation to update any forward-looking statement to reflect events or circumstances after the date of this release. Information on Terra Tech Corp.'s website does not constitute a part of this release.
|TERRA TECH CORP. AND SUBSIDIARIES|
|CONSOLIDATED BALANCE SHEETS|
|December 31,||December 31,|
|Prepaid Expenses and Other Current Assets||1,067,689||704,721|
|Total Current Assets||18,243,131||13,111,415|
|Property, Equipment and Leasehold Improvements, Net||19,191,616||10,464,764|
|Intangible Assets, Net||27,773,110||23,627,098|
|LIABILITIES AND STOCKHOLDERS' EQUITY|
|Accounts Payable and Accrued Expenses||$||5,444,710||$||2,417,400|
|Income Taxes Payable||-||615,830|
|Total Current Liabilities||14,776,110||22,670,413|
|Total Long-Term Liabilities||6,609,398||1,354,352|
|COMMITMENTS AND CONTINGENCIES|
|Preferred Stock, Convertible Series A, Par Value $0.001:||-||-|
|100 Shares Authorized as of December 31, 2017 and 2016; 8 Shares Issued and Outstanding as of December 31, 2017 and 2016, respectively|
|Preferred Stock, Convertible Series B, Par Value $0.001:||-||2,455|
|49,999,900 Shares Authorized as of December 31, 2017 and 2016; 0 and 2,455,064 Shares Issued and Outstanding as of December 31, 2017 and 2016, respectively|
|Common Stock, Par Value $0.001:||61,819||36,924|
|990,000,000 Shares Authorized as of December 31, 2017 and 2016; 61,818,560 and 36,924,254 Shares Issued and Outstanding as of December 31, 2017 and 2016, respectively|
|Additional Paid-In Capital||181,357,715||125,466,493|
|Total Terra Tech Corp. Stockholders' Equity||75,870,932||52,634,873|
|Total Stockholders' Equity||76,802,291||52,153,965|
|TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY||$||98,187,799||$||76,178,730|
|TERRA TECH CORP. AND SUBSIDIARIES|
|CONSOLIDATED STATEMENTS OF OPERATIONS|
|Year Ended December 31,|
|Cost of Goods Sold||30,323,771||22,755,080|
|Selling, General and Administrative Expenses||25,357,091||20,720,534|
|Loss from Operations||(19,880,018||)||(18,147,851||)|
|Other Income (Expense):|
|Amortization of Debt Discount||(2,138,762||)||(1,414,202||)|
|Impairment of Property||(138,037||)||-|
|Impairment of Intangible Assets||(757,467||)||-|
|Loss on Extinguishment of Debt||(7,144,288||)||(5,382,813||)|
|Loss from Derivatives Issued with Debt Greater Than Debt Carrying Value||-||(1,487,500||)|
|Gain (Loss) on Fair Market Valuation of Derivatives||(3,494,550||)||(1,844,500||)|
|Interest Expense, Net||(542,664||)||(377,349||)|
|Gain on Settlement of Contingent Consideration||4,991,571||-|
|Gain (Loss) on Fair Market Valuation of Contingent Consideration||(4,426,047||)||668,694|
|Total Other Income (Expense)||(13,650,244||)||(9,837,670||)|
|Loss Before Provision for Income Taxes||(33,530,262||)||(27,985,521||)|
|Provision for Income Tax Benefit (Expense)||347,455||-|
|Net Loss Attributable to Non-Controlling Interest||505,204||1,066,631|
|NET LOSS ATTRIBUTABLE TO TERRA TECH CORP.||$||(32,677,603||)||$||(26,918,890||)|
|Net Loss Per Common Share Attributable to Terra Tech Corp. Common Stockholders - Basic and Diluted||$||(0.71||)||$||(1.04||)|
|Weighted-Average Number of Common Shares Outstanding - Basic and Diluted||46,072,846||25,957,307|
KCSA Strategic Communications
Source: Terra Tech Corp.
Released March 16, 2018