Press Release – Indiva Reports Record Fourth Quarter and Fiscal Year 2021 Results

Indiva Reports Record Fourth Quarter and Fiscal Year 2021 Results

Indiva Remains the National Market Share Leader in the Edibles Category

LONDON, Ontario – April 26, 2021:
Indiva Limited (the “Company” or “Indiva”) (TSXV:NDVA) (OTCQX:NDVAF), the leading Canadian producer of cannabis edibles and other cannabis products, is pleased to announce its financial and operating results for the fourth quarter and fiscal year ended December 31, 2021. All figures are reported in Canadian dollars ($), unless otherwise indicated. Indiva’s financial statements are prepared in accordance with International Financial Reporting Standards (“IFRS”). For a more comprehensive overview of the corporate and financial highlights presented in this news release, please refer to Indiva’s Management’s Discussion and Analysis of Financial Condition and Results of Operations for the Year Ended December 31, 2021, and the Company’s Consolidated Financial Statements for the Years Ended December 31, 2021 and 2020, which are filed on SEDAR and available on the Company’s website,

“We are pleased to report record revenue in the fourth quarter and for the fiscal year 2021, and greatly improved gross margins compared to fiscal 2020. According to data from Hifyre Inc., Indiva continued as the dominant national market share leader in edibles in 2021,and was ranked 10th out of 134 licensed producers by consolidated market share across all categories. On a units shipped basis, Indiva ranked 4th nationally in 2021, making Indiva an important supplier to provincial wholesalers and retailers. Our distribution has now expanded to reach all 13 provinces and territories in Canada, creating a leverageable platform for new product introduction through new licensing partnerships and in-house innovation,” said Niel Marotta, President and Chief Executive Officer of Indiva. “The recent signing of our licensing deal with Dime Industries marks Indiva’s first entrance into the vape category. Dime’s proprietary hardware and innovative cannabis formulations position Indiva to continue to gain market share as we leverage our best-in-class operations, our reputation for quality cannabis products, and our coast-to-coast-to-coast distribution platform. In addition, we expect new product introductions coming from Indiva’s in-house innovation team to spur further margin-accretive top-line growth and accelerate our path to real profitability. Further, the pursuit of innovation comes with it the goal of creating products that build on our in-house world-class expertise, as national leaders in edibles, to enable Indiva to, one day, grow beyond our Canadian borders. While in the short-term, licensing deals remain our core revenue contributor, creating the backdrop for our current success, Indiva’s future lies in innovating better products, while continuing to delight our clients and customers.”



Quarterly Performance

  • Record gross revenue in Q4 2021 at $10.39 million, representing a 25.1% sequential increase from Q3 2021, and a 35.3% increase year-over-year from Q4 2020.
  • Record net revenue in Q4 2021 was $9.45 million, representing a 18.4% sequential increase from Q3 2021, and a 34.1% increase year-over-year from Q4 2020, driven primarily by higher sales of category leading edibles including Wana Sour Gummies and Bhang Chocolate.
  • Net revenue from edible products grew to $8.23 million, up 18.9% from $6.92 million in Q3 2021 and up 39.0% from $5.92 million in the prior year period. Edible product sales represent 87.0% of net revenue in Q4 2021.
  • Gross profit before fair value adjustments, impairments and one-time items improved to a record $3.0 million, or 31.7% of net revenue, versus 37.8% in Q3 2021 and 10.6% in Q4 2020. The decline in gross margin percentage sequentially was due to lower overhead absorption on goods sold in the quarter, rework and relabel costs on certain final goods, and a shift in product mix in the fourth quarter towards edible products with higher average cannabinoid content per unit. The Company expects margins to improve gradually throughout 2022 as new automation for production and packaging comes online in the second half of the year.
  • In Q4 2021, Indiva sold products containing a record 60.4 million milligrams of distillate, the active ingredient in edible products, which represents a 43% increase when compared to the 42 million milligrams in product sold in Q3 2021, and a 76% increase compared to 34 million milligrams sold in Q4 2020.
  • Impairment charges in the quarter totaled $1.02 million. This impairment includes a write off of aged finished goods and bulk cannabis products due to aging inventory and obsolete packaging, as well as a write down to net realizable value of high cost cannabis flower and slower moving oil-based products. The Company will continue to work to monetize any impaired inventory which remains saleable.
  • Operating expenses in the quarter increased to 43.0% of net revenue, versus 39.2% in Q3 2021 and 35.6% in Q4 2020, due to higher marketing costs and sales commissions, and higher research and development costs, while general and administrative costs remained flat.
  • Adjusted EBITDA declined sequentially in Q4 2021 to a loss of $0.49 million, versus a profit of $0.17 million in Q3 2021, due to specific, non-recurring research and development costs and packaging rework costs, without which Adjusted EBITDA would have been positive in the quarter. Q4 2021 improved versus a loss of $1.24 million in Q4 2020, driven by higher sales and improved margins. See “Non-IFRS Measures“, below.
  • Comprehensive net loss included one-time expenses and non-cash charges including inventory impairments and losses on settlements and modification of debt totaling $1.83 million. Excluding these charges, comprehensive loss declined to $2.33 million versus a loss of $2.43 million in Q4 2020.


Fiscal Year 2021 Performance

  • Record gross revenue for the year ended December 31, 2021 was $35.43 million, versus $16.19 million for the year ended December 2020, representing a 118.9% year-over-year increase.
  • Record net revenue for the year ended 2021 was $32.47 million, versus $14.65 million for the year ended December 2020, representing a 121.6% year-over-year increase. Net revenue growth was driven primarily by higher sales of category leading edibles, including Wana Sour Gummies and Bhang Chocolate.
  • Net revenue from edible products grew to $29.1 million in the year ended December 2021, representing 89.6% of net revenue for the year ended December 2021, versus $11.2 million or 76.4% of net revenue in the prior year period.
  • Gross margin before fair value adjustments and impairments improved to a record $9.95 million or 30.6% of net revenue versus $1.54 million or 10.5% of net revenue for the year ended 2020, due to lower distillate costs, increased operating efficiency and improved fixed cost.
  • In 2021, Indiva sold products containing 184.5 million milligrams of distillate, the active ingredient in edible products, which represents a 210% increase when compared to the 59 million milligrams in product sold in 2020.
  • Operating expenses increased by 54.8% versus the year ended 2020, primarily due to higher marketing and sales expenses. General and administrative costs increased 8.5% for the year versus 2020. As a percentage of net revenue, operating expenses declined to 38.2% for 2021 versus 54.6% in 2020.
  • Adjusted EBITDA improved to a loss of $0.29 million versus a loss of $4.49 million last year due to higher sales and improved gross margins, offset by non-recurring research and development costs and packaging rework costs in the fourth quarter.
  • Impairment and one-time charges for the year totaled $9.57 million. This write-off includes a provision for aged finished goods and bulk cannabis products due to aging inventory, provisions for onerous contract, and losses on contract settlement related to the termination of the Dycar manufacturing agreement.
  • Comprehensive net loss, excluding one-time expenses and non-cash charges, declined to $5.43 million in fiscal year 2021, versus a loss of $8.62 million in fiscal year 2020.


Operational Highlights for the Fiscal Year 2021

First Quarter Fiscal 2021

  • Indiva closed a $22 million debt and equity placement with Sundial Growers Inc. on February 23, 2021.
  • Indiva announced an extension to its license agreement with Wana Brands Inc. The amended agreement will be for a five year term and may be extended for three additional five year terms.
  • Indiva expanded its distribution to nine provinces and two territories, adding a supply agreement with the Province of Newfoundland, and a distribution platform in the Northwest Territories.
  • Indiva products became available for purchase through Medical Cannabis by Shoppers™. Indiva also entered into an agreement to supply Abba Medix with Indiva cannabis products.
  • Indiva introduced three additional gummie SKUs nationally under the Wana Quick brand in March 2021, including Pineapple Coconut, Orchard Peach and Strawberry-Lime flavours.
  • Indiva strengthened its board of directors with the addition of Mr. Russell Wilson to the Company’s board. Mr. Wilson is Vice President, Business Development with W. Brett Wilson’s holding company Prairie Merchant Corporation (“PMC“), a private investment company based in Calgary, Alberta. Mr. Wilson manages PMC’s portfolio of cannabis and technology holdings, as well as participation in the company’s extensive and diversified holdings in real estate, power/energy, sports and agriculture.

Second Quarter Fiscal 2021

  • Bhang Milk Chocolate was the highest velocity product in Ontario, according to data from the Ontario Cannabis Store (“OCS”) published for their fiscal year ended March 31, 2021, selling more units than any other SKU. Bhang Dark Chocolate was the 6th highest velocity SKU.
  • Bhang Cookies and Cream and Bhang Caramel Mocha Milk Chocolate became available nationally. Bhang Cookies and Cream quickly became a top seller amongst all Bhang chocolate SKUs.
  • Indiva expanded its distribution of Wana Quick fast-acting gummies to six provinces and one territory. In addition, Wana Quick became available in the medical channel through the Medical Cannabis by Shoppers platform.
  • Indiva made its first deliveries of Bhang Chocolate, Wana Sour Gummies and Artisan Batch flower to the Province of Newfoundland.

Third Quarter Fiscal 2021

  • OCS data for the quarter ended June 30, 2021 showed four of the top 10 cannabis products sold by the OCS were Indiva products, as measured by units sold, including three Wana SKUs and one Bhang Chocolate SKU.
  • Indiva expanded its distribution platform to include Prince Edward Island, bringing distribution to all 10 provinces in Canada and two territories, and in the medical channel through partnerships, including Medical Cannabis by Shoppers.
  • Indiva introduced three new Cookie SKUs from Slow Ride Bakery to the Ontario market, marking Indiva’s first baked goods introduced in the edibles category. Subsequently, Indiva expanded distribution of Slow Ride Cookies to two additional provinces and introduced two new holiday themed SKUs.
  • Indiva introduced a new 10-pack SKU of Wana Strawberry 10:1.
  • Indiva introduced additional premium strains under the Artisan Batch brand, including Sticky Larry by Stinky Greens, and expanded its distribution of the Artisan Batch brand to Alberta.

Fourth Quarter Fiscal 2021

  • Indiva completed its Warrant Incentive Program on October 12, 2021. A total of 8,866,666 warrants were exercised, providing gross proceeds to the Company of $3.55 million. 4,433,333 new warrants were issued, exercisable into common shares at $0.45, for a five-year period.
  • Indiva announced an amended and increased debt facility with Sundial Growers Inc., providing the Company with an additional $8.5 million of debt. Proceeds were used to terminate and repay all remaining obligations under the Dycar manufacturing agreement.
  • Indiva introduced Bhang THC White Candy Cane Chocolate in five provinces.
  • Indiva launched Wana 10-pack Blood Orange 20:1, a new flavour for Wana Gummies in Canada, across six provinces and territories.
  • Indiva delivered its first shipment of INDIVA Capsules to British Columbia.
  • Indiva introduced new, high-potency, craft grown cultivars to the Canadian market, including Golden Pineapple by HWY 8 and Sour Glue by Purplefarm Genetics.
  • Indiva received the award for Edible of the Year, for the second consecutive year, from Kind magazine for Wana Sour Gummies.
  • Indiva signed a licensing and manufacturing agreement with Portland-based edibles manufacturer, Grön.
  • Indiva strengthened its board of directors with the addition of Ms. Rachel Goldman. Ms. Goldman has 20 years of experience in institutional sales, financings and corporate transactions during her career while at several Canadian brokerage firms where she developed an extensive list of investor relationships. In February 2020, she was appointed to the role of Chief Executive Officer and Director of Paramount Gold Nevada Corp. (NYSE American: PZG). Ms. Goldman also serves as an independent director of Red Pine Exploration (TSXV: RPX). Ms. Goldman is a Certified Board Candidate (CDI.D) and holds a Bachelor of Commerce, Major in Finance, from Concordia University. She is fluent in French and English, and resides in Montreal, Quebec.


Events Subsequent to Year End

  • Distribution: Indiva expanded its distribution coast-to-coast-to-coast to all 10 provinces and 3 territories, adding a supply agreement with Nunavut in Q1 2022.
  • Grön Pearls: The OCS accepted four Pearl gummie SKUs listings, with initial deliveries expected in July 2022.
  • Wana: Wana Quick Midnight Berry launched in Ontario, BC and Alberta. Sell-in has been robust, and orders continue to grow for this innovative CBN gummie. Indiva also introduced three additional gummie SKUs nationally under the Wana Quick brand, including Lemon Cream and Island Punch, and Wana Passion Fruit.
  • Jewels Cannabis Tarts: Successfully launched two new SKUs, in Strawberry and Raspberry 1:1 flavours in four provinces and territories, including Ontario, with further deliveries expected in Q2 to additional provinces, including Alberta.
  • Dime Industries (“Dime”): Indiva signed an exclusive licensing and manufacturing agreement with Dime. The agreement has a five year term which automatically renews for three additional five year terms. Indiva intends to launch Dime’s proprietary and innovative vape products, including disposable vapes, 510-thread carts and custom batteries beginning in Q3 2022, marking Indiva’s first entrance into the vape category.
  • Awards: Artisan Batch was awarded Best in Grow from Cannabis NB for best Indica flower, namely Sour Glue, produced by Purplefarm Genetics.
  • Licensing: Indiva was granted a Research Licence from Health Canada, which will allow the Company to conduct sensory evaluation trials on site of medicated samples.


Market Share

  • Sell through data from Hifyre Inc. for the fourth quarter of 2021 shows strong sell-through of Indiva edible products. With 40.2% share of sales, Indiva continues to lead in the #1 market share position in the edibles category:
    • Ontario: #1 with 38.6% market share.
    • Alberta: #1 with 41.1% market share.
    • British Columbia: #1 with 47.5% market share.
    • Saskatchewan: #1 with 25.5% market share.
    • Manitoba: #1 with 41.4% market share.
    • Wana™ Sour Gummies led the edibles category, with 31% category share, and 43.1% sub-category share, and Bhang® continued to lead the chocolate category.
    • Product Ranking in Q4 2021 showed the top 6 of the Top 10 edible SKUs are from Indiva, led by Wana Pomegranate Blueberry Acai.
    • Based on Hifyre Inc. data from British Columbia, Alberta, Ontario, Manitoba and Saskatchewan, the edibles category improved in Q4 2021 to a record $52.5 million in retail sales, versus $43.3 million in Q3 2021.
    • OCS data for the quarter ended December 31, 2021 showed that Wana and Bhang were the #1 and #2 edibles brands, respectively, in Ontario.



  • The Company expects that Q1 2022 net revenue will be lower sequentially, but significantly higher year-over-year, due to normal seasonal factors affecting edible sales. However, the second half of the year should show robust sequential and year-over-year growth, due to the introduction of several new products and SKUs including, Pearls gummies, Pips candy-coated chocolates, Dime Industries vapes products, as well as new Indiva branded products, resulting from in-house innovation.
  • Margins are expected to benefit in the second half of 2022 due to the implementation of automation in the production and packaging of edible products. The Company has experienced some delays in receiving equipment, in part due to global covid lockdowns, however this is not expected to affect the Company’s ability to deliver on its commitments for existing or new listings of products.
  • Indiva also expects to continue to introduce additional craft cannabis flower SKUs under the Artisan Batch brand, with special focus on high THC potency, robust terpene content, premium buds and fresh harvest dates.


Operating and Financial Results for the Three and Twelve Months Ended December 31, 2021
Operating Expenses



Government and private entities are still assessing the present and future effects of the COVID-19 pandemic. Indiva has continued to operate with enhanced health and safety protocols in place to protect its employees. The Company continues to assess the customer, supply chain, and staffing implications of COVID-19 and is committed to making continuous adjustments to minimize disruption and impact. Indiva will remain proactive in its response to the pandemic and compliant with any and all provincial and/or federal policy enacted to protect Canadians.



The Company will host a telephone conference call to discuss its results on Tuesday, April 26, 2022 at 8:30 a.m. (EST). Interested participants may join by dialing 416-764-8658 or 1-888-886-7786. The conference ID number is 17137881.

A recording of the conference call will be available for replay following the call. To access the recording please dial 416-764-8691 or 1-877-674-6060. The replay ID is 137881#. The recording will remain available until Thursday, May 26th, 2022.


About Indiva

Indiva sets the standard for quality and innovation in cannabis. As a Canadian licensed producer, Indiva produces and distributes award-winning cannabis products nationally, including Bhang® Chocolate, Wana™ Sour Gummies, Slow Ride Bakery Cookies, Jewels Chewable Tablets, Ruby® Cannabis Sugar, Grön edibles, Dime IndustriesTM vape products, as well as capsules, pre-rolls and premium flower under the INDIVA and Artisan Batch brands. Click here to connect with Indiva on LinkedIn, Instagram, Twitter and Facebook, and here to find more information on the Company and its products.

Investor Contact
Anthony Simone
Phone: 416-881-5154
Email: [email protected]


Disclaimer and Reader Advisory


Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) has in any way passed upon the merits of the contents of this news release and neither of the foregoing entities accepts responsibility for the adequacy or accuracy of this news release or has in any way approved or disapproved of the contents of this news release.

Certain statements contained in this news release constitute forward-looking information. These statements relate to future events or future performance. The use of any of the words “could”, “intend”, “expect”, “believe”, “will”, “projected”, “estimated” and similar expressions and statements relating to matters that are not historical facts are intended to identify forward-looking information and are based on the parties’ current belief or assumptions as to the outcome and timing of such future events. Actual future results may differ materially. In particular, this news release contains forward-looking information relating to, among other things, (i) the Company’s outlook for and expected operating margins and future financial results,  (ii) the projected growth of its business and operations (including existing and new segments thereof), and the future business activities of, and developments related to, the Company within such segments after the date of this news release, (iii) additional jurisdictions within which the Company may establish its operations or business footprint, (iv) the Company’s ability to capture and/or maintain its market share in any jurisdiction, and (v) the Company’s ability to deliver on its commitments for existing or new listings of products. Various assumptions or factors are typically applied in drawing conclusions or making the forecasts or projections set out in forward-looking information. Those assumptions and factors are based on information currently available to the Company, and include, without limitation, assumptions about the Company’s future business objectives, goals, and capabilities, the cannabis market, the regulatory framework applicable to the Company and its operations, and the Company’s financial resources.  Although the Company believes that the assumptions underlying, and the expectations reflected in, forward-looking statements in this news release are reasonable, it can give no assurance that such expectations will prove to have been correct. A number of factors could cause actual events, performance or results to differ materially from what is projected in the forward-looking statements. Specifically, readers are cautioned that forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company, as applicable, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements, including, but not limited to, risks and uncertainties related to: (i) the available funds of the Company and the anticipated use of such funds, (ii) the availability of financing opportunities, (iii) legal and regulatory risks inherent in the cannabis industry, (iv) risks associated with economic conditions, (v) dependence on management, (vi) public opinion and perception of the cannabis industry, (vii) risks related to contracts with third-party service providers, (vii) risks related to the enforceability of contracts, (viii) reliance on the expertise and judgment of senior management of the Company, and ability to retain such senior management, (ix) risks related to proprietary intellectual property and potential infringement by third-parties, (x) risks relating to the management of growth and/or increasing competition in the industry, (xi) risks associated to cannabis products manufactured for human consumption, including potential product recalls, (xii) risks related to the economy generally, and (xiii) risk of litigation.

The forward-looking information contained in this news release is made as of the date hereof and the Company is not obligated to, and does not undertake to, update or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as required by applicable securities laws. Because of the risks, uncertainties and assumptions inherent in forward-looking information, investors should not place undue reliance on forward looking information. The foregoing statements expressly qualify any forward-looking information contained herein.

This news release contains future-oriented financial information and financial outlook information (collectively, “FOFI“) about the Company’s prospective results of operations, which are subject to the same assumptions, risk factors, limitations, and qualifications as set out in the above paragraph. FOFI contained in this news release was approved by management as of the date of this news release and was provided for the purpose of providing further information about the Company’s future business operations. The Company disclaims any intention or obligation to update or revise any FOFI contained in this news release, whether as a result of new information, future events or otherwise, unless required pursuant to applicable law. Readers are cautioned that the FOFI contained in this document should not be used for purposes other than for which it is disclosed herein.

Non-IFRS Measures

This news release makes reference to certain non-IFRS measures. These measures are not recognized measures under IFRS, do not have a standardized meaning prescribed by IFRS, and are therefore unlikely to be comparable to similar measures presented by other companies. Rather, these measures are provided as additional information to complement those IFRS measures by providing further understanding of our results of operations from management’s perspective. Accordingly, these measures should not be considered in isolation nor as a substitute for analysis of our financial information reported under IFRS.

The non-IFRS measure used in this news release includes “Adjusted EBITDA”. The Company calculates Adjusted EBITDA as a sum of net revenue, other income, cost of inventory sold, production salaries and wages, production supplies and expense, general and administrative expense, and sales and marketing expense, as determined by management. Adjusted license fee eliminates 50% of the fee which is equivalent to the Company’s share of the joint venture company to which the license fee is paid. Adjusted EBITDA is provided to assist readers in determining the ability of the Company to generate cash from operations and to cover financial charges. Management believes that Adjusted EBITDA provides useful information to investors as it is an important indicator of an issuer’s ability to generate liquidity through cash flow from operating activities and equity accounted investees. Adjusted EBITDA is also used by investors and analysts for assessing financial performance and for the purpose of valuing an issuer, including calculating financial and leverage ratios. The most directly comparable financial measure that is disclosed in the financial statements of the Company to which the Non-IFRS measure relates is income (loss) from operations.


Subscribe to News