Love Hemp Group slashes losses as revenues soar in first half

Love Hemp Group PLC (LON:LIFE) (OTCQB:WRHLF) has reported a sharp reduction in losses for its first half as revenues soared amid increasing momentum in its cannabis business.

For the six months ended December 31, the Aquis-listed firm reported pre-tax losses of £962,171, narrowed from a £9.8mln loss in the prior year, while revenues surged 557% to just under £2.4mln.

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The company’s chairman Andrew Male said the company had seen the “steady growth of both high street and online sales” in the period through its subsidiary and operational company, Love Hemp Ltd, while the firm itself had been “agile and resilient” in pivoting itself to adapt to the effects of the coronavirus (COVID-19) pandemic.

Heading into 2021, Male said the company has continued to focus on its strategy of building a cannabidiol (CBD) brand in the UK and that increased brand recognition has “already opened doors and will allow the company to look farther afield for new opportunities for profitable growth”.

“When we move into our new facilities in South London in mid-2021, we will have the capacity to manufacture up to 500,000 units of CBD products monthly. Building on the sales and opportunities we have before us is key to continued growth through both retail and digital/e-commerce platforms. As part of this planning, the Company has hired key marketing and operational individuals who have the ability to support our expansion plans”, the chairman said.

“We continue to make additions to our team and build out the infrastructure needed for our expansion aspirations. However, overall, I am incredibly pleased with the effort and dedication from the entire team, who continue to demonstrate their passion and desire to grow this business. Being well positioned for growth is imperative and we continue to review and analyse our needs on an ongoing basis”, he added.

Love Hemp’s shares were trading at around 4.3p in late-afternoon trading on the Aquis exchange on Wednesday.

Story by ProactiveInvestors