Cannapany on January 20, 2021 No Comments
Nick Kovacevich sees great things coming for the cannabis industry as 2021 continues to unfold
Cannabis industry insiders and analysts share a mutual opinion about the state of the US cannabis industry. 2021 is expected to see a significant amount of positive growth, propelled partially by individual states advancing their own cannabis laws and partially by more attention being given to the topic on a federal level. A new White House administration, led by newly-elected President Joe Biden, is expected to bring a lot of changes to the cannabis industry this year, and KushCo is ready to tackle a new era of cannabis acceptance. A recent leadership message provided by Chairman and CEO Nick Kovacevich provides insight into what’s in store and also serves as a motivational statement to ignite stronger growth within the company.
The last quarter of fiscal year 2020 was one of the most important times for KushCo, according to Kovacevich. It marked an important point in the company’s ten-year history and saw it return to growth as it continued to execute its strategic plan, leading the way for KushCo to report its first positive adjusted EBITDA (earnings before interest, taxes, depreciation and amortization) in over three years. The company has implemented changes to organize its cost structure while streamlining its inventory and consolidating its warehouses, allowing it to focus more efforts on its core customer base.
At the same time, KushCo began to take a closer look at its credit and collections activity, resulting in tighter controls that have allowed it to become more financially sound and spend more time building on the initiatives it had laid out for the future.
Kovacevich adds, “We realize there is still a lot of work to be done, but we are encouraged with the substantial progress we have made, especially when considering the challenging, but constructive, journey we underwent in fiscal 2020, starting with the illicit market vape crisis and culminating with the ongoing COVID-19 pandemic. Looking ahead, we will continue to focus on aligning deeper with-and cross-selling more to-the large and creditworthy MSOs, LPs, and leading brands, who appear more poised than ever to reap the lion’s share of the benefits from the industry’s next stage of expansion.”
Congratulation!