MassRoots, a popular marijuana-focused social media platform, said in its quarterly financial filings that the company is running low on capital and will need to raise $5 million in the next year “to continue to fund operations.”
The Denver-based business added that it expects to be able to raise most of that sum by exercising warrants.
MassRoots posted a $7.4 million net loss for the quarter that ended March 31, nearly triple the $2.6 million it lost in the same period a year earlier.
Operating expenses totaled $7.6 million, widening from $2.4 million in the first three months of 2016. Revenue, meanwhile, totaled $134,741 in the latest quarter, up from $93,385 a year earlier.
MassRoots – which trades on over-the-counter markets under the symbol MSRT – has seen its stock dip since releasing its quarterly financials.
The company also reported that it invested $100,000 in High Times during the first quarter of the year and completed its acquisition of Colorado-based DDDigital and subsidiary Whaxy. Whaxy makes a software platform that helps cannabis retailers with inventory management, marketing and ordering.