(This article has been updated to include details of the cost-cutting measures being undertaken by the company, including a reduction of executive salaries.)
Los Angeles-based MedMen reported revenue of $36.6 million and a net loss of $63.1 million for its fiscal third quarter, ended March 30, 2019.
As part of a broader “profitability initiative” aimed at curbing administrative expenses, MedMen CEO Adam Bierman and President Andrew Modlin have entered into revised employment agreements with annual salaries of $50,000, the company said in a news release.
Bierman had been earning a reported $1.5 million annually.
The retailer reported revenue of $29.9 million and a net loss of $64.6 million in the previous quarter.
Year-over-year, revenue was up 156% – though the company’s recorded loss was significantly higher than the $16.8 million reported for the fiscal third quarter of 2018.
During the current quarter, sales rose sequentially by 22%, with retail operations in California contributing $24.9 million.
Results were also boosted by a 9% reduction in corporate selling as well as general and administrative costs from the second quarter.
The retailer, which is a defendant in three separate lawsuits, trades on the Canadian Securities Exchange under the ticker symbol MMEN.
More details on the fiscal third quarter results can be found here.
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