CALGARY, Alberta, May 03, 2022 (GLOBE NEWSWIRE) — EarthRenew Inc. (CSE: ERTH; OTCQB: VVIVF) (“EarthRenew” or “the Company”), along with its wholly-owned subsidiary, Replenish Nutrients Ltd. (“Replenish”) has released the 2021 annual financial statements & MD&A for the period ending December 31, 2021. On a consolidated basis, the total annual revenue of EarthRenew was $12.3 million. On a proforma basis the consolidated revenue with the acquisition of Replenish would have been $15.2 million representing an approximate doubling of fertilizer sales from the previous year (on a combined basis). EarthRenew is reporting $7.7 million in revenues for the fourth quarter of 2021, generating a gross margin of $2.2 million or 29% and an overall net loss of $(432,737), while generating positive earning before tax during the fourth quarter in the fertilizer segment of $495,871.
High prices for synthetic fertilizer coupled with record grain prices for canola, barley and wheat combine to create a strong seasonal sales environment for sustainable fertilizers. Said CEO Keith Driver, “The last year has been extraordinary for us. We have put ourselves on the map with the acquisition of sustainable fertilizer innovators, Replenish Nutrients who have proven the Company’s ability to deliver on revenue targets. Now we are looking ahead and forecasting an increase in revenue from fertilizers of approximately $24 million for 2022.”
With the release of annual financial statements and MD&A, the Company has scheduled a sales call with growth guidance for May 19 at 2 pm MST and will provide call details in a separate press release.
Cautionary Note Regarding Forward-Looking Information
This press release contains “forward-looking information” within the meaning of applicable Canadian securities legislation. Forward-looking information includes, but is not limited to, statements with respect to the Offering, such as the expected use of the net proceeds of the First Tranche. Generally, forward-looking information can be identified by the use of forward-looking terminology such as “plans”, “expects” or “does not expect”, “is expected”, “budget”, “scheduled”, “estimates”, “forecasts”, “intends”, “anticipates” or “does not anticipate”, or “believes”, or variations of such words and phrases or statements that certain actions, events or results “may”, “could”, “would”, “might” or “will be taken”, “occur” or “be achieved”. Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company to be materially different from those expressed or implied by such forward-looking information, including but not limited to: general business, economic, competitive, geopolitical and social uncertainties; regulatory risks; and other risks of the energy and fertilizer industries. Although the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking information. The Company does not undertake to update any forward-looking information, except in accordance with applicable securities laws.
This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act”) or any state securities laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.
Neither the Canadian Securities Exchange nor its Market Regulator (as that term is defined in the policies of the Canadian Securities Exchange) accepts responsibility for the adequacy or accuracy of this release.
Keith Driver, CEO