Terra Tech Corp (OTCMKTS:TRTC) dipped by nearly 20% during the previous trading session after it filed Annual Report for the year 2014. The share price ended $0.047 down at $0.200 while 1.27 million shares changed hands. As per the numbers reported in the Annual Report, the company recorded $846,000 in cash, $6.4 million in current liabilities. Additionally, the company posted $7 million in annual revenues while its annual net loss was as huge as $2 million.
Annual report turns down
The company’s cash balance squeezed significantly in December from $3.47 million reported in September of 2014. The dramatic decline in the cash balance is understood given Terra Tech Corp (OTCMKTS:TRTC)’s massive spend towards development and launch of its IVXX brand. Moreover, the company’s objectives to roll out several new dispensaries propel growing and cultivation farms in Nevada also justifies the fall in its cash position.
It also explains why Terra Tech Corp (OTCMKTS:TRTC) had to reach out to two cash injections during late December and February. The company had disclosed in January that it has signed an equity deal with Magna Equities. This followed the company’s announcement of convertible notes with an aggregate principal of $3 million. The terms of the convertibles carried heavy discounting and appeared more of a toxic funding.
Currently, Terra Tech Corp (OTCMKTS:TRTC) is trying to keep the interest of investors intact through reporting two new developments. Firstly, it has announced the launch of IVXX brand of cannabis products in Los Angeles area, which is indeed a positive progress. Secondly, the company is thrilled about its collaboration with Inergetics Inc. (OTCMKTS:NRTI). It is anticipating that Inergetics’ flagship product, Nulief, will soon be rolled out at dispensaries attached with Terra Tech. While the roll out of Nulief is yet to happen, investors chose to show their displeasure over the company’s Annual Report, which led its stock down.