Cannabis Science Inc (OTCMKTS:CBIS) attempt to make a pullback seems to come to an end as the stock price declined more than 1% to close the trading session at $0.0390. The drop came at a share volume of 3.26 million compared to average share volume of 4.19 million. The stock managed to record three consecutive green sessions before yesterday. On Monday it posted gains of 3.95% to close the session at $0.0395 per share.
Cannabis Science submitted its annual report for FY2014 few days ago. The numbers were far away from impressive to support the recent gains. As per the report, Cannabis Science reported cash of $10,000. The total current assets came at $166, 000 while the total liabilities stood at $3.95 million. The net loss was $16.8 million and annual revenue was $1031.
The company managed to record just few thousand dollars of revenue in FY2014, almost 98% down from FY2013. It indicates that in 2014, Cannabis Science recorded revenue of just $86 per month. Even the net loss jumped by as much as three times compared to the net loss of $5.6 million posted in FY2013. The accumulated deficit stands around $110 million.
The outstanding shares
Cannabis Science Inc (OTCMKTS:CBIS) outstanding shares count surged to over 1 billion from 770 million as of December 31, 2014. Still, the company is issuing shares and in last three months, the company has issued around 150 million shares. Despite the poor performance, millions of shares are awarded as bonuses to insiders.
In 2014, the company submitted three registration forms under which it issued million of shares under Stock compensation plan A, B and C. It submitted another form recording issuance of 50 million shares as Stock Compensation Plan in 2015. The people who were awarded the discounted shares have been liquidating them in the open market as stated by the eight form 4s filed in this year.