Some of the marijuana stocks including Terra Tech Corp (OTCMKTS:TRTC) have missed the “420” hype this year. The impact was evident on the stock prices as they closed deep in red. In last trading session, the stock price of Terra Tech declined more than 95 to close the trading session at $0.170. The decline came at a share volume of 2.74 million compared to average volume of 1.27 million.
On April 13, 2015, Terra Tech reported that its IVXX brand of products will now be available in a new dispensary in California. Despite the positive news, the stock prices failed to post strong gains. It appears as the market is no more excited with the news coming from Terra Tech and other marijuana firms.
Terra Tech released its annual report on March 27, 2015 and that too had nothing to prompt excitement among investors. As per the latest report, the company had $846,000 in cash and $6.4 million in current liabilities. The annual net loss came at $22 million while annual revenue stood at $7 million.
The silver lining
The encouraging part in the annual report was the company successfully achieved its forecast of $7 million in annual revenue. It is commendable and reflects that the operations are moving as planned. However, the revenue was generated from Edible Gardens and not from marijuana sales. The revenue of $7 million resulted in merely $152,000 in gross profits, and that was eroded by massive $18 million of Selling, general & Administrative expenses.
The first of Terra Tech’s marijuana locations in Nevada is expected to commence its operations in the summer of 2015. The dispensaries are expected to start first, followed by cultivation facilities by 4Q of this year. The market and traders are eager to see the performance of IVXX brands in terms of revenues.