Terra Tech Corp (OTCMKTS: TRTC) subsidiary Edible Green has commenced shipments for its 4-inch potted living herbs to Wegman Food Markets. Initial shipments will target the retailer’s outlets in New Jersey awaiting to see if the deal will expand to cover stores in mid-Atlantic and New England. If you own this stock, you need to know this.
The 4-inch potted living herbs are USDA-certified organic that allow consumers to enjoy superior quality mineral-rich produce that is free of contaminates. The subsidiary has already tripled production as it looks to address growing demand for the product from retail outlets. “As a result of the popularity of this product line, we are currently installing more automation table systems in our facility in Belvidere, NJ to increase production of this herb line as well as our SUPERLEAF™ salads,” said CEO Derek Peterson. The shipments should go a long way in bolstering Terra Corp overall earnings given the amount of sales expected to come Wegman outlets.
The sales order from Wegman comes on the heels of a stellar second quarter where Terra Tech Corp posted better than expected financial results. Revenue for the quarter ended June 30, 2016, was up by 93% to highs of $9.7 million, up from $5 million posted last year same quarter. The company has attributed the increase to the acquisition of Blum Dispensary as well as the opening of a new Blum dispensary in Las Vegas. Terra Tech Corp also benefited from Edible Garden sales, which continues to pursue new sales channels for its products.
Better margins from Edible Gardens continues to drive the company’s overall margin which currently stands at 17% from 5% as of the second quarter of 2015. Terra Tech Cop is aggressively looking for new opportunities for growth having opened its first Nevada-based medical cannabis dispensary. It has also bolstered its product line with the launch of two new pre-filled cannabis cartridge lines that are already on sale at Blum locations. While shares have drifted lower in the recent past, the pullback could act as a good buying opportunity given the immense growth opportunity available in the growing cannabis sector.