‘We’re financially secure,’ insists Cann Group boss

Cann Group Chief Executive Officer, Peter Koetsier, chatted to Steve Jones from Cannabiz.com.au this week about the Company and its current financial position.

Read some of the outtakes from the conversation below.

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“Fundamentally, when you have scale, you have an ability to have conversations with new and existing customers that you couldn’t have when you didn’t have scale and certainty of supply,” Koetsier said.

“There are multiple companies we haven’t sold to before who I’ve been in contact with over the last couple of weeks. This combination of quality and quantity honestly changes the game for us in terms of our ability to bring in revenue.

“Last financial year we produced three tonnes. Our last Mildura harvest in July had an annualized equivalent of eight tonnes. You don’t have to be very clever at maths to work out that we’ve got a lot more product to sell, and that dramatically changes our revenue position.

“Revenue growth is clearly a big part of the story. We’re not making more product for nothing.

“I know I need to prove what I think this business is about to do. I need to show it and when that happens, this conversation about Cann’s future will turn into a conversation about how big can we be. Honestly, we’re right at that point.”

“What we have raised gives us enough and buys us time to really start putting scores on the board,” Koetsier said. “The rest of the funds will allow us to go a little faster and the faster we can build revenue, the faster we can get to where we need to be from a profitability standpoint.”

“The industry is mired in stories where promises have been made over many years so it’s difficult to stand out with another story of how the future looks bright,” Koetsier admitted.

“But as we report each quarter of sales, I think people will start to see, wow, okay, the emergence of this company is real and it’s about to happen.

“Some of these guys also need to be updated about the industry. People look at Canada and the US and think that is the cannabis industry. Australia is in a very different situation and that is part of the story we need to tell.”

Asked if he felt under pressure personally, Koetsier said: “Look, I always feel under pressure to make sure we honour our commitment to shareholders to do what we said we would do. And that is to build a 12.5 ton facility and make it work. Of course I feel that pressure every day.”