PharmaCielo Announces Financial Results for the First Quarter Ended March 31, 2022


PharmaCielo Ltd. (“PharmaCielo” or the “Company“) (TSXV: PCLO) (OTCQX: PCLOF), the Canadian parent of Colombia’s premier cultivator and producer of dried flower and medicinal-grade cannabis extracts, PharmaCielo Colombia Holdings S.A.S., today announced financial results for the first quarter ended March 31, 2022.

Management Commentary

Bill Petron, Chairman and CEO of PharmaCielo commented, “I am pleased with our performance in the first quarter, as the team’s efforts over the past several months to build the sales pipeline, generate revenue growth and manage expenses, began to pay off. While quarter to quarter top line performance may fluctuate given the size of the Company, we expect continued momentum with shipments to Germany scheduled to begin later this year, and continued progress in markets like Argentina and Brazil. Our investment in an international salesforce has translated into a growing pipeline that we expect will further accelerate growth, with continued expansion in Spain and Germany, the potential for commercial shipments to Poland, as well as growth in a short list of additional key markets such as Israel.”

Mr. Petron continued, “PharmaCielo is well positioned to continue gaining market share from incumbent exporters from developed nations such as Canada. We have effectively re-positioned the organization towards THC and higher value CBD products such as CBD Full Spectrum Oil, as well as added dried flower to our portfolio, with the Colombian government’s recent approval of its export. PharmaCielo has a deep product shelf, a structural cost advantage, a sophisticated approach to genetics and processing, and the ability to scale efficiently, which give the Company a significant competitive advantage. I look forward to continuing to update shareholders as the year progresses. This will be an exciting year for our company.”

Summary Financials


Q1 2022

Q1 2021


$          1,201

$            675

Adjusted EBITDA (loss)

$      (1,571)

$        (3,299)

Net Income (Loss)

$      (2,912)

$      (6,542)

Net Income (Loss) per

$        (0.02)

$          (0.05)

  • PharmaCielo had cash equivalents of $1.4 million at March 31, 2022, compared to $5.3 million at December 31, 2021. The Company is engaged in ongoing discussions with specific parties and now expects to complete the previously announced debenture financing by the end of Q2 2022.
  • For further detailed information and analysis, please see the financial statements and management’s discussion and analysis for the period ending March 31, 2022, as posted at and
Summary of Recent Developments
  • Strengthening the Company’s sales team to support its go-to-market strategy: PharmaCielo has grown its global business development organization; recruited Technical Business Developers in Europe and appointed a President of Sales, EU. The team has already made significant early progress, with deals in GermanyPoland and Spain, as well as progress in markets such as ArgentinaBrazil and Israel.
  • Streamlining the business to minimize operating costs: In the three months ended March 31, 2022, the Company reduced its Adjusted EBITDA loss from $3.3 million to $1.6 million. Management continues to focus on reducing discretionary expenses to lower the Company’s use of cash and ensure a leaner organization with a lower cost base, while continuing to invest in the sales team, to drive top line growth.
  • Preparing for the transition to dried flower export: In February 2022, the Colombian government passed regulation to enable dried flower export. With PharmaCielo’s upstream and downstream scale and quality, the Company is uniquely positioned to be a solid competitor with psychoactive flower currently being imported into the EU and other markets from Canada and other producing countries. PharmaCielo expects dried flower exports to grow throughout the second half of 2022. The Company has already ramped-up THC flower production and is prepared to shift this product into the dry flower export market.
  • Solidifying the path to EU-GMP certification: The Company is currently working toward EU-GMP certification of all of its products. Management expects the Company to achieve certification in Q4 2022. This will better position PharmaCielo to sign larger, longer term supply agreements with global pharmaceutical and cosmetics customers.
  • Successfully re-focused the Company’s product strategy: With a growing business development organization, and the short-term potential to sell dried flower into several markets globally, management has re-focused PharmaCielo’s product strategy to emphasize THC and broad-spectrum products, which are expected to have more sustainable long-term margin profiles than CBD isolate. The Company’s recent shipment of 300kg of CBD Full Spectrum Oil to a Spanish pharmaceutical company and its agreement to supply THC final products to be commercialized in Germany, are two examples of the success of this strategy.