Charlotte’s Web Holdings Inc. lost $15 million last quarter, a narrower loss than the same period in 2019, as the company trimmed operating expenses and posted gains in both direct-to-consumer sales and B2B sales over the fourth quarter of 2019.
Still, the CBD giant based in Boulder, Colorado, saw wider losses for 2020 overall compared to 2019, losing more than $47 million and posting a 30% pandemic-related decline in B2B sales.
The company reported revenue of $26.9 million for the quarter that ended Dec. 31, up 18% from the same period a year ago.
The company said in its fourth-quarter earnings report Thursday that lowering prices helped boost sales and market share, “offsetting some of the headwinds created by COVID-19.”
“We turned a challenging start to 2020 into a strong finish,” Charlotte’s Web CEO Deanie Elsner said in a statement.
Gross profit for the fourth quarter was $11 million, up from a $2 million loss in the same period in 2019.
The company’s operating expenses for the quarter, meanwhile, were $23.6 million, down from $19.6 million during the same period in 2019.
Also Thursday, Charlotte’s Web announced that it has settled a trademark dispute with Balance CBD. Terms of the settlement were not made public.
Charlotte’s Web trades on the Toronto Stock Exchange as CWEB.
