Next Green Wave Surpasses 6 Months of Positive Cash Flow and Profitability

Next Green Wave Holdings Inc. (CSE: NGW) (OTCQX: NXGWF) announces the following financial milestones:

• In the months of July, August and September 2020, the Company operated with positive cash flow, and achieved both positive Adjusted EBITDA* and positive Net Income (the “Milestones”).  It has now achieved these Milestones for seven consecutive months.
• In the months of July, August and September 2020, the Company surpassed US$1.1 Million of revenues in each month, and as a result, achieved approximate revenues of US$3.5 Million in Q3 2020.  The total cash costs incurred to generate Q3 2020 revenue was approximately US$1.9 Million*.
• The CDN$1,500,000 of convertible debentures (the “Debentures”), previously announced on December 13, 2019, have been fully converted into common shares and all outstanding interest payments related to the Debentures have been fully paid.  As a result, the number of common shares issued and outstanding, as of October 7, 2020, is 169,506,783.

Next Green Wave is a fully integrated premium seed to shelf craft cannabis producer offering products through its in-house brand portfolio and wholesale flower for other large cannabis manufacturers. The Company owns and operates a 35,000 sf indoor facility in Coalinga, CA which is home to their nursery, cultivation, distribution, and future extraction business.  NGW has an exclusive seed library consisting of 120 cannabis strains and hybrids including award-winning cultivars and is producing high quality tissue culture plantlets through its proprietary cloning technology with bio-tech leader Precigen.

To capitalize on the growing popularity of the NGW brand due to the success of the indoor flower line, the company has launched several new artesanal grade products that can be found in premium dispensaries in cities across California, including San Diego, LA, Modesto, Sacramento and Oakland. Next Green Wave branded prerolls, dabbable extracts and vape cartridges are all currently available throughout California, while the Company’s line of gum drops is expected to hit the market mid October. Next Green Wave followed the same approach that led to the successful flower launch, first releasing products locally in Coalinga at Have A Heart and quickly expanding through our other retail partners and distributors, including some of Los Angeles most well known and respected locations like DTPG, Dr. Greenthumbs.

“Considering the challenges and obstacles this Company has had to overcome over the last few years we are extremely proud to announce the above accomplishments. Now that we have set baselines for production and revenue over the last two quarters, our objectives are threefold. First, continue to optimize operations and improve production metrics to maximize overall flower output at our production facility. Second, continue to grow revenue by increasing branded product sales volume and increasing downline product sales such as extracts, prerolls, vape cartridges and edibles. Finally, get our extraction facility online this year which will add revenue through tolling and decrease internal production costs for downline products.

The whole team has been working hard to meet our continued growing demand as we are sold out week after week. The rapid expansion into retail is in full bloom across California including Oakland, Los Angeles, San Joaquin Valley and San Diego areas.” – Mike Jennings CEO Next Green Wave.