NEW MJ NEWS

Novus Acquisition and Development Corp. Announces Full Year 2021 Results

Novus Acquisition and Development, Corp. (OTC PINK:NDEV), through its wholly-owned subsidiary WCIG Insurance Services, Inc., is a hybrid health insurance carrier and, the nation’s first health carrier offering cannabis in health plans for recreational and medicinal users, announced today its 20210 Annual Report and Management’s Discussion and Analysis.Financial Highlights

Notable Growth Year-EndAccomplishments

No Dilution: No common stock was issued in the last two-three quarters. Third-party vendors receiving stock from treasury are subject to a mandatory leak out of securities.

Twelve Month Gross Revenue Increase: Gross Revenue increased $24,050 or 9.02% to $266,432 for the twelve months ended Dec 31, 2021, as compared to $242,382 for the twelve months ended Dec 31, 2020.

Twelve Month Net Revenue Increase: Net Revenue increased $12,882 or 13.48% to $95,508 for the twelve months ended Dec 31, 2021, as compared to $82,626 for the twelve months ended Dec 31, 2020.

Three Month Gross Revenue Increase: Gross Revenue increased $8,169 or 11.6% to $70,265 for the three months ended Dec 31, 2021, as compared to $62,096 for the three months ended Dec 31, 2020.

Three Month Net Revenue Increase: Net Revenue, increased from $21,047 to $25,115 an increase of 16.19% or $4,068 on Dec 31, 2021, as compared to three months ended Dec 31, 2020.

Six Month Revenue Increase $14,825 or 10.7% to $138,220 for the six months ended Dec 31, 2021, as compared to $123,395the six months ended Dec 31, 2020.

Profit Margin: Demonstrated a 36% profit margin pricing structure in its business model for the three months ended Dec 31, 2021

Shareholder Equity Increase: An increase of $37,916 or 2.51% which is $1,506,699 on Dec 31, 2021, from $1,468,783 Dec 31, 2020

Cash and Cash Equivalents Increase: Moderate increase to $163,574 on Dec 31, 2021, or 4.37%, from $156,422for the same period ended Dec 31, 2020.

 

Management Discussion and Analysis

Strategy and Outlook

Our overall strategy in integrating cannabis into health insurance plans has been successfully accomplished. Now our focus is to continuously drive market share throughout the United States to build sustainable, long-term shareholder value.

To ensure this, we continue to focus on growth opportunities with the advent of new regulatory factors that are currently favoring us. These changes in the regulatory landscape are key factors that Novus is experiencing that will accelerate growth throughout 2022.

Eight paradigm shifts are occurring:

Compassionate Care Act. Many States Supreme Courts have set the following precedence, employers are obligated to accept employees that use legal medicinal cannabis and should not be discriminated against in the workplace. Opening up Group Sales In Employer-Sponsored Health Plans combined with rec users opting into our health plans.
Opioid Settlement Framework: A consortia of State Attorney Generals, settling litigation claims with health carrier distribution networks with compensatory damages, rehabilitation, and opioid diversion programs, for example, utilizing Novus Cannabis MedPlan in their health benefits to augment the diversion programs.
Rising Recreational Cannabis Taxation: Especially in California, taxation is as high as 37%. Once federally legal, there will be an additional 25% tax on rec cannabis, hitting the consumer with a 45% to 50% tax rate or higher. Prompting recreational users in getting their state cannabis cards and joining our health plan to get the medicinal tax rate vs the rec tax which is 50% less.
Ever Changing Complexities of the Workforce: Utilizing cannabis as a wellness program, will prompt HR policies that will be the newest metric that companies use to recruit and maintain quality employees.
Combatting Illicit Weed Market: Many dispensaries are taking matters into their own hands and filing costly lawsuits, alleging violations of anti-racketeering and false advertising of illicit dispensaries. Partnering with health insurance plans to corral med and rec users and direct them away from illegal cannabis sales. In addition, assists state law enforcement budgets with less costly and safe alternatives to combat the $4.5 billion illegal market.
California SB1186 Medicinal Patients’ Right of Access: State bill SB 1186 will help to dramatically expand safe access to medical cannabis throughout the state. Once passed this will dramatically increase Novus provider network from dispensaries to doctor’s offices, urgent care facilities, hospitals, and managed health care.
Inflation, and Possible Recession Benefits Novus: Now, med and rec users assess their cannabis cost’s just as closely as other budgetary essentials. They see the benefits of a wellness program from Novus with savings on an average of 42% at point-of-sale, this will be very practical as future taxation hits above 40 to 50 percent of cannabis purchases.
More Cultivators /Manufacturing Are Becoming Providers: Many cultivators are adopting to sell direct-to-consumer and are using delivery platforms to sell their products regionally, opening up a new segment in our provider network. One of Novus’ providers Budee, has one such platform that covers the entire state of California with four distribution centers and 800 deliveries per day. This gives Novus the ability to consolidate its provider network where policyholders can order and get their product(s) within an hour.
Conclusion

The changes in regulations have positively transformed the scope of our business model dramatically. Where there wasn’t acceptance of Novus Cannabis MedPlan by health carriers a year ago we see total acceptance now. Mainly in seeing opportunities in Employer-Sponsored Health Plans, where employees see cannabis as an essential benefit as they come back to their work environment.

We have a solid first-mover advantage unquestionably have a foremost head start with our developed infrastructure in our provider network that offers the best value for the cannabis consumer. The index of cannabis stocks has had an arduous journey, not only for us but the entire industry, as the majority of publicly-traded stocks and private valuations are down 70-90% over the past year. Despite the challenges, we will continue to grow, due to our receivable-based business model which creates limited overhead, and once the policyholder is procured and makes a premium payment it continuously contributes directly to the company’s profits. Our intent for the remainder of 2022 is we won’t excessively issue stock, and always use our mandatory leak-out provision to third-party vendors so we can continue to strive on behalf of our shareholders.

Research Novus:

Financial Filings:Click Here

Quote:Click Here

Website: Click Here

Investor’s Page: Click Here

About Novus

Novus Acquisition & Development Corp. (NDEV), through its subsidiary WCIG Insurance, Services, Inc. provides health insurance and related insurance solutions within the wellness and medical marijuana industries in states where legal programs exist. Novus has developed its infrastructure within many lines of the insurance business such as health, life, and fixed annuities.

Novus’ medical cannabis benefits package will work as outside developers and will not cultivate, handle, transport grow, extract, dispense, put up for sale, put on the market, vend, deliver, supply, circulate, or trade cannabis or any substances that violate the United States law or the Controlled Substances Act, nor does it intend to do so in the future and will continue to follow state and federal laws. The statements made about specific products have not been evaluated by the United States Food and Drug Administration (FDA) and are not intended to diagnose, treat, cure, or prevent disease. All information provided on these press releases, or any information contained on or in any product label or packaging is for informational purposes only and is not intended as a substitute for advice from your physician or other health care professional. Once a push notification is completed the transaction is solely between the state-licensed dispensary and the registered patient.

The state laws conflict with the federal Controlled Substances Act. The current administration has effectively stated that it is not an efficient use of resources to direct federal law enforcement agencies to prosecute those lawfully abiding by state-designated laws, allowing the use and distribution of medical marijuana. Changes in consolidation may affect the provider network. However, there is no guarantee that the current administration, nor any future administration, will not change this policy and decide to enforce the federal laws strongly. Any such change in the federal government’s enforcement of current federal laws could cause significant financial changes. While we do not intend to harvest, distribute, or sell cannabis or cannabis-related products, we may be harmed by a change in enforcement by federal or state governments.

Forward-Looking Statements

This release includes forward-looking statements, which are based on certain assumptions and reflect management’s current expectations. These forward-looking statements are subject to a number of risks and uncertainties that could cause actual results or events to differ materially from current expectations. Some of these factors include: general global economic conditions; general industry and market conditions and growth rates; uncertainty as to whether our strategies and business plans will yield the expected benefits; increasing competition; availability and cost of capital; the ability to identify and develop and achieve commercial success; the level of expenditures necessary to maintain and improve the quality of services; changes in the economy; changes in laws and regulations, includes codes and standards, intellectual property rights, and tax matters; or other matters not anticipated; our ability to secure and maintain strategic relationships and distribution agreements. Novus disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise. Additionally, this press release that is not statements of historical fact may be considered to be forward-looking statements. Written words, such as “may,” “will,” “expect,” “believe,” “anticipate,” “estimate,” “intends,” “goal,” “objective,” “seek,” “attempt,” or variations of these or similar words, identify forward-looking statements. By their nature, forward-looking statements and forecasts involve risks and uncertainties because they relate to events and depend on circumstances that will occur in the near future.

Investor Contact Information
855-228-7355
Email: info@getnovusnow.com

SOURCE: Novus Acquisition and Development Corporation

View source version on accesswire.com:
https://www.accesswire.com/694067/Novus-Acquisition-and-Development-Corp-Announces-Full-Year-2021-Results


MAPH Enterprises, LLC | (305) 414-0128 | 1501 Venera Ave, Coral Gables, FL 33146 | new@marijuanastocks.com
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