Company Quick10K Filing
Greenlane Holdings
Price3.48 EPS-2
Shares10 P/E-1
MCap35 P/FCF-1
Net Debt-44 EBIT-12
TEV-9 TEV/EBIT1
TTM 2019-09-30, in MM, except price, ratios
10-Q 2020-06-30 Filed 2020-08-11
10-Q 2020-03-31 Filed 2020-06-09
10-K 2019-12-31 Filed 2020-04-24
10-Q 2019-09-30 Filed 2019-11-12
10-Q 2019-06-30 Filed 2019-08-13
10-Q 2019-03-31 Filed 2019-05-09
S-1 2019-03-20 Public Filing
8-K 2020-08-07 Earnings, Exhibits
8-K 2020-07-24 Earnings, Officers, Regulation FD, Exhibits
8-K 2020-06-29 Sale of Shares
8-K 2020-06-04
8-K 2020-06-04
8-K 2020-05-12
8-K 2020-04-30
8-K 2020-03-30
8-K 2020-03-30
8-K 2020-02-20
8-K 2019-11-08
8-K 2019-09-23
8-K 2019-08-12
8-K 2019-05-09
8-K 2019-05-09
8-K 2019-04-23

GNLN 10Q Quarterly Report

Part I. Financial Information
Item 1. Financial Statements (Unaudited)
Note 1. Business Operations and Organization
Note 2. Summary of Significant Accounting Policies
Note 3. Fair Value of Financial Instruments
Note 4. Leases
Note 5. Long Term Debt
Note 6. Commitments and Contingencies
Note 7. Supplemental Financial Statement Information
Note 8. Stockholders' Equity
Note 9. Compensation Plans
Note 10. Income Taxes
Note 11. Segment Reporting
Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations
Item 3. Quantitative and Qualitative Disclosures About Market Risk
Item 4. Controls and Procedures
Part II. Other Information
Item 1. Legal Proceedings
Item 1A. Risk Factors
Item 2. Unregistered Sales of Equity Securities and Use of Proceeds
Item 6. Exhibits
EX-31.1 q22020-0630xexx311.htm
EX-31.2 q22020-0630exx312.htm
EX-32.1 q22020-0630exx321.htm

Greenlane Holdings Earnings 2020-06-30

Balance SheetIncome StatementCash Flow
185142995613-302018201820192020
Assets, Equity
55412713-1-152018201820192020
Rev, G Profit, Net Income
806142234-152018201820192020
Ops, Inv, Fin

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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q
(Mark One)
   QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended June 30, 2020
OR
 TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from          to         
001-38875
(Commission file number)
Greenlane Holdings, Inc.
(Exact name of registrant as specified in its charter)
Delaware83-0806637
State or other jurisdiction of
incorporation or organization
(I.R.S. Employer
Identification No.)

1095 Broken Sound Parkway,Suite 300
Boca Raton, FL33487
(Address of principal executive offices)(Zip Code)
(877) 292-7660
Registrant’s telephone number, including area code
Securities registered pursuant to Section 12(b) of the Act:
Title of each classTrading Symbol(s)Name of each exchange on which registered
Class A Common Stock, $0.01 par value per shareGNLNNasdaq Global Market
Indicate by check mark whether the registrant (1) has filed all reports to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes     No 
Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such shorter period that the Registrant was required to submit such files). Yes   No 
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.
Large accelerated filer
£
Accelerated filer
£
Non-accelerated filer
Smaller reporting company
Emerging growth company
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes     No  ☒
As of August 4, 2020, Greenlane Holdings, Inc. had 12,752,785 shares of Class A common stock outstanding, 3,590,909 shares of Class B common stock outstanding and 77,341,218 shares of Class C common stock outstanding.




TABLE OF CONTENTS




PART I. FINANCIAL INFORMATION
ITEM 1. FINANCIAL STATEMENTS (UNAUDITED)

GREENLANE HOLDINGS, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands, except par value per share amounts)

June 30,
2020
December 31,
2019
Assets(Unaudited)
Current assets
Cash$41,831  $47,773  
Accounts receivable, net of allowance of $1,123 and $936 at June 30, 2020 and December 31, 2019, respectively
6,402  8,091  
Inventories, net38,727  43,060  
Vendor deposits11,186  11,120  
Other current assets2,430  4,924  
Total current assets100,576  114,968  
Property and equipment, net13,765  13,165  
Intangible assets, net5,801  6,301  
Goodwill2,974  11,982  
Operating lease right-of-use assets3,714  4,695  
Other assets2,065  2,091  
Total assets$128,895  $153,202  
Liabilities and stockholders' equity
Current liabilities
Accounts payable$11,554  $11,310  
Accrued expenses and other current liabilities7,236  10,600  
Customer deposits3,044  3,152  
Current portion of operating leases792  1,084  
Current portion of finance leases110  116  
Total current liabilities22,736  26,262  
Notes payable, less current portion and debt issuance costs, net7,926  8,018  
Operating leases, less current portion3,206  3,844  
Finance leases, less current portion126  194  
Other liabilities1,064  620  
Total long-term liabilities12,322  12,676  
Total liabilities35,058  38,938  
Commitments and contingencies (Note 6)
Stockholders’ Equity
Preferred stock, $0.0001 par value, 10,000 shares authorized, none issued and outstanding
    
Class A common stock, $0.01 par value per share, 125,000 shares authorized; 12,603 shares issued and outstanding as of June 30, 2020; 9,999 shares issued and 9,812 shares outstanding as of December 31, 2019
126  98  
Class B common stock, $0.0001 par value per share, 10,000 shares authorized; 3,724 and 5,975 shares issued and outstanding as of June 30, 2020 and December 31, 2019, respectively
1  1  
Class C Common stock, $0.0001 par value per share, 100,000 shares authorized; 77,791 shares issued and outstanding as of June 30, 2020 and December 31, 2019, respectively
8  8  
Additional paid-in capital38,501  32,108  
Accumulated deficit(16,239) (9,727) 
Accumulated other comprehensive loss(240) (72) 
Total stockholders’ equity attributable to Greenlane Holdings, Inc.
22,157  22,416  
Non-controlling interest71,680  91,848  
Total stockholders’ equity93,837  114,264  
Total liabilities and stockholders’ equity$128,895  $153,202  

The accompanying notes are an integral part of these unaudited condensed consolidated financial statements.
1



GREENLANE HOLDINGS, INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS
(Unaudited)
(in thousands, except per share amounts)

Three Months Ended
June 30,
Six Months Ended
June 30,
2020201920202019
Net sales$32,400  $52,986  $66,268  $102,884  
Cost of sales25,583  43,835  52,122  84,746  
Gross profit6,817  9,151  14,146  18,138  
Operating expenses:
Salaries, benefits and payroll taxes6,121  7,029  12,735  15,111  
General and administrative6,426  5,413  15,085  10,797  
Goodwill impairment charge    8,996    
Depreciation and amortization650  645  1,360  1,330  
Total operating expenses13,197  13,087  38,176  27,238  
Loss from operations(6,380) (3,936) (24,030) (9,100) 
Other income (expense), net:
Change in fair value of convertible notes      (12,063) 
Interest expense(110) (140) (220) (742) 
Other income, net186  748  1,126  924  
Total other income (expense), net76  608  906  (11,881) 
Loss before income taxes(6,304) (3,328) (23,124) (20,981) 
Provision for (benefit from) income taxes8  (108) (73) (97) 
Net loss(6,312) (3,220) (23,051) (20,884) 
Less: Net loss attributable to non-controlling interest
(4,261) (1,453) (16,539) (1,453) 
Net loss attributable to Greenlane Holdings, Inc.
$(2,051) $(1,767) $(6,512) $(19,431) 
Net loss attributable to Class A common stock per share - basic and diluted (Note 8)
$(0.18) $(0.03) $(0.60) $(0.03) 
Weighted-average shares of Class A common stock outstanding - basic and diluted (Note 8)
11,380  9,998  10,921  9,998  
Other comprehensive (loss) income:
Foreign currency translation adjustments471  23  (156) 51  
Unrealized loss on derivative instrument(66)   (559)   
Comprehensive loss
(5,907) (3,197) (23,766) (20,833) 
Less: Comprehensive loss attributable to non-controlling interest
(3,955) (1,429) (17,086) (1,429) 
Comprehensive loss attributable to Greenlane Holdings, Inc.
$(1,952) $(1,768) $(6,680) $(19,404) 

The accompanying notes are an integral part of these unaudited condensed consolidated financial statements.
2



GREENLANE HOLDINGS, INC.
CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY
(Unaudited)
(in thousands)

Class A
Common Stock
Class B
Common Stock
Class C
Common Stock
Additional
Paid-in
Capital
Accumulated
Deficit
Accumulated
Other
Comprehensive
Loss
Non-
Controlling
Interest
Total
Stockholders’
Equity
SharesAmountSharesAmountSharesAmount
Balance, December 31, 20199,812  $98  5,975  $1  77,791  $8  $32,108  $(9,727) $(72) $91,848  $114,264  
Net loss—  —  —  —  —  —  —  (4,461) —  (12,278) (16,739) 
Equity-based compensation—  —  —  —  —  —  64  —  —  206  270  
Issuance of Class A common stock for the acquisition of Conscious Wholesale480  5  —  —  —  —  1,496  —  —  —  1,501  
Cancellation of Class B common stock due to equity-based compensation award forfeitures—  —  (105) —  —  —  223  —  —  (223)   
Joint venture consolidation—  —  —  —  —  —  —  —  —  189  189  
Other comprehensive loss—  —  —  —  —  —  —  —  (267) (853) (1,120) 
Balance, March 31, 202010,292  103  5,870  1  77,791  8  33,891  (14,188) (339) 78,889  98,365  
Net loss—  —  —  —  —  —  —  (2,051) —  (4,261) (6,312) 
Equity-based compensation—  —  —  —  —  —  220  —  —  672  892  
Issuance of Class A common stock for the acquisition of Conscious Wholesale171  2  —  —  —  —  485  —  —  —  487  
Cancellation of Class B common stock due to equity-based compensation award forfeitures—  —  (6) —  —  —  9  —  —  (9)   
Exchanges of non-controlling interest for Class A common stock2,140  21  (2,140) —  —  —  3,896  —  —  (3,917)   
Other comprehensive income—  —  —  —  —  —  —  —  99  306  405  
Balance, June 30, 202012,603  $126  3,724  $1  77,791  $8  $38,501  $(16,239) $(240) $71,680  $93,837  

The accompanying notes are an integral part of these unaudited condensed consolidated financial statements.
3




GREENLANE HOLDINGS, INC.
CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY
(Unaudited)
(in thousands)

Redeemable
Class B
Units
Members’
Deficit
Class A
Common Stock
Class B
Common Stock
Class C
Common Stock
Additional
Paid-in
Capital
Accumulated
Deficit
Accumulated
Other
Comprehensive
Loss
Non-
Controlling
Interest
Total
Stockholders’
Equity
SharesAmountSharesAmountSharesAmount
Balance, December 31, 2018$10,033  $(10,773)   $    $    $  $  $  $(286) $  $(11,059) 
Activity prior to the initial public offering and related organizational transactions (Note 1):
Issuance of redeemable Class B units, net of issuance costs6,514  —  —  —  —  —  —  —  —  —  —  —  —  
Redemption of Class A and Class B units(416) (2,602) —  —  —  —  —  —  —  —  —  —  (2,602) 
Equity-based compensation2,304  191  —  —  —  —  —  —  —  —  —  —  191  
Net loss(3,045) (14,619) —  —  —  —  —  —  —  —  —  —  (14,619) 
Member distributions—  (21) —  —  —  —  —  —  —  —  —  —  (21) 
Other comprehensive income—  —  —  —  —  —  —  —  —  —  28  —  28  
Balance, March 31, 201915,390  (27,824)                 (258)   (28,082) 
Net loss(246) (1,179) —  —  —  —  —  —  —  —  —  —  (1,179) 
Equity-based compensation113  137  —  —  —  —  —  —  —  —  —  —  137  
Member distributions(76) (801) —  —  —  —  —  —  —  —  —  —  (801) 
Other comprehensive income—  —  —  —  —  —  —  —  —  —  (8) —  (8) 
Effects of the initial public offering and related organizational transactions (Note 1):
Effects of the organizational transactions(15,181) 29,667  —  —  —  —  —  —  (114,094) —  203  99,404  15,180  
Issuance of Class A common stock in the IPO, net of underwriting discount—  —  5,250  53  —  —  —  —  82,950  —  —  —  83,003  
Issuance of Class A common stock to convertible notes holders—  —  3,548  35  —  —  —  —  60,277  —  —  —  60,312  
Issuance of Class A common to stock selling stockholders—  —  750  8  (106) —  (1,935) —  (7) —  —  —  1  
Issuance of Class A common stock to underwriter upon exercise of overallotment option—  —  450  4  (63) —  (1,161) —  (4) —  —  —