Cannabis Science Inc (OTCMKTS:CBIS) Files Quarterly Report

Despite a new wave of email alerts coming in on Sunday and early in the morning yesterday the stock of Cannabis Science Inc (OTCMKTS:CBIS) failed to move in the right direction. The stock did enjoy increased interest from the market and the daily volume rose to more than 21 million shares but by the time of the closing the bell CBIS were down by 4.5% at $0.0191. The company is sitting precariously close to its current 52-week low of $0.0127.

While the pumpers weren’t successful in pushing the ticker up maybe the new financial report that was filed yesterday will manage to do it. Unfortunately opening the report reveals a rather depressing picture – as of September 30 CBIS had:

• $4791 cash
• $138 thousand total current assets
• $5.1 million total current liabilities
• $4150 revenue
• $3.9 million net loss

It may be true that the quarter was the first one for 2015 during which CBIS actually recorded some revenues but the fact remains that the generated sum is just a little over $4000. At the same time the net loss for the period sits just below $4 million. For the first nine months of the year the company has incurred net loss of more than $14 million.

The dismal financials are far from the only problem around CBIS though. Investors are still waiting for more information about the dividends they are supposed to be getting. The company was going to announce the actual process for its shareholders to get their dividends on October 30 but that didn’t happen. Keep in mind that one of the dividends was first announced and approved nearly 5 years ago.

In its latest PR the CEO of the company Mr. Dabney mentioned that the California product expansion is well underway. Well, this is something the company has been talking about for quite a while. In fact as early as January you can find PRs about the release of “eight initial products to be produced, distributed and marketed across the Netherlands, Spain and California”.

Meanwhile the outstanding shares of the company are being further diluted and as of November 20 the O/S stood at more than 1.4 BILLION. In almost all of our previous articles we have been warning you that despite the abysmal results from the company’s operations its directors and officers have been receiving millions upon millions of shares through the various stock compensation and award plans.

Dealing with CBIS demands the use of caution. Approach the stock only after doing extensive research and thorough due diligence.