Quarterly report pursuant to Section 13 or 15(d)

ACQUISITIONS (Tables)

v3.21.2
ACQUISITIONS (Tables)
9 Months Ended
Sep. 30, 2021
Business Combination and Asset Acquisition [Abstract]  
Schedule of purchase price
The table below represents the allocation of the purchase price to the acquired net assets during the nine months ended September 30, 2021.

  Agron Aquarius Aqua Serene 55 Hydro Charcoir San Diego Hydro Mendocino Hoagtech
Inventory $ —  $ 957  $ 1,696  $ 780  $ 839  $ 1,400  753  751 
Prepaids and other current assets 29  12  29  534  36  37 
Furniture and equipment 46  63  500  50  —  315  160  144 
Liabilities —  —  —  —  —  —  —  — 
Operating lease right to use asset 98  108  1,177  861  —  1,079  408  1,569 
Operating lease liability (98) (108) (1,177) (861) —  (1,079) (408) (1,569)
Customer relationships 832  339  1,235  809  5,712  605  575  493 
Trade name 1,530  485  1,231  870  1,099  1,192  449  428 
Non-compete 139  —  11  26  — 
Intellectual property —  —  —  —  2,065  —  —  — 
Goodwill 8,673  1,702  6,976  3,915  6,119  5,728  2,056  2,076 
Total $ 11,249  $ 3,558  $ 11,651  $ 6,479  $ 16,368  $ 9,282  $ 4,000  $ 3,932 
 
CGS Grow Warehouse Grow Depot Maine Indoor Garden Down River Hydro Harvest Total
Inventory 875  $ 2,450  $ 326  $ 372  $ 824  $ 1,204  $ 13,227 
Prepaids and other current assets 30  —  724 
Furniture and equipment 100  250  25  94  50 100  1,897 
Liabilities —  (169) —  —  —  —  (169)
Operating lease right to use asset 746  641  92  137  273  3,782  10,971 
Operating lease liability (746) (641) (92) (137) (273) (3,782) (10,971)
Customer relationships 1,382  1,256  549  210  634  1,016  15,647 
Trade name 852  2,748  344  353  698  1,392  13,671 
Non-compete 11  94  36  16  —  350 
Intellectual property —  —  —  —  —  —  2,065 
Goodwill 4,027  11,120  866  661  2,126  4,606  60,651 
Total $ 7,248  $ 17,779  $ 2,149  $ 1,692  $ 4,351  $ 8,325  $ 108,063 
The table below represents the consideration paid for the net assets acquired in business combinations.
 
  Agron Aquarius Aqua Serene 55 Hydro Charcoir San Diego Hydro Mendocino Hoagtech
Cash $ 5,973  $ 2,331  $ 9,860  $ 5,347  $ 9,902  $ 4,751  $ 4,000  $ 3,932 
Common stock 5,276  1,227  1,791  1,132  6,466  4,531  —  — 
Total $ 11,249  $ 3,558  $ 11,651  $ 6,479  $ 16,368  $ 9,282  $ 4,000  $ 3,932 
  

  CGS Grow Warehouse Grow
Depot Maine
Indoor Garden Down River Hydro Harvest Total
Cash 5,976  $ 8,100  $ 1,738  $ 1,165  $ 3,177  $ 5,561  $ 71,813 
Common stock 1,272  9,679  411  527  1,174  2,764  36,250 
Total $ 7,248  $ 17,779  $ 2,149  $ 1,692  $ 4,351  $ 8,325  $ 108,063 
The table below represents the allocation of the purchase price to the acquired net assets during the nine months ended September 30, 2020.
 
  Emerald City Garden H2O Hydroponics LLC Health & Harvest LLC Total
Inventory $ 150  $ 498  $ 1,054  $ 1,702 
Prepaids and other current assets —  — 
Furniture and equipment 10  50  51  111 
Right to use asset 140  906  324  1,370 
Lease liability (140) (906) (324) (1,370)
Customer relationships 212  150  255  617 
Trade name —  234  357  591 
Non-compete 14  43  63 
Goodwill 614  1,008  1,130  2,752 
Total $ 1,000  $ 1,987  $ 2,853  $ 5,840 
The table below represents the consideration paid for the net assets acquired in business combinations.
 
  Emerald City Garden H2O Hydroponics LLC Health & Harvest LLC Total
Cash $ 1,000  $ 1,282  $ 1,750  $ 4,032 
Common stock —  705  1,103  1,808 
Total $ 1,000  $ 1,987  $ 2,853  $ 5,840 
Schedule of revenue and earnings included in consolidated income statement
The following table discloses the date of the acquisitions noted above and the revenue and earnings included in the consolidated income statement for the period ended September 30, 2021.

 
  Agron Aquarius Aqua Serene 55 Hydro Charcoir San Diego Hydro Mendocino Hoagtech
Acquisition date
3/19/2021 3/15/2021 7/19/21 3/15/2021 3/12/2021 2/22/2021 7/19/21 8/23/21
Revenue $ 10,587  $ 5,555  $ 1,590  $ 4,482  $ 4,048  $ 5,525  $ 1,085  $ 483 
Net Income $ 149  $ 1,145  $ 331  $ 393  $ 723  $ 839  $ 158  $ 36 
 
  CGS Grow Warehouse Grow Depot Maine Indoor Garden Down River Hydro Harvest Total
Acquisition date
8/24/21 2/15/2021 2/1/2021 1/25/2021 4/19/2021 5/24/21
Revenue $ 447  $ 10,153  $ 4,660  $ 4,508  $ 2,460  $ 4,444  $ 60,027 
Net Income $ (1) $ 1,812  $ 907  $ 520  $ 277  $ 756  $ 8,045 
The following table discloses the date of the acquisitions noted above and the revenue and earnings included in the consolidated income statement from the date of acquisition to the nine months ended September 30, 2020.
 
  Emerald City Gardens H2O Hydroponics LLC Health & Harvest LLC Total
Acquisition date 8/10/20 6/26/20 2/26/2020
Revenue $ 472  $ 2,769  $ 5,887  $ 9,128 
Earnings $ 74  $ 504  $ 831  $ 1,409 
Schedule of proforma consolidated income statement
The following represents the pro forma consolidated income statement as if the acquisitions had been included in the consolidated results of the Company for the entire period for the three and nine months ended September 30, 2021 and 2020.
 
Three Months Ended Nine Months Ended
  September 30, 2021
(Unaudited)
September 30, 2021
(Unaudited)
Revenue $ 146,030  $ 361,937 
Net income $ 5,299  $ 23,276 


Three Months Ended Nine Months Ended
  September 30, 2020
(Unaudited)
September 30, 2020
(Unaudited)
Revenue $ 121,809  $ 222,193 
Net income $ 6,412  $ 15,681 
The following represents the pro forma consolidated income statement as if the acquisitions had been included in the consolidated results of the Company for the entire period for the nine months ended September 30, 2019.
 
Pro forma consolidated income statement:
 
Three Months Ended Nine Months Ended
  September 30, 2019
(Unaudited)
September 30, 2019
(Unaudited)
Revenue $ 24,651  $ 61,176 
Earnings $ 1,220  $ 2,603