CannaVest Corporation this week reported financial results for the third quarter 2014. During the third quarter, CannaVest terminated its non-exclusive license and distribution agreement with HempMeds PX, LLC, which had granted HempMeds a non-exclusive, worldwide license to promote, market, sell distribute and service CannaVest's products and an exclusive right to online sales.
"The HempMeds Agreement termination resulted in a significant revenue loss for the Company but provided an opportunity for CannaVest to better control its sales channels, brand awareness and future profitability without having to rely on a single customer relationship," the company reported. "The termination also allowed CannaVest to pursue revenue from online sales."
"Our worldwide commitment to expanding the science, awareness and benefit of our PlusCBD™ brand of cannabidiol oil and products is gaining traction," said CannaVest CEO Michael Mona Jr. . "The termination of the HempMeds Agreement required that we immediately expand our sales and marketing capability to better control the growth trajectory of CannaVest.
"We have expanded our sales force, commenced e-commerce operations and have made strategic marketing investments," Mona said. "Since the termination, we have made great progress.