Calyx has big plans for 2019
Here’s where the popular California cannabis distribution company is headed in the new year.
Nutritional High’s wholly owned distribution company, Calyx, has been making major advancements in California the last few months. Currently, Calyx distributes its partner products (and Nutritional High’s in-house brand, FLÏ) throughout the state of California and is innovating in terms of cannabis industry distribution and logistics. As Calyx says on their website, the company is “a network that connects like-minded cannabis entrepreneurs: growers, retailers, marketers, manufacturers, data geeks, extractors, soil scientists, lawyers, investors, and more.”
One of Calyx’s specialties is in navigating the complexities of industry regulations. With their devotion to helping dispensary owners conduct operations that are 100% compliant, Calyx is positioning itself as the go-to source for brands who want a more effective, streamlined, compliant, and cost-efficient distribution company.
It all began in 2015, when Calyx started under the name the “Cannabis Rep Network (CRN).” More recently, it has entered into an agreement with Nutritional High.
So, what’s next for Calyx in 2019?
Calyx Continues to Flourish Under the Leadership of Nutritional High
Nutritional High is paving the way for Calyx through their expertise, industry connections, and ability to invest capital. This partnership has brought impressive results. During the six and a half months that the duo have been collaborating (beginning on March 15th, 2018 through September 30th, 2018), Calyx reported $7.4 million in top line revenue. This is a major increase from their past operations, and add a boost to Nutritional High’s fiscal numbers as well.
The future looks bright for the cannabis distribution company. Currently, Calyx is in the process of making serious investments to broaden their distribution infrastructure, which will amplify both its capabilities and reach throughout California.
“As compared to previously disclosed revenue metrics from some of our competitors, these sales metrics place Calyx among the largest distributors in the California cannabis market,” said Calyx’s CEO, Dakota Sullivan. “We are very encouraged by the sales growth Calyx has been able to drive since being acquired by Nutritional High and we look forward to building on this momentum. The California market presents a massive opportunity for us and we will continue to execute on our strategy of providing innovative value-added products and superior service across the state to drive further market share.”
Needless to say, Jim Frazier (CEO of Nutritional High), is equally as happy about the partnership. “We are proud of the growth of Calyx over this short time. The Calyx team has done a tremendous job of increasing market share in a rapidly changing California market. While others are losing ground and struggling to gain traction, Calyx has grown exponentially,” Frazier said.
Calyx Management Rolls Out Range of FLÏ Products to California Market
With production of the FLÏ NorCal facility underway, Nutritional High and Calyx can further enhance their distribution strategies by rolling out a plethora of new products.
“As we now commence production in the FLÏ NorCal facility, we look forward to leveraging the strong distribution channels built by Calyx to roll out new products in underserved market segments,” said Frazier. “Our recently announced addition of FLÏ Mini-Mints, FLÏ High Terpene Vape Cartridges and Oil Syringes, and FLÏ Select (high THC) Vape Cartridges and Oil Syringes are all examples of products being positioned for underserved market niches identified by Calyx management.”
Calyx Brands Will Strive for the Utmost Quality
The co-founder and CEO of California’s Calyx Brands, Dakota Sullivan, inaugurated the cannabis distribution business back in 2016. It has already come a long way, with the third-party distributor currently dealing with dozens of different brands of assorted cannabis-infused goods and flower from various farms. Those products are distributed to almost 400 statewide stores, where a team of dispensary sales representatives seal the deal with the customer.
Third-party distributors like Calyx are relied on in cannabis-friendly states like California, where cannabis products and brands must adhere to local regulations, including requirements related to packaging and testing. They plan to continue their focus on building exemplary products and expanding their distribution network to ensure the products can efficiently travel to retailers and dispensaries, and ultimately to the consumer.
In addition to ensuring that all of Calyx’s cannabis products are sold in accordance with state laws, they must only be sold inside regulated and licensed stores. With the number of licensed cannabis dispensaries throughout California soaring from 96 in 2017 to 427 today, the Calyx and Nutritional High strategic partnership is sure to continue to flourish over time.