VANCOUVER, British Columbia – TheNewswire – June 16, 2020 — Naturally Splendid Enterprises Ltd. (“Naturally Splendid”) (TSXV:NSP) (OTC:NSPDF) (Frankfurt:50N) announces its audited financial results for the year ended December 31, 2019. All amounts are in Canadian dollars and are prepared in accordance with International Financial Reporting Standards. Naturally Splendid recorded a net loss and comprehensive loss for the year of $7,030,070 during the year ended December 31, 2019, compared to a loss of $1,611,361 during the year ended December 31, 2018. The increase in net loss and comprehensive loss was attributed to increase in operating costs such as facility expansion, new production employees and investor relations programs. The Company’s change year over year is significantly higher from 2018 as there was the sale of POS BPC Manufacturing Corp. which provided for a gain on sale of $5,071,223 in 2018.There was an increase in Gross Profit Margins of $398,676 comparatively, offset by an increase in selling and distribution costs of $1,086,661 and an decrease in administrative expenses of$843,284 which was related to the Company’s adoption of IFRS 16 for operating leases to be capitalized and the reduction in accounting and cannabis permits. In addition, the Company performed annual impairment tests on certain intangible assets and property and equipment which lead to further loss of $2,051,438 in 2019. The Company re-evaluated contingent consideration payable of $965,000. The increases in sales, gross margins and expenses are mainly due to the addition of the contract manufacturing clients in 2019.