Aurora Cannabis shares fell 1.7% in retrospective trading Monday after the marijuana company reported a quarter of the revenue slightly better than the Wall Street estimates, and roughly in line with its recent forecasts.
Aurora's report is the first of a series expected from potato powder this week, and it can set the tone for what to expect from the industry in this quarterly result.
Bakhistorien. It has been an adventurous 2019 for
(ACB). The company's shares skyrocketed 43% in January, even after the sales guide for its quarterly fiscal guidance sales of $ 50 billion to $ 55 billion. It was below the forecasts of the two analysts covering the warehouse; They expected $ 60 million and $ 74.8 million. That helped Aurora announce the purchase of medical marijuana producer Whistler Medical Marijuana for $ 175 million in a corporation last month. Nevertheless, Aurora fell 35% in 2018 among concerns about heavy spending with production and acquisition costs, which increased sales growth. Also adds to the concerns: a production shortage that left companies unable to meet the wreck of Canada after the pot was legalized.
The cover: On Monday after the clock, Aurora reported a net turnover of $ 54.2 million, an increase of 363% over the same period in 2018. The sales figure puts revenue in the high end of the series that Aurora forecast last month.
But the company also reported losses of $ 239.6 million against revenue of $ 7.2 million a year ago. The net result is complicated by non-loss losses related to the company's investments in other pottery industry players. On an operational basis, Aurora lost $ 80 million in the quarter.
A carefully watched figure, Aurora's cannabis production, came well ahead of Wall Street's consensus. Aurora produced 7,822 kilos of cannabis in the quarter against an expected 7,000. Production was up 550% from a year ago.
But a wrinkle: Auroras per gram of selling price for cannabis fell 21% from the previous year to $ 6.23, a decrease is largely due to a new tax levy, as well as the "wholesale price structure of the Canadian consumer market."
I A press release that announced revenues, Aurora noted its strong share of the market.
"Based on available data released by Health Canada for the Q2 2019 period, Aurora accounted for about 20% of consumer sales across the country, the company said in its release.
Going forward: Aurora shares stopped The day down 5.5% to $ 7.17, from here Wall Street will be looking for clues that the company can profitably support its growing business, perhaps more than numbers, investors will see expansion costs under control while new products like soft gels and vape clear CBD oil contributes to profit margins
Rival Canadian manufacturers Tilray (TLRY) and Cronos Group (CRON) are expected to report their results on Tuesday Canopy Growth (CGC) reports on Thursday.
Correction: An earlier version of this story misunderstood the amount of cannabis sold in the previous quarter
Write to Alessandra Freitas at email@example.com