Aphria Posts $5.7M In Net Income For Q3, Withdraws Annual Guidance

Cannabis company Aphria Inc. APHA APHA released Tuesday its third-quarter financial results with revenue of $144.4 million, up by 96% from the same quarter of 2019.

The Ontario-based company also posted a net income of $5.7 million, or 2 cents per share, which compares to a net loss of $108.21 million or loss of 43 cents per share in the same period of the prior year.

In the quarter, Aphria reached a positive adjusted EBITDA of $5.7 million, versus an adjusted EBITDA loss of $14.44 million in the corresponding quarter of 2019.

At the end of the third quarter, the company had $515.1 million in cash or cash equivalents, which Aphria plans to use to support its Canadian and international expansion.

During the quarter, the company obtained its European Union Good Manufacturing Practices certification for its subsidiary, ARA – Avanti Rx Analytics, and GMP annex for its Aphria One facility, enabling it to start to supply the European Union market with medical cannabis.

Among other quarterly milestones, the company highlighted its $100 million equity raise, which further boosted its balance sheet.

With the industry being affected by the COVID-19 crisis, Apria decided to withdraw its previously announced guidance for fiscal 2020, with revenue of $575 million to $625 million and adjusted EBITDA of $35 million to $42 million.

Aphria said it will reinstate its financial projections “once the pandemic stabilizes.”

Aphria’s shares were trading 7.14% higher at $3.90 per share on Wednesday morning.

Photo courtesy of Aphria