Aurora Cannabis To Report Late As Analyst Notes 'Structural' Hurdles
Aurora Cannabis Inc (NYSE:ACB) expects to deliver its Q3 earnings reports after today's close.
The report comes as fellow Canadian cannabis giants Cronos Group Inc (NASDAQ:CRON) and Aphria recently missed their expected quarterly projections.
Underperforming Figures Expected
Aurora expects to be the latest Canadian cannabis company to report a loss for the quarter.
Zacks Equity Research anticipates Aurora's bottom line losing 17 cents per share, suggesting a .1% revenue reduction from the same period the previous year.
Zacks lists several factors of consideration for Aurora, including:
- Essential service status in Canada and Europe likely benefited Q3 performance
- Low cost per unit production may have helped the company by creating a brand that spans multiple price tiers
- Q3 should produce favorable results in the company's domestic and international medical markets, as the momentum gained during the period and company investments continued.
The analyst firm also highlighted Aurora's supply agreements to offer various products to consumers in Canada and elsewhere. In January, Aurora struck deals with Great North Distributors and MedReleaf Australia.
However, the pandemic will likely continue to be a factor in business, with provinces instituting stricter COVID-19 regulations in the past month.
Alberta, home to Aurora HQ, introduced tighter restrictions in early May, targeting workplaces, restaurants and other public gathering areas. Regulations expect to run through the month-end holiday.
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