Aurora Cannabis Posts 45% Lower Quarterly Revenue, Citing Pandemic Outbreak

Aurora Cannabis Posts 45% Lower Quarterly Revenue, Citing Pandemic Outbreak

Canadian cannabis giant Aurora Cannabis Inc. ACB ACB posted its earnings for the fourth quarter and full fiscal year ended June 30, 2021, reporting on Monday a total quarterly net revenue of CA$54.83 million ($43.4 million) compared to CA$68.43 million in the same period of 2020.

Q4 Financial Summary

  • Adjusted EBITDA for the period was a loss of CA$19.26 million, which compares to a loss of CA$33.35 million in the corresponding period of the prior year;
  • Quarterly net loss reached CA$133 million, compared to CA$160 million in the prior quarter and to CA$1.8 billion in the fourth quarter of 2020.
  • Medical cannabis net revenue reached CA$35.9 million, up by 8% from the same quarter of last year, while adjusted gross margin before fair value adjustments on it was 68%, versus 64% in the prior year;
  • Consumer cannabis net revenue declined 45% to CA$19.5 million from the prior-year period, while adjusted gross margin before fair value adjustments on cannabis net revenue was 54% in Q4 2021 versus 49% in the prior-year period; This was due primarily to a reduction in orders from provinces in response to slower consumer demand, reflecting the impact of lockdown restrictions related to COVID-19;
  • At the end of the reporting period, on June 30, Aurora had a cash balance of around CA$440.9 million, consisting of CA$421.5 million of cash and CA$19.4 million in restricted cash; It had no secured term debt and access to $1 billion of capital under its shelf prospectus.

Full Year Financial Highlights

  • In the full year ended June 30, 2021, Aurora had a net loss of CA$693.48 million, which compares to a whopping net loss of CA$3.2 billion in the prior fiscal year;
  • Adjusted EBTIDA for the 12-month period was a loss of CA$114.13 million, versus a loss of CA$188.58 million in the same period of last year.  

 "During the quarter, we delivered another strong yet steady performance in domestic medical, the largest federally regulated medical market globally, exceptional year-over-year growth in our high-margin international medical segment, where we remain the #2 Canadian LP by revenue on a trailing twelve-month basis, and quarterly sequential growth in adult recreational which included higher sales of premium cultivar,” Miguel Martin, CEO of Aurora Cannabis stated.

Martin went on to announce a long-term supply partnership with Cantek in Israel that should provide the company “with a steady stream of high-margin revenue that could also evolve into a larger partnership over time.”

In addition, the company reported cash savings of $60 million to $80 million and noted it is expecting to deliver $30 million to $40 million of annualized cash savings within the next year, and the remainder by the end of Q2 fiscal 2023.

More recent news from Aurora:

Aurora Cannabis To Close Down Edmonton-Based Facility, Lays Off 8% Of Its Workforce

Will Aurora Become A Global Medical Marijuana Leader? Analyst Opines Ahead Of Q4 Earnings

Aurora Cannabis And Ethypharm Deliver First Shipment To French Medical Marijuana Patients

Price Action

Aurora’s shares were trading 1.17% higher at $6.46 per share during Tuesday's pre-market session.

Photo: Courtesy of Thought Catalog on Unsplash

Posted In: Aurora EarningsMiguel MartinCannabisEarningsNewsSmall CapMarkets

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