Aurora Cannabis releases financial update

Aurora Cannabis releases financial update

The global cannabis company details its results for the fourth quarter and the fiscal year

Yesterday saw Aurora Cannabis (TSE: ACB) release its highly anticipated financial results for the fourth quarter of its fiscal year, as well as the full year details. There were ups and downs, as were to be expected, but the overall picture shows a robust company that is still growing and is ready to be the hands-down leader in cannabis supply around the world.

Net cannabis revenue increased by 61% from the third quarter to the fourth, reaching $71.6 million.

Medical cannabis revenue climbed 10% over the same period to $22.481 million and wholesale revenue came in at $15.214 million.

Aurora saw its cannabis production increase 86% to 29,034, right in line with previous predictions made by analysts. The gross margin on cannabis revenue bumped up 3% to now sit at 58% and the cash cost for production decreased 20% to $0.86.

The results put Aurora in a great spot as the global cannabis industry is poised to rapidly open up.

CEO Terry Booth said of the company, “In 2019 Aurora took its place as the global leader in cannabis production, research, innovation, and international market development. We are executing on all our strategic priorities. Our best in class cultivation methods allow us to grow consistent, high-quality cannabis at scale. Because of this, we’ve delivered solid revenue growth in the fourth quarter. We are working to extend our reach in the U.S. markets. Our partnership with the UFC is a basis to explore CBD-from-hemp and hemp food products. We are also exploring additional opportunities and leveraging our Strategic Advisor. We are focused on building a sustainable, high-margin business while providing patients and consumers with access to safe and reliable medicine.”

The company’s chief financial officer, Glen Ibbott, added, “We continue to see strong growth in cannabis revenues in both medical and consumer categories. Our cultivation execution continues to drive production costs lower and improve gross margins. Aurora’s diversified product portfolio remains in demand with patients and consumers alike. With the Canadian launch of derivative products in the coming months, we have made the necessary investments to ensure readiness and focus on a variety of value added products. We are very excited to supply an expanded consumer market with premium cannabis and new product forms.”