Canopy Growth Corp, a world leader in vaporizing, cannabidiol (CBD) and cannabis devices, took the task of announcing its financial results for the first fiscal quarter of 2022 ended June 30 late last week. According to the results, the company has started the fiscal year off on the right foot, and it’s hard to see that trend going away for years to come.
When it comes to net income reported by the company this past quarter, things seem to be going great compared to the same period last fiscal year. Representing a 23% increase, Canopy achieved net revenues of $108.5 million, which were driven by strong double-digit growth in Canadian cannabis and other consumer products. This amount is divided into total cannabis net revenues of $108.9, plus total other consumer products revenues of $50.3 million, representing 17% and 39% growth, respectively, over the first quarter of 2021.
The gross margin reported in the first quarter of 2022 was 20%, which represents a nice jump from the mere 6% achieved in the first quarter of 2021. During the prior-year period, this factor was affected by lower production and unfavorable package size, as well as geographic mix in the Canadian recreational business.
Net earnings in the first quarter of 2022 totaled $457 million, an improvement of $607 million compared to the first quarter of 2021. And, finally, adjusted EBITDA was $51 million for the first quarter of 2022. This represents a $23.1-million narrower loss compared to the first quarter of the last fiscal year, driven by higher sales and lower operating expenses.
“With the right strategy and a solid foundation in place, we are confident in our ability to achieve long-term success as Canopy’s products and brands continue to prove their appeal to consumers in our core markets,” said David Klein, CEO of Canopy Growth.