Prairie Post (East Edition)
No nEws on AurorA Sun plAnt As CompAny GIvEs finAnCIAl rEport FEB. 11
Aurora Cannabis officials say the company is executing on its path to repositioning as a profitable “premium” producer, as they released a financial report Feb. 11 that gave no new information on the future of the paused Sun facility in Medicine Hat.
CEO Miguel Martin says the Edmonton-based company narrowed its unadjusted loss to $12 million in the last quarter, while some sales segments strengthened and operating costs were reduced.
The net loss including one-time costs was $292 million, down from a $1.3-billion loss in the same quarter last year that included write-downs and which sparked major restructuring.
It also reported a 28 per cent increase in cannabis revenue, to $67.7 million, with strengthening medical market sales.
“We’re awfully excited about where the company is, and even more excited about where we are going,” said Martin.
Aurora confirmed that four smaller production facilities slated for closure in the summer were now shuttered.
At that time it also completely halted construction and efforts to licence the 1.6-million square-foot, partially completed Aurora Sun facility in Medicine Hat.
As well, the company decreased production at the Sky facility in Leduc by three-quarters, and is now focusing that three-year-old facility on “premium” brand production and derivative production, such as vapes and edibles.
Share prices for Aurora, which reported results after trading ended Thursday, fell from $23.78 to $18.33 over the course of the day. It began the week at $16.55.
The company’s stock rose as much as 50 per cent this week as the sector was buoyed by discussions in the United States about removing the federal prohibition on recreational, adult-use marijuana.
“Obviously we’re watching very close to the shifting landscape … Canadian LPs that are compliance based are advantaged (in a potential U.S. sector),” said Martin, saying Aurora plans to participate in a U.S. national market through a variety of avenues.
That could be directly or through partnerships, licensing or mergers and acquisition.
“We’re excited and we’ll take advantage when the time is right.”