The company reports 83% sequential net revenue growth for its most recent quarter
Aurora Cannabis released its financial report for the most recent quarter, which ended December 31, yesterday and things are looking good. Quarter over quarter, net revenue growth has increased 83% and year on year, it’s up 363%. Investors enjoyed the news, as the company’s stock, ACB on the NYSE, is up to $7.29 as of this writing, having started the day at $6.76.
According to the financial report, “Net revenue of $54.2 million, up 83% sequentially, and up 363% compared to the same period in 2018, driven by Aurora’s strong performance in the launch of the Canadian consumer market with sales of $21.6 million, and the Company’s continued strength in the Canadian and international medical markets with sales of $26.0 million, up 8% in revenue and 23% in volume sold.”
The selling price per gram has dropped in the most recent quarter. Previously, the gross margin of sales sat at 70%, but was down to 54% in the most recent period. The difference came about due to excise taxes and a drop in cannabis oil sales. A one-time investment for its Aurora Sky facility also contributed to the lower margin.
The company also stated, “The Company anticipates that with Aurora Sky operating at full capacity, as well as continued reduction in operating costs, the cash cost to produce per gram will trend significantly lower. Management reiterates its expectation that the sustainable long-term operating cost at its Sky Class facilities will be well below $1 per gram.”
Aurora has entered export agreements with a number of countries, including Poland, the Czech Republic, Luxembourg, Mexico and the UK. All of these are helping the company establish itself as a global leader in the cannabis industry and will drive its value up even further throughout the year.