In This Article:
-
Net Revenue: $88.2 million, a 37% growth year-over-year.
-
Global Medical Cannabis Revenue: $68.1 million, a 51% year-over-year growth.
-
International Medical Cannabis Revenue: Increased by 112% year-over-year.
-
Adjusted Gross Margin: 65%, up 130 basis points from last year.
-
Adjusted EBITDA: $23.1 million, a 316% increase year-over-year.
-
Net Income: $31.2 million, compared to a net loss of $18.1 million in the previous year.
-
Free Cash Flow: Positive $27.4 million, compared to negative $4.7 million last year.
-
Cash and Cash Equivalents: $180.2 million, with no cannabis business debt.
-
Bevo Plant Propagation Revenue: $8.9 million, a 22% increase year-over-year.
-
Consumer Cannabis Revenue: $9.9 million, down from $11.6 million last year.
Release Date: February 05, 2025
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
-
Aurora Cannabis Inc (NASDAQ:ACB) reported a record third quarter for medical cannabis revenue, net income, adjusted EBITDA, and free cash flow.
-
Overall net revenue grew 37%, driven by a 51% year-over-year growth in global medical cannabis.
-
International revenue increased 112%, surpassing Canadian medical cannabis revenue for the second consecutive quarter.
-
The company achieved a record adjusted gross margin of 65% and a record adjusted EBITDA of $23.1 million.
-
Aurora Cannabis Inc (NASDAQ:ACB) ended the quarter with $180.2 million in cash and cash equivalents and no cannabis business debt.
Negative Points
-
Consumer cannabis net revenue decreased to $9.9 million from $11.6 million in the year-ago period.
-
Adjusted gross margins for consumer cannabis fell to 26% from 29% due to changes in sales mix.
-
The Canadian recreational cannabis segment saw a decline in revenue, highlighting challenges in extracting value from high-quality products.
-
The company faces complexities in supplying international markets due to varying regulatory challenges.
-
Bevo's plant propagation business, while growing, is subject to seasonal revenue fluctuations.
Q & A Highlights
Q: Are there any supply constraints affecting Aurora's ability to meet growing demand? A: Miguel Martin, CEO, stated that Aurora feels confident about their supply capabilities. Supplying international markets involves regulatory complexities, but Aurora is well-positioned to meet the needs of key markets like Poland, Germany, Australia, and the UK.
Q: Were there any unique or non-repeatable factors that positively impacted Q3 results? A: Miguel Martin, CEO, confirmed that there were no unusual or one-time factors affecting Q3 results. The international markets can fluctuate due to permitting, but overall, the quarter's performance was consistent with expectations.