Aurora Cannabis Q4 Financials Continue To Disappoint: Stock Declines

Aurora Cannabis Inc. Logo (CNW Group/Aurora Cannabis Inc.)Aurora Cannabis Inc. Logo (CNW Group/Aurora Cannabis Inc.)On Thursday, Aurora Cannabis (ACB) announced its financial and operational results for the fourth quarter and fiscal year 2024. The information below compares Q4 2024 ended March 31st, 2024 with Q3 2024; all figures are in Canadian dollars. Go here to convert into another currency.Q4 Financial Highlights

  • Net Revenue: up 4.7% to $67.4M

      • Adj. Gross Margin: down to 49% from 53%
    • Medical: up 1.1% to $45.6M

      • Adj. Gross Margin: up to 66% from 62%
    • Recreational: down 12.1% to $10.2M

      • Adj. Gross Margin: down to 16% from 29%
    • Plant Propagation: up 42.5% to $10.4M

      • Adj. Gross Margin: down to 25% from 28%
  • SG&A (incl. R&D) Exp.: up 16.2% to $32.3M
  • Adj. EBITDA: down  55.8% to $1.9M 
  • Net Loss: down 17.5% to $(20.8)M
  • Q4 Operational Highlights

  • Average net selling price of dried cannabis, excluding bulk sales, increased 12.6% to $5.37
  • Kilograms sold increased by 5.6% to 15.2kg
  • Management CommentaryMiguel Martin, Chief Executive Officer, said:

  • “Aurora is the largest global medical cannabis company…and in Q4 2024, global medical cannabis net revenue increased 20% year-over-year, supported by the recent acquisition of MedReleaf Australia, where we saw significant growth, along with higher sales in Poland and the UK. We also achieved our highest quarterly adjusted gross margin in medical cannabis of 66%, far ahead of our targeted range of 60%.
  • Fiscal Q1 2025 ExpectationsThe Company expects:

  • a Net Revenue increase in the mid to high teens,
  • an improvement in operating cash flow and
  • positive free cashflow by end of calendar year 2024.
  • Stock PerformanceAurora’s (ACB) stock price went down 10.8% during Q4 (December 31st to  March 31st) but had bounced 30% prior to the release of the disappointing Q4 financial report. and has declined 9% as of mid-day today.More By This Author:Micro/Small Cap AI Stocks Portfolio Has Tumbled 9.5% So Far This June
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