Aurora Cannabis (US) ( (ACB) ) has released its Q2 earnings. Here is a breakdown of the information Aurora Cannabis (US) presented to its investors.
Aurora Cannabis Inc. is a Canadian-based global leader in medical cannabis, serving markets across Canada, Europe, Australia, and South America with a focus on high-quality cannabis products. In its latest earnings report, Aurora Cannabis announced a record adjusted EBITDA of $10.1 million, marking a 210% year-over-year increase. The company reported a 29% rise in quarterly net revenue to $81.1 million, driven by a significant 41% growth in its global medical cannabis segment. Aurora also maintained a strong balance sheet with approximately $152 million in cash and a debt-free cannabis business.
The earnings report highlights Aurora’s strategic focus on high-margin international markets, with international revenue seeing a remarkable 93% increase to $35 million, surpassing Canadian medical revenue for the first time. Aurora’s medical cannabis net revenue constituted 76% of its total consolidated net revenue, with an improved adjusted gross margin of 68%. The company’s plant propagation segment also saw a 21% revenue increase, despite seasonal lows, highlighting the robustness of its diversified business model.
While Aurora’s consumer cannabis net revenue declined by 13% due to a strategic shift towards higher-margin international operations, the company’s adjusted gross margin for consumer cannabis also decreased. However, Aurora’s overall financial health remains strong, with a notable increase in net income and a focus on strategic growth and operational excellence.
Looking ahead, Aurora Cannabis anticipates continued strong performance in its global medical cannabis business, bolstered by revenue growth in Europe and Australia. The company expects to maintain positive adjusted EBITDA and achieve positive free cash flow through disciplined spending and robust gross margins.
