Aphria (NYSE:APHA) is having a memorable day, as the company has reported its latest quarterly figures and delivered an update about its top management.
For the company’s Q2 of fiscal 2020, it booked net revenue of 120.6 million Canadian dollars (all line items in this story are in reported in the currency). This was down 4% on a sequential basis, but up nearly six-fold from the same quarter of 2019. On the bottom line, the company flipped to a net loss of…
C$8.2 million (C$0.03 per share); the year-ago result was a net profit of almost C$54.8 million.
On average, analysts tracking the stock were estimating net revenue would land at C$129.8 million. The net loss was in line with their expectations.
Aphria’s distribution revenue, responsible for the bulk of its top line, slipped by 9% to C$86 million. Although kilograms/kilogram equivalents sold rose significantly quarter-on-quarter — to 7,062, from the Q1 tally of 5,969 — the average selling price of recreational cannabis dipped to C$5.22 per gram. It was C$6.02 the previous quarter. That of medical cannabis, however, rose to C$8.16 from C$7.56.
The company believes it has good scope for expansion in promising international markets such as Germany and South America, but will face challenges in both that European country and Canada. It cut its full-year net revenue guidance to C$575 million to C$625 million; it had formerly expected C$650 million to $700 million. The new range is still above the average analyst projection of C$571 million.
Aphria also announced that…
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