Aphria Reports Second Profitable Quarter In A RowOctober 15, 2019
Aphria reported earnings results this morning for its fiscal first quarter ended August 31. The Leamington, Ontario-based cannabis producer and distributor garnered C$126.1 million ($95.3m) of net revenue in the quarter, C$20 million ($15.1m) of which came from adult-use cannabis. Net income was up 4.5% as the company achieved an overall adjusted EBITDA of C$1 million ($756,000).
Most of Aphria’s business remains on the distribution side, accounting for C$95.3 million ($72m) of net revenue, while net cannabis revenue—recreational and otherwise—totaled C$30.8 million ($23.3m), up from C$28.6 million ($21.6m) the prior quarter. Aphria sold 3,317 kg equivalents of cannabis for the adult-use market and 1,354 kg for medical use. Aphria One, the company’s flagship facility, is now in full crop rotation, housing 600,000 plants.
After the positive start, Aphria reaffirmed its guidance for the fiscal year, projecting net revenue of C$650-$700 million ($491-$529m), just more than half of which will come from distribution, and an adjusted EBITDA between C$88 and $95 million ($66.5-$71.8m). The company, whose brands include Broken Coast, Solei, Riff, and Good Supply, is partnered with Southern Glazer’s subsidiary Great North Distributors across the Canadian market.—Danny SullivanSubscribe to Shanken News Daily’s Email Newsletter, delivered to your inbox each morning. You will also receive the Cannabis edition as part of your subscription.