Aurora Cannabis Inc. Announces Results for the Fourth Quarter and 2018 Fiscal Year

Published: September 24, 2018

Aurora Cannabis Inc. Announces Results for the Fourth Quarter and 2018 Fiscal Year

Aurora Cannabis Inc., announced its financial and operational results for the fourth quarter and fiscal year ended June 30, 2018.

Q4 2018 Financial and Operational Highlights

In thousands (‘000s) unless otherwise noted

Q4 2018

Q3 2018

Change
(%)

Q4 2017

Change
(%)

Financial Results

Revenue

$19,147

$16,100

19%

$5,936

223%

Gross margin on medical cannabis(1)

74%

59%

25%

58%

28%

Earnings (loss)

79,268

(20,795)

nm

($4,816)

nm

Earnings (loss) attributable to common shares

79,870

(19,215)

nm

($4,816)

nm

Operational Results

Cash costs of sales per gram of dried cannabis
sold(2)

$1.87

$1.80

4%

$2.09

(11%)

Cash costs to produce per gram of dried cannabis
sold(2)

$1.70

$1.53

11%

$1.91

(11%)

Active registered patients

43,308

45,776

(5%)

16,400

164%

Average net selling price of dried cannabis(3)

$8.02

$7.30

10%

$6.79

18%

Average net selling price of cannabis oil(3)

$13.52

$12.83

5%

$17.91

(25%)

Kilograms produced

2,212

1,206

83%

1,165

90%

Kilograms sold

1,617

1,353

20%

755

114%

(1)    

Represents the gross margin on medical cannabis before fair value adjustments

(2)  

Represents the cash cost of sales and cost to produce per gram sold of dried cannabis produced by Aurora

(3)    

Represents the average net selling price per gram of dried cannabis equivalent

Q4 2018 Highlights:

  • Revenue of $19,147, up 223% compared to the same period in 2017.
    • Pro-forma Q4 2018 revenue of $33,117, including MedReleaf
  • Gross margin on medical cannabis of 74%, up 28% compared to the fourth quarter of 2017. This increase was primarily due to a higher average selling price per gram of dried cannabis, coupled with a higher proportion of cannabis oil sales in the Company’s sales ratio.
  • Cash cost of sales and cash cost to produce per gram of dried cannabis sold both decreased 11% compared to the same period in 2017. This decrease was primarily due to efficiencies from automation and yield expertise.
  • Active registered patients of 43,308, up 164% compared to the fourth quarter of 2017.
  • Kilograms produced and kilograms sold of 2,212 and 1,617, up 90% and 114% respectively compared to the same period in 2017.
  • 7 facilities with production licenses, 5 facilities with sales licenses

In thousands (‘000s) unless otherwise noted

FY2018

FY2017

Change (%)

Financial Results

Revenue

$55,196

$18,067

206%

Gross margin on medical cannabis(1)

65%

56%

16%

Earnings (loss)

$69,227

($12,968)

nm

Earnings (loss) attributable to common shares

$71,936

($12,968)

nm

Operational Results

Average net selling price of dried cannabis(2)

$7.65

$6.47

18%

Average net selling price of cannabis oil(2)

$13.68

$17.91

(24%)

Kilograms produced

5,632

3,037

85%

Kilograms sold

5,022

2,382

111%

(1)

Represents the gross margin on medical cannabis before fair value adjustments

(2)

Represents the cash cost of sales and cost to produce per gram sold of dried cannabis produced by Aurora  

Fiscal 2018 Highlights:

  • Revenue of $55,196, up 206% compared to the prior year.
  • Gross margin on medical cannabis of 65%, up 16% compared to FY 2017. This increase was primarily due to a higher average selling price per gram of dried cannabis, coupled with a higher proportion of cannabis oil sales in the Company’s sales ratio.
  • Kilograms produced and kilograms sold of 5,632 and 5,022, up 85% and 111% respectively compared to FY 2017.
  • 11 strategic acquisitions completed and 1 in progress.
  • Total headcount grew to 1,400 from approximately 300 at the end of FY 2017.
  • Pro-forma cannabis inventory and biological assets, including MedReleaf, of $88.8 million.

A comprehensive discussion of Aurora’s financials and operations are provided in the Company’s Management’s Discussion & Analysis (“MD&A”) and Financial Statements which will be filed on SEDAR at www.sedar.com and on the Aurora website.