By Adriano Marchese
Aurora Cannabis swung to a profit in its fiscal third-quarter thanks rise in the estimated value of its biological assets and strong medical cannabis revenue.
The Canadian cannabis company on Wednesday posted net income from continuing operations of 31.2 million Canadian dollars ($21.8 million) for the three months ended Dec. 31, compared with a loss of C$17.1 million in the prior-year period.
Aurora's profit includes an increase in unrealized gain on changes in fair value of biological assets of C$42.4 million, it said.
Adjusted earnings before interest, taxes, depreciation and amortization jumped to C$23.1 million from C$5.5 million.
Net revenues rose 37% to C$88.2 million, topping expectations of a rise to C$79.9 million, thanks to a 51% rise in medical cannabis and plant propagation revenue. Meanwhile, consumer cannabis net revenue continued its decline, falling 15%.
Looking ahead, Aurora expects continued revenue growth across its cannabis business, supported by strengthening international medical cannabis, while margins are expected support continued positive adjusted Ebitda.
Write to Adriano Marchese at adriano.marchese@wsj.com
(END) Dow Jones Newswires
February 05, 2025 07:26 ET (12:26 GMT)
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