Aurora Cannabis Inc logo

ACB - Aurora Cannabis Inc News Story

$14.08 -1.3  -8.2%

Last Trade - 29/05/20

Sector
Healthcare
Size
Mid Cap
Market Cap £1.24bn
Enterprise Value £1.44bn
Revenue £179.9m
Position in Universe 1920th / 6364

UPDATE 1-Cannabis producer Tilray reports bigger quarterly loss on impairment charges

Mon 2nd March, 2020 10:07pm
(Adds CEO comments, background)
    March 2 (Reuters) - Canada-based pot firm Tilray Inc
 TLRY.O  reported a bigger quarterly loss on Monday, hurt by an
impairment charge related to its assets and higher costs, as
oversupply and other challenges weigh on the Canadian marijuana
market.
    The company's shares fell 9.8% in after-market trading.
    The country legalized recreational cannabis in October 2018,
but profits remain elusive for most marijuana companies.
Canadian weed producers have been hit by fewer-than-expected new
stores, low prices and oversupply.
    Last month, Aurora Cannabis  ACB.TO  announced plans to book
up to C$1 billion ($749.96 million) in impairment charges and
issued a bleak outlook, as the company struggles with high
costs.  urn:newsml:reuters.com:*:nL4N2A7386
    "Like our peers, we have faced industry challenges, but we
remain committed to driving long-term value for our
shareholders", Tilray's Chief Executive Officer Brendan Kennedy
said.
    Tilray recorded non-cash charges of $112.1 million on
impairments related largely to a revenue sharing deal with
shoemaker Authentic Brands Group.  urn:newsml:reuters.com:*:nBw3gdS6va
    In February, the company said it had cut 10% of its 1,443
workforce as part of a global restructuring to reduce costs and
achieve profitability.  urn:newsml:reuters.com:*:nL1N2A41OZ
    General and administrative expenses, however, more than
doubled in the latest reported quarter.
    Net loss widened to $219.1 million, or $2.14 per share, in
the fourth quarter ended Dec. 31, from $31.0 million, or 33
cents per share, a year earlier.
    Revenue more than tripled to $46.9 million.
     


($1 = 1.3334 Canadian dollars)

 (Reporting by Arundhati Sarkar in Bengaluru; Editing by Shounak
Dasgupta and Krishna Chandra Eluri)
 ((Arundhati.Sarkar@thomsonreuters.com; +1 646 223 8780 Ext:
2776; Reuters Messaging:
arundhati.sarkar.thomsonreuters.com@reuters.net))
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