Canopy Growth’s earnings
At ~8:43 PM EST on February 14, Canopy Growth (CGC) (WEED) reported its third-quarter financial results. The company reported gross revenues of 97.7 million Canadian dollars, which excluded the impact of excise taxes. Including the impact of an excise tax, the company reported net revenues of 83 million Canadian dollars, which rose nearly 283% year-over-year from 21.7 million Canadian dollars in the third quarter of 2017.
The company sold 10,102 kilograms and equivalents of cannabis in the third quarter compared to ~2,330 kilograms and equivalents in the third quarter of 2017. Among the total, ~82% of the volume came from recreational cannabis, while the rest came from medical cannabis. The large imbalance from the recreational side shows how recreational cannabis legalization in Canada was a boon to companies (MJ) including Aurora Cannabis (ACB), Aphria (APHA), and Cronos Group (CRON).
The revenues also included ~16% of sales from the medical cannabis market in Germany, which increased from 5% a year ago. The increase shows how the international market could be the next wave of growth for cannabis companies.
Moving on to prices, the company’s average sales per gram were 7.33 Canadian dollars, which included the impact of excise tax. The company’s average sales per gram were 8.3 Canadian dollars in the fourth quarter of 2017.
Next, we’ll discuss the gross income.