Canadian Cannabis Producer Reports Revenue Spike And Improved Margins In Q2, But What About Net Loss?

Author: Jelena Martinovic | August 15, 2023 01:07pm

Avicanna Inc. (TSX:AVCN) (OTCQX:AVCNF) (FSE: 0NN) announced reported its interim second-quarter financial statements for the three months ending June 30, 2023.

The Canadian cannabis producer reported a 183% sequential and 200% year-over-year increase in revenue to CA$3.3 million ($2.45 million) in the second quarter of fiscal 2023.

Q2 2023 Financial Highlights

• Gross margin totaled CA$1.5 million or 44.94%, compared to CA$712,915 or 64.61% in the prior year’s period.
• Net loss was CA$1.76 million, compared to CA$4.36 million in the same quarter of last year.
• Total expenses totaled CA$3.34 million, compared to CA$3.15 million in the corresponding period of fiscal 2022.
• As of June 30, the company had CA$22.1 million in total assets, up from CA$17.6 million on December 31; CA$16.8 million in total liabilities, up from CA$14.1 million on December 31; and cash of CA$110,533 at the end of the period.

“We are pleased to present the results of the second quarter and report the progress of our operations, which includes the increase in revenues and improvements in margins,” CEO Aras Azadian said. “During the quarter, we worked towards the closing of the acquisition of the Medical Cannabis by Shoppers business and prepared for the launch of the new medical cannabis care platform, MyMedi.ca, and continued to make advancements in our Canadian operations with a focus on our proprietary medical products.”

The company closed the previously announced acquisition of the Medical Cannabis by Shopper’s Business from Shoppers Drug Mart and launched an all-new medical cannabis care platform, MyMedi.ca, earlier this month.

Azadian shared some business insights during one of Beniznga’s events last year.

The Benzinga Cannabis Capital Conference, the place where deals get done, is returning to Chicago this Sept 27-28 for its 17th edition. Get your tickets today before prices increase and secure a spot at the epicenter of cannabis investment and branding.

Photo: Courtesy of Tim Foster on Unsplash

Posted In: AVCNF TSX:AVCN