Aphria (APHA) reported its earnings on January 11. The stock gained nearly 5.4%, which indicates that investors saw the earnings results in a positive light. In this series, we’ll discuss our key takeaways from the company’s earnings call.
The company reported net sales of 21.7 million Canadian dollars compared to 8.5 million Canadian dollars in the corresponding quarter in 2017. The company posted sales growth of 154% and stated that initial recreational cannabis sales had given its revenue a boost in the second quarter. The company’s adjusted gross margin contracted over the same period to 46.9% from 67.7% year-over-year, while it reported adjusted EBITDA of -0.5 million Canadian dollars.
On the same day, Canopy Growth (WEED) inched up by nearly 2%, while the Horizons Marijuana Life Sciences ETF (HMMJ) was up 4%. Tilray (TLRY) gained nearly 19%, and Aurora Cannabis (ACB) was up by 7% on January 11.