The Globe and Mail reports in its Tuesday edition that Aurora's revenue surged as the company sold a record amount of cannabis in a quarter, but the pot producer's selling price fell sharply as it entered the competitive recreational market.
The Globe's Marcy Nicholson writes that the Edmonton-based company's quarterly financial results released Monday evening shed light on the pressure cannabis producers face as they seek to increase production and adjust to rising costs associated with new regulations.
On Aurora's Monday earnings call, the company vowed to continue to prioritize its medical cannabis business, a segment that remained larger and more profitable for the company.
"We are positioned to capture a larger part of medical market in Canada and abroad," chief corporate officer Cam Battley said on the call.
Aurora's numbers for the period ended Dec. 31 offered investors a first glimpse into the 2-1/2 months since the legalization of recreational cannabis in mid-October. Aurora touted overall quarterly sales of $54.2-million, up 83 per cent from the prior quarter, $21-million of which came from recreational sales.
However, the company's average selling price of dried cannabis dropped by 26 per cent.
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