Aurora Cannabis jumps after posting huge growth

AP Photo/Ted S. Warren

Devin Melnyk, a long-time marijuana grower and a consultant with Pure Sunfarms, holds trimmed marijuana as it comes out of a high-volume cannabis trimming machine at a massive tomato greenhouse being renovated to grow pot in Delta, British Columbia

• Aurora Cannabis reported first-quarter results on Monday.
• The marijuana grower generated $29.7 million revenue, up 260% year-over-year.
• Aurora earned $104.2 million, up 2,826% versus a year ago.
• Watch Aurora Cannabis trade live.

The marijuana producer Aurora Cannabis jumped 4% early Monday after posting first-quarter results.

Here are the key numbers:

• Revenue: $29.7 million, +260% year-over-year
• Profit: $ 104.2 million, +2,826% YoY
• Gross margin on cannabis: 70%, +12 percentage points YoY
• Total kilogram equivalents sold: 2.68 million, +201% YoY
• Production run rate early in 2019: 150,000 kilograms per year

"The commencement of adult consumer use sales in Canada has been very successful for Aurora, with strong performance across all product categories and brands," CEO Terry Booth said in the press release.

"Our initial roll-out success demonstrates how our high-quality Aurora Standard products and well-positioned brands have resonated strongly with the consumer market and our preparedness for the logistical challenges in effectively bringing our products to market. Given the strong unmet consumer demand evident across Canada, we are confident that our rapidly increasing production capacity will result in continued acceleration of revenue growth."

Shares were down 21% this year.

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MI