Aurora Cannabis (NASDAQ:ACB) Posts Earnings Results, Beats Estimates By $0.17 EPS

Aurora Cannabis (NASDAQ:ACB) announced its earnings results on Wednesday. The company reported $0.04 EPS for the quarter, beating the consensus estimate of ($0.13) by $0.17, Zacks reports. Aurora Cannabis had a positive return on equity of 0.10% and a negative net margin of 33.57%.

Here are the key takeaways from Aurora Cannabis’ conference call:

• International medical cannabis revenue rose 17% to CAD 43 million, with international markets contributing 64% of total revenue, driven particularly by Germany. Aurora also reported strong performance in Poland, Australia, and New Zealand.
• Consolidated adjusted gross margin was 58%, at the high end of fiscal 2027 guidance, supported by international sales and manufacturing efficiencies. Aurora highlighted genetics and operational improvements that can increase yields by up to 40% while improving potency and quality.
• Quarterly revenue was CAD 67.6 million and adjusted EBITDA fell to CAD 3.4 million from CAD 10.8 million year over year, primarily due to lower Canadian medical reimbursement rates and the planned exit from lower-margin Canadian consumer cannabis.
• Aurora ended the quarter with nearly CAD 150 million in cash and no debt, providing flexibility for international investment and acquisitions. The Safari Flower acquisition was adjusted-EBITDA accretive in Q1 and adds EU GMP-certified production capacity.
• Management expects fiscal Q2 revenue and adjusted EBITDA to increase sequentially, with growth led by Germany, Poland, Australia, and New Zealand, while reaffirming its fiscal 2027 outlook despite Canadian reimbursement headwinds.

Aurora Cannabis Stock Up 3.0%

NASDAQ ACB traded up $0.09 on Wednesday, hitting $2.90. 2,319,224 shares of the company were exchanged, compared to its average volume of 1,046,845. The company has a current ratio of 5.94, a quick ratio of 3.32 and a debt-to-equity ratio of 0.04. The company has a market cap of $179.32 million, a PE ratio of -1.86 and a beta of 0.58. The stock has a fifty day moving average of $2.94 and a 200-day moving average of $3.37. Aurora Cannabis has a 12 month low of $2.56 and a 12 month high of $6.66.

Analysts Set New Price Targets

A number of research firms have recently commented on ACB. Wall Street Zen raised shares of Aurora Cannabis from a “strong sell” rating to a “sell” rating in a research note on Saturday, May 9th. Weiss Ratings upgraded Aurora Cannabis from a “sell (d-)” rating to a “sell (d)” rating in a report on Tuesday, June 16th. One analyst has rated the stock with a Buy rating, one has issued a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock presently has a consensus rating of “Hold”.

Hedge Funds Weigh In On Aurora Cannabis

Institutional investors and hedge funds have recently made changes to their positions in the stock. Virtu Financial LLC bought a new stake in Aurora Cannabis in the 4th quarter valued at about $177,000. Mackenzie Financial Corp grew its stake in Aurora Cannabis by 64.3% in the fourth quarter. Mackenzie Financial Corp now owns 55,709 shares of the company’s stock valued at $237,000 after acquiring an additional 21,800 shares during the period. Trexquant Investment LP bought a new stake in shares of Aurora Cannabis during the fourth quarter valued at approximately $590,000. Squarepoint Ops LLC acquired a new position in shares of Aurora Cannabis during the fourth quarter worth approximately $69,000. Finally, Barclays PLC grew its position in Aurora Cannabis by 93.5% in the 4th quarter. Barclays PLC now owns 33,709 shares of the company’s stock valued at $142,000 after purchasing an additional 16,292 shares during the period. Institutional investors own 47.63% of the company’s stock.

Aurora Cannabis Company Profile

Aurora Cannabis Inc (NASDAQ: ACB) is a Canadian licensed producer of medical and consumer cannabis products headquartered in Edmonton, Alberta. Established in 2013, the company operates under Health Canada’s regulations to cultivate, process and distribute a range of cannabis-based offerings. Since its initial public listing in 2017, Aurora has grown into one of the country’s largest growers by cultivation capacity and production output.

The company’s core business spans the cultivation of dried flower, the extraction of cannabis oils and the development of value-added products such as softgels, capsules and topical treatments.