Canadian Cannabis Company Reports Mixed Results: Here's What's In Them

Ayurcann Holdings Corp. AYURF a leading Canadian cannabis company specializing in the processing and manufacturing of cannabis 2.0 and 3.0 products in the recreational market announced its financial and operational results for the three- and nine-months ended March 31, 2023.

Financial Highlights

• Gross revenues increased to CA $5.9 million (US $4.3 million) for the quarter compared to $2.8 million for the same period last year, representing an increase of 114%
• Gross revenues increased to $13.6 million for the nine months compared to $7.8 million the same period last year, representing an increase of 74% year-over-year
• Successfully grew product offerings to 60 stock-keeping units, SKUs across the country. 
• The company posted a net revenue of $2.85 million for the quarter, compared to $2.39 million for the same quarter last year. At first glance, this may suggest significant growth, but an in-depth review raises concerns around financial reporting.

  • Operational Highlights 

• Canadian retail penetration of over 65%, with Ontario at over 75%²
• Consistently offered new SKUs to the market, reflecting the innovation, reliability and value that Ayurcann has brought to the recreational cannabis market in Canada, with over 40 new SKUs being launched over the next three to six months
• Top Company brands: Fuego, H&S, and XPLOR, are consistent performers
• Focused on top-selling categories, using and improving existing efficiencies to enhance production and market share while addressing SKU rationalization and price compression.

"As we continue to expand to more markets across the country with our offerings, we are thrilled to report consistent growth in our revenue and market share despite the price compression that continues to impact the cannabis industry. Ayurcann is proud to have generated an increase in revenue from its business-to-consumer strategy," said CEO Igal Sudman. "With our laser focus on growth, market share and innovation, combined with our current product offerings, we are confident that we can continue to bring offerings to market, grow market share and sales across the country, increasing our top-line revenues."