Canadian cannabis company HEXO Corp (TSX.TO:HEXO) (OTC.QX:HEXO) reported its third quarter financial results on Wednesday, October 24, 2018. The company posted its Q3 net loss at C$0.29 per share, which was down from a loss of C$0.43 per share in Q2. The Q3 loss was also below the C$0.37 loss in Q2, which was the company’s previous quarter.
HEXO Corp (TSX:HEXO,NYSE:HEXO) (the “Company” or “HEXO”) today announced its unaudited condensed consolidated interim financial results for the three months ended September 30, 2018.
HEXO Corp (HEXO) reported Q3 revenues of $22.6 million, with a net loss of $9.1 million ($0.28 per share), compared with revenues of $27.8 million, and a net loss of $7.3 million ($0.22 per share) in the prior year quarter. Fiscal 2019 outlook Q3 revenue is expected to be approximately $28 million, and $33 million for the full year. HEXO noted that its recent acquisitions contributed to the sequential decline in revenue.. Read more about hexo corp and let us know what you think.
HEXO Corp announces financial results for the third quarter of 2021
OTTAWA, June 14, 2021 (GLOBE NEWSWIRE) – HEXO Corp. (TSX: HEXO; NYSE: HEXO) (HEXO or the Company) today announced its financial results for the third quarter of fiscal year 2021, which ended June 30, 2021. April 2021 is over (3Q21). All amounts are in Canadian dollars unless otherwise stated. With the onset of legalization, we set out a plan to become one of the top three suppliers to Canada’s adult-use cannabis market. With the acquisition of Zenabis and the announcement of our intention to acquire 48North and Redecan, we are poised to achieve this goal and become the largest licensed manufacturer by market share in the recreational sector.
Sébastien Saint-Louis, CEO and co-founder of HEXO
Although it was a challenging quarter, we maintained our number one position in the beverage category and increased our net sales outside of Quebec by 169% over the prior year, including sequential quarterly growth of 14% in Ontario, while maintaining our number one preferred supplier position in Quebec. Going forward, we intend to adapt our core strategy and brand portfolio in the province of Quebec to meet consumer needs and maintain our dominant position in the province. Principal financial and operating results
Total sales were up 2% from the previous year.
Total net sales of adult beverages in Canada, excluding Quebec, increased 169% compared to the third quarter of 2017. quarter 2020 and maintained its number one position in Quebec.
Net revenues (excluding beverages) increased 14% in Ontario compared to the second quarter.
Maintain the number one position in the beverage category.
Total revenues decreased by $10.2 million compared to the previous quarter.
Total net loss was unchanged from the previous quarter.
Working capital remained high at $182 million and cash and cash equivalents were $194 million.
Non-adult beverage sales in Canada were down 7% from the third quarter and 29% from the second quarter. The Company’s net sales in Quebec were lower than Q1 21 of the prior year primarily due to a sequential decrease in sales in the province of Quebec of $5.2 million as a result of certain hash cultivation and production decisions made by the Company, which the Company has subsequently corrected and which the Company believes will enable Quebec to grow in the coming quarters.
In May, Truss solidified its leadership position in the Canadian beverage category by increasing its national market share to 46% ($ share)1 [incl. Quebec]
With potential cannabis consumers’ awareness of the category at an unprecedented level (87%2), Truss expects Canadians to accept cannabis-soaked beverages in the summer of 2021 and beyond.
In April, Truss announced six new products for the summer season. Made in Belleville, Ontario, the new products feature flavours inspired by the upcoming summer season and by the feedback and opinions of the Truss customer community:
House of Terpene™ Valencene & Sparkling Tonic
XMG™ Citrus and XMG™ Watermelon
Veryvell™ green iced tea with honey
Small Victory Lemonade
Mollo ™ 5 Lime
The Company has elected to prepay the outstanding line of credit in the amount of $28,875, which will reduce future interest and administration costs.
Selling, general and administrative expenses (defined as general and administrative expenses plus marketing and sales promotion plus research and development) decreased 8% from the previous quarter to $14.4 million (2Q21: $15.6 million).
Operating expenses decreased 17% compared to Q2 ’21, including $3.6 million in Canadian healthcare recovery costs3.
Adjusted EBITDA for the period was ($10.78 million), compared to $0.2 million in 2Q16. Quarter 21.
Significant events after the balance sheet date
Entered into a definitive agreement to acquire 48 North Cannabis Corp, with a diversified product portfolio and growing synergies. The transaction is subject to customary closing approvals, including those of regulators and shareholders, and approval of the creditors’ agreement by the Ontario Superior Court of Justice.
Entered into a definitive agreement to purchase shares of Redecan, Canada’s largest privately held licensing company. The transaction is subject to customary approvals, including those of regulators and shareholders.
Completion of the acquisition of Zenabis Global Inc. 1. June 2021.
We completed a C$150 million capital increase and have raised approximately C$47.2 million in net proceeds to date.
Obtaining dismissal (subject to plaintiffs’ right to appeal) of a securities class action pending in the Commercial Division of the Supreme Court of the State of New York, County of New York.
A commitment to offset the company’s operational carbon emissions and the personal emissions of all 1,200 employees to become a leader in environmental, social and governance issues.
Financial results for the third quarter of 2021 Total profit declined in the third quarter. Q1 21 versus Q2 21 by $10.2 million, primarily due to a $5.2 million decrease in adult non-food beverage sales in Quebec related to the Company’s decisions on hashish cultivation and production issues. The Company’s Alberta sales decreased $2.7 million during the period, partially due to a 32% decrease in UP brand sales in the province due to temporary inventory restrictions as the Company continues to roll out a refreshed brand. Despite the impact of the third wave of COVID-19 in Ontario at a time when most private retailers were limited to roadside pickup, the Company’s revenue in Ontario increased by 14% or $0.6 million. Growth was driven by the strength of the UP brand and premium 20% THC dry cannabis in small format, which grew 67% in the quarter. The company did not achieve international sales of medicinal cannabis due to additional screening and certification by the Israeli government, which prevented the company from exporting. The company has now received approval and can resume these international sales. Total income for the nine months to September 30 is as follows April 2021 increased 59% compared to the same period in fiscal 2020. Operating expenses Total operating expenses decreased 2% compared to Q2 21, and after adjusting for Canadian healthcare recovery costs of $3,644, total operating expenses decreased 17%. Health Canada’s collection fees are paid annually in April and are based on sales and purchases by cannabis category for the previous year and the amount of cannabis bought and sold. Non-IFRS key figures This press release refers to gross profit before adjustments, profit/margin before fair value adjustments, adjusted gross profit, adjusted EBITDA and earnings per gram equivalent, which are not financial measures under International Financial Reporting Standards (IFRS). These measures are not IFRS measures, do not have IFRS values and therefore are unlikely to be comparable to similar measures for other entities. These measures complement the IFRS measures and provide additional insight into our performance from a management perspective. Accordingly, these measures should not be considered in isolation or as a substitute for an analysis of our financial information presented in accordance with IFRS. Definitions and reconciliations of all of the above terms can be found in the Company’s Management’s Discussion and Analysis for the three and nine months ended December 14. June 2021, which is posted under the Company’s profile on SEDAR at www.sedar.com or on EDGAR at www.sec.gov. Conference call The company will hold a conference call on June 14, 2021 to discuss these results. Sébastien Saint-Louis, CEO, and Trent MacDonald, CFO, will host a conference call beginning at 8:30 a.m. Easter. Management’s presentation is followed by a question and answer period for analysts. Date: June 14, 2021 Time: 8:30 EST Веб-трансляция: https://event.on24.com/wcc/r/3081628/E4BE698102B436FE02D50AD0539C6797 Previous quarterly results and the latest press releases can be found at hexocorp.com. About HEXO Corp HEXO is an award-winning licensed manufacturer of innovative products for the global cannabis market. HEXO serves the Canadian recreational market with a portfolio of the HEXO, UP Cannabis, Original Stash, Bake Sale, Namaste and REUP brands, as well as the medical market in Canada, Israel and Malta. The company also serves the Colorado market through its Powered by HEXO® strategy and Truss CBD USA, a joint venture with Molson Coors. Upon completion of the previously announced acquisitions of 48North and Redecan, HEXO expects to become the largest producer of recreational cannabis products in Canada in terms of market share. For more information, see www.hexocorp.com. 1 To better understand the performance of our products in Canada, Truss has developed an internal market share tracking system based on third-party and government agency data. 2 Results of a survey conducted by Truss Beverage Co. from 4. November 2020 to 9. November 2020. November 2020 survey of 1,500 non-abstinent Canadian cannabis users, members of the Angus Reid Forum. 3 Health Canada’s reimbursement is an expense based on the previous year’s net income and is made in April. Original press release Stay ahead of the crowd by subscribing to 420 Investor, the largest and most comprehensive subscription service for cannabis dealers and investors since 2013. New Cannabis Ventures is committed to gathering quality content and information about leading cannabis companies to help our readers filter through the noise and stay informed about the most important news in the field. Do you have sensitive information? Please contact us.
HEXO Corp (TSX:HEXO) (NYSE:HEXO) announced that it has released its financial results for the third quarter ended September 30, 2018.. Read more about hexo price target and let us know what you think.