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February 10, 2020 - 5:35 PM EST
Aurora Cannabis to Host Second Quarter 2020 Investor Conference Call
NYSE | TSX: ACB
EDMONTON, Feb. 10, 2020 /PRNewswire/ - Aurora Cannabis Inc. ("Aurora" or the "Company") (NYSE | TSX: ACB), the Canadian company defining the future of cannabis worldwide, today announced that it has scheduled a conference call to discuss the results for its second quarter ended December 31, 2019 on Thursday, February 13th, 2020 at 8:00 a.m. Eastern Time. Michael Singer, Interim Chief Executive Officer and Executive Chairman, and Glen Ibbott, Chief Financial Officer, will host the call and a question and answer period. The Company will report its financial results for the second quarter before the open of markets on Thursday, February 13th, 2020.
Aurora Cannabis Inc. (CNW Group/Aurora Cannabis Inc.)
CONFERENCE CALL DETAILS
DATE:
Thursday, February 13th, 2020
TIME:
8:00 a.m. Eastern Time | 6:00 a.m. Mountain Time
WEBCAST:
http://public.viavid.com/index.php?id=138107
REPLAY:
(844) 512-2921 or (412) 317-6671
Available until 11:59 p.m. Eastern Time Thursday, February 27, 2020
PIN NUMBER:
13699134
Two thumbs up, Maui Guy!
Nice pat answer, but are you kidding? The share price decline says absolutely nothing about the merit of these frivolous lawsuits. The lawsuits along with the shorts and analysts have done much to cause the overboard price decline. Of course, Ontario and the Canadian govt. did most of the important work in almost destroying their most promising industry.
https://www.ctvnews.ca/business/more-uncertainty-for-canadian-cannabis-as-class-action-suits-filed-in-u-s-1.4805042
"Last month, U.S. firm Baskin, Robbins, and Tutti Fruiti LLP filed a class-action suit against Aurora Cannabis alleging, among other things, that the company “failed to disclose that they had materially overstated the demand and potential market for Aurora’s consumer cannabis products.”
Earlier in January, New-York based P Group filed a similar class-action lawsuit alleging that Hexo Corp. blah, blah, blah
Canopy Growth is the subject of a proposed class-action case...
But even if the cases do make it to court, the allegations will still need to be proven before a judge, Veel said.
“It may be that the companies were doing the very best that they could with the information they had at the time and they just thought they were going to do better than they did and they got it wrong in hindsight. It still remains to be seen whether any of these claims actually have any merit.”
News Flash: They don't
CALGARY -- Sales of cannabis vape products will be allowed at retail stores in Alberta beginning this week.
In a statement, Alberta Gaming Liquor and Cannabis (AGLC) says retailers were notified of the change on Friday and they can begin ordering products this week.
"Following government’s review of the available evidence, data and other provinces’ positions on cannabis vaping, the sale of cannabis vapes in Alberta, will be allowed," reads a statement from AGLC.
"We expect retailers will be able to begin ordering products as early as this coming week and there may be limited product from the onset but like all other products before vapes, inventory will increase in time. Consumers may see product on shelves in the next couple of weeks."
No, this was the advance they gave last week. I think they report on the 13th.
It is just repost that because I see a well thought out plan, new BOD's, and a bright future. Not today, not tomorrow, but Singer has called for Ebitda positive by 1st fiscal quarter of 2021. That is soon enough. ASAP as they have made clear. They have the backing of the banks. No bankruptcy here. Sorry.
February 6, 2020
Aurora Cannabis Announces CEO Retirement and Succession, Board of Directors Expansion, and Business Transformation Plan
Releases Preliminary Results for the Second Fiscal Quarter Ended December 31, 2019
Aurora Cannabis Founder & CEO, Terry Booth, announces retirement and succession plan and expansion of the Board of Directors
Executive Chairman Michael Singer has been appointed Interim CEO, effective immediately; search for permanent successor underway
Two new Independent Directors to join the Board for a total of 10 directors, including 7 Independents
Announces comprehensive transformation plan to significantly reduce the Company's expense base, rationalize capital expenditures, and better align its balance sheet with current market conditions
Secures credit facility amendments that remove EBITDA ratio covenants and provide additional financial flexibility as Aurora executes transformation plan
Company provides select unaudited preliminary fiscal Q2 2020 financial results and updated outlook
Aurora to host Conference Call at 5:00 p.m. Eastern Time
NYSE | TSX : ACB
EDMONTON, Feb. 6, 2020 /CNW/ - Aurora Cannabis Inc. (the "Company" or "Aurora") (NYSE | TSX: ACB), the Canadian company defining the future of cannabis worldwide, today announced a CEO succession and Board expansion; the latter of which is detailed in a separate announcement released this afternoon. The Company also announced a business transformation plan that better aligns selling, general & administrative expenses, and capital expenditures with current market conditions.
These combined changes are consistent with, and evidence of Aurora's commitment to, achieving positive EBITDA and cash flow as rapidly as possible, while still maintaining the ability to capitalize on longer-term Canadian and global cannabis market opportunities.
Management today announced sweeping changes intended to rationalize the cost structure and balance sheet going forward. The Company believes this will better align the business financially with the current realities of the cannabis market in Canada while maintaining a sustainable platform for long-term growth.
These actions are expected to include significant and immediate decreases in selling, general & administrative ("SG&A") expenses and capital investment plans.
It is the Company's intention to manage the business to an SG&A range of $40 million to $45 million per quarter by the end of the fiscal fourth quarter of 2020, a significant decrease from the preliminary fiscal second quarter 2020 range announced today. To do this, management plans to focus the business on its core areas: 1) Canadian consumer market; 2) Canadian medical market; 3) established international medical markets; and 4) U.S. market initiatives. Severance and other one-time charges related to SG&A reductions are expected to range from $2 million to $4 million and will be largely incurred in the Company's fiscal second and third quarters ending December 31, 2019 and March 31, 2020 respectively.
As part of the changes to operations, the Company has eliminated close to 500 full-time equivalent staff across the company, including approximately 25% of corporate positions. Additionally, management is restructuring spending plans on information technology projects, sales and marketing initiatives, travel & entertainment, professional services, and other non-revenue generating third-party costs which do not provide an immediate impact on revenue.
Aurora announced its intention to reduce capital expenditures for the second half of fiscal 2020 to bring capital expenditures below $100 million in total. Over the past several weeks, Aurora management has undertaken a detailed evaluation of all capital projects underway and made decisions with respect to continuing or terminating further investment in each. Future capital allocation decisions will be scrutinized first and foremost through a lens of optimizing near-term investor returns.
Aurora has also announced a number of amendments to its secured credit facilities which are designed to better align the Company's balance sheet and cash flow expectations with current market conditions and to provide financial flexibility over the near term. These amendments include:
Complete removal of all EBITDA ratio covenants, originally set to commence in the period ending September 30, 2020
Complete removal of fixed charge coverage ratio covenant
Adjustment of the total funded debt-to-equity covenant to 0.20:1 commencing in fiscal third quarter 2020, from 0.25:1 currently
Reduction of the total facility size available by $141.5 million
Introduction of a new minimum liquidity covenant of $35 million
The introduction of a covenant requiring Aurora to achieve positive EBITDA thresholds beginning in fiscal Q1 2021 that The Company believes are consistent with today's announced changes.
Glen Ibbott, Aurora's CFO stated, "We are pleased to have reached an agreement with our syndicate of banks to provide Aurora with additional financial flexibility aligned with our focus on achieving near-term profitability and providing the Company with options to refinance the facility at maturity. I would like to thank our banking partners for their continued support of Aurora."
$1.50 was the last bottom, so maybe it will hold. Will be adding more January, 2022 $2 calls, but waiting...
I am feeling so sentimental today because my first buys of ACBFF were at $1.60 back in the summer of 2017. Don't worry, I took profits in 2017 and 2018. Not so much in 2019.
ACB is down about 85% since April
RS*N is down about 90% since April
Which is worse? Which has the potential to be a dominant company in the MJ space?
RS*N @ .0003?
Yeah, right.
I like this part the most. :)
"The pot titan's (ACB) upside, though, is equally impressive. The global cannabis market has the potential to rise at a compound annual growth rate of 27% for the next decade, according to a report by Arcview Market Research. So if Aurora can simply hold on and edge out its closest competitors, it could be worth tens of billions of dollars by the end of the decade."
Tens of billions... bwahahaha
https://www.fool.com/investing/2020/02/06/2-ultra-risky-stocks-that-could-make-you-filthy-ri.aspx
"Now if we can just get rid of Peltz who is getting paid to do nothing we would be ok. Streamline hire new leaders like Tim Cook. The product sell itself. There should be no reason that thiscompany tanked theway it did except for poor managment. Focus directly on USA and Canada and a few euro countries and it should soar in no time. Make a deal with new leaders like you diliver you get bonuses you don't well then you won't period. Gotta get tough. I just cant believe the amoumt of monies that was wasted making poor decisions.Wow. What were they thinking?"
No other reason? The entire Canadian MJ sector has tanked since last April.
I guess the "management" at all of the companies, down 60 to 85%, made poor decisions. What could they have been thinking?
I appreciate the clarity and decisiveness of their plan, as well as their forthrightness in explaining everything in detail. Positive cash flow ASAP
Aurora Cannabis Announces CEO Retirement and Succession, Board of Directors Expansion, and Business Transformation Plan
Today : Friday 7 February 2020
Financial Transformation & Capital Position
Management today announced sweeping changes intended to rationalize the cost structure and balance sheet going forward. The Company believes this will better align the business financially with the current realities of the cannabis market in Canada while maintaining a sustainable platform for long-term growth.
These actions are expected to include significant and immediate decreases in selling, general & administrative ("SG&A") expenses and capital investment plans.
Selling, General & Administrative Expenses
It is the Company's intention to manage the business to an SG&A range of $40 million to $45 million per quarter by the end of the fiscal fourth quarter of 2020, a significant decrease from the preliminary fiscal second quarter 2020 range announced today. To do this, management plans to focus the business on its core areas: 1) Canadian consumer market; 2) Canadian medical market; 3) established international medical markets; and 4) U.S. market initiatives. Severance and other one-time charges related to SG&A reductions are expected to range from $2 million to $4 million and will be largely incurred in the Company's fiscal second and third quarters ending December 31, 2019 and March 31, 2020 respectively.
As part of the changes to operations, the Company has eliminated close to 500 full-time equivalent staff across the company, including approximately 25% of corporate positions. Additionally, management is restructuring spending plans on information technology projects, sales and marketing initiatives, travel & entertainment, professional services, and other non-revenue generating third-party costs which do not provide an immediate impact on revenue.
Capital Expenditures
Aurora announced its intention to reduce capital expenditures for the second half of fiscal 2020 to bring capital expenditures below $100 million in total. Over the past several weeks, Aurora management has undertaken a detailed evaluation of all capital projects underway and made decisions with respect to continuing or terminating further investment in each. Future capital allocation decisions will be scrutinized first and foremost through a lens of optimizing near-term investor returns.
Balance Sheet & Liquidity
Aurora has also announced a number of amendments to its secured credit facilities which are designed to better align the Company's balance sheet and cash flow expectations with current market conditions and to provide financial flexibility over the near term. These amendments include:
Complete removal of all EBITDA ratio covenants, originally set to commence in the period ending September 30, 2020
Complete removal of fixed charge coverage ratio covenant
Adjustment of the total funded debt-to-equity covenant to 0.20:1 commencing in fiscal third quarter 2020, from 0.25:1 currently
Reduction of the total facility size available by $141.5 million
Introduction of a new minimum liquidity covenant of $35 million
The introduction of a covenant requiring Aurora to achieve positive EBITDA thresholds beginning in fiscal Q1 2021 that The Company believes are consistent with today's announced changes.
Glen Ibbott, Aurora's CFO stated, "We are pleased to have reached an agreement with our syndicate of banks to provide Aurora with additional financial flexibility aligned with our focus on achieving near-term profitability and providing the Company with options to refinance the facility at maturity. I would like to thank our banking partners for their continued support of Aurora."
Aurora announced that, given market current cannabis market conditions and the slower than expected near-term industry growth, it has undertaken a thorough review of all business operations and concluded that certain assets and goodwill values as at December 31, 2019 exceed current fair-market valuations. As such, when Aurora formally reports its fiscal second quarter 2020 results, it expects to report asset impairment charges on certain intangible and property, plant and equipment in a range of $190 million to $225 million and write-downs of goodwill in the range of $740 million to $775 million. Following these non-cash charges, Aurora expects to remain compliant with its revised total debt-to-equity covenant going forward.
Glen Ibbott continued, "The assets being impaired are predominantly associated with our operations in South America and Denmark, as our estimate of the timeline for substantial growth extends in those markets. Our core Canadian cannabis assets are not impacted by these non-cash asset impairment charges." Ibbott concluded, "We believe that the long-term opportunity for Aurora remains very compelling, despite a slower than anticipated rate of industry growth in the near-term. We also believe our approach to rationalizing the business and conservatively improving our balance sheet positions Aurora in a more stable position for sustainable growth going forward."
Who knows how low it will go today? This is long-term hold. Will try to buy more at or near bottom
Post from another board:
OK lets look at this.
1. Bank loan 2021 problems Fixed.
2. SGA $80M+ a 1/4 cut to $40M. Fixed.
3, Goodwill write down happened. Fixed.
4. Terry Booth steps down. Fixed.
5. Focused on profits only and investors returns. Fixed.
6. Inventory issues. Fixed.
7. Germany back on line. Fixed.
Things that will happen in the near future.
1. Search for new great CEO. Will happen.
2. High margin 2.0 products selling off shelves. Will happen.
3. CBD deals in the USA. Will happen.
4. UFC news. Will happen.
5. New stores opening up all over Canada. Will happen.
6. Peltz deals. Yes.. Will happen.
7. Stay the lowest cost producer. Will happen.
8. Sales growth. Will happen.
9. Partnerships. Yup Will Happen.
Aurora is a lot more mature of a company now than it was last week.
Aurora has a brighter future than it had last week.
Aurora will be profitable quicker than it was going to be last week.
So hold on guys and girls. We will be rewarded. This is a new company as of today.
"Can you imagine and Aurora cannabis Oreo. It will sell like hotcakes"
I have to disagree, Lucky, It would sell like Oreos with THC... mmmmm
Which brings up the age old question, "which came first, the munchies or the Oreos?"
Comments from an alternate universe:
"So all along, everybody wants Booth gone, wants an arrangement with someone like mondelez, and wants them to cut costs... Now a massive selloff reaction after they accomplish all 3???? Am I missing something here?"
"....absolutely promising . That was a great call and insight to a solid, yet conservative fiscal plan to profitability by Q2 21. Loaded up at $1.75 and reduced my average. I expect meaningful investors who understand financials to agree with today's call. Not sure that I now need to listen to the call on 2/13 for the Q2 Results and Q3 and Q4 guidance. I really liked what I heard from both Michael and Glen."
Savant, Greenspan called it "Irrational Exuberance".
And ToolTim gets a gold star. That's 3 for you. Good boy, Tool, but your comment below in bold is still BS, and just mean-spirited speculation on your part.
tooltimetim Wednesday, 02/05/20 11:06:17 AM
Re: Chicago-Paul post# 61911 0
Post #
61913
of 62087
Not enough outlets in Ontario is definitely not why Aurora is tanking.
It's a bloated pig with terrible management.
Cam left because he couldn't stomach being the voice of un truths anymore.
I'm back in at a buck
From another board:
I'm amazed at how many people can't read results with a level head. in any other industry, this would barely budge 0.5% ... but the people in weed are inexperienced and prone to panic.
CEO Succession & Business Transformation Plan Conference Call
DATE: Today, Thursday, February 6, 2020
TIME: 5:00 p.m. Eastern Time | 3:00 p.m. Mountain Time
WEBCAST: http://public.viavid.com/index.php?id=138052
Aurora Cannabis Announces CEO Retirement and Succession, Board of Directors Expansion, and Business Transformation Plan
CNW Group CNW GroupFebruary 6, 2020
Releases Preliminary Results for the Second Fiscal Quarter Ended December 31, 2019
Aurora Cannabis Founder & CEO, Terry Booth, announces retirement and succession plan and expansion of the Board of Directors
Executive Chairman Michael Singer has been appointed Interim CEO, effective immediately; search for permanent successor underway
Two new Independent Directors to join the Board for a total of 10 directors, including 7 Independents
Announces comprehensive transformation plan to significantly reduce the Company's expense base, rationalize capital expenditures, and better align its balance sheet with current market conditions
Secures credit facility amendments that remove EBITDA ratio covenants and provide additional financial flexibility as Aurora executes transformation plan
Company provides select unaudited preliminary fiscal Q2 2020 financial results and updated outlook
Aurora to host Conference Call at 5:00 p.m. Eastern Time
NYSE | TSX : ACB
EDMONTON, Feb. 6, 2020 /CNW/ - Aurora Cannabis Inc. (the "Company" or "Aurora") (NYSE | TSX: ACB), the Canadian company defining the future of cannabis worldwide, today announced a CEO succession and Board expansion; the latter of which is detailed in a separate announcement released this afternoon. The Company also announced a business transformation plan that better aligns selling, general & administrative expenses, and capital expenditures with current market conditions.
Aurora Cannabis Inc. (CNW Group/Aurora Cannabis Inc.)View photos
Aurora Cannabis Inc. (CNW Group/Aurora Cannabis Inc.)
More
These combined changes are consistent with, and evidence of Aurora's commitment to, achieving positive EBITDA and cash flow as rapidly as possible, while still maintaining the ability to capitalize on longer-term Canadian and global cannabis market opportunities.
CEO Succession
Aurora CEO Terry Booth stated, "Over the last seven years, Aurora has built an incredible platform and a leading position in the global Cannabis industry. I am proud and humbled to have led that journey with a deeply talented and passionate team of employees. While there is still much work to be done, the timing is right to announce my retirement with a thoughtful succession plan in place and the immediate expansion of the Board of Directors. These changes, along with the financial transformation which we are undertaking, should clearly demonstrate to investors that Aurora has the continuity, strategic direction and leadership it needs to transition from its entrepreneurial roots to an established organization well positioned to capitalize on a global growth opportunity. In that spirit, and with my full support, the Board of Directors has appointed Michael Singer as Interim CEO effective immediately." Booth continued, "As part of the succession plan, I will become a Senior Strategic Advisor to the Board and remain a Director. Additionally, we're welcoming new independent members; Lance Friedmann and Michael Detlefsen who bring a wealth of strategic and hands-on consumer products industry experience to the organization."
Michael Singer, Aurora's Executive Chairman and Interim CEO stated, "I look forward to serving as Interim CEO and executing on our short-term plans, which include a rationalization of our cost structure, reduced capital spending, and a more conservative and targeted approach to capital deployment. These are necessary steps that reflect a fundamental change in how we will operate the business going forward." Singer continued, "On behalf of the Board of Directors, I want to thank Terry for his leadership over the years. He's made an indelible mark on the industry and left an enviable legacy in the form of Aurora Cannabis and the potential that exists for the Company over the coming decades. As one of the original cannabis visionaries, Terry is an invaluable resource with deep industry knowledge that we can leverage strategically. I look forward to having him continue on as a Senior Strategic Advisor to our Board of Directors."
Financial Transformation & Capital Position
Management today announced sweeping changes intended to rationalize the cost structure and balance sheet going forward. The Company believes this will better align the business financially with the current realities of the cannabis market in Canada while maintaining a sustainable platform for long-term growth.
These actions are expected to include significant and immediate decreases in selling, general & administrative ("SG&A") expenses and capital investment plans.
Selling, General & Administrative Expenses
It is the Company's intention to manage the business to an SG&A range of $40 million to $45 million per quarter by the end of the fiscal fourth quarter of 2020, a significant decrease from the preliminary fiscal second quarter 2020 range announced today. To do this, management plans to focus the business on its core areas: 1) Canadian consumer market; 2) Canadian medical market; 3) established international medical markets; and 4) U.S. market initiatives. Severance and other one-time charges related to SG&A reductions are expected to range from $2 million to $4 million and will be largely incurred in the Company's fiscal second and third quarters ending December 31, 2019 and March 31, 2020 respectively.
As part of the changes to operations, the Company has eliminated close to 500 full-time equivalent staff across the company, including approximately 25% of corporate positions. Additionally, management is restructuring spending plans on information technology projects, sales and marketing initiatives, travel & entertainment, professional services, and other non-revenue generating third-party costs which do not provide an immediate impact on revenue.
Capital Expenditures
Aurora announced its intention to reduce capital expenditures for the second half of fiscal 2020 to bring capital expenditures below $100 million in total. Over the past several weeks, Aurora management has undertaken a detailed evaluation of all capital projects underway and made decisions with respect to continuing or terminating further investment in each. Future capital allocation decisions will be scrutinized first and foremost through a lens of optimizing near-term investor returns.
Balance Sheet & Liquidity
Aurora has also announced a number of amendments to its secured credit facilities which are designed to better align the Company's balance sheet and cash flow expectations with current market conditions and to provide financial flexibility over the near term. These amendments include:
Complete removal of all EBITDA ratio covenants, originally set to commence in the period ending September 30, 2020
Complete removal of fixed charge coverage ratio covenant
Adjustment of the total funded debt-to-equity covenant to 0.20:1 commencing in fiscal third quarter 2020, from 0.25:1 currently
Reduction of the total facility size available by $141.5 million
Introduction of a new minimum liquidity covenant of $35 million
The introduction of a covenant requiring Aurora to achieve positive EBITDA thresholds beginning in fiscal Q1 2021 that The Company believes are consistent with today's announced changes
Glen Ibbott, Aurora's CFO stated, "We are pleased to have reached an agreement with our syndicate of banks to provide Aurora with additional financial flexibility aligned with our focus on achieving near-term profitability and providing the Company with options to refinance the facility at maturity. I would like to thank our banking partners for their continued support of Aurora."
Aurora announced that, given market current cannabis market conditions and the slower than expected near-term industry growth, it has undertaken a thorough review of all business operations and concluded that certain assets and goodwill values as at December 31, 2019 exceed current fair-market valuations. As such, when Aurora formally reports its fiscal second quarter 2020 results, it expects to report asset impairment charges on certain intangible and property, plant and equipment in a range of $190 million to $225 million and write-downs of goodwill in the range of $740 million to $775 million. Following these non-cash charges, Aurora expects to remain compliant with its revised total debt-to-equity covenant going forward.
Glen Ibbott continued, "The assets being impaired are predominantly associated with our operations in South America and Denmark, as our estimate of the timeline for substantial growth extends in those markets. Our core Canadian cannabis assets are not impacted by these non-cash asset impairment charges." Ibbott concluded, "We believe that the long-term opportunity for Aurora remains very compelling, despite a slower than anticipated rate of industry growth in the near-term. We also believe our approach to rationalizing the business and conservatively improving our balance sheet positions Aurora in a more stable position for sustainable growth going forward."
Aurora announced that its consolidated cash position was $156 million, excluding $45 million of restricted cash as at December 31, 2019. This includes gross proceeds raised under its US$400 million At-the-Market ("ATM") financing program of approximately US$245 million (or approximately $325 million) to date in fiscal 2020. As of today, the Company has remaining capacity under its current ATM program of approximately $200 million. With the cost reduction and business transformation initiatives announced today, the Company expects that utilization of the ATM capacity will be sufficient to fund operations and remaining required capital expenditures, to the points where positive EBITDA and free cash flow are achieved.
Unaudited Preliminary Fiscal 2020 Second Quarter Financial Results
Aurora today provided unaudited preliminary second quarter fiscal 2020 financial results. The Company expects cannabis revenues for the second quarter of fiscal 2020 of $62 million to $66 million, net of excise taxes. Aurora expects to record provisions for returns, price reductions and future provisions of approximately $12 million, almost all of which relates to product sold in previous quarters. Therefore, net cannabis revenues, after giving effect to these offsets, are expected to be $50 million to $54 million. These revenue expectations reflect consistent quarter-over-quarter medical revenues, a decrease in international revenues due to short-term German supply interruptions, and much lower bulk sales. For the second quarter, Aurora expects to report modest quarter-over-quarter growth in consumer cannabis revenues prior to applying these offsetting return and price reduction allowances.
Cash cost to produce per gram of dried cannabis sold(1) is expected to remain below $1.00, sales and marketing expenses are expected to be between $28 million to $32 million and general and administrative expenses are expected to be between $70 million to $75 million.
The outlook for cannabis revenue for Aurora's fiscal third quarter is expected to be impacted by the general industry headwinds mentioned above, and as such will likely show little to no growth relative to fiscal Q2's cannabis revenue of $62 million to $66 million, prior to the provisions for returns and price reductions.
Aurora will announce its full second quarter fiscal 2020 financial results on February 13, 2020.
Aurora will host a conference call today at 5:00pm Eastern Time to discuss these updates.
CEO Succession & Business Transformation Plan Conference Call
DATE: Today, Thursday, February 6, 2020
TIME: 5:00 p.m. Eastern Time | 3:00 p.m. Mountain Time
WEBCAST: public.viavid.com/index.php?id=138052
Aurora Cannabis Issues Release Confirming Earlier Reports; Co. Announces CEO Retirement And Succession, Board Of Directors Expansion, And Business Transformation Plan
4:39 pm ET February 6, 2020 (Benzinga) Print
Releases Preliminary Results for the Second Fiscal Quarter Ended December 31, 2019
Aurora Cannabis Founder & CEO, Terry Booth, announces retirement and succession plan and expansion of the Board of Directors
Executive Chairman Michael Singer has been appointed Interim CEO, effective immediately; search for permanent successor underway
Two new Independent Directors to join the Board for a total of 10 directors, including 7 Independents
Announces comprehensive transformation plan to significantly reduce the Company's expense base, rationalize capital expenditures, and better align its balance sheet with current market conditions
Secures credit facility amendments that remove EBITDA ratio covenants and provide additional financial flexibility as Aurora executes transformation plan
Company provides select unaudited preliminary fiscal Q2 2020 financial results and updated outlook
Terry planned to appear on Midas report last week, but pushed it off until this week, still possibly tomorrow. Hmmm. Seems like a clue to me... of good news pending. We shall see.
Aurora Cannabis shares halted for news amid report of plan to cut 10% of staff
Feb 6, 2020 2:07 p.m. ET
By
CIARA
Aurora Cannabis Inc. shares ACB, -5.60% ACB, -5.16% were halted for news pending in afternoon trading Thursday, amid reports the company is planing job cuts. Aurora is planning to lay off 10% of its staff, BNN Bloomberg reported. The company did not immediately respond to a request for comment. The stock fell 5.6% before the halt, and is down 74% in the last 12 months, while the ETFMG Alternative Harvest ETF MJ, -1.02% has fallen 52% and the S&P 500 SPX, +0.29% has gained 22%.
Yes, I showed my wife as a joke, with her account up 1,000%, she kept insisting I sell her options now. I put up one for sale. So far no bites. :)
Cannabis 2.0
ACB 2.0... again :(
Tim, or is it Tool?
Please check out www.watchandlearn.com
Aurora plans to lay off 10% of staff amid profitability push:
By David George-Cosh
Aurora Cannabis Inc. plans to cut its workforce by about 10 per cent, the latest cannabis company to slash jobs in an effort to move toward profitability, according to a person directly familiar with the matter.
The company, which has approximately 3,400 staff across more than 20 countries around the world, is expected to announce the job cuts in the next few days, the person said. A significant amount of the job cuts will be earmarked for consultants that the company has hired on a contract basis, according to the person who declined to be named as they were not authorized to speak publicly.
“This is more of a lean out campaign after scaling up the company over the past few years,” the person said.
Laura Gallant, senior media strategist at Aurora, said in an email to BNN Bloomberg that the company doesn’t comment on speculation or rumours.
Aurora’s upcoming job cuts are the latest workforce reductions in the Canadian cannabis sector, which is struggling to tackle a still-thriving illicit market and a slow rollout of legal retail outlets across the country.
On Tuesday, Tilray Inc. announced a similar move where about 10 per cent of the cannabis producer’s 1,440-odd staff would be cut in an effort to reduce costs and turn a profit. Other cannabis companies including Hexo Corp., CannTrust Holdings Inc. and Sundial Growers Inc. have all announced similar staff reductions in the past several months.
Aurora, which is one of the biggest cannabis producers in the world, has signalled several moves aimed at regaining investor confidence. In December, Aurora fired its high-profile chief corporate officer Cam Battley, put an Ontario production facility on the market for $17 million and amended a credit facility to target positive earnings before interest, taxes, depreciation and amortization (EBITDA) by mid-2020.
Cantor Fitzgerald analyst Pablo Zuanic said in a research note released last month he expects Aurora to become EBITDA positive by the end of its fiscal year in June as the company’s capital expenditures should be trimmed to about $40 million a quarter, while keeping gross margins above 50 per cent.
“We sense a greater focus and a greater urgency regarding costs and cash flow,” Zuanic said.
Aurora, which reports its second-quarter results on Feb. 12, has yet to report positive adjusted EBITDA despite producing some of the cannabis industry’s highest revenues. In November, Aurora reported an adjusted EBITDA loss of $46.7 million in its fiscal first-quarter results and $75.2 million in revenue. Analysts expect the company to report $79.2 million in revenue in its second-quarter results, while posting an adjusted negative EBITDA of $37.5 million.
https://www.bnnbloomberg.ca/aurora-plans-to-lay-off-10-of-staff-amid-profitability-push-source-1.1385552
Reading the board again tonight after many years was like reliving an old nightmare, where you try to run, but you can't, you try to scream, but you can't, you try to sell, but you can't...
Excuse me, I have got to shower the NNVC off of me now. GLTA
If you have a great product, the best way to increase revenues is to educate.
The article buzz linked was an excellent analysis of the actual, real numbers, dispelling the BS myth that has been propagated in one article after another for months and months.
Another is the eeekks, FU in Germany portending terrible things for ACB... well, it turns out to be a blip on the radar, blown way out of proportion by analysts and chatroom folk.
Taking the long view, ACB will be a world-wide powerhouse. Get some January, 2022 $2 calls, sit back and relax.
Add a few January, 2022 $5 calls for fun.
Preaching to the choir with you, Hippd. Today, the March 20, 2020 $2 calls are doing very well, up 28%. Could be explosive in the coming days.
Up 7% this morning
Lots of good links today. Thanks. BS storylines pushed during the downturn are being dispelled one by one.
Sector and ACB PPS looking ^^^ this morning
This followed by even a modest positive surprise on earnings and encouraging guidance on 2.0 sales would definitely do the trick.
Or the market is insane.
Aurora Cannabis Receives EU GMP Certification for its Aurora River Facility
7:00 am ET February 3, 2020 (PR Newswire)
-- Achievement increases total production capacity available to serve international medical markets by 230%
-- Brings Aurora's total number of EU GMP certified Canadian production facilities to 3
-- Pharmacies in Germany have been instructed to resume sales of Aurora's suite of medical cannabis following temporary pause
NYSE | TSX : ACB
Aurora Cannabis Inc. ("Aurora" or the "Company") (NYSE | TSX: ACB), the Canadian company defining the future of cannabis worldwide, announced today its Aurora River production facility, located in Bradford, Ontario, has received European Union Good Manufacturing Practice ("EU GMP") certification. EU GMP certification is granted to companies whose production facilities demonstrate a high degree of quality and consistency in their manufacturing procedures and is a requirement for the export of medical cannabis products into most European markets.
https://mma.prnewswire.com/media/1085122/Aurora_Cannabis_Inc__Aurora_Cannabis_Receives_EU_GMP_Certificati.jpg
In addition, Aurora is pleased to announce it has received all necessary approvals from local regulators in Germany for sales of its medical cannabis products, following a temporary sales suspension on certain products in December 2019. Aurora will fulfill existing sales orders from inventory currently held in Germany, ensuring local patients will have immediate access to medicine from their preferred pharmacy.
"Aurora is leading the development of medical markets across Europe and around the world," said Terry Booth, CEO of Aurora. "The EU GMP certification of our River facility further validates our strategy focused on purpose-built facilities, designed and constructed exclusively for the production of high-quality, pharmaceutical grade cannabis. I congratulate our team on successfully working with regulators and licensing bodies to ensure Aurora's facilities and products are in accordance with local and international standards that will allow for greater access to the highest quality medical cannabis products to patients who need them."
Designed for large scale, high quality production, Aurora River has a cultivation capacity of 28,000 kg per year across its 17 fully-planted, independently climate-controlled grow rooms. The EU GMP certification of Aurora River enables the Company to allocate both a greater quantity of dried and extracted product to international markets as well as introduce new products grown and produced in the facility. To date, Aurora has received EU GMP certification for 3 of its 10 Canadian production facilities. Aurora River joins Aurora Mountain, located in Mountain View County, Alberta with a production capacity of 4,800 kg a year, and Aurora Ridge located in Markham, Ontario with a production capacity of 7,000 kg a year, in achieving this important certification.
Grizzle
GLOBAL CANNABIS INDUSTRY VALUED AT $14.4 BILLION
Surging demand for cannabis in Canada, California, and Massachusetts drove a 45.7% increase in global sales during 2019, according to researchers at Arcview and BDS Analytics.
They crunched the numbers and calculated that legal marijuana sales reached $14.9 billion last year. Recreational sales in Canada, California, and Massachusetts were credited with driving the strong upswing, while flourishing medical sales in Florida and Oklahoma also took some of the credit.
Arcview Group founder Troy Dayton hailed a robust performance in spite of challenges caused by over-regulation and overtaxing in the two biggest markets – California and Canada. “That is a true testament to just how popular cannabis is among consumers and the ongoing impact of new markets coming online and maturing,” said Dayton.
He added that the possibilities for future growth are “boundless” as political progress is made and regulatory improvements take place around the world. The analysts at Arcview and BDS Analytics now estimate that the global market will be worth $42.7 billion by 2024.
States and countries that want to boost the size of their medical cannabis sectors should glean inspiration from the approach taken in Florida and Oklahoma, according to BDS Analystics managing director Tom Adams.
He said the former has benefited by loosening product restrictions and adopting a more free-market approach, while the latter has flourished as a result of a light regulatory touch and low tax rates. That is important for any jurisdiction that wants to make legal sales competitive with the black market, thus safeguarding consumer health and ensuring a long-term, healthy stream of tax revenue.
The report said that sales reached $12.2 billion in the U.S., which accounted for the lion’s share of worldwide legal sales. It said sales in the rest of the world were worth just $840 million, although that is an increase of more than 200% from $367 million the previous year.
Germany and Mexico were the primary drivers of that growth. The researchers expect to see Canada’s cannabis sector galvanized by the legalization of edibles, vapes, and other concentrates, dubbed Cannabis 2.0, while they also noted that Ontario’s decision to permit more pot stores to open would give the market a shot in the arm.
https://grizzle.com/global-cannabis-industry/
Grizzle
GLOBAL CANNABIS INDUSTRY VALUED AT $14.4 BILLION
Surging demand for cannabis in Canada, California, and Massachusetts drove a 45.7% increase in global sales during 2019, according to researchers at Arcview and BDS Analytics.
They crunched the numbers and calculated that legal marijuana sales reached $14.9 billion last year. Recreational sales in Canada, California, and Massachusetts were credited with driving the strong upswing, while flourishing medical sales in Florida and Oklahoma also took some of the credit.
Arcview Group founder Troy Dayton hailed a robust performance in spite of challenges caused by over-regulation and overtaxing in the two biggest markets – California and Canada. “That is a true testament to just how popular cannabis is among consumers and the ongoing impact of new markets coming online and maturing,” said Dayton.
He added that the possibilities for future growth are “boundless” as political progress is made and regulatory improvements take place around the world. The analysts at Arcview and BDS Analytics now estimate that the global market will be worth $42.7 billion by 2024.
States and countries that want to boost the size of their medical cannabis sectors should glean inspiration from the approach taken in Florida and Oklahoma, according to BDS Analystics managing director Tom Adams.
He said the former has benefited by loosening product restrictions and adopting a more free-market approach, while the latter has flourished as a result of a light regulatory touch and low tax rates. That is important for any jurisdiction that wants to make legal sales competitive with the black market, thus safeguarding consumer health and ensuring a long-term, healthy stream of tax revenue.
The report said that sales reached $12.2 billion in the U.S., which accounted for the lion’s share of worldwide legal sales. It said sales in the rest of the world were worth just $840 million, although that is an increase of more than 200% from $367 million the previous year.
Germany and Mexico were the primary drivers of that growth. The researchers expect to see Canada’s cannabis sector galvanized by the legalization of edibles, vapes, and other concentrates, dubbed Cannabis 2.0, while they also noted that Ontario’s decision to permit more pot stores to open would give the market a shot in the arm.
https://grizzle.com/global-cannabis-industry/
So do I. Feeling an upside surprise coming. Maybe not big, but enough to at least steady the ship and start a slow recovery in share price.
We shall see.
I shorted the survivors and Wild Adventures, LLC. into the ground also.
No mercy in the stock market!
dhbuzz Wednesday, 01/29/20 09:41:57 PM
Re: HarleyP post# 61720 0
Post #
61726
of 61731
""There is a a very long list of companies who have done reverse splits,and or declared BK in order to survive.To think acb is beyond this because it's a "slap in the face" is not very debatable at this point...Not saying either will happen,but
I doubt seriously that the Donner party thought they would be eating their friends in order to survive."
I shorted the Donner party just after they left heading West. Made a killing.
I thought of that, Oliver, but actually suspect Peltz. He's always hanging around the employee lounge.