Canopy Growth (NYSE:CGC) is 10% lower on heavy postmarket volume after its fiscal Q1 earnings fell short of expectations despite a record harvest.
Revenue increased nearly 250% year-over-year but missed an aggressive consensus. The company trimmed EBITDA losses to -C$92M from last quarter's -C$97.7M.
The harvest (its first since last year's retrofitting of large-scale greenhouse) came to 40,960 kilograms, up 183% from last quarter and up 323% Y/Y, and dried cannabis sales to the Canadian recreational market rose 94% sequentially.
Its biggest net loss contributor was a one-time noncash charge on extinguishment of warrant liability of C$1.18B, the company says. Net loss came to C$1.28B.
Cannabis = no earnings = bubble waiting to burst IMHO.
