Aurora Cannabis Inc (ACB), a Canadian medical cannabis company, announced its financial results for the fourth quarter and full fiscal year ending March 31, 2026, on Thursday. The company achieved record annual global medical cannabis net revenue of $288.6 million, an 18% year-over-year increase. Adjusted EBITDA also reached a new high of $53.8 million, representing 32% growth compared to the previous year.
For the fourth quarter, total net revenue was $84.8 million, a 10% increase from the same period last year. Medical cannabis net revenue contributed $77.1 million, up 14% year-over-year and accounting for 91% of the consolidated revenue. Approximately 58% of the company's net revenue was generated from international markets outside Canada, highlighting the success of its global strategy. The Chief Executive Officer stated that the performance exceeded expectations, validating the company's global medical cannabis approach and its established leadership position in Canada, Europe, Australia, and New Zealand.
The adjusted gross margin for medical cannabis this quarter was 66%, down from 71% in the prior-year period. This decline was primarily attributed to an increased proportion of lower-margin product sales and strategic price reductions in certain markets. Adjusted EBITDA for the quarter was $9.2 million, lower than the $14.1 million reported a year ago. The net loss from continuing operations widened to $27.6 million from $12.1 million in the same quarter last year, mainly due to an increase in other expenses during the period. Adjusted net income was $5.6 million, down from $15.3 million in the prior-year quarter, primarily driven by higher adjusted selling, general, and administrative expenses, as well as reduced foreign exchange gains and interest income.
Financial Health and Strategic Moves
Regarding the balance sheet, the company held approximately $164.7 million in cash and cash equivalents as of the quarter's end, with no debt. In April of this year, the company completed an accretive acquisition of Safari Flower Company, adding a production facility certified to EU GMP standards to enhance its capacity for serving international markets.
Outlook for the Coming Fiscal Year
Looking ahead to fiscal year 2027, the company anticipates a decline in both total net revenue and adjusted EBITDA compared to fiscal 2026. This forecast is primarily due to adjustments in Canadian government reimbursement pricing for medical cannabis. However, growth in European markets such as Germany and Poland, along with the exit from low-margin businesses, is expected to partially offset these pressures.
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