U.S.-focused cannabis stocks and ETFs may have taken a dip in pre-market trading on Wednesday in response to 2024 U.S. election outcomes. However, with earnings season gearing up it remains to be seen whether the latest earnings reports would get stocks back on track.
Canopy Growth
Canopy Growth Corporation (TSX:WEED) (NASDAQ:CGC) will report the second quarter of fiscal year 2025 ended Sept. 30, before financial markets open on Friday, Nov. 8, 2024.
The Canadian cannabis giant will host an audio webcast with CEO David Klein, who recently announced his plan to retire at the end of the company’s fiscal year on March 31, 2025, and CFO Judy Hong the same at 10 am Eastern Time.
Canopy's first quarter earnings report made public in August showed Canadian medical marijuana revenue surged 20% year-over-year. Over the same period, the company has been amping up its efforts to expand in the U.S. market via the Canopy USA business unit.
Canopy USA, LLC has completed its acquisition of Wana last month. The deal included Wana Wellness, LLC, The CIMA Group, LLC, and Mountain High Products, LLC. The top edibles brand, Wana, generated roughly $150 million in retail sales across 19 states in 2023.
Combined with the wrapped-up acquisition of roughly 75% of the shares of cannabis edibles producer, Lemurian, Inc. (Jetty) as announced this past June, Canopy USA has fulfilled its plan to set up a brand-focused cannabis company in the U.S.
The completed acquisitions of Wana and roughly 75% of the shares of Jetty, followed by the contemplated acquisition of Acreage Holdings, Inc., are expected to enable Canopy USA to boost its financial position.
Read Also: Why Canopy’s ‘Brand-First’ Strategy Could Set It Apart From Tilray And Aurora – Here’s What Investors Should Watch
Canopy made headlines earlier in October by making an early payment of $100 million on its senior secured loan at a discounted price of $97.5 million. The move reduced the company's debt and saved around $14 million in annual interest costs while highlighting its focus on financial discipline.
Canopy Growth's shares traded 20.7513% lower at $20.7513% per share at the time of writing on Wednesday morning.
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IM Cannabis
IM Cannabis Corp. (CSE:IMCC) (NASDAQ:IMCC) a medical cannabis company with operations in Israel and Germany, will report operational and financial results for the third quarter ended Sept. 30 on Nov. 14, 2024, before the market opens.
The company will host a Zoom web conference on the same day at 9:00 am Eastern Time to discuss the results, followed by a question-and-answer session for the investment community.
IM Cannabis announced a major share consolidation plan in June. Its board of directors approved a consolidation of its issued and outstanding common shares under which every six pre-consolidated common shares will convert into one post-consolidated share. The strategic decision reduced its outstanding shares from 13,394,136 to 2,232,357, at the time, making the stock more attractive to institutional investors and improving liquidity.
The company announced last month it intends to undertake a non-brokered private placement offering of up to $1,613,000 through the sale of roughly 625,000 units. The company plans to close the offering in one or more tranches.
Prior to that, the company announced the preliminary sales results in Germany by its subsidiary operating in the country, Adjupharm GmbH, for the third quarter of 2024. The results have significantly exceeded expectations, reporting a 50% increase in revenue compared to the previous quarter.
IM Cannabis' shares traded 2.43% lower at $2.0002 per share at the time of writing on Wednesday morning.
Read Also: German Medical Marijuana Sales To Reach $1.09B By 2028, New Report
Auxly Cannabis
Auxly Cannabis Group Inc. (TSX:XLY) (OTCQB:CBWTF) will report earnings results for its third quarter ended Sept. 30 on Friday, Nov. 8, 2024, before the financial markets open.
The cannabis consumer packaged goods company reported in August a new quarterly record in revenue of CA$29.2 million ($21.3 million). "After our best start to a year ever, we are thrilled to report our best Q2 in history, with exceptional financial performance setting a new Q2 record in revenue and all-time records in gross margin and adjusted EBITDA,” CEOHugo Alves said at the time.
Auxly’s shares traded 4.07% lower at $0.033 per share at the time of writing on Wednesday morning.
Read Next:
- Auxly Cannabis Achieves Record Q1: Adjusted EBITDA Soars 1,523%, Revenue Grows 5%, Strong 2024 Ahead
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