For a company chasing a multi billion-dollar global industry, Aurora Cannabis (ACB) continues to spin wheels with decisions and statements that make me nervous. The company is still burning substantial cash and needs a big June quarter to get out of the hole. The oncoming supply flood remains problematic despite the claims of management, so my long-term investment thesis remains negative while cognizant that the stock can still rally in the short term.
Image Source: Aurora Cannabis website
For FQ3, Aurora Cannabis still hasn’t made much progress in actually producing and selling cannabis, though most metrics did improve in the quarter. The company saw net cannabis revenue reach C$58.7 million, up from C$47.6 million in the prior quarter.