Aurora Cannabis (ACB) Q1 2027 earnings summary

Executive summary

• Net revenue for Q1 FY27 was $67.6 million, down 9% year-over-year, driven by lower Canadian medical and consumer cannabis sales, but offset by a 17% increase in international medical cannabis revenue, especially in Germany.

• Maintained leading market share in Canada, Germany, Poland, Australia, and New Zealand, with international medical cannabis now representing 64% of total net revenue.

• Strategic focus on global medical cannabis, supported by the acquisition and EU-GMP certification of Safari Flower Company, and continued investment in genetics and plant science.

• Strong balance sheet with $149.1 million in cash, cash equivalents, and short-term investments, and no debt.

• Completed divestiture of Bevo Agtech Inc. in February 2026, with results now reflecting continuing operations only.

Financial highlights

• Q1 FY27 net revenue was $67.6 million, with international medical cannabis revenue up 17% to $43.3 million and Canadian medical revenue down 25% to $20.7 million.

• Adjusted gross margin before fair value adjustments was 58%, down from 64% year-over-year; medical cannabis margin was 61%, down from 69%.

• Adjusted EBITDA was $3.4 million, down from $10.8 million year-over-year.

• Net loss from continuing operations was $4.0 million, improved from $10.2 million loss year-over-year.

• Free cash flow was an outflow of $5.8 million, compared to an inflow of $6.8 million in the prior year.

Outlook and guidance

• Fiscal 2027 is a transition year, with a focus on reallocating resources to global medical cannabis and exiting low-margin businesses.

• Revenue and adjusted EBITDA are expected to improve sequentially in Q2 FY27, driven by international expansion and patient demand.

• Targeting sustained double-digit revenue growth and superior margins over the coming years through global market leadership and EU-GMP capacity expansion.