Auxly Reports Fourth Quarter and Full Year 2025 Results
Executive Summary
- Auxly Cannabis Group reported FY 2025 net revenue of $151.5 M (+24% YoY) and Adjusted EBITDA of $43.8 M (+64% YoY), delivering a Material‑Positive earnings release.
- Q4 2025 revenue reached $40.1 M (+16% YoY) with Adjusted EBITDA of $12.5 M, net income of $0.9 M and cash balance of $32.3 M; total debt to EBITDA improved to 1.1×.
- Management announced a $10‑$12 M capital program for 2026 and disclosed that Auxly has become the DIP lender and stalking‑horse bidder for Ayurcann Inc.’s assets, indicating strategic M&A activity.
Key Details
- FY 2025 Financial Highlights
- Net revenue: $151.5 M (↑24%)
- Gross Margin on Finished Cannabis Inventory Sold: 54% (↑8 pts)
- Adjusted EBITDA: $43.8 M (↑64%) – margin 29%
- Net income: $41.9 M (+356% YoY) → $0.03 per share
- Cash & equivalents: $32.3 M (↑76% YoY)
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Debt: $46.3 M (↓15% YoY); Debt/Adj‑EBITDA = 1.1×
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Q4 2025 Financial Highlights
- Net revenue: $40.1 M (↑16%)
- Gross Margin on Finished Cannabis Inventory Sold: 56% (↑2 pts)
- Adjusted EBITDA: $12.5 M (↑14%) – margin 31%
- Net income: $0.9 M (+‑79% YoY due to fair‑value losses) → $0.001 per share
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Cash at quarter end: $32.3 M
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Operational Updates
- Launched premium‑tier brand “South Point” in Alberta & Ontario.
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Capital program for 2026: $10‑$12 M to upgrade Auxly Leamington facility and enable direct international shipments.
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Strategic M&A Activity
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Became DIP lender and stalking‑horse bidder for Ayurcann Inc.’s assets (vapes & pre‑rolls). Transaction size deemed conservative relative to cash position; aligns with growth strategy.
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Outlook & Guidance
- Continued focus on profitable growth in Canada, evaluating export opportunities, and allocating $10‑$12 M of operating cash flow to capital projects in 2026.
Notable Quotes
“Q4 2025 was a strong finish… we delivered 24% net revenue growth and 64% Adjusted EBITDA growth… Our balance sheet also strengthened materially… We are excited about the year ahead…” – Hugo Alves, CEO
All non‑material boilerplate, forward‑looking disclaimer text, and company background have been omitted.