Aurora Cannabis Announces Fiscal 2026 First Quarter Results

Executive Summary

• Aurora Cannabis reported Fiscal 2026 First Quarter results ending June 30, 2025, showing significant growth in global medical cannabis revenue and profitability metrics.
• Global medical cannabis net revenue increased 37% year-over-year to $64.8 million, driven by strong performance in international markets (Germany, Poland, Australia, UK) and Canadian insurance-covered patients.
• The company delivered Adjusted EBITDA growth of over 200% to $10.8 million and generated positive Free Cash Flow of $9.2 million, while maintaining a strong balance sheet with approximately $186 million in cash and a debt-free cannabis business.

Key Details

• Total Net Revenue: $98.0 million, up 17% from $83.4 million in the prior year period.
• Medical Cannabis Revenue: $64.8 million, a 37% increase year-over-year; accounted for 66% of consolidated net revenue and 91% of adjusted gross profit.
• International Medical Cannabis Revenue: $37.1 million, an 85% increase year-over-year, representing 57% of global medical cannabis net revenue.
• Consumer Cannabis Revenue: $7.9 million, a 32% decrease from $11.5 million, as the company prioritized high-margin medical supply over lower-margin consumer products.
• Plant Propagation (Bevo) Revenue: $23.9 million, a 4% increase year-over-year, driven by organic growth and expanded capacity.
• Adjusted Gross Margin: 52% on total net revenue (up from 42% prior year); 69% on medical cannabis net revenue (up from 67% prior year).
• Adjusted SG&A: $37.4 million, up from $31.4 million, primarily due to higher freight/logistics costs and incremental costs from the MedReleaf Australia acquisition.
• Net Income/Loss: Net loss from continuing operations was $19.4 million, compared to net income of $3.5 million in the prior year.
• Adjusted EBITDA: $10.8 million, a 209% increase from $3.5 million in the prior year.
• Free Cash Flow: $9.2 million, a 42% increase year-over-year.
• Balance Sheet: Maintained ~$186.0 million in cash; cannabis business is debt-free (only remaining debt is $59.8 million non-recourse debt related to Bevo Farms Ltd).
• Q2 2026 Guidance: Expects consolidated net revenue to increase year-over-year, driven by 8-12% growth in Global Medical Cannabis. Adjusted gross margins expected to increase by 250-475 basis points in the cannabis business.

Notable Quotes

• "We delivered another strong quarter of sustained, profitable growth, driven by disciplined execution of our strategy. Global medical cannabis net revenue rose 37%, supported by 85% growth in international markets... alongside growth in Canadian medical cannabis and record contributions from our plant propagation business." — Miguel Martin, Executive Chairman and CEO.
• "Our performance highlights the competitive distinction of our platform. International medical cannabis our highest-margin segment now accounts for 57% of our global medical cannabis net revenue... And for the second consecutive year, we expect to generate positive annual free cash flow, reinforcing our operational execution and differentiation from peers." — Miguel Martin, Executive Chairman and CEO.