Canopy Growth (NYSE:CGC) earnings for the cannabis company’s fiscal second quarter of 2020 have CGC stock taking a beating on Thursday. This is due to its diluted per-share loss of -81 cents and revenue of $57.78 million. These are both worse than Wall Street’s estimates of -31 cents per share and $75.42 million.
Let’s see what else went down in the most recent Canopy Growth earnings report.
Diluted losses per share are 6.09% better than the -$1.08 reported in the fiscal second quarter of 2019. Revenue is 228.30% higher YoY than $17.60 million. Gross margin percentage, before fair value impacts in cost of sales, comes in at -13% during the quarter. That’s much worse than the 33% reported during the same time last year. Loss from operations during the quarter comes in at -$200.49 million. This is a 23.86% wider operating loss than the -$161.87 million reported in the same period of the year prior. The Canopy Growth earnings report also includes a net loss of -$282.54 million. That’s 13.31% worse than the company’s net loss of -$249.35 million in its fiscal second quarter of the previous year.
Mark Zekulin, CEO of Canopy Growth, has this to say about the CGC stock earnings.
“The last two quarters have been challenging for the Canadian cannabis sector as provinces have reduced purchases to lower inventory levels, retail store openings have fallen short of expectations, and Cannabis 2.0 products are yet to come to market.”
CGC stock was down 13.67% as of Thursday afternoon. The stock is also down 36.03% since the start of the year.
As of this writing, William White did not hold a position in any of the aforementioned securities.