SASKATOON, Saskatchewan--(BUSINESS WIRE)--CanniMed Therapeutics Inc. (TSX: CMED) (“CanniMed” or the “Company”) today released its financial results for the three and six months ended April 30, 2017.
CanniMed’s strong sales momentum continued in the second quarter. Demand for oils has accounted for progressively more of the Company’s production, and CanniMed’s recently announced oils processing facility is designed to accommodate foreseen growth of this key product group. Recent export sales for pharmacy distribution, together with the Company’s arrangements with PharmaChoice and discussions with other Canadian pharmacy chains provide clear indications of future market channels for medical cannabis, and CanniMed is focussed on this expected evolution.
Second Quarter 2017 Highlights
Financial
- Sales of $3.7 million in the quarter were 66 per cent higher than in the comparable period of the prior year (year-to-date sales of $7.1 million were 78 per cent higher than the first half of the prior year).
- Concentrated cannabis oils sales revenues, which commenced in the first quarter of 2016, accounted for nearly 50 per cent of total revenues for the current quarter.
- Higher sales revenues were driven by rising demand, as dried equivalent medical cannabis sales in the second quarter increased 72 per cent from the comparable period in 2016 to 373 kg., at an average selling price of $9.80 per gram (year-to-date sales of 714 kg. were 77 per cent higher than in the first half of 2016, at an average selling price of $9.54 per gram).
- The number of active patients increased to more than 14,000(1).
- Adjusted EBITDA from continuing operations(2) was $(0.3) million for the quarter and $0.2 million year-to-date.
- Net loss of $1.8 million for the quarter ($5.1 million net loss for the first half of the year included $2.4 million loss on derivative instruments, relating primarily to conversion rights on debentures that were either exercised or expired during the first quarter).
(1) Active patients are registered patients with a current and valid Health Canada registration on file.
(2) Adjusted EBITDA is a non-IFRS measure with no standard definition under IFRS. See the “Non-IFRS financial performance measures and reconciliations” section of this MD&A.
