Aurora Cannabis (ACB) reports earnings, 5 things you need to know Today

You could hear a subtle sigh of relief across the marijuana investing community Monday afternoon when Aurora Cannabis (NYSE:ACB) announced its second-quarter results. The Canadian marijuana producer didn’t spring any bad surprises on shareholders. Of course, it helped that Aurora had already provided a sneak peek in January to its potential second-quarter revenue.

As expected, Aurora recorded impressive year-over-year revenue gains. It also wasn’t shocking that the company posted a big net loss. Much of that loss stemmed from market-to-market adjustments on Aurora’s derivative investments, especially from a lower fair value of its share purchase warrants for The Green Organic Dutchman.

There was more to Aurora’s Q2 results, though, than the headline numbers revealed. Here are five things you need to know about the company’s most recent earnings update…

1. Medical cannabis is still important to revenue

Sure, recently legalized recreational marijuana sales in Canada contributed most of Aurora’s revenue growth in the second quarter. But even though Canada’s recreational marijuana market was open for all but two and a half weeks of the second quarter, medical cannabis sales generated nearly 55% of total cannabis revenue and 48% of overall net revenue.

Aurora stated in its Q2 earnings announcement that it “intends to continue prioritizing medical patients in Canada and globally where margins continue to exceed those achieved on the wholesale consumer market.” Recreational pot might be what everyone is interested in but, for now, medical cannabis is better for Aurora’s bottom line.

2. International sales are still relatively small

Aurora Cannabis CEO Terry Booth said the company has “maintained [its] market leadership in Germany and other key international markets.” However, international sales remain only a small overall part of Aurora’s business.

The company reported net revenue of CA$2.9 million ($2.2 million) from sales in Europe. That’s only 6% of Aurora’s total cannabis revenue. European medical cannabis sales barely increased from the previous quarter, up only 1.8%. These numbers could improve in the future as Aurora markets cannabis oils and other products other than dried cannabis. They’ll need to…

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