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Medical cannabis a boon for Aurora, but not all is well

Published on July 11, 2025 by Pat Bulmer

Photo: Contributed

Focusing on the medical side of the cannabis business is paying off for Edmonton-based Aurora Cannabis.

Revenues were up for the medical part of the business and down for the recreational side, the company’s latest financial reports showed.

“Medical cannabis net revenue was $67.8 million, a 48% increase from the prior year period,” the company said in a news release.

“The increase in medical cannabis net revenue of $22.1 million was primarily due to higher sales to Australia, Germany, Poland, and the UK, as well as increased revenue in Canada to insurance covered and self-paying patients.”

On the recreational side, “Aurora’s consumer cannabis net revenue was $8.2 million a 20% decrease compared to $10.2 million in the prior year period.

“The decrease was due to our continued decision to prioritize the supply of our GMP (Good Manufacturing Practice) manufactured products to our high margin global medical cannabis business rather than the consumer business, which offers lower margins.”

The company now bills itself as a “global medical cannabis company.”

The greenhouse part of the business (B.C.- and Alberta-based Bevo Farms) is also doing well, the reports showed, growing 32% over a year with net revenues of $13.8 million for the latest quarter.

“Adjusted EBITDA (earnings before interest, taxes, depreciation and amortization — considered a key financial marker) increased 619% to $16.7 million for the three months ended March 31, 2025 compared to $2.3 million for the prior year period,” the reports said.

But not all numbers are positive yet.

“Net loss from continuing operations for the three months ended March 31, 2025 was $17.2 million compared to a net loss of $20.3 million for the prior year period.”

Looking ahead, the company expects a slower start to the next financial year, but improvements will come in later quarters.

“Expect continued strong global cannabis revenue driven by improved performance in Canadian medical, comparable performance in consumer, offset by temporary declines in some of our international markets.”

Aurora also revealed past accounting and inventory errors: “The company has concluded that these errors are not material to any of the company’s previously-issued audited consolidated financial statements and unaudited condensed consolidated interim financial statements.”

The financial report raised the spectre of legal action. International law firm Pomerantz LLP says it is investigating whether “Aurora Cannabis and certain of its officers and/or directors have engaged in securities fraud or other unlawful business practices.” On the same day, the law firm announced it was investigating at least three other companies after they also released financial reports. Pomerantz describes itself as “the oldest law firm in the world dedicated to representing the rights of defrauded investors.”

In another announcement, Aurora said it is expanding eligibility in its medical compassionate pricing program.

“As part of the company’s ongoing commitment to making medical cannabis more accessible to patients, the yearly income eligibility of the program has increased from $40,000 to $60,000 CAD for Aurora patients through AuroraMedical.com,” a news release said.

The company is also releasing new medical cannabis products.