Organigram Shares Q1 Fiscal 2019 Results

Organigram Holdings (TSXV:OGI) issued the financial and operational results for its Q1 fiscal 2019.

As quoted in the press release:

“The first quarter of 2019 is just the start of what we expect to be a year of tremendous growth,” said Greg Engel, the Company’s Chief Executive Officer. “We’ve always believed the Moncton Campus would be a competitive advantage for us being able to produce high-quality indoor-grown product at low cash cost of cultivation. Our first quarter results confirmed that as we reported an adjusted gross margin of 71 [percent].”

The Company’s net revenue for the quarter was limited by post-harvest (extraction, packaging, excising and labelling) capabilities which it aggressively looks to augment and gain greater efficiencies on.

Select Highlights for the First Quarter of Fiscal 2019

• The Company is proud to report record net sales from continuing operations for the three months ended November 30, 2018 (Q1’2019) of $12.4 million, up 419 [percent] from $2.4 million in Q1’2018, and up 287 [percent] from $3.2 million in Q4’2018.
• Gross margin increased to $51.7 million in Q1’2019 from $1.3 million in Q1’2018 and $32.5 million in Q4’2018. Excluding fair value adjustments on biological assets (“adjusted gross margin”) these figures would be $8.8 million, $0.6 million, and $1.6 million, respectively.

Click here to read the full press release.