stock (ticker: APHA) was falling in early morning trading Monday after the marijuana company announced a net fiscal third-quarter loss of more than 108 million Canadian dollars.
Where we were. Aphria has had a busy year in 2019. The Canada-based grower lost its CEO in January when Vic Neufeld announced his retirement.
The news of Neufeld’s retirement came a month after shortsellers alleged that he and other Aphria founders allegedly engaged in self-dealing transactions by selling Latin American entities to the company at steep markups, totaling hundreds of millions of Canadian dollars. Neufeld has denied the report and said it had no impact on his decision to retire.
Investors took the news as marking a bottom for Aphria stock. Since then shares have gained, and now sport a 77% year-to-date gain through Friday’s close at $10.10 on the NYSE, compared to a gain of about 16% for the S&P 500 index. Aphria stock is also listed on the Toronto Stock Exchange.
The company also resisted a hostile takeover bid in February.
What’s new. Aphria reported an adjusted loss of 20 Canadian cents per share, while Wall Street had been expecting a loss of 4.5 Canadian cents. Not factored into that is a decrease in net income due to non-cash impairments of C$58 million and non-operating losses of C$30 million, the company said. The majority of the non-cash impairment is related to its Latin American assets.
The grower’s net revenue rose to $73.6 million, up 240% from the prior quarter and 617% from the same quarter last year.
“Our organization has experienced significant change in a very short period of time which was necessary to propel the Company forward,” said interim CEO Irwin D. Simon in a prepared statement.
Aphria stock was down 13% to $8.73 in pre-market trading Monday on the NYSE.
Looking ahead. Aphria also said it has entered into a series of transactions that will accelerate the expiry date of Green Growth’s offer and “will provide up to an additional C$89.0 million of liquidity to the Company without dilution to shareholders.”
The company also named two new members to its board: Walter Robb, a former Whole Foods co-CEO, and David Hopkinson, Real Madrid’s global head of partnerships.
Barron’s Bill Alpert has been cautious on marijuana stocks this year. Monday’s earnings just reinforced that view.
我们在哪里。Aphria 在2019年度过了繁忙的一年。今年1月， Vic Neufeld 宣布退休，这家总部位于加拿大的种植者失去了首席执行官。
Neufeld 退休的消息传出一个月前，卖空者声称，他和 Aphria 的其他创始人涉嫌通过以极高的价格向该公司出售拉美实体，从事自营交易，总计数亿加元。纽菲尔德否认了这份报告，并表示这对他退休的决定没有影响。
投资者将这一消息视为 Aphria 股票的底部。自那以来，纽约证交所的股价一直在上涨，截至上周五收于10.10美元，今年迄今累计上涨77%，而标准普尔500指数的涨幅约为16%。Aphria 股票也在多伦多证券交易所上市。
临时首席执行官欧文· D ·西蒙( Irwin D . Simon )在一份准备好的声明中表示：“我们的组织在很短的时间内经历了重大变化，这是推动公司向前发展所必需的。”
在纽约证交所周一的盘前交易中， Aphria 股价下跌13%，至8.73美元。
该公司还任命了两名新成员加入董事会：前 Whole Foods 联席首席执行官沃尔特•罗伯( Walter Robb )和皇家马德里公司( Real Madrid )全球合伙人主管戴维•霍普金森( David Hopkinson )。
Barron 的比尔•阿尔珀特( Bill Alpert )今年对大麻股票一直持谨慎态度。周一的盈利强化了这种观点。