Organigram sees Q3 fortunes improve, posts $4M loss

MONCTON, N.B. – Organigram Holdings Inc. reported a loss of $4 million in its latest quarter compared with a loss of $89.9 million in the same quarter a year earlier.

The cannabis producer says the loss amounted to 1.4 cents per diluted share for the quarter ended May 31 compared with a loss of 51.2 cents per diluted share a year earlier when it had fewer shares outstanding.

Organigram said the improvement compared with a year ago was due to higher margins and the large one-time impairment charge it took last year.

Net revenue in what was the company’s third quarter grew to $20.3 million, up from $18.0 million in the same quarter last year.

In its outlook, Organigram said it expects revenue in its fourth quarter to be higher than the third quarter due to stronger forecasted market growth as COVID-19 restrictions lift and as the number of retail stores continues to grow.

The company also said it expects to generate a new and incremental revenue stream from the first sales of soft chews.

This report by The Canadian Press was first published July 13, 2021.

Companies in this story: (TSX:OGI)