Canopy Growth Corp (TSX: WEED) (NYSE: CGC) this morning reported its second quarter 2021 financial results, reporting net revenues of $135.3 million along with a net loss of $96.6 million for the period ended September 30, 2020. Revenues were up significantly on a quarter over quarter basis, with growth amounting to 22.5%.
Revenue growth largely comes from Canadian recreational net revenue, which saw the overall sales figure rise from $44.2 million to $60.9 million over the three month period. Dry bud sales specifically is what drove the increase, which rose to $63.9 million on a gross basis from that of $40.1 million. Global medical revenue actually fell to $31.4 million from $34.1 million over the quarter, while other revenue climbed from $32.1 million to $43.0 million.
Cost of goods sold meanwhile came in at $109.2 million, providing the company with a gross margin of $26.0 million. This still was not enough to cover operating expenses however, which came in at $310.3 million this quarter. This was largely comprised of selling, general and administrative expenses of $147.3 million, but also included asset impairment charges of $46.4 million and expected credit losses on financial assets and related charges of $94.7 million.
Combined with other income of $221.3 million, the company managed to post a net loss of $96.6 million for the three month period.
Looking to the balance sheet, cash and cash equivalents fell significantly, dropping to $673.3 million from $975.9 million over the three month period, while short term investments were relatively flat overall, dropping to $1,048.9 million from $1,060.9 million in the prior period. Accounts receivable meanwhile grew from $72.6 million to $79.7 million, and inventory increased marginally from $389.8 million to $398.5 million. Total current assets fell to $2,291.9 million from $2,613.9 million.
Accounts payable meanwhile managed to fall to $81.1 million from $89.4 million over the course of the quarter. Other liabilities more than made up for this however, growing to $147.1 million from $124.8 million. Current liabilities overall climbed from $319.7 million to $324.5 million.
Full financial results have yet to be released as of the time of writing.
Canopy Growth Corp last traded at $23.50 on the NYSE.
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