HEXO (TSX:HEXO) issued its financial results for the first quarter of its 2019 fiscal year.
As quoted in the press release:
“HEXO hit tremendous milestones in the weeks following the legalization of adult-use cannabis,” said HEXO’s CEO and co-founder Sebastien St-Louis. “The Company continues to honour its commitment to executing on its plans, which has led to a significant portion of our first quarter’s [C]$6.7 million in revenue generated in just two weeks and represents more than a 500 [percent] increase over last quarter.”
The Company realized its first adult-use revenues during the first quarter of fiscal 2019. Adult-use sales totaled [C]$5,194 in this period which is a 371 [PERCENT] increase over the [C]$1,102 of medical sales in the first quarter of 2018, and a 5 [percent] increase over the [C]$4,934 of total medical sales in all of fiscal 2018. This is a direct result of the Company’s introductory brand awareness campaign.
Sales volume in the first quarter of 2019 was 952,223 gram equivalents sold. Dried flower represented 81 [percent] of gram equivalents sold during the period.
Adult-use revenue per gram equivalent was [C]$5.45. This is reflective of 81 [percent] of these sales pertaining to dried flower which command a competitive market sales price. The remaining balance primarily represents oil sales which command a higher revenue per gram equivalent.
During the period, 90 [percent] of all adult-use sales were realized in Quebec through the SQDC with the remaining 10 [percent] derived in Ontario and British Columbia via the OCS and BCLDB respectively.