Canada’s biggest licensed weed producer is losing money
Weed investors seem to be treading cautiously of late, aware they are on unchartered territory
Tuesday, June 27, 2017
Canada’s largest licensed cannabis producer seems to have no problem driving in sales, but it is still struggling to get to profit territory. Canopy Growth Corporation (listed as WEED on the Toronto Stock Exchange), saw its revenue grow by almost 200 percent to $14.7 million in the fourth quarter of the fiscal year, fueled primarily by a surge in its patient base due to the acquisition of another licensed weed producer, Mettrum Health Corporation. However, the company’s losses continue to grow. In 2016, Canopy posted a loss of $3.5 million — since January 2017, the company has already lost almost $17 million. Canopy’s stock has dropped 20 percent since mid-April when the Liberal government announced weed would be legal in Canada come July 2018.
