It’s time for your Daily Hit of cannabis financial news for October 15th, 2020.
On the Site
MDMA Treatments May Be Cheaper Than Other PTSD Treatments
A peer-reviewed study published in the research journal PLOS ONE demonstrates that MDMA-assisted psychotherapy is remarkably cost-effective when compared to currently available treatments for posttraumatic stress disorder (PTSD). It is estimated that a public healthcare payer or private insurer making MDMA-assisted psychotherapy available to 1,000 patients with PTSD would reduce general and mental health care costs by $103.2 million over 30 years. This treatment has not yet been approved by the FDA, does not work for everyone, and carries risks even in therapeutic settings.
Aphria’s First Quarter Earnings Show Record Gross Revenue for Adult-Use Cannabis
Aphria released their first quarter earnings for fiscal year 2021, and the report shows record breaking gross revenue for adult-use cannabis. The company reported a gross revenue of $69.6 million in the first quarter for fiscal year 2021. This represents strong growth, showing a 23% increase from the prior quarter, as well as the sixth consecutive quarter of growth. Their net cannabis revenue totaled $62.5 million, showing a whopping increase of 103% from the same quarter last year. The company reported an adjusted EBITDA of $10.4 million for cannabis business, representing an 11% increase from the prior quarter.
Akerna Launches POS Software
Akerna (Nasdaq: KERN) has launched MJ Retail, a first-of-its-kind proprietary software technology designed to provide merchants and consumers with a flexible and mobile-friendly experience. The product is currently available in beta form and will be live in a couple of weeks.
In Other News
MedMen Reports Q4 Earnings and Pre-Announces Q1 2021 Earnings
The net revenue across MedMen’s operations in Nevada, California, New York, Florida, and Illinois reached $27.4 million for the fourth quarter. This is down 40% from the previous quarter, and the company mainly attributes this to COVID-19’s effect on the company’s retail operations. They estimate their Q1 revenue to be $37.4 million, which is a 37% increase from Q4’s earnings on a comparable basis. MedMen’s gross margins increased by 8% from the third to fourth quarter, totaling 40% in Q4. MedMen’s adjusted EBITDA was a loss of $23.3 million for the fourth quarter.