Canadian cannabis giant Aurora Cannabis ACB reported its financial and operational results Thursday for the fiscal first quarter ended September 30, 2022 with revenue of CA$49.26 million (US$37.14 million), down 18% from CA$60.11 million for the same period in September corresponds to the previous year.

Adjusted EBITDA was a loss of CA$8.7 million compared to a loss of CA$11.04 million in the corresponding quarter last year.

The Analyst

Cantor Fitzgerald’s Pablo Zuanic kept the stock “overweight” and a 12-month price target of $3.00 per share.

The thesis

The company slightly improved cash burn and EBITDA results this quarter, with management confident that it will achieve positive EBITDA through December, thanks in part to its $150-$170 million cost savings plan, said Zuanic.

Aurora holds a 24% share of Canada’s domestic medical supplies market, and with $70 million in exports over the past 15 months, the company claims to be the world’s leading supplier of medical marijuana.

“As more markets expand their medical programs (including Germany along with the legalization of recreational products) and as a potential future licensee for domestic recreational production in Germany, we believe Aurora is one of the best positioned marijuana companies in the global context outside of the United States.” is,” the analyst said.

Aurora is number 2 in the German medicinal flowers market and claims to be the number one in the UK and Poland. It is also well positioned as currently the only flower supplier in France. The company holds one of ten licenses to supply 500 coffee shops in the Netherlands.

As for Germany“As one of the three domestic licensees, we believe Aurora is well positioned to receive a recreational production license.”

“We see Aurora more as a pure cannabis game” versus Tilray TLRY and canopy growth C.G.C“And note that we believe the Company derives more than 80% of its cannabis gross profits from higher quality businesses (domestic/international medicinal cannabis sales),” Zuanic concluded.

The Price Action

Aurora shares traded…