Nov 12, 2019

Organigram tumbles after forecasting lower revenue

Pot earnings roundup: Organigram projects loss; Cronos eyes U.S. CBD; MediPharm posts profit


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MONCTON, N.B. -- Shares in Organigram Holdings Inc. were hit hard Tuesday after the cannabis company said its fourth-quarter net revenue is expected to be lower than what the company saw in its third quarter.

The cannabis producer's shares closed down 89 cents or 19.96 per cent at $3.57 on the Toronto Stock Exchange.

Organigram says it expects net revenue for the quarter ended Aug. 31 to amount to $16.3 million, including $20.0 million of shipments in the quarter and about $3.7 million in provisions for product returns and pricing adjustments.

That compared with net revenue of $24.8 million in the third quarter.

Net revenue for the company's full financial year is expected to be $80.4 million.

Organigram is expected to report its full results for its financial year on Nov. 25.

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