Peer Comparisons in KGs: Projected Yield from Bio Assets, Harvest, Sold, and Delta of Harvest to Sold

This is anew set of graphs I am playing with. It is a little frustrating as not every LP provides each element of the graph. Aphria only provides one element - KGs Sold. Whereas Canopy does not provide Projected Yield from Bio Assets. And Tilray, being US GAAP, doesn't have Bio Assets. Ill start posting their respective trends later this week. Aurora and CannTrust Trend graphs will tell an interesting story.

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Tilray Q1 F2019 Rundown – March 31, 2019

Open up the fins and MDA and follow along During the Q Tilray closed on Manitoba Harvest +$400 million acquisition in Feb/19 which caused them to combine some inventory items, much to my chagrin. USD unless stated otherwise. Sales: Sales grew 48% QoQ largely on the back of the $6 million in revenue from Manitoba Harvest (MH).  Cannabis sales grew a total of $1.5 million or 9%, with flower showing a strong increase of 49% yet extracts dropping 24%. A 9% growth in cannabis in a market that Health Canada reports as declining is respectable. Adult use totaled $7.9 million while medical, including international,…

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TREND Analysis Tilray – “Gas in the Tank”

From their Notes to Financial Statements: Inventory is comprised of raw materials, finished goods and work-in-progress such as pre-harvested cannabis plants and by-products to be extracted. The costs of growing cannabis including but not limited to labor, utilities, nutrition and irrigation, are capitalized into inventory until the time of harvest. Inventory is stated at the lower of cost or net realizable value, determined using weighted average cost. Cost includes expenditures directly related to manufacturing and distribution of the products. Primary costs include raw materials, packaging, direct labor, overhead, shipping and the depreciation of manufacturing equipment and production facilities determined at normal capacity. Manufacturing overhead…

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Inventory in the first Q of Rec- Booking Costs and IFRS VooDoo!! Chickens have come home to roost.

I started paying attention and writing about this industry because of my surprise of how you could sell $1 worth of cannabis and show a gross margin greater than the selling price. In my world, that was very new! Yes... IFRS voodoo! The practice of carrying inventory above the lesser of its actual cost or net realizable value. This is done by running an entry through the income statement that GROSSES UP Inventory to a management determined value of no greater than the Selling price less Selling Costs less the costs already incurred. The latter item is on the balance sheet. Then when you…

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