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Canopy Growth (NASDAQ:CGC) is expected to post a narrowed fiscal Q2 loss and lower revenue Thursday afternoon as the Canadian cannabis company continues to restructure its operations.
Analysts, on average, are expecting Canopy to post an adjusted EPS loss of $0.08, compared with a loss of $0.24 for the same quarter in 2022. Revenue is expected to slide to $60.65M from $87.10M in the 2022 period.
Last quarter, Canopy reported an adjusted EPS loss of $0.04 on revenue of $80.99M, beating Street estimates on both the top and bottom lines.
During its fiscal Q1 call in August, Canopy management said it expected fiscal Q2 sales to be lower due to seasonality, according to Reuters.
Canopy’s track record of meeting Street estimates has been spotty. Over the last eight quarters, Canopy has beat the Street on the top and bottom lines three times and missed five times.
Canopy has been undergoing a major restructuring to transform itself into a cannabis-focused, asset-light business. Over the past several months, the company has been selling off its retail operations, closed eight cultivation facilities and outsourced production of its vaping, edibles and beverage products.
In September, Canopy said it would no longer fund its BioSteel Sports Nutrition business, which had sought Chapter 15 protection under the US bankruptcy code.