September 26, 2020

Aurora Cannabis Touts ‘Business Transformation Plan,’ Confirms New CEO And Financial Update

Aurora Cannabis Inc. (NYSE: ACB) (TSX: ACB), which recently parted ways with co-founder Steve Dobler, named Miguel Martin as its new CEO.

Martin, who brings extensive experience in consumer packaged goods, is replacing Michael Singer, who stepped down from the role of Interim CEO — a position he has held since February. Dobler recently retired from the position of the company’s president and director.

The Edmonton, Alberta-based company also reported its preliminary unaudited results for the fourth quarter of fiscal 2020.

During the last three months of this year, net revenue is expected to amount between $70 million and $72 million versus $75.5 million in the prior quarter.

In addition, Aurora anticipates its cannabis net revenue would be between $66 million and $68 million, compared to $69.6 million in the previous three-month period.

Aurora managed to cut its SG&A costs from more than $100 million in the second quarter of 2020 to an expected range of $60 to $65 million in the fourth quarter.

Singer, who remained with the company as its Executive Chairman, said Tuesday that the company has “focused on building the infrastructure and capabilities necessary for a successful and diversified business,” as a part of its “business transformation.”

He explained that the “rationalization of our cost structure” was the first phase of the transformation, which is “substantially complete.”

Martin highlighted that “material progress has been made to optimize our Canadian operations and put Aurora on a much stronger footing.”

Aurora opted for changes in its business strategy earlier this year, following the retirement of the former CEO Terry Booth.

The company also said it intends to increase the size of its board.

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