The U.S.-listed shares of Hexo Corp. slipped 0.5% in premarket trade Thursday, after the Canada-based consumer packaged goods cannabis company reported narrower than expected fiscal third-quarter loss but net revenue that came up short. The net loss for the quarter to April 30 was C$7.75 million ($5.82 million), or 4 cents a share, after a loss of C$1.97 million, or 1 cent a share, in the year-ago period. The FactSet consensus was for a loss of 5 cents. Net revenue jumped to C$13.02 million from C$1.24 million, below the FactSet net sales consensus of C$14.8 million. Average gross selling price of adult-use dried gram and gram equivalents was C$5.29 as of April 30, down from C$5.83 at the end of January, while kilograms sold of adult use grew to 2,759 from 2,537. Average gross selling price of medical dried gram and gram equivalents slipped to C$9.11 from C$9.15 while kilograms sold declined to 145 from 152. Separately, Hexo said its affiliate Hexo Med S.A. affiliate has received a medical cannabis installation licence from the Greek government which allows Hexo to establish cultivation, processing and manufacturing facilities in Greece. Hexo’s stock has rocketed 88% year to date through Wednesday, while the ETFMG Alternative Harvest ETF has climbed 30% and the S&P 500 has gained 15%.Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. Visit MarketWatch.com for more information on this news.
Cannabis company Hexo’s stock slips after net sales come up shy of expectations
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