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Auxly Cannabis Group Inc T.XLY

Alternate Symbol(s):  CBWTF

Auxly Cannabis Group Inc. is a Canada-based consumer packaged goods company in the cannabis products market. The Company is focused on developing, manufacturing and distributing branded cannabis products. Its brands include Parcel, Back Forty, Foray, Dosecann and Kolab Project. It provides various products, including vaporizers, edibles, dried flowers, pre-rolls, capsules and oils and concentrates. The Company also conducts wholesale bulk sales of dried cannabis to various licensed producers in Canada. Its subsidiaries include Auxly Charlottetown Inc., Auxly Ottawa Inc., and Auxly Leamington Inc. The Company’s primary Cannabis 2.0 Product development, manufacturing and R&D activities are conducted by its subsidiary Auxly Charlottetown Inc. at a cannabis processing facility located in Charlottetown, Prince Edward Island. Auxly Ottawa Inc. holds licenses for cultivation and processing and conducts the Company’s primary dried flower and pre-roll manufacturing.


TSX:XLY - Post by User

Comment by UniqueKittyon Jun 11, 2021 8:54pm
204 Views
Post# 33376981

RE:RE:cash burn

RE:RE:cash burn

Auxly has cut SG&A and tightened up on operating costs. Tripling production capacity at Dosecann and continued automation improvements will reduce costs even more.

Auxly generated $55mil in revenues in 2020. That was their first full year of sales with entry into Cannabis 2.0.

Improved revenues, higher margins, expanded market share and a fully functioning market place are the most direct potential opportunities to for Auxly to become profitable and turn from cash burn to cash earn.

The sale of KGK will have a direct effect as the doctors employed there and the salaries they earn will flow with the enterprise into the hands of the buyers.

The opening of Ontario and other major markets coming out of Covid should have a positive effect as well. 

I have to agree with Oceanis that the moneys raised recently aren't strictly to cover operations. 

I personally believe that it may have to do with Sunens defaulting and the need to cover the promisary note provided. Just a hunch. 

Hang in there mates!

cheers

 

 

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