(Reuters) – Aurora Cannabis on Tuesday introduced a brand new spherical of employees reductions and plans to close 5 amenities over the following two quarters, because the COVID-19 pandemic pummels the cash-crunched hashish business.

For most marijuana corporations in Canada, which legalized leisure hashish in October 2018, income have confirmed elusive because of fewer-than-expected retail shops, cheaper charges on the black market and sluggish abroad development.

The business has been additional hit by the COVID-19 disaster, which has additionally upended monetary markets, making it more durable to get investor {dollars}.

To survive the difficult occasions, Aurora has reduce its promoting, basic and administrative (SG&A) workforce by 25% and can lay off 30% of manufacturing employees over the following two quarters, it stated.

Shares of the corporate had been up 2.7% at C$19.05.

Aurora in February introduced the exit of founder and Chief Executive Officer Terry Booth, 500 job cuts and impairment prices because it got here underneath hearth for its aggressive world growth amid unsure demand.

Other pot producers together with Canopy Growth, Tilray Inc, Sundial Growers Inc and Hexo Corp have additionally reduce their workforce, emphasizing a push in direction of quicker profitability as buyers develop impatient. [Read More @ The New York Times]



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