Aphria enters into additional wholesale contracts.
December 15, 2015
Aphria Continues to Capitalize on its Growing Strengths
Leamington, Ontario – December 15th, 2015 – Aphria Inc. (“Aphria” or the “Company”) (TSX-V: APH) is pleased to announce that it has recently entered into wholesale contracts for the sale of dried medical cannabis to multiple other Licensed Producers. As part of the contracts, the Company has signed commitments from Licensed Producers to purchase up to 450 kilograms over the next year, depending on market conditions and strain selections. Anticipated annual revenue generated from these contracts is up to $1,600,000. Adjusted gross margins from these contracts are anticipated to range between 35-45%, depending on the selected strain and quantity supplied.
“Leveraging on our growing strengths of strain selections that are in demand and Aphria`s low cost producer status, these contracts further endorse our secondary strategy of wholesaling dried cannabis. Despite continued growth in our patient onboarding platform, which represents our primary retail strategy, we have been able to successfully balance the demand for Aphria products, generating strong financial returns.” said Vic Neufeld, CEO.
Adjusted gross margin is a non-GAAP financial measure, which is explained in the Company’s Management’s Discussion & Analysis under “Non-GAAP Financial Measures” a copy of which is available under the Company’s corporate profile at www.sedar.com.
Aphria Inc., a company continued under the laws of the Province of Ontario and based in Leamington, Ontario, is in the business of producing, supplying and selling medical marijuana pursuant to the Marihuana for Medical Purposes Regulations (the “MMPR”). Under the MMPR, Health Canada is responsible for the oversight of commercial medical marijuana growers such as Aphria. Aphria’s common shares are listed on the TSX Venture Exchange under the ticker symbol “APH”. For more information, visit aphria.ca.
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President & CEO
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