Full Press Release Details
AURORA CANNABIS INC.
Condensed Consolidated Interim Financial
For the three and six months ended December
(in Canadian Dollars)
| Condensed Consolidated Interim Statements of Financial Position | 3 |
| Condensed Consolidated Interim Statements of Comprehensive Loss | 4 |
| Condensed Consolidated Interim Statements of Changes in Equity | 6 |
| Condensed Consolidated Interim Statements of Cash Flows | 8 |
| Notes to the Condensed Consolidated Interim Financial Statements |
| Note 1 | Nature of Operations | 9 | Note 15 | Convertible Debentures | 25 | |
| Note 2 | Significant Accounting Policies and Judgments | 9 | Note 16 | Loans and Borrowings | 25 | |
| Note 3 | Accounts Receivable | 12 | Note 17 | Share Capital | 27 | |
| Note 4 | Government Grant | 12 | Note 18 | Share-Based Compensation | 29 | |
| Note 5 | Strategic Investments | 13 | Note 19 | Loss Per Share | 32 | |
| Note 6 | Marketable Securities and Derivatives | 16 | Note 20 | Other (Losses) Gains | 32 | |
| Note 7 | Investments in Associates and Joint Ventures | 18 | Note 21 | Supplemental Cash Flow Information | 33 | |
| Note 8 | Biological Assets | 18 | Note 22 | Commitments and Contingencies | 33 | |
| Note 9 | Inventory | 19 | Note 23 | Revenue | 35 | |
| Note 10 | Property, Plant and Equipment | 20 | Note 24 | Segmented Information | 36 | |
| Note 11 | Assets Held for Sale and Discontinued Operations | 21 | Note 25 | Fair Value of Financial Instruments | 37 | |
| Note 12 | Business Combinations | 22 | Note 26 | Financial Instruments Risk | 39 | |
| Note 13 | Non-Controlling Interests | 22 | Note 27 | Subsequent Events | 41 | |
| Note 14 | Intangible Assets and Goodwill | 23 |
AURORA CANNABIS INC.
Condensed Consolidated Interim Statements
of Financial Position
As at December 31, 2020 and June 30, 2020
(Unaudited - Amounts reflected in thousands of Canadian
| Notes | December 31, 2020 | June 30, 2020 | ||||||||||
| $ | $ | |||||||||||
| Assets | ||||||||||||
| Current | ||||||||||||
| Cash and cash equivalents | 384,386 | 162,179 | ||||||||||
| Restricted cash | 16(a) | 50,000 | - | |||||||||
| Accounts receivable | 3, 26(a) | 76,520 | 54,110 | |||||||||
| Income taxes receivable | 29 | - | ||||||||||
| Marketable securities | 6(a) | 4,268 | 7,066 | |||||||||
| Derivatives | 6(b) | 381 | 11,791 | |||||||||
| Biological assets | 8 | 17,403 | 35,435 | |||||||||
| Inventory | 9 | 183,412 | 121,827 | |||||||||
| Prepaids and other current assets | 24,255 | 22,137 | ||||||||||
| Assets held for sale | 11(a) | 1,925 | 6,194 | |||||||||
| 742,579 | 420,739 | |||||||||||
| Property, plant and equipment | 10 | 712,190 | 946,380 | |||||||||
| Derivatives | 6(b) | 47,359 | 41,791 | |||||||||
| Deposits | 3,143 | 12,329 | ||||||||||
| Loan receivable | 8,469 | 3,643 | ||||||||||
| Investments in associates and joint ventures | 7 | 906 | 18,114 | |||||||||
| Intangible assets | 14 | 392,179 | 412,267 | |||||||||
| Goodwill | 14 | 923,365 | 927,882 | |||||||||
| Total assets | 2,830,190 | 2,783,145 | ||||||||||
| Liabilities | ||||||||||||
| Current | ||||||||||||
| Accounts payable and accrued liabilities | 26(b) | 69,002 | 95,574 | |||||||||
| Income taxes payable | 16 | - | ||||||||||
| Deferred revenue | 23 | 3,938 | 3,505 | |||||||||
| Convertible debentures | 15 | 32,828 | 32,110 | |||||||||
| Loans and borrowings | 16 | 41,793 | 120,508 | |||||||||
| Contingent consideration payable | 25 | 256 | 19,054 | |||||||||
| Deferred gain on derivatives | - | 20 | ||||||||||
| Provisions | 22(b)(v) | 2,000 | 1,485 | |||||||||
| 149,833 | 272,256 | |||||||||||
| Convertible debentures | 15 | 288,727 | 294,928 | |||||||||
| Loans and borrowings | 16 | 130,025 | 83,701 | |||||||||
| Derivative liability | 15, 17(c) | 60,318 | 1,827 | |||||||||
| Other long-term liability | 37 | 37 | ||||||||||
| Deferred tax liability | 4,069 | 3,946 | ||||||||||
| Total liabilities | 633,009 | 656,695 | ||||||||||
| Shareholders' equity | ||||||||||||
| Share capital | 17 | 6,289,374 | 5,785,395 | |||||||||
| Reserves | 137,807 | 145,395 | ||||||||||
| Accumulated other comprehensive loss | (204,914 | ) | (187,197 | ) | ||||||||
| Deficit | (4,025,086 | ) | (3,592,787 | ) | ||||||||
| Total equity attributable to Aurora shareholders | 2,197,181 | 2,150,806 | ||||||||||
| Non-controlling interests | 13 | - | (24,356 | ) | ||||||||
| Total equity | 2,197,181 | 2,126,450 | ||||||||||
| Total liabilities and equity | 2,830,190 | 2,783,145 |
Nature of Operations (Note 1)
Strategic Investments (Note 5)
Commitments and Contingencies (Note 22)
Subsequent Events (Notes 27)
The accompanying notes are an integral part of these Condensed
Consolidated Interim Financial Statements.
AURORA CANNABIS INC.
Condensed Consolidated Interim Statements
of Comprehensive Loss
Three and six months ended December 31, 2020 and 2019
(Unaudited - Amounts reflected in thousands of Canadian
dollars, except share and per share amounts)
| Three months ended December 31, | Six months ended December 31, | |||||||||||||||||||
| Restated - Note 2(e) and 11(b) | Restated - Note 2(e) and 11(b) | |||||||||||||||||||
| Notes | 2020 | 2019 | 2020 | 2019 | ||||||||||||||||
| $ | $ | $ | $ | |||||||||||||||||
| Revenue from sale of goods | 23 | 79,025 | 62,778 | 161,092 | 144,560 | |||||||||||||||
| Revenue from provision of services | 23 | 550 | 1,355 | 1,149 | 3,199 | |||||||||||||||
| Excise taxes | (11,902 | ) | (8,995 | ) | (26,756 | ) | (18,907 | ) | ||||||||||||
| Net revenue | 67,673 | 55,138 | 135,485 | 128,852 | ||||||||||||||||
| Cost of sales | 50,644 | 36,937 | 93,938 | 71,080 | ||||||||||||||||
| Gross profit before fair value adjustments | 17,029 | 18,201 | 41,547 | 57,772 | ||||||||||||||||
| Changes in fair value of inventory sold | 5,942 | 13,223 | 9,246 | 34,528 | ||||||||||||||||
| Unrealized gain on changes in fair value of biological assets | 8 | (6,262 | ) | (7,932 | ) | (11,669 | ) | (33,831 | ) | |||||||||||
| Gross profit | 17,349 | 12,910 | 43,970 | 57,075 | ||||||||||||||||
| Expense | ||||||||||||||||||||
| General and administration | 27,834 | 58,429 | 57,123 | 108,980 | ||||||||||||||||
| Sales and marketing | 14,138 | 28,872 | 29,173 | 50,727 | ||||||||||||||||
| Acquisition costs | - | 2,059 | 1,104 | 3,023 | ||||||||||||||||
| Research and development | 2,432 | 6,775 | 5,016 | 12,823 | ||||||||||||||||
| Depreciation and amortization | 10, 14 | 14,006 | 20,739 | 28,080 | 38,717 | |||||||||||||||
| Share-based compensation | 18(a)(b)(c) | 5,987 | 19,694 | 12,848 | 44,251 | |||||||||||||||
| 64,397 | 136,568 | 133,344 | 258,521 | |||||||||||||||||
| Loss from operations | (47,048 | ) | (123,658 | ) | (89,374 | ) | (201,446 | ) | ||||||||||||
| Other (expense) income | ||||||||||||||||||||
| Legal settlement and contract termination fees | 22(a), (b)(i) | (800 | ) | - | (44,072 | ) | - | |||||||||||||
| Interest and other income | 1,865 | 1,997 | 3,132 | 2,886 | ||||||||||||||||
| Finance and other costs | (18,872 | ) | (23,833 | ) | (33,563 | ) | (41,709 | ) | ||||||||||||
| Foreign exchange ("FX") gain (loss) | (527 | ) | (961 | ) | 6,900 | (3,901 | ) | |||||||||||||
| Other (losses) gains | 20 | 8,065 | (168,807 | ) | (2,638 | ) | (41,151 | ) | ||||||||||||
| Restructuring charges | - | - | (210 | ) | - | |||||||||||||||
| Impairment of deposits | (10,266 | ) | - | (10,266 | ) | - | ||||||||||||||
| Impairment of property, plant and equipment | 10, 11(a) | (221,643 | ) | (44,897 | ) | (222,302 | ) | (44,897 | ) | |||||||||||
| Impairment of investment in associates | 6 | - | (46,226 | ) | - | (46,226 | ) | |||||||||||||
| Impairment of intangible assets and goodwill | 14 | (395 | ) | (920,926 | ) | (3,777 | ) | (920,926 | ) | |||||||||||
| (242,573 | ) | (1,203,653 | ) | (306,796 | ) | (1,095,924 | ) | |||||||||||||
| Loss from operations before taxes and discontinued operations | (289,621 | ) | (1,327,311 | ) | (396,170 | ) | (1,297,370 | ) | ||||||||||||
| Income tax recovery (expense) | ||||||||||||||||||||
| Current | 118 | 123 | 225 | 4,702 | ||||||||||||||||
| Deferred, net | (3,285 | ) | 25,013 | (4,003 | ) | 1,730 | ||||||||||||||
| (3,167 | ) | 25,136 | (3,778 | ) | 6,432 | |||||||||||||||
| Net loss from continuing operations | (292,788 | ) | (1,302,175 | ) | (399,948 | ) | (1,290,938 | ) | ||||||||||||
| Net loss from discontinued operations, net of tax | - | (9,943 | ) | (2,366 | ) | (13,743 | ) | |||||||||||||
| Net loss | (292,788 | ) | (1,312,118 | ) | (402,314 | ) | (1,304,681 | ) |
AURORA CANNABIS INC.
Condensed Consolidated Interim Statements
of Comprehensive Loss
Three and six months ended December 31, 2020 and 2019
(Unaudited - Amounts reflected in thousands of Canadian
dollars, except share and per share amounts)
| Three months ended December 31, | Six months ended December 31, | |||||||||||||||||||
| Restated - Note 2(e) and 11(b) | Restated - Note 2(e) and 11(b) | |||||||||||||||||||
| Notes | 2020 | 2019 | 2020 | 2019 | ||||||||||||||||
| $ | $ | $ | $ | |||||||||||||||||
| Other comprehensive (loss) income ("OCI") that will not be reclassified to net loss | ||||||||||||||||||||
| Deferred tax recovery | - | 1,179 | - | 3,085 | ||||||||||||||||
| Unrealized loss on marketable securities | 6(a) | (6,744 | ) | (11,481 | ) | (14,100 | ) | (30,555 | ) | |||||||||||
| (6,744 | ) | (10,302 | ) | (14,100 | ) | (27,470 | ) | |||||||||||||
| Other comprehensive (loss) income that may be reclassified to net loss | ||||||||||||||||||||
| Share of income (loss) from investment in associates | 7 | (15 | ) | 69 | 250 | (23 | ) | |||||||||||||
| Foreign currency translation loss | (2,191 | ) | (3,701 | ) | (3,867 | ) | (5,497 | ) | ||||||||||||
| (2,206 | ) | (3,632 | ) | (3,617 | ) | (5,520 | ) | |||||||||||||
| Total other comprehensive loss | (8,950 | ) | (13,934 | ) | (17,717 | ) | (32,990 | ) | ||||||||||||
| Comprehensive loss from continuing operations | (301,738 | ) | (1,316,138 | ) | (418,203 | ) | (1,323,980 | ) | ||||||||||||
| Comprehensive loss from discontinued operations | - | (9,914 | ) | (1,828 | ) | (13,691 | ) | |||||||||||||
| Comprehensive loss | (301,738 | ) | (1,326,052 | ) | (420,031 | ) | (1,337,671 | ) | ||||||||||||
| Net loss from continuing operations attributable to: | ||||||||||||||||||||
| Aurora Cannabis Inc. | (292,788 | ) | (1,282,406 | ) | (398,484 | ) | (1,268,783 | ) | ||||||||||||
| Non-controlling interests | - | (19,769 | ) | (1,464 | ) | (22,155 | ) | |||||||||||||
| Net loss from discontinued operations attributable to: | ||||||||||||||||||||
| Aurora Cannabis Inc. | 11(b) | - | (9,943 | ) | (2,366 | ) | (13,743 | ) | ||||||||||||
| Non-controlling interests | - | - | - | - | ||||||||||||||||
| Comprehensive loss attributable to: | ||||||||||||||||||||
| Aurora Cannabis Inc. | (301,738 | ) | (1,306,184 | ) | (419,362 | ) | (1,315,509 | ) | ||||||||||||
| Non-controlling interests | - | (19,868 | ) | (669 | ) | (22,162 | ) | |||||||||||||
| Net loss per share - basic and diluted | ||||||||||||||||||||
| Continuing operations | 19 | ($ | 1.74 | ) | ($ | 14.14 | ) | ($ | 2.79 | ) | ($ | 14.43 | ) | |||||||
| Discontinued operations | 19 | $ | - | ($ | 0.11 | ) | ($ | 0.02 | ) | ($ | 0.16 | ) | ||||||||
| Total operations | 19 | ($ | 1.74 | ) | ($ | 14.25 | ) | ($ | 2.81 | ) | ($ | 14.59 | ) |
The accompanying notes are an integral part of these Condensed
Consolidated Interim Financial Statements.
AURORA CANNABIS INC.
Condensed Consolidated Interim
Statements of Changes in Equity
Six months ended December 31, 2020
(Unaudited - Amounts reflected in thousands of Canadian
dollars, except share amounts)
| Share Capital | Reserves | AOCI | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Note | Common Shares | Amount | Share-Based Compensation | Compensation Options/ Warrants | Convertible Notes | Change in Ownership Interest | Total Reserves | Fair Value | Deferred Tax | Associate OCI Pick-up | Foreign Currency Translation | Total AOCI | Retained Earnings (Deficit) | Non- Controlling Interests | Total | |||||||||||||||||||||||||||||||||||||||||||||||||
| # | $ | $ | $ | $ | $ | $ | $ | $ | $ | $ | $ | $ | $ | $ | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Balance, June 30, 2020 | 115,228,811 | 5,785,395 | 188,803 | 42,973 | 419 | (86,800 | ) | 145,395 | (194,637 | ) | 18,919 | (27 | ) | (11,452 | ) | (187,197 | ) | (3,592,787 | ) | (24,356 | ) | 2,126,450 | ||||||||||||||||||||||||||||||||||||||||||
| Shares released for earn out payments | 17(b) | 2,639,172 | 35,152 | - | (15,792 | ) | - | - | (15,792 | ) | - | - | - | - | - | - | - | 19,360 | ||||||||||||||||||||||||||||||||||||||||||||||
| Shares issued for services | 44,094 | 552 | - | - | - | - | - | - | - | - | - | - | - | - | 552 | |||||||||||||||||||||||||||||||||||||||||||||||||
| Shares issued through equity financing | 17(b) | 65,359,118 | 471,154 | - | - | - | - | - | - | - | - | - | - | - | - | 471,154 | ||||||||||||||||||||||||||||||||||||||||||||||||
| Equity financing transaction costs | - | (16,948 | ) | - | - | - | - | - | - | - | - | - | - | - | - | (16,948 | ) | |||||||||||||||||||||||||||||||||||||||||||||||
| Deferred tax on transaction costs | - | 3,777 | - | - | - | - | - | - | - | - | - | - | - | - | 3,777 | |||||||||||||||||||||||||||||||||||||||||||||||||
| Exercise of stock options | 18(a) | 5,084 | 30 | (11 | ) | - | - | - | (11 | ) | - | - | - | - | - | - | - | 19 | ||||||||||||||||||||||||||||||||||||||||||||||
| Exercise of RSUs and DSUs | 18(b) | 104,404 | 4,633 | (4,633 | ) | - | - | - | (4,633 | ) | - | - | - | - | - | - | - | - | ||||||||||||||||||||||||||||||||||||||||||||||
| Share-based compensation (1) | 18 | - | - | 11,568 | 1,280 | - | - | 12,848 | - | - | - | - | - | - | - | 12,848 | ||||||||||||||||||||||||||||||||||||||||||||||||
| Shares returned to treasury | (50,282 | ) | - | - | - | - | - | - | - | - | - | - | - | - | - | - | ||||||||||||||||||||||||||||||||||||||||||||||||
| Change in ownership interests in subsidiaries | 13 | 830,287 | 5,629 | - | - | - | - | - | - | - | - | - | - | (31,449 | ) | 25,820 | - | |||||||||||||||||||||||||||||||||||||||||||||||
| Comprehensive income (loss) for the period | - | - | - | - | - | - | - | (14,100 | ) | - | 250 | (3,867 | ) | (17,717 | ) | (400,850 | ) | (1,464 | ) | (420,031 | ) | |||||||||||||||||||||||||||||||||||||||||||
| Balance, December 31, 2020 | 184,160,688 | 6,289,374 | 195,727 | 28,461 | 419 | (86,800 | ) | 137,807 | (208,737 | ) | 18,919 | 223 | (15,319 | ) | (204,914 | ) | (4,025,086 | ) | - | 2,197,181 |
As at December 31, 2020, there were
no common shares in held escrow (June 30, 2020 - 50,282 common shares). These securities were originally deposited in escrow on
November 30, 2017 in connection with the acquisition of H2 Biopharma Inc. The escrowed common shares were to be released upon
receipt of relevant licenses to cultivate and sell cannabis, both of which were obtained, and milestones were met, during the year
ended June 30, 2020. During the three and six months ended December 31, 2020, the Company cancelled and returned to treasury 50,282
escrowed common shares remaining (three and six months ended December 31, 2019 - released 9,989 common shares upon achievement
The accompanying notes are an integral part
of these Condensed Consolidated Interim Financial Statements.
AURORA CANNABIS INC.
Condensed Consolidated Interim
Statements of Changes in Equity
Six months ended December 31, 2019
(Unaudited - Amounts reflected in thousands of Canadian
dollars, except share amounts)
| Share Capital (1) | Reserves | AOCI | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Common Shares | Amount | Share-Based Compensation | Compensation Options/ Warrants | Convertible Notes | Change in Ownership Interest | Total Reserves | Fair Value | Deferred Tax | Associate OCI Pick-up | Foreign Currency Translation | Total AOCI | Retained Earnings | Non- Controlling Interests | Total | ||||||||||||||||||||||||||||||||||||||||||||||
| # | $ | $ | $ | $ | $ | $ | $ | $ | $ | $ | $ | $ | $ | $ | ||||||||||||||||||||||||||||||||||||||||||||||
| Balance, June 30, 2019 | 84,786,562 | 4,673,118 | 143,947 | 40,495 | 41,685 | (86,800 | ) | 139,327 | (156,249 | ) | 18,295 | 352 | (5,568 | ) | (143,170 | ) | (286,311 | ) | 4,410 | 4,387,374 | ||||||||||||||||||||||||||||||||||||||||
| Shares issued for earn out payments | 27,411 | 4,075 | - | (2,893 | ) | - | - | (2,893 | ) | - | - | - | - | - | - | - | 1,182 | |||||||||||||||||||||||||||||||||||||||||||
| Shares issued through equity financing | 6,458,991 | 325,183 | - | - | - | - | - | - | - | - | - | - | - | - | 325,183 | |||||||||||||||||||||||||||||||||||||||||||||
| Equity financing transaction costs | - | (7,101 | ) | - | - | - | - | - | - | - | - | - | - | - | - | (7,101 | ) | |||||||||||||||||||||||||||||||||||||||||||
| Conversion of convertible notes | 5,761,260 | 433,177 | - | - | (41,266 | ) | - | (41,266 | ) | - | - | - | - | - | - | - | 391,911 | |||||||||||||||||||||||||||||||||||||||||||
| Deferred tax on convertible notes | - | 688 | - | - | 1,888 | - | 1,888 | - | - | - | - | - | - | - | 2,576 | |||||||||||||||||||||||||||||||||||||||||||||
| Exercise of stock options | 78,189 | 6,092 | (3,468 | ) | - | - | - | (3,468 | ) | - | - | - | - | - | - | - | 2,624 | |||||||||||||||||||||||||||||||||||||||||||
| Exercise of warrants | 986 | 102 | - | (29 | ) | - | - | (29 | ) | - | - | - | - | - | - | - | 73 | |||||||||||||||||||||||||||||||||||||||||||
| Exercise of RSUs | 18,194 | 921 | (921 | ) | - | - | - | (921 | ) | - | - | - | - | - | - | - | - | |||||||||||||||||||||||||||||||||||||||||||
| Share-based compensation | - | - | 37,840 | 7,983 | - | - | 45,823 | - | - | - | - | - | - | - | 45,823 | |||||||||||||||||||||||||||||||||||||||||||||
| Choom marketable securities transferred to investment in associate | - | - | - | - | - | - | - | 5,225 | - | - | - | 5,225 | (5,225 | ) | - | - | ||||||||||||||||||||||||||||||||||||||||||||
| Change in ownership interests in subsidiaries | 217,554 | 20,363 | - | - | - | - | - | - | - | - | - | - | (18,263 | ) | (2,100 | ) | - | |||||||||||||||||||||||||||||||||||||||||||
| Comprehensive income (loss) for the period | - | - | - | - | - | - | - | (30,555 | ) | 3,085 | (23 | ) | (5,497 | ) | (32,990 | ) | (1,282,526 | ) | (22,155 | ) | (1,337,671 | ) | ||||||||||||||||||||||||||||||||||||||
| Balance, December 31, 2019 | 97,349,147 | 5,456,618 | 177,398 | 45,556 | 2,307 | (86,800 | ) | 138,461 | (181,579 | ) | 21,380 | 329 | (11,065 | ) | (170,935 | ) | (1,592,325 | ) | (19,845 | ) | 3,811,974 |
The accompanying notes are an integral part of these Condensed
Consolidated Interim Financial Statements.
AURORA CANNABIS INC.
Condensed Consolidated Interim Statements
Six months ended December 31, 2020 and 2019
(Unaudited - Amounts reflected in thousands of Canadian
| Six months ended December 31, | ||||||||||||
| Restated - Note 2(e) and 11(b) | ||||||||||||
| Notes | 2020 | 2019 | ||||||||||
| $ | $ | |||||||||||
| Operating activities | ||||||||||||
| Net loss from continuing operations | (399,948 | ) | (1,290,938 | ) | ||||||||
| Adjustments for non-cash items: | ||||||||||||
| Unrealized gain on changes in fair value of biological assets | 8 | (11,669 | ) | (33,831 | ) | |||||||
| Changes in fair value included in inventory sold | 9,246 | 34,528 | ||||||||||
| Depreciation of property, plant and equipment | 10 | 28,953 | 39,858 | |||||||||
| Amortization of intangible assets | 14 | 18,374 | 21,121 | |||||||||
| Share-based compensation | 12,848 | 44,251 | ||||||||||
| Impairment of deposits | 10,266 | - | ||||||||||
| Impairment of property, plant and equipment | 10 | 222,302 | 44,897 | |||||||||
| Impairment of investment in associate | 7 | - | 46,226 | |||||||||
| Impairment of intangible assets and goodwill | 14 | 3,777 | 920,926 | |||||||||
| Accrued interest and accretion expense | 15, 16 | 14,475 | 9,636 | |||||||||
| Interest and other income | (191 | ) | - | |||||||||
| Deferred tax expense | 3,778 | (6,432 | ) | |||||||||
| Other losses | 20 | 2,638 | 41,151 | |||||||||
| Foreign exchange (gain) loss | (20,944 | ) | 3,900 | |||||||||
| Changes in non-cash working capital | 21 | (63,339 | ) | (95,670 | ) | |||||||
| Net cash used in operating activities from discontinued operations | (3,238 | ) | (9,238 | ) | ||||||||
| Net cash used in operating activities | (172,672 | ) | (229,615 | ) | ||||||||
| Investing activities | ||||||||||||
| Investment in derivatives | - | (2,000 | ) | |||||||||
| Proceeds from disposal of marketable securities | 6 | 6,135 | 84,770 | |||||||||
| Loan receivable | (4,826 | ) | (3,312 | ) | ||||||||
| Purchase of property, plant and equipment and intangible assets | 10 | (29,661 | ) | (233,633 | ) | |||||||
| Disposal of property, plant and equipment | 5,844 | 2,100 | ||||||||||
| Payment of contingent consideration | - | (1,607 | ) | |||||||||
| Deposits | (2,169 | ) | (15,874 | ) | ||||||||
| Net cash provided by investing activities from discontinued operations | 1,698 | 8,485 | ||||||||||
| Net cash used in investing activities | (22,979 | ) | (161,071 | ) | ||||||||
| Financing activities | ||||||||||||
| Proceeds from long-term loans | - | 64,394 | ||||||||||
| Repayment of long-term loans | (22,542 | ) | (3,750 | ) | ||||||||
| Payments of principal portion of lease liabilities | 16(b) | (2,840 | ) | (6,327 | ) | |||||||
| Restricted cash | (50,000 | ) | 1,064 | |||||||||
| Financing fees | (1,389 | ) | (941 | ) | ||||||||
| Shares issued for cash, net of share issue costs | 493,438 | 320,779 | ||||||||||
| Net cash used in financing activities from discontinued operations | - | (164 | ) | |||||||||
| Net cash provided by financing activities | 416,667 | 375,055 | ||||||||||
| Effect of foreign exchange on cash and cash equivalents | 1,191 | (762 | ) | |||||||||
| Increase (decrease) in cash and cash equivalents | 222,207 | (16,393 | ) | |||||||||
| Cash and cash equivalents, beginning of period | 162,179 | 172,727 | ||||||||||
| Cash and cash equivalents, end of period | 384,386 | 156,334 |
Supplemental cash flow information (Note 21)
The accompanying notes are an integral part of these Condensed
Consolidated Interim Financial Statements.
Aurora Cannabis Inc. (the "Company"
or "Aurora") was incorporated under the Business Corporations Act (British Columbia) on December 21,
2006 as Milk Capital Corp. Effective October 2, 2014, the Company changed its name to Aurora Cannabis Inc. The Company's
shares are listed on the New York Stock Exchange ("NYSE") and the Toronto Stock Exchange ("TSX") under
the trading symbol "ACB", and on the Frankfurt Stock Exchange ("FSE") under the trading symbol "21P".
The Company's head office and principal
address is 4818 31 Street East, Edmonton International Airport, Alberta, Canada, T9E 0V6. The Company's registered and records
office address is Suite 1500 - 1055 West Georgia Street, Vancouver, BC V6E 4N7.
The Company's principal strategic
business lines are focused on the production, distribution and sale of cannabis related products in Canada and internationally.
Aurora currently conducts the following key business activities in the jurisdictions listed below:
The U.S. represents the largest cannabis
and hemp-derived cannabidiol ("CBD") market globally and as such, Aurora continues to evaluate its alternatives to
establishing an operating footprint in the U.S. During the year ended June 30, 2020, the Company acquired Reliva, LLC, a U.S Company
based in Massachusetts specialized in the sale of hemp-derived CBD (Note 12) as an entry into this market. As part of the U.S.
market strategy, we are considering how various state and federal regulations will affect the Company's business prospects.
The Company is committed to only engage in activities which are permissible under both state and federal laws.
During the year ended June 30, 2020, the
Company announced a business transformation plan intended to better align the business financially with the current realities of
the cannabis market in Canada while maintaining a sustainable platform for long-term growth. These actions include the rationalization
of selling, general and administrative expenses through a reduction in corporate and production staff. The Company has also initiated
a plan to wind down and close operations at four Canadian facilities including Aurora Prairie, Aurora Mountain, Aurora Vie, and
Accounting Policies and Judgments
of Presentation and Measurement
The condensed consolidated interim financial
statements of the Company have been prepared in accordance with International Financial Reporting Standards ("IFRS")
and International Accounting Standards 34, "Interim Financial Reporting" ("IAS34") as issued by
the International Accounting Standards Board ("IASB"), and interpretations of the IFRS Interpretations Committee ("IFRIC").
Unless otherwise noted, all amounts are presented in thousands of Canadian dollars, except share and per share data.
The condensed consolidated interim financial
statements are presented in Canadian dollars and are prepared in accordance with the same accounting policies, critical estimates
and methods described in the Company's annual consolidated financial statements, except for the adoption of new accounting
policies and estimates for provisions (Notes 2(d) and 22(b)(v)), government grant (Note 4), impairment of property, plant and equipment
(Note 10), impairment testing of cash generating units and goodwill (Note 14), and share purchase warrants (Note 17(c)). Given