Canopy Growth Corp (CGC) 2024 Q4 法說會逐字稿

Good morning. My name is Joanna, and I will be your conference operator. I would like to welcome you to Canopy Growth's fourth quarter and fiscal year 2024 financial results conference call. (Operator Instructions) I will now turn the call over to Tyler Burns, Director, Investor Relations. Tyler, you may begin the conference call.

早安.我叫喬安娜，我將擔任您的會議接線生。歡迎您參加 Canopy Growth 第四季和 2024 財年財務業績電話會議。（操作員指示）我現在將電話轉給投資者關係總監泰勒·伯恩斯 (Tyler Burns)。泰勒，你可以開始電話會議了。

Good morning and thank you for joining us. On our call today, we have Canopy Growth's Chief Executive Officer, David Klein, and Chief Financial Officer, Judy Hong.

早安，感謝您加入我們。今天我們電話會議的嘉賓有 Canopy Growth 的執行長 David Klein 和財務長 Judy Hong。

Before financial markets open today, Canopy Growth issued a news release announcing the financial results for our fourth quarter and fiscal year ended March 31, 2024. The news release and financial statements have been filed on EDGAR and SEDAR and will be available on our website under the Investors tab.

在今天金融市場開盤前，Canopy Growth 發布了一份新聞稿，宣布了我們截至 2024 年 3 月 31 日的第四季和財政年度的財務表現。新聞稿和財務報表已在 EDGAR 和 SEDAR 上提交，並將在我們網站的「投資者」標籤下提供。

Before we begin, I would like to remind you that our discussions during this call will include forward-looking statements that are based on management's current views and assumptions and that this discussion is qualified in its entirety by the cautionary note regarding forward-looking statements included at the end of the news release issued today.

在我們開始之前，我想提醒您，我們在本次電話會議中的討論將包括基於管理層當前觀點和假設的前瞻性陳述，並且本次討論完全符合今天發布的新聞稿末尾關於前瞻性陳述的警告。

Please review today's earnings release and Canopy's reports filed with the SEC and SEDAR for various factors that could cause actual results to differ materially from projections. In addition, reconciliations between any non-GAAP measures to their closest reported GAAP measures are included in our earnings release. Please note that all financial information is provided in Canadian dollars unless otherwise stated.

請查看今天的收益報告和 Canopy 向 SEC 和 SEDAR 提交的報告，以了解可能導致實際結果與預測有重大差異的各種因素。此外，我們的收益報告還包含任何非 GAAP 指標與其最接近的報告 GAAP 指標之間的對帳。請注意，除非另有說明，所有財務資訊均以加幣提供。

Following remarks by David and Judy, we will conduct a question-and-answer session where we will take questions from analysts. With that, I will turn the call over to David.

在 David 和 Judy 發言之後，我們將進行問答環節，回答分析師的問題。說完這些，我會把電話轉給大衛。

Good morning, everyone, and thank you for joining us today to review Canopy Growth's fourth quarter and fiscal year '24 financial results. During the call, I'll share key highlights and achievements from the past fiscal year demonstrating how Canopy is a stronger, fully cannabis-focused business that is poised for profitable growth in the year ahead across all of the most exciting global cannabis markets.

大家早安，感謝您今天加入我們，共同回顧 Canopy Growth 第四季和 24 財年的財務表現。在電話會議中，我將分享過去財年的主要亮點和成就，展示 Canopy 如何成為一家更強大、完全以大麻為重點的企業，並準備在未來一年在所有最令人興奮的全球大麻市場實現盈利增長。

First, let's touch on the transformative year that fiscal '24 was for Canopy. During the year, we took decisive actions to streamline our business by implementing an asset-light model. This has enabled us to focus on our core strengths while leveraging third parties to add scale and capacity when and where we needed without the requirement to maintain extensive infrastructure or invest ahead of growth.

首先，讓我們來回顧一下 24 財年對 Canopy 來說是一個轉型的一年。年內，我們果斷採取行動，實施輕資產模式，精簡業務。這使我們能夠專注於我們的核心優勢，同時利用第三方在我們需要的時間和地點增加規模和產能，而無需維護廣泛的基礎設施或在成長之前進行投資。

This has improved our margins and accelerated our time to market as we focus on growth across all of our priority categories. In parallel, we took bold action to drive greater focus and reduce our cash burn by divesting Canopy's non-cannabis businesses as we go all in on what we believe is one of the most exciting consumer trends of our lifetime.

由於我們專注於所有優先類別的成長，這提高了我們的利潤率並加快了我們的產品上市時間。同時，我們採取大膽行動，透過剝離 Canopy 的非大麻業務，加強關注並減少現金消耗，全力投入我們認為是一生中最令人興奮的消費趨勢之一。

These changes were easy, and I'm very proud of the work that the entire Canopy team undertook to execute this strategic evolution and to ensure its success all while enhancing our commercial execution, strengthening our financial position, and establishing a platform for Canopy's future growth.

這些變化很容易，我為整個 Canopy 團隊為執行這項策略變革和確保其成功所做的工作感到非常自豪，同時增強了我們的商業執行力，加強了我們的財務狀況，並為 Canopy 的未來發展建立了平台。

As a result, Canopy is entering fiscal '25 with a strong foundation. We have a focused business. We're well positioned in the geographies and categories of greatest potential, and we've built a business that can deliver profitable growth.

因此，Canopy 以強勁的基礎邁入25財年。我們有專注的業務。我們在最具潛力的地區和類別中佔據有利地位，並且已經建立了能夠實現獲利成長的業務。

Looking to our performance in fiscal '24, I'm pleased to report that our results in the year already demonstrate the positive impact of the changes we've implemented. Canopy now has an attractive gross margin profile across all of our businesses for a lean and agile organization that can support growth without a step change in costs. A strengthened in balance sheet that has ample runway to support our business while investing for growth and financial performance that is nearing consolidated adjusted EBITDA profitability.

回顧我們24財年的表現，我很高興地報告，我們今年的業績已經證明了我們所實施的變革的正面影響。對於一個精實而敏捷的組織來說，Canopy 目前所有業務的毛利率都極具吸引力，可以在不大幅降低成本的情況下支持成長。資產負債表得到加強，有足夠的空間來支持我們的業務，同時投資成長和財務業績，接近合併調整後的 EBITDA 獲利能力。

Focusing on flower is the central pillar of our business. The consistent production of high-quality flower from our Kincardine industrial sites has strengthened our competitive positioning in the Canadian adult-use market, highlighted by the national resurgence of Tweed. Additionally, we added over 2,300 points of distribution across Canada during the fourth quarter, including over 900 points for Tweed flower and 650 points for our Deep Space beverages, ensuring increased access to consumers as we enter the important summer selling season.

關注花卉是我們業務的核心支柱。我們金卡丁工業基地持續生產高品質花卉，增強了我們在加拿大成人用品市場的競爭地位，特威德的全國復興更是凸顯了這一點。此外，我們在第四季度在加拿大增加了超過 2,300 個分銷點，其中包括超過 900 個 Tweed 花卉分銷點和 650 個 Deep Space 飲料分銷點，確保在進入重要的夏季銷售季節時能夠更多地接觸消費者。

In our Canadian medical business and expanded product assortment in the Spectrum Therapeutics online store as well as industry-leading care for our insured patients has delivered a 16% increase in revenue year over year, marking the fifth consecutive quarter of revenue growth.

在我們的加拿大醫療業務中，Spectrum Therapeutics 線上商店中擴大的產品種類以及為我們的投保患者提供行業領先的護理，收入同比增長 16%，這是連續第五個季度實現收入增長。

Our international markets cannabis business also continues to benefit from increased demand for our high-quality Canadian cannabis, including in Australia which delivered record revenue in fiscal '24. In addition, an expanded product assortment and improved commercial execution in Poland, the Czech Republic, and Germany also contributed to growth in our international markets cannabis business in fiscal '24.

我們的國際市場大麻業務也繼續受益於對我們優質加拿大大麻的需求增加，其中澳洲在 24 財年實現了創紀錄的收入。此外，波蘭、捷克共和國和德國產品種類的擴大和商業執行的改善也促進了我們 24 財年國際市場大麻業務的成長。

Moving on to our Storz & Bickel vaporizer business, exceptional demand for the brand's new Venty portable vaporizer, which was launched early in the third quarter of fiscal '24, required us to double production to meet higher than expected initial demand. When paired with continued demand for other Storz & Bickel devices, including the legendary Volcano, this contributed to Storz & Bickel delivering its best fourth quarter ever with net revenue increasing 43% year over year.

談到我們的 Storz & Bickel 汽化器業務，該品牌新款 Venty 便攜式汽化器（於 24 財年第三季初推出）的需求異常旺盛，要求我們將產量增加一倍才能滿足高於預期的初始需求。加上對其他 Storz & Bickel 設備（包括傳奇的 Volcano）的持續需求，這促使 Storz & Bickel 取得了有史以來最好的第四季度業績，淨收入同比增長 43%。

In addition to these advancements in our commercial businesses, we also executed a number of actions to strengthen Canopy's balance sheet in fiscal '24. Collectively, these actions reduced Canopy's debt by over $700 million in fiscal '24, which brings our total debt reduction to over $1.1 billion since the beginning of fiscal '23.

除了我們在商業業務方面取得的這些進步之外，我們還採取了一系列措施來加強 Canopy 在 24 財年的資產負債表。總的來說，這些措施使 Canopy 24 財年的債務減少了 7 億多美元，自 23 財年起，我們的總債務減少了 11 億美元以上。

Further, subsequent to the end of fiscal '24, we have also estimated or eliminated a $100 million short-term debt obligation and extended the maturity of the convertible note by five years. As a result, Canopy has no material debt due until March 2026 and has a healthy cash balance of over $200 million.

此外，在 24 財年結束後，我們也估計或取消了 1 億美元的短期債務，並將可轉換票據的到期日延長了五年。因此，Canopy 在 2026 年 3 月之前沒有到期的重大債務，並且擁有超過 2 億美元的健康現金餘額。

Our strengthened balance sheet provides us with the certainty and flexibility required to power future growth and we believe positions Canopy ahead of our industry peers. Our commercial businesses are showing momentum as we exited fiscal '24 and our plans set the stage for our fiscal '25 that we believe will be a banner year for Canopy.

我們增強的資產負債表為我們提供了推動未來成長所需的確定性和靈活性，我們相信這將使 Canopy 領先於業內同行。在我們結束24財年時，我們的商業業務顯示出良好的發展勢頭，我們的計劃為25財年奠定了基礎，我們相信25財年將是Canopy輝煌的一年。

Our Canadian production platform continues to deliver high-quality flower that is winning and retaining customers, both domestically and internationally. Upgrades are also already underway at our Kincardine facility to increase our flower capacity in addition to securing flower through strategic procurement from third-party producers.

我們的加拿大生產平台繼續提供高品質的鮮花，贏得並留住了國內外客戶。我們在金卡丁工廠的升級工作也正在進行中，除了透過從第三方生產商進行策略採購來確保鮮花供應外，還增加了鮮花產能。

And as the Canadian cannabis market continues to mature and consolidate, we expect excess capacity within the industry to present canopy with tangible opportunities to accelerate speed to market, avoid capital investments until critical sales volumes are achieved, and to provide us with surge capacity during peak periods.

隨著加拿大大麻市場不斷成熟和整合，我們預計行業內的過剩產能將為 Canopy 提供切實的機會，以加快上市速度，避免在達到關鍵銷售量之前進行資本投資，並在高峰期為我們提供激增的產能。

We believe our plans, which reflect our focus on profitable growth versus chasing market share at all costs, will deliver healthy annual growth in Canada in fiscal '25 with stronger growth in the back half of the year. This growth will be driven by expanded flower capacity, increased distribution, a strengthened sales force, and share gains across the pre-roll, vape, and soft gel categories through the introduction of new products, which are arriving in the market as we speak.

我們相信，我們的計劃將反映我們對獲利性成長的關注，而不是不惜一切代價追求市場份額，這將使加拿大在25財年實現健康的年度成長，並在下半年實現更強勁的成長。這一成長將得益於花卉產能的擴大、分銷量的增加、銷售隊伍的加強，以及透過推出新產品（目前正在進入市場）在預捲、電子煙和軟凝膠類別中的份額增長。

We also believe our plans for Canopy's international business will deliver healthy annual growth in fiscal '25. In addition to continued gains across our international markets, we anticipate Germany's legalization of cannabis will drive a significant increase in the size of the country's medical market as more doctors become comfortable prescribing cannabis and more patients explore its medical benefits.

我們也相信，我們針對 Canopy 國際業務所製定的計畫將在 25 財年實現健康的年度成長。除了我們在國際市場繼續成長之外，我們預計，隨著越來越多的醫生願意開立大麻處方，越來越多的患者探索大麻的醫療益處，德國大麻合法化將推動該國醫療市場規模的大幅成長。

As a long-term leader in Germany, we believe Canopy is well positioned to capitalize on this growth and we're actively working to expand our supply to Germany and to add additional third-party European-based suppliers to our offering.

作為德國的長期領導者，我們相信 Canopy 完全有能力利用這一成長機會，並且我們正在積極努力擴大對德國的供應，並在我們的產品中增加更多第三方歐洲供應商。

Looking to our premium Storz & Bickel vaporizer business, we plan to keep building on the brand's momentum and expect continued demand for the Venty as well as expanded distribution in the US to drive significant growth for Storz & Bickel in fiscal '25.

展望我們的高端 Storz & Bickel 汽化器業務，我們計劃繼續保持品牌的發展勢頭，並預計 Venty 的需求將持續增長以及美國分銷渠道的擴大，從而推動 Storz & Bickel 在 25 財年實現顯著增長。

We also feel that this homegrown German brand will benefit from greater cannabis adoption among German consumers. Further illustrating the strength of Storz & Bickel connection in importance in the German cannabis industry, I'm pleased to highlight that Jürgen Bickel, Canopy's Managing Director of Storz & Bickel and the brand's Co-Founder, was recently elected as a Board member of the German Cannabis Business Association.

我們也認為，這個本土德國品牌將受益於德國消費者對大麻的更多接受。進一步說明了 Storz & Bickel 在德國大麻產業的重要性，我很高興地強調，Canopy 的 Storz & Bickel 董事總經理兼該品牌的聯合創始人 Jürgen Bickel 最近被選為德國大麻商業協會董事會成員。

We're pleased that Canopy and Storz & Bickel have strong representation within the association, the largest of its kind as it continues to play a critical role in shaping the advancement of the medical and recreational cannabis markets in Germany.

我們很高興 Canopy 和 Storz & Bickel 在協會中擁有強大的代表性，該協會是同類協會中規模最大的，它繼續在塑造德國醫用和娛樂大麻市場的發展方面發揮關鍵作用。

Shifting focus to the US. Canopy USA is moving forward rapidly. And I would like to take the opportunity to reiterate our thanks to Canopy shareholders for their overwhelming support for the resolution required to advance this strategy. Overall, we remain highly optimistic about the potential of Canopy USA, which continues to lay the groundwork for accelerated growth across a number of key state-level cannabis markets.

將焦點轉移到美國。Canopy USA 正在快速發展。我想藉此機會再次感謝 Canopy 股東對推進這項策略所需決議的壓倒性支持。總體而言，我們仍然對 Canopy USA 的潛力非常樂觀，它將繼續為多個主要州級大麻市場的加速成長奠定基礎。

In the quarter ended March 2024, we want to finalize plans for expansion into three new states, New York, Connecticut, and Vermont, while also launching new gummy SKUs in Colorado to continue expanding the brand's product assortment. In addition, Jetty's award-winning products launched in the state of New Jersey, as the Jetty team takes the best of the West Coast to the Northeast.

在截至 2024 年 3 月的季度中，我們希望最終確定向紐約、康涅狄格州和佛蒙特州三個新州擴張的計劃，同時在科羅拉多州推出新的軟糖 SKU，以繼續擴大該品牌的產品種類。此外，Jetty 團隊將西海岸的最佳產品帶到了東北部，其屢獲殊榮的產品也在新澤西州推出。

It's also important to note that Jetty's Solventless vapes ranked as the number one live rosin vape nationally in the US, which is really quite impressive when you consider that Jetty vape products are currently available in only four states, California, Colorado, New York, and more recently, New Jersey.

值得注意的是，Jetty 無溶劑電子煙在全美範圍內排名第一，松香電子煙，考慮到 Jetty 電子煙產品目前僅在四個州有售，即加利福尼亞州、科羅拉多州、紐約州以及最近的新澤西州，這一成績確實令人印象深刻。

Shifting to Acreage, I'd like to take the opportunity to acknowledge that the company has recently been operating as a distressed asset. However, we believe that Acreage continues to have tremendous upside. Recently, Acreage entered the New York market and continues to hone its presence in other key states, including Ohio, the seventh largest state in the US, which is turning adult-use in the month of June, and where its operations are well positioned with botanist dispensaries in Cleveland, Canton, Akron, Columbus, and Wickliffe.

談到 Acreage，我想藉此機會承認該公司最近一直在作為不良資產運營。然而，我們相信 Acreage 仍然具有巨大的上漲空間。最近，Acreage 進入了紐約市場，並繼續鞏固其在其他主要州的影響力，其中包括美國第七大州俄亥俄州，該州在六月將開始成人使用大麻，其在克利夫蘭、坎頓、阿克倫、哥倫布和威克利夫都設有大麻藥房。

Notably, in addition to locations in the largest population centers in the state, Acreage's retail operations have received multiple best dispensary awards over the last four years. Acreage also has a tier-one cultivation and processing facility in the state with significant expansion potential. We believe that with this setup and its entry into the Canopy USA ecosystem, Acreage is well positioned to realize significant and profitable growth ahead.

值得注意的是，除了位於該州最大的人口中心的門市外，Acreage 的零售業務在過去四年中還獲得了多個最佳藥房獎。Acreage 還在該州擁有一流的種植和加工設施，具有巨大的擴展潛力。我們相信，憑藉這一設置以及進入 Canopy USA 生態系統，Acreage 將有能力實現未來顯著且有利可圖的成長。

The timing for the advancement of our US strategy is also aligning nicely with major strides on the regulatory front, including rescheduling. We've been unequivocal in our support for rescheduling and believe that this change represents a leap forward for the industry.

我們美國戰略推進的時機也與監管方面的重大進展（包括重新安排）相吻合。我們堅決支持重新安排，並相信這項變革代表著產業的飛躍。

And from a financial perspective, I'd like to emphasize that rescheduling is especially significant as it will provide an immediate and meaningful improvement to the cash flow of all state legal cannabis businesses, including those within Canopy USA.

從財務角度來看，我想強調的是，重新安排尤其重要，因為它將為所有州合法大麻企業（包括 Canopy USA 內部的企業）的現金流帶來直接而有意義的改善。

In closing, fiscal '24 was a year of significant progress for Canopy Growth, where we demonstrated our capabilities and our enduring belief in the opportunity that is global cannabis.

最後，24財年對Canopy Growth來說是取得重大進展的一年，我們展現了我們的能力和對全球大麻機會的堅定信念。

Looking to the year ahead, we're optimistic about our future. We have a great exposure to the most attractive markets. We've got great brands and we have a great -- have a strong and experienced team. We continue to believe the opportunities ahead are significant and with the plans we have in place, we think fiscal '25 is poised to be Canopy's best year ahead.

展望新的一年，我們對未來充滿樂觀。我們對最具吸引力的市場有著很大的了解。我們擁有優秀的品牌，也擁有一支強大且經驗豐富的團隊。我們仍然相信未來的機會龐大，而且憑藉我們已製定的計劃，我們認為 25 財年將成為 Canopy 未來最好的一年。

With that, I'll pass the call to Judy to review our financials in greater detail.

說完這些，我會把電話轉給朱迪​​，讓她更詳細地檢視我們的財務狀況。

Thank you very much, David, and good morning, everyone. I'll start by reviewing our fourth quarter and full year fiscal 2024 results, including the significant progress we've made across our P&L this year. I'll then discuss additional actions that we've taken to improve our balance sheet and cash flow, followed by our priorities and outlook for the fiscal 2025.

非常感謝，大衛，大家早安。我將首先回顧我們 2024 財年第四季和全年的業績，包括我們今年在損益表方面取得的重大進展。然後，我將討論我們為改善資產負債表和現金流量而採取的其他措施，然後介紹我們的優先事項和 2025 財年的展望。

Let's begin with our fourth-quarter results. Q4 FY24 forecast a transformative year for Canopy by showcasing organic revenue growth of 16% compared to Q4 of FY23 and a year-over-year improvement in gross margins, adjusted EBITDA, and free cash flow.

讓我們從第四季的業績開始。24 財年第四季預測將是 Canopy 轉型的一年，與 23 財年第四季相比，其有機收入將成長 16%，毛利率、調整後 EBITDA 和自由現金流也將較去年同期改善。

Canopy delivered consolidated net revenue of $73 million in Q4 with all three business units delivering growth year over year led by Storz & Bickel which increased its revenue by 43% compared to a year ago. Consolidated gross margin in Q4 was 21%, again, a significant improvement compared to 11% last year. And Q4 gross margin was negatively impacted by temporary factors in Canada that I'll address later in the call.

Canopy 第四季的綜合淨收入為 7,300 萬美元，三個業務部門均比去年同期實現成長，其中 Storz & Bickel 的營收比去年同期成長了 43%。第四季綜合毛利率為 21%，與去年的 11% 相比再次大幅提升。第四季的毛利率受到加拿大暫時因素的負面影響，我將在稍後的電話會議上討論。

Full year gross margin was 27% and cash gross margin, adding back non-cash depreciation expenses and COGS, was 35%. Q4 adjusted EBITDA was a loss of $15 million, an improvement of 63% versus last year. Free cash flow was an outflow of $23 million, an improvement of $75 million compared to Q4 of last year and nearly a 50% improvement over the last quarter.

全年毛利率為 27%，加上非現金折舊費用和銷貨成本，現金毛利率為 35%。第四季調整後 EBITDA 虧損 1,500 萬美元，較去年同期改善 63%。自由現金流流出 2,300 萬美元，與去年第四季相比增加了 7,500 萬美元，比上一季增加了近 50%。

I'd like to now review the results of our key businesses in more detail, including progress against our path to profitability.

現在，我想更詳細地回顧我們主要業務的業績，包括我們在盈利方面的進展。

Starting with Canada, Q4 net revenue was $37 million, up 4% compared to a year ago. Canada medical sales continued to grow strongly, increasing 16% compared to last year, benefiting from customer mix towards a greater number of insured patients and larger product assortments in the Spectrum online stores.

從加拿大開始，第四季淨收入為 3,700 萬美元，比去年同期成長 4%。加拿大醫療銷售額持續強勁成長，較去年同期成長 16%，這得益於客戶結構向投保患者數量的增加以及 Spectrum 線上商店產品種類的豐富。

Our adult use B2B business was down 4% as growth in 7ACRES brand and contribution from Wana edibles was offset by the declines in the Tweed brand this quarter as we were supply constrained on certain SKUs. Canada gross margin in Q4 was 0% and cash gross margin, adding back non-cash depreciation costs and costs was 17%.

由於某些 SKU 的供應受限，本季 7ACRES 品牌和 Wana 食品的貢獻被 Tweed 品牌的下滑所抵消，我們的成人用品 B2B 業務下降了 4%。加拿大第四季的毛利率為 0%，加上非現金折舊成本和成本的現金毛利率為 17%。

Let me unpack Canada gross margin for Q4, which came in softer than planned. We continued to generate year-over-year reductions in COGS from the cost reduction program. However, Q4 gross margin was negatively impacted by a few temporary factors.

讓我來分析一下加拿大第四季的毛利率，它比計畫的要低。我們透過成本削減計劃繼續實現銷貨成本的逐年降低。然而，第四季的毛利率受到一些暫時性因素的負面影響。

First, we experienced lower cultivation yields at the Kincardine's facilities, driven by seasonality and unplanned disruptions, which resulted in higher-than-expected inventory cost per unit. Second, with lower cultivation yield, the utilization of our manufacturing operation was reduced, driving under absorption of our indirect costs. Lastly, the consumption of higher cost inventories, which was produced prior to our shuttering of the former Hershey facility also negatively impacted gross margins.

首先，由於季節性和意外中斷的影響，金卡丁工廠的種植產量下降，導致每單位庫存成本高於預期。其次，由於種植產量下降，我們製造業務的使用率降低，導致間接成本吸收不足。最後，在關閉前好時工廠之前生產的高成本庫存的消耗也對毛利率產生了負面影響。

All of these factors are transient, and we're already seeing improvement in cultivation yields and higher utilization of our manufacturing operation in Q1, and notwithstanding the lumpiness in our Canadian gross margins this year, we are pleased that our Canadian business achieved 31% cash gross margin performance in full year fiscal 2024.

所有這些因素都是暫時的，我們在第一季已經看到種植產量提高和製造業務利用率提高，儘管今年我們的加拿大毛利率不穩定，但我們很高興我們的加拿大業務在 2024 財年全年實現了 31% 的現金毛利率。

In addition, we expect further improvement in Canada gross margins in FY25, driven by installation of new LED lighting at Kincardine in the first half of fiscal 2025 is expected to increase our cultivation yields in the upcoming winter months. In addition, we've already expanded programs to increase our cultivation capacity, strategic sourcing of our flower supply at favorable cost is also expected to reduce our overall flower costs, and a new and flexible pre-roll machine is now up and running and is expected to significantly increase pre-roll production and reduce labor costs.

此外，我們預計2025財年加拿大的毛利率將進一步提高，這得益於2025財年上半年在金卡丁安裝新的LED照明，預計將在即將到來的冬季提高我們的種植產量。此外，我們已經擴大了計劃以提高我們的種植能力，以優惠的成本策略性地採購花卉供應也有望降低我們的整體花卉成本，並且一種新的靈活的預卷機器現已啟動並運行，預計將顯著提高預卷產量並降低勞動力成本。

International markets cannabis sales increased 32% year over year. We saw outsized triple-digit sales growth in Poland in Q4, Germany also grew at a double-digit rate, and these were partially offset by the declines in Storz & Bickel device sales in Australia in Q4.

國際市場大麻銷售額年增32%。我們看到波蘭第四季度的銷售額實現了超額的三位數成長，德國也實現了兩位數的成長，但這些成長被澳洲第四季 Storz & Bickel 設備銷售額的下滑部分抵消。

International markets cannabis gross margin was 40% in Q4 FY24, driven by a favorable shift in country mix with higher margin Poland sales contributing to a greater portion of sales this year as compared to the prior year period. Storz & Bickel revenue of $22 million in Q4 was up 43% compared to last year and also up 20% sequentially.

2024 財年第四季度，國際市場大麻毛利率為 40%，這得益於國家結構有利的變化，與去年同期相比，波蘭銷售額利潤率更高，對今年銷售額的貢獻更大。Storz & Bickel 第四季營收為 2,200 萬美元，較去年同期成長 43%，較上一季成長 20%。

We saw continued strong consumer demand for the new Venty portable vaporizer that was launched in Q3, and we've successfully ramped up production to meet demand for the Venty. and Q4 also benefited from strong distributor and retailer loaded of all Storz & Bickel devices ahead of 420 events and sales promotions. Storz & Bickel gross margin was 41% compared to 34% last year, driven primarily by stronger sales coming from products and geographies that carry higher margins year over year.

我們看到消費者對第三季推出的新型 Venty 便攜式氣化器的需求持續強勁，並且我們已成功提高產量以滿足對 Venty 的需求。並且第四季度還受益於強大的分銷商和零售商在 420 活動和促銷活動之前裝載了所有 Storz & Bickel 設備。Storz & Bickel 毛利率為 41%，而去年同期為 34%，這主要得益於產品和地區利潤率逐年提高導致的銷售強勁增長。

Looking at our SG&A expenses for Q4 fiscal 2024, total SG&A expenses declined 23% year over year, primarily driven by a cost reduction program undertaken to date, Q4 fiscal '24 adjusted EBITDA loss was a negative $15 million, an improvement of $25 million compared to a loss of $40 million a year ago.

查看我們 2024 財年第四季的銷售、一般及行政費用，總銷售、一般及行政費用同比下降 23%，主要原因是迄今為止實施的成本削減計劃，24 財年第四季度調整後 EBITDA 虧損為負 1500 萬美元，與一年前 4000 萬美元的虧損相比改善了 2500 萬美元。

Q4 adjusted EBITDA was impacted by a softer gross margin in Canada due to the temporary factors that I outlined earlier in the call. International markets and Storz & Bickel achieved profitability in Q4, driven by revenue growth and improvement in gross margins year over year. At least Canada plus -- for the temporary factors, we have achieved positive adjusted EBITDA exiting fiscal '24.

由於我在電話會議中早些時候概述的暫時性因素，第四季度調整後的 EBITDA 受到加拿大毛利率下降的影響。國際市場和 Storz & Bickel 在第四季度實現盈利，這得益於收入增長和毛利率同比提高。至少在加拿大以及暫時因素的影響下，我們在 24 財年實現了正的調整後 EBITDA。

Due to strategic transformation initiatives announced in April 2022 and February 2023, Canopy has now realized $280 million of cumulative cost savings, which is within our announced target cost savings of $270 million to $300 million.

由於 2022 年 4 月和 2023 年 2 月宣布的策略轉型舉措，Canopy 現已實現 2.8 億美元的累積成本節約，這符合我們宣布的 2.7 億至 3 億美元的成本節約目標。

We've identified additional $10 million to $15 million of cost reduction opportunities, mostly in corporate G&A, including savings in IT, insurance, professional fees, legal, and public company costs that we expect to realize by the end of fiscal 2025.

我們已發現另外 1,000 萬至 1,500 萬美元的成本削減機會，主要是在企業一般及行政費用方面，包括 IT、保險、專業費用、法律和上市公司成本方面的節省，我們預計到 2025 財年末將實現這些節省。

I'd like to now review our cash flow and balance sheet. Free cash flow was an outflow of $23 million in Q4, an improvement of 77% compared to the prior year. Cash used from continuing operations was $22 million, which includes cash interest payments of $18 million, which was down from $36 million last year.

我現在想回顧一下我們的現金流量和資產負債表。第四季自由現金流流出 2,300 萬美元，較上年同期成長 77%。持續經營所用現金為 2,200 萬美元，其中包括 1,800 萬美元的現金利息支付，低於去年的 3,600 萬美元。

Cash flow from investments of $26 million in Q4 included proceeds received from the BioSteel asset sale. And during Q4, we also completed a private placement with proceeds of approximately $47 million, of which $30 million was used for paydown of our senior secured term loan at a discount to par.

第四季投資現金流為 2,600 萬美元，其中包括 BioSteel 資產出售所得收益。在第四季度，我們還完成了一項私募，募集資金約 4,700 萬美元，其中 3,000 萬美元用於以低於票面價值的價格償還我們的優先擔保定期貸款。

Turning to the balance sheet. As of March 31, 2024, we had $203 million in cash and short-term investments and debt balance of $597 million. Subsequent to the quarter end, we've completed several transactions that further reduce our debt and improved our balance sheet.

轉向資產負債表。截至 2024 年 3 月 31 日，我們擁有 2.03 億美元現金和短期投資，債務餘額為 5.97 億美元。季度末之後，我們完成了幾筆交易，進一步減少了我們的債務並改善了我們的資產負債表。

First, we exchanged $81 million of the principal amount of the $100 million promissory note plus accrued interest held by Constellation into Canopy's exchangeable shares and cancelled the remaining balance.

首先，我們將 Constellation 持有的 1 億美元本票的 8,100 萬美元本金和應計利息兌換成 Canopy 的可交換股份，並取消剩餘金額。

Second, we issued a new five-year convertible note with gross proceeds of approximately USD50 million and exchanged the CAD28 million note maturing in September 2025 to a note now maturing in May of 2029.

其次，我們發行了新的五年期可轉換票據，總收益約為 5,000 萬美元，並將 2025 年 9 月到期的 2,800 萬加元票據兌換為現在到期的 2029 年 5 月票據。

Third, we've made additional CAD7.5 million paydown of the term loan with the proceeds from the BioSteel asset sale. These actions have significantly enhanced our balance sheet by eliminating substantially all of our short-term debt obligations, reducing the senior secured term loan principal balance from USD750 million original to now USD354 million, which matures in March of 2026, and enhancing our cash position, which will provide flexibility to invest for future growth while funding our operations.

第三，我們利用 BioSteel 資產出售所得額外償還了 750 萬加元的定期貸款。這些舉措顯著改善了我們的資產負債表，消除了我們幾乎所有的短期債務，將優先擔保定期貸款本金餘額從原來的 7.5 億美元減少到現在的 3.54 億美元（將於 2026 年 3 月到期），並增強了我們的現金狀況，為未來增長的投資提供了靈活性，同時也為我們的運營提供了資金。

We remain focused on executing additional activities to further deliver on our commitment to improve our financial position over the coming months.

我們將繼續專注於執行其他活動，以進一步履行我們在未來幾個月改善財務狀況的承諾。

I'd like to now provide our key priorities and outlook for fiscal '25. In Canada cannabis, the business is now on a stable footing, and we're focused on driving growth and profitably gaining market share in both the adult use and medical channels by continuing to invest in product quality and expanding distribution while further improving our margins.

現在，我想提供我們25財年的重點優先事項和展望。在加拿大大麻領域，業務現已穩定，我們專注於推動成長，並透過繼續投資於產品品質和擴大分銷來增加在成人用途和醫療管道的市場份額，同時進一步提高我們的利潤率。

In international market cannabis, we expect to see growth in our key markets of Germany, Poland, and Czech Republic, and remain focused on ensuring consistent supply of high-quality products as well as launch new products into these markets in the near term.

在國際大麻市場，我們預計德國、波蘭和捷克共和國等主要市場將實現成長，並將繼續專注於確保高品質產品的持續供應以及在短期內向這些市場推出新產品。

For Storz & Bickel, we're focused on accelerating growth in key markets driven by Venty as well as other product lines, which we believe will mitigate potential impact to Storz & Bickel's Australian sales following our recently implemented vape ban in the non-medical channel.

對於 Storz & Bickel，我們專注於加速由 Venty 和其他產品線推動的關鍵市場的成長，我們相信這將減輕我們最近在非醫療管道實施電子煙禁令對 Storz & Bickel 在澳洲銷售的潛在影響。

And finally, we also know that the impact of divested businesses will continue to negatively impact reported sales growth, and specifically FY24 results included $21 million of revenue from This Works, which was divested in December of '23, and $5 million of revenue from KeyLeaf, which was divested in February of 2024.

最後，我們也知道，剝離業務的影響將繼續對報告的銷售成長產生負面影響，具體來說，24 財年的業績包括來自 This Works 的 2,100 萬美元收入（已於 23 年 12 月剝離）以及來自 KeyLeaf 的 500 萬美元收入（已於 2024 年 2 月剝離）。

From a phasing standpoint, we expect stronger year-over-year growth in the second half of our fiscal 2025, driven by increased flower supply and ramp-up of new products as well as lessening impact from divested businesses.

從分階段的角度來看，我們預計 2025 財年下半年將實現更強勁的同比增長，這得益於鮮花供應增加、新產品的推出以及剝離業務的影響減弱。

We believe that we're on a firm path to achieving positive adjusted EBITDA at the consolidated level, inclusive of corporate cost, driven by sales growth from increased supply and expanded distribution, improvement in gross margins, and additional G&A savings.

我們相信，在供應增加和分銷擴大帶來的銷售成長、毛利率提高以及額外的一般及行政開支節省的推動下，我們正穩步實現合併水平的正調整後 EBITDA（包括企業成本）。

In closing, we're excited about the growth opportunity ahead of us and now have a strong foundation in place to achieve healthy profit margins and enhance shareholder value over time. This concludes my prepared comments. We'll take questions from the analyst.

最後，我們對未來的成長機會感到非常興奮，我們已經打下了堅實的基礎，可以實現健康的利潤率並隨著時間的推移提高股東價值。我的準備好的評論到此結束。我們將回答分析師的問題。

(Operator Instructions) Aaron Grey, Alliance Global.

（操作員指示）Aaron Grey，Alliance Global。

Hi, and thank you very much for the question here. So a first question from me -- regarding your comments on the gross margin, thanks for the color in terms of how it's transitory in nature somewhat. Just if you could provide some commentary in terms of the cadence of the improvements from the greater utilization and some of the other initiatives you have by the lighting and extended grow rooms. How should we think about the timing of that improvement? You had seen gross margins 30% or more within the Canadian cannabis segment. So how do we think about the ramping of that and then the impacts of the overall profitability of the company from the Canadian gross margins going forward? Thank you.

你好，非常感謝您提出這個問題。所以我的第一個問題是——關於您對毛利率的評論，感謝您對其在本質上具有暫時性的解釋。如果您可以就更大利用率的改進節奏以及透過照明和擴大種植室等一些其他舉措提供一些評論。我們該如何思考這種改進的時機？您已經看到加拿大大麻領域的毛利率達到或超過 30%。那我們如何看待這項成長以及未來加拿大毛利率對公司整體獲利能力的影響呢？謝謝。

Sure, Aaron. So if you take a step back, we did deliver a significant improvement on a year-over-year basis in our Canadian business with full year gross margin of 16% and cash gross margin of 31%, and I think, on a full-year basis, and that's within our expectation of achieving close- to mid-30% cash gross margin post all the restructuring actions that we've taken in Q1.

當然，亞倫。因此，如果退一步來看，我們的加拿大業務確實實現了同比顯著改善，全年毛利率為 16％，現金毛利率為 31％，而且我認為，按全年計算，這符合我們的預期，即在第一季度採取所有重組措施後，現金毛利率將接近 30％ 左右。

I think if you think about the Q4 margin, as I said on the call, there really are a few transient factors that negatively impacted margins. I estimate those margins -- those factors would have impacted the gross margins by the magnitude of several million dollars. So if you adjust for those, I think we're kind of back to low to mid 30% gross margin in Canada.

我認為，如果你考慮到第四季度的利潤率，正如我在電話會議上所說的那樣，確實有一些暫時性的因素對利潤率產生了負面影響。我估計這些利潤率——這些因素將對毛利產生數百萬美元的影響。因此，如果對這些進行調整，我認為我們在加拿大的毛利率將回到 30% 左右的低點。

If you look at Q1 and beyond, so just really looking at the rest of fiscal '25, we see further improvement, I said on the call, with all of the improved actions that we're taking in Kincardine. Some of that is going to be a bit more back half loaded. So the increased capacity on the flower side from expanded grow rooms will come in a little bit earlier.

如果你看一下第一季及以後的情況，也就是真正看一下 25 財年的剩餘時間，我們會看到進一步的改善，我在電話會議上說過，我們在金卡丁採取了所有改進措施。其中一些將會更多地向後半部分加載。因此，擴大種植室所帶來的花卉產量的增加將會稍微提早一些。

But I think the Kincardine, the lighting, the LED installation that's happening as we -- in the coming months and that will really help the winter months as we go into the back half of the year. So all in all, we think the Canada cash gross margin should be in the mid to high 30% for the full year basis, probably stronger in the back half versus first half, but we're pleased to really show continued progress on the Canada front. And I do think that this will be a positive driver in achieving positive adjusted EBITDA at the consolidated level, particularly as you think about the back half of the year.

但我認為，金卡丁的照明、LED 安裝將在未來幾個月內完成，這將對我們進入下半年的冬季起到很大的幫助。總的來說，我們認為加拿大全年現金毛利率應該在 30% 左右，下半年可能比上半年更高，但我們很高興看到加拿大方面繼續取得進展。我確實認為，這將成為實現合併水平正調整後 EBITDA 的積極推動力，尤其是考慮到今年下半年。

John Zamparo, CIBC.

加拿大帝國商業銀行 (CIBC) 的 John Zamparo。

Thank you. Good morning. My question is on the balance sheet, and I'm trying to better understand the comments about being able to invest for growth. And I wonder how we should interpret that given the level of debt remaining, and what is the plan to repay that debt?

謝謝。早安.我的問題是關於資產負債表的，我試圖更好地理解關於能夠投資成長的評論。我想知道，考慮到剩餘的債務水平，我們應該如何解釋這一點，以及償還債務的計劃是什麼？

Thanks, John. So as I said on the call, I think the big change in terms of our financial position is that we don't have any near term debt maturity of any substantial amount. The really the next tranche of the debt maturity is in March of 2026. We think that our underlying businesses are also showing improvement that we're reducing cash burn in a significant way and we've been able to also reduce our interest expenses in a meaningful way as we've reduced our debt.

謝謝，約翰。正如我在電話中所說的那樣，我認為我們財務狀況的重大變化是我們沒有任何大量短期債務到期。下一期債務真正到期的時間是2026年3月。我們認為，我們的基礎業務也在改善，我們正在大幅減少現金消耗，隨著我們減少債務，我們也能夠以有意義的方式減少我們的利息支出。

So really the investing for growth is just given our cash position that we have today as well as the ability to really deal with the maturity of debt in a prolonged time frame. I think it really gives us the flexibility to look for opportunities to invest in the greatest potential markets that we operate in as we speak, that doesn't mean that we are going to be investing in asset heavyweight. I think we've really transitioned to really being asset light and opportunistic in finding partners. But I think it just gives us a lot more flexibility to look for those opportunities with the improved balance sheet position.

因此，真正的成長投資只是考慮到我們目前的現金狀況以及在較長時間內處理債務到期的能力。我認為它確實讓我們能夠靈活地尋找機會投資我們目前經營的最具潛力的市場，但這並不意味著我們將投資於重量級資產。我認為我們已經真正轉向輕資產和機會主義式的尋找夥伴。但我認為這給了我們更多的彈性，讓我們能夠利用改善的資產負債表狀況來尋找機會。

(Operator Instructions) Yewon Kang, Canaccord Genuity.

(操作員指令) Yewon Kang，Canaccord Genuity。

Hi, there. This is Yewon Kang on behalf of Matt Bottomley. Thank you for the question. My question is just on the international segment. Obviously, you guys saw a [100%] growth quarter over quarter on the top line on the segment. And you guys called out continued strength in Germany and Poland alongside some nonrecurring US CBD business opportunity there that overall helped the top line sequential growth there. Can you provide more color behind this US CBD business opportunity? And if you have any plans to kind of expand on this going forward, because it seems like it also has kind of a positive impact on the margin under that segment as well? Thanks.

你好呀。我是 Matt Bottomley 的代表 Yewon Kang。感謝您的提問。我的問題只是關於國際部分的。顯然，你們看到該部門的營收季增了 [100%]。你們指出，德國和波蘭的持續強勁成長，以及美國那裡的一些非經常性 CBD 業務機會，總體上幫助了那裡的營收連續成長。能否詳細介紹一下美國 CBD 商業機會？您是否有任何計劃在未來進一步擴大這項業務，因為它似乎也對該部門的利潤率產生了積極影響？謝謝。

Yeah, I think, I can take that. I mean, I think if you look at our international markets, you really should think about our key priority markets, that’s Germany, Poland, Australia and Czech Republic. The US CBD business, as you may recall, have evolved within the Canopy organization. We've really been looking at very, very targeted approach with that business as the regulatory unlock frankly hasn't happened the way that we thought we would. We have also decided that the best place for the US CBD business to reside is actually Canopy USA. And so we are in the process of winding down the business, at least from a Canopy perspective, and then transitioning that business over to Canopy USA that we expect to happen sometime in Q2 of our fiscal 2025.

是的，我想我可以接受。我的意思是，我認為如果你看看我們的國際市場，你真的應該考慮我們的重點市場，那就是德國、波蘭、澳洲和捷克共和國。您可能還記得，美國 CBD 業務是在 Canopy 組織內部發展起來的。我們一直在考慮針對該業務採取非常有針對性的方法，因為監管解鎖坦率地說並沒有像我們想像的那樣發生。我們也決定，美國 CBD 業務的最佳落腳地實際上是 Canopy USA。因此，至少從 Canopy 的角度來看，我們正在逐步結束該業務，然後將該業務轉移到 Canopy USA，我們預計這將在 2025 財年第二季的某個時候完成。

Pablo Zuanic, Zuanic and Associates.

帕布羅·祖安尼奇（Pablo Zuanic），祖安尼奇及其合夥人。

Thank you. Good morning, everyone. David, just regarding Canopy USA. Can you remind us about what's left or has everything been done in terms of shareholder approvals and also approval in terms of Acreage and Wana? And related to that, if you can remind us, assuming that rescheduling doesn't meet your standard of federal permissibility, what actually changes for those US assets, right?

謝謝。大家早安。David，只是談論一下 Canopy USA。您能否提醒我們還剩下什麼，或者在股東批准以及 Acreage 和 Wana 批准方面是否已經完成所有工作？與此相關，如果您可以提醒我們，假設重新安排不符合聯邦允許的標準，那麼這些美國資產實際上會發生什麼變化，對嗎？

I'm thinking Acreage, they need to fund the expansion in Ohio. But if you don't have federal permissibility yet, how can you help them? And how has the Canopy USA structure, if in any way, help them to achieve that type of funding and potential to fund growth?

我認為 Acreage 需要為俄亥俄州的擴張提供資金。但如果您尚未獲得聯邦許可，您如何幫助他們？那麼 Canopy USA 的結構如何幫助他們獲得這種類型的融資以及資助成長的潛力呢？

Yes, so Pablo, in terms of approvals, we don't need any shareholder approval or anything of that nature. We do need to go through the approval process in each state where we have a license. And so what we've done is we've exercised our option -- exercised their option to purchase Wana and Jetty, that's going through the regulatory approval process. Right now, we don't expect there to be any problems with those approvals.

是的，Pablo，就批准而言，我們不需要任何股東批准或類似的東西。我們確實需要在每個擁有許可證的州經過審批程序。因此，我們所做的就是行使我們的選擇權——行使他們的選擇權來購買 Wana 和 Jetty，這正在經過監管部門的批准程序。目前，我們預計這些批准不會出現任何問題。

Canopy has the obligation to exercise its right to purchase Acreage and then move it into Canopy USA, that hasn't happened yet, but we expect that'll happen in the near term. We don't see any major regulatory hurdles. But as you know, it'll take some time to get through each individual state's process. In terms of the ability like what will happen with the businesses and how they improve their capital situation across CUSA. I really think it is a function of putting those CUSA businesses together.

Canopy 有義務行使其購買 Acreage 的權利，然後將其轉移到 Canopy USA，這還沒有發生，但我們預計這將在短期內發生。我們沒有看到任何重大的監管障礙。但正如您所知，完成每個州的流程需要一些時間。就能力而言，例如企業將會發生什麼以及他們如何改善 CUSA 的資本狀況。我確實認為這是將這些 CUSA 業務整合在一起的功能。

Not included in our cash balance is a significant cash balance sitting at Wana and Jetty, which the CUSA assets would all have access to. And so we expect actually that Acreage's challenges related to capital structure will be able to be resolved through kind of amalgamation with CUSA. And also keep in mind, when we put those businesses together, there will be top line synergies available to all of the CUSA entities but there will also be some significant bottom line synergies available as well when you eliminate the public company costs that are currently associated with Acreage.

我們的現金餘額中不包括存放在 Wana 和 Jetty 的大量現金餘額，CUSA 資產均可使用這些現金餘額。因此，我們實際上預計，Acreage 與資本結構相關的挑戰將能夠透過與 CUSA 的合併來解決。還要記住，當我們將這些業務整合在一起時，所有 CUSA 實體都會獲得營收協同效應，但當您消除目前與 Acreage 相關的上市公司成本時，也會獲得一些顯著的利潤協同效應。

Thank you. This concludes the conference call. I will turn the call back over to Mr. Klein for final remarks.

謝謝。本次電話會議到此結束。我將把電話轉回給克萊恩先生，請他做最後的評論。

Great. Thank you for attending today's call. To wrap up, as we started, we're singularly focused on cannabis. Our businesses are growing and have delivered healthy improvements in gross margins. Our business is approaching positive adjusted EBITDA on a consolidated basis, and Canopy USA is moving forward rapidly. We're excited about where our business is going.

偉大的。感謝您參加今天的電話會議。總而言之，正如我們開始時一樣，我們只關注大麻。我們的業務正在成長，毛利率也實現了健康提升。我們的業務在合併基礎上接近正調整後 EBITDA，並且 Canopy USA 正在快速發展。我們對我們的業務發展方向感到非常興奮。

And I firmly believe that Canopy offers a unique option for exposure to growth across the world's most exciting cannabis markets. Thanks again for joining us. And I encourage you to try some of our outstanding products as you enjoy the summer ahead. Our Investor Relations team will be available to answer additional questions. Have a great day, and thank you, everyone.

我堅信 Canopy 為涉足全球最令人興奮的大麻市場的成長提供了獨特的選擇。再次感謝您的加入。我鼓勵您在享受即將到來的夏天時嘗試一些我們的優質產品。我們的投資人關係團隊將隨時解答您的其他問題。祝大家有個愉快的一天，謝謝大家。

This concludes Canopy Growth's fourth quarter and fiscal year 2024 financial results conference call. A replay of this conference call will be available until August 28, 2024, and can be accessed following the instructions provided in the company's press release issued earlier today. Thank you everyone for attending today's call.

Canopy Growth 第四季及 2024 財年財務業績電話會議到此結束。本次電話會議的重播將保留至 2024 年 8 月 28 日，您可以按照本公司今天稍早發布的新聞稿中提供的說明進行存取。感謝大家參加今天的電話會議。