Organigram Global Inc. · TSX:OGI
Organigram Global — Q3 2020 Earnings Presentation
13 slides from Organigram Global's earnings presentation, Jul 21, 2020
Slide 1: Q3 Fiscal 2020 Results
OGI Q3 FISCAL 2020 RESULTS JULY 21, 2020 NASDAQ (OGI) TSX (OGI) OGI INVESTORS’ PRESENTATION |
Slide 2: Cautionary Statement
Cautionary Statement This document is current as of July 17, 2020, except where otherwise stated. The information contained in this manner to the Company’s management. As there are no standardized methods of calculating this non-IFRS presentation is provided by Organigram (“OGI” or the “Company”) fo
Slide 3: Q3 Fiscal 2020 Highlights
Q3 Fiscal 2020 Highlights • Generated positive cash flow from operations of $8.5M and ended the quarter with cash and short-term investments of $44.8 million • Subsequent to quarter-end, raised $17.9 million in gross proceeds to complete the at-the-market (“ATM”) equity program and drew remaining $3
Slide 4: Phase 4 Expansion of Moncton Campus
Phase 4 Expansion of Moncton Campus • Phase 4 divided up into 3 stages – 4A, 4B and 4C; Phases 4A and 4B completed • Adjusting production methods to achieve higher THC levels which has reduced the yield per plant by ~20% - revised target production capacity is now estimated at 70,000 kg/yr1 (from 89
Slide 5: Phase 5 - Refurbishment for Edibles and Derivative Products
Phase 5 - Refurbishment for Edibles and Derivative Products • 56,000 square feet within existing Moncton Campus facility being refurbished for: • An edibles and derivative production facility; and • Additional extraction capacity (CO2 and hydrocarbon) • Estimated capital cost to complete was ~$3M1 a
Slide 6: Rec 1.0 - New Product Launches and Line Extensions
Rec 1.0 - New Product Launches and Line Extensions PRODUCTS LAUNCH TIMING VALUE in large Launched early July 7g & 15g Trailblazer line extension format segment 2020 VALUE in large Launched mid-July Buds 28g launch in Ontario format segment 2020 Most popular 3-pack Pre-Rolls (3 strains) Launched June
Slide 7: OGI Vaporizer Pen Portfolio
OGI Vaporizer Pen Portfolio • As planned, began shipping Trailblazer Torch vape cartridges in December 2019 • Started shipping Edison + Feather ready-to-go distillate pens in February 2020 • Selected as one of the Canadian partners for PAX ERA, the premium closed loop vaporizer system created by PAX
Slide 8: Cannabis-infused Chocolates
Cannabis-infused Chocolates • ~$15M investment in high-speed, • Expect to launch a cannabis-infused high-capacity, fully-automated chocolate bar into the value segment production line that includes advanced of the adult-recreational edibles engineering, robotics, high-speed market under the Trailbla
Slide 9: Proprietary Nano-Emulsification Technology Dissolvable Powder Product
Proprietary Nano-Emulsification Technology Dissolvable Powder Product • Proprietary nano-emulsion technology, developed by internal R&D team • An expected initial absorption of cannabinoids in 10-15 minutes once ingested by adding to a liquid • Anticipated stability to temperature variations, mechan
Slide 10: Liquidity and Capital
Liquidity and Capital • Generated $8.5 million in positive cash flow from operations in Q3 Fiscal 2020 • Cash and short-term investments of $44.8M as at end of Q3 Fiscal 2020 • Only modest remaining expansion capex of ~$4M as at the end of Q3 Fiscal 2020 to complete plans for Phases 4 and 5 of the M
Slide 11: Appendix
APPENDIX OGI INVESTORS’ PRESENTATION |
Slide 12: Select Key Q3 Fiscal 2020 Financial Metrics
Select Key Q3 Fiscal 2020 Financial Metrics ($ IN 000S) UNLESS OTHERWISE INDICATED Q3 2020 Q3 2019 % CHANGE Gross revenue 22,241 30,361 -27% Excise taxes (4,220) (5,611) -25% Net revenue 18,021 24,750 -27% Cost of sales 44,375 12,473 256% Gross margin before fair value changes to biological assets &
Slide 13: Select Key Q3 Fiscal 2020 Balance Sheet Metrics
Select Key Q3 Fiscal 2020 Balance Sheet Metrics ($ IN 000S UNLESS OTHERWISE INDICATED) 31-MAY-20 31-AUG-19 % CHANGE Cash & Short-Term Investments 44,777 47,935 -7% Biological Assets & Inventories 100,634 113,796 -12% Other Current Assets 17,226 34,550 -50% A/P and Other Current Liabilities 31,563 43