Canopy Growth Corporation · TSX:WEED
Canopy Growth — Investor Presentation (November 2018)
21 slides from Canopy Growth's investor presentation, November 2018
Slide 1: Driving the Global Cannabis Industry
DRIVING THE GLOBAL CANNABIS INDUSTRY Bruce Linton Founder, Chairman & Co-CEO November 2018
Slide 2: Forward-Looking Statement
FORWARD-LOOKING STATEMENT This presentation contains “forward-looking information” within the meaning of applicable Canadian securities laws and “forward-looking statements” within the meaning of the United States Private Securities Litigation Reform Act of 1995 (collectively, “Forward-Looking State
Slide 3: Company Snapshot
COMPANY SNAPSHOT Canopy Growth (TSX:WEED) (NYSE: CGC) is a world-leading diversified cannabis and hemp company, offering distinct brands and curated cannabis varieties in dried, oil and Softgel capsule forms. Share Price Performance (TSX:WEED) $80 $60 Operations in 12 countries Product innovation an
Slide 4: $5 Billion Transformative Investment to Accelerate Global Growth Plans
TRANSFORMATIVE INVESTMENT TO ACCELERATE GLOBAL GROWTH PLANS $5 BILLION Use of Proceeds: Entry into United States? European expansion Expansion in South America Mergers & Acquisitions 4
Slide 5: The Legalization of Cannabis Is Spreading Globally
THE LEGALIZATION OF CANNABIS IS SPREADING GLOBALLY Medical & Adult-Use Legalized Medical Use Legalized In the Process of Legalizing Medical Use / Exploring Legalization Exploring Legalization of Hemp - CBD/Federal Permissibility of Cannabis where State Legal 5
Slide 6: Global Cannabis Market
GLOBAL CANNABIS MARKET ILLICIT MARKET CONVERSION POTENTIAL GLOBAL MARKET DISRUPTION - $500B+ TARGET MARKETS INCLUDE: CANADA CANADA INTERNATIONAL ATHLETIC DRINKS4 $40B MEDICAL1 REC.2 MEDICAL3 ANIMAL HEALTH5 $50B $3B $5B - $9B $180B PAIN RELIEF6 $90B SLEEP AIDS7 $100B BEVERAGE ALCOHOL8 $1T 1 Source: E
Slide 7: Building Strong Brands
BUILDING STRONG BRANDS The diverse brands “under the Canopy” allow us to effectively deploy brands that are targeted towards specific customer demographics, use occasions and product form factors MEDICAL ADULT – USE OWNED BRANDS AFFILIATE BRANDS RETAIL 7
Slide 8: Global Medical Cannabis Leadership
GLOBAL MEDICAL CANNABIS LEADERSHIP • 54,000 Healthcare Professional Visits1 • Certified Medical Education Program • Exclusive Pharmacy Learning Modules Accredited by Canadian Pharmacy Association and CCCEP2 • Peer Catalyst Mentor Program • Global Brand – Spectrum Cannabis • Colour-coded Product Syst
Slide 9: Global Medical Cannabis Leadership
GLOBAL MEDICAL CANNABIS LEADERSHIP Developing safe, effective, natural medicines derived from cannabis Research Program1 39 Patent Applications Filed with USPTO 15 Human Health Clinical Trials including Phase 11b sleep trials2 4 Animal Health Clinical Trials Including companion animal anxiety 1 Incl
Slide 10: Deep Channels into Canadian Recreational Market
DEEP CHANNELS INTO CANADIAN RECREATIONAL MARKET 70,000 36% kg/yr 30%+ Share of Supply Agreements Minimum Supply Share of Available SKUs, Signed To Date1 Commitments2 Nationwide3 Distribution Drives Revenue, Capacity Alone Does Not 1. Estimated share of supply agreements announced to date by province
Slide 11: Engaging Retail – Build Brand, Build Demand
ENGAGING RETAIL – BUILD BRAND, BUILD DEMAND Brick & Mortar1 Online Government Private Hybrid 8 In Process 5 15 In Process Technology-enabled, Nationwide sales force 1 Store count includes Tweed and Tokyo Smoke locations 11
Slide 12: Engaging Retail – Demand Pull Through
ENGAGING RETAIL – BUILD BRAND, BUILD DEMAND Demand Pull Through 12 12
Slide 13: Educating Retail
EDUCATING RETAIL Canopy Learning & Development CSR Training1 • Provincial stores - NB, PEI • Private stores in NF • Own stores - NF, MB, SK • Additional retailers evaluating Over 650 trained to date 1. Completed, underway or planned 13
Slide 14: Cannabis – A Potentially Disruptive Ingredient
CANNABIS – A POTENTIALLY DISRUPTIVE INGREDIENT SCIENCE-BASED, NO ALCOHOL CLINICALLY-PROVEN OUTCOMES NO CALORIES ANTI-INFLAMATION NO HANGOVER ANTI-ANXIETY HAPPY LIVER 14
Slide 15: Cannabis – A Potentially Disruptive Ingredient
CANNABIS – A POTENTIALLY DISRUPTIVE INGREDIENT Developing safe, effective, natural medicines derived from cannabis Global IP Protection 15
Slide 16: Growing IP Portfolio – Digging Our Economic Moat
GROWING IP PORTFOLIO – DIGGING OUR ECONOMIC MOAT XXXX 120+ patent applications1 filed to date, more under Image of gas lamp type light bulb (bad example development below) • Cannabis-based beverage production • Cannabis-based medical treatments • Large-scale cannabis processing • Technology • Broad
Slide 17: Driving Global Growth
DRIVING GLOBAL GROWTH Cultivation/License Application! Facility Under Development GMP GMP-certified Facility cangrrcnos a... Spel 3Y Spectrum He Cannabis 17
Slide 18: Management Team
MANAGEMENT TEAM Bruce Linton Mark Zekulin Tim Saunders Dr. Mark Ware Chairman & Co-CEO President & Co-CEO EVP & Chief Financial Officer Chief Medical Officer 18
Slide 19: Management Team
MANAGEMENT TEAM Phil Shaer Amanda Daley Rade Kovacevic Dave Bigioni Chief Legal Officer VP, Medical EVP, Recreational Cannabis & Chief Commercial Officer Managing Director, Canada 19
Slide 20: Bruce Linton, Founder, Chairman & Co-CEO
BRUCE LINTON FOUNDER, CHAIRMAN & CO-CEO bruce@canopygrowth.com 20
Slide 21: Performance Highlights
PERFORMANCE HIGHLIGHTS Revenue (M) Sales (kg & kg equiv.) $25.9 $22.8 $23.3 2,695 $21.7 2,528 2,330 2,197 $17.6 2,020 Q218 Q318 Q418 Q119 Q219 Q218 Q318 Q418 Q119 Q219 Avg. Sales Price per Gram Patients $10 $9.87 85,000 84,400 74,000 $8.94 69,000 64,000 $8.43 $8.30 $7.99 $8 $6 Q218 Q318 Q418 Q119 Q2
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