On Wednesday, Cannabis producer Organigram Holdings Inc ( OGI ) reported fourth-quarter sales of $31.22 million (44.7 million Canadian dollars), up from 36.7 million Canadian dollars, beating the consensus of 42.98 million Canadian dollars.

The company adds it became Canada’s largest cannabis company by market share following the acquisition of Motif Labs subsequent to year-end.

Also Read: Organigram Wants To Become Canada’s Largest Cannabis Company By Market Share Via $71M Acquisition Deal

Sales increased 22% year-over-year, primarily due to higher recreational cannabis sales and international sales.

Adjusted gross margin was 16.5 million Canadian dollars, or 37% of net revenue, compared to 7.2 million Canadian dollars, or 20%, compared to last year due to efficiency increases across cultivation, manufacturing, and distribution and higher recreational and international sales.

Adjusted EBITDA was 5.9 million Canadian dollars compared to 0.1 million a year ago, primarily attributable to higher net flower revenue, lower general and administrative expenses, and increased gross margins.

The net loss was 5.4 million Canadian dollars, compared to 26.6 million a year ago, primarily due to higher adjusted gross margins and lower impairment losses in the current quarter.

“We are pleased with the growth we achieved every quarter in Fiscal 2024, ending the year on a high note with respect to net revenue and adjusted EBITDA,” said Greg Guyatt, Chief Financial Officer.

“Efficiency improvements in our operations supported our strong adjusted gross margin in the quarter. Our operational improvements, combined with our recent acquisition of Motif, has laid the foundation for continued growth in Fiscal 2025,” Guyatt added.

Organigram ( OGI ) expects sufficient liquidity to meet strategic and operational objectives in fiscal 2025. The company realized C$9.1 million in annual cost savings through extensive efficiency initiatives in Fiscal 2024.

Price Action: At last check on Wednesday, OGI stock was up 9.32% at $1.76 during the premarket session.

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