Aurora Cannabis Slashing Weed Capacity in Profitability Push

Aurora Cannabis  (ACB) – Get Aurora Cannabis Inc. Report needs to cut costs after going on a spending spree, and the company is willing to seriously reduce capacity to do so. 

Two weeks after announcing the close of its nearly $40 million acquisition of Thrive Cannabis, the company said that it would close its Aurora Sky facility.

Thanks to a tough macro environment for recreational cannabis in Canada, the cannabis producer won’t need all the capacity it has. 

“Simply put, our business is bigger than what we need, and we must position ourselves to better secure our path to profitability and ultimately be successful in this industry in the long term,” Chief Executive Miguel Martin said in a video message to employees.