Investment Q&A

GUD displayed a solid Q3 beating analysts’ expectations of both revenue and EPS. Revenue came in at $81.5M representing a +13% year-over-year increase and adjusted EBITDA of $40.2M being a +72% year-over-year increase. Net income was reported at $9.6M while EPS was $0.09 which beat analysts’ estimates of -$0.04. Cash flow from operations was $15.2 representing a large increase from the prior quarter and a +29% year-over-year increase. GUD also received regulatory approval for product ‘Minjuvi’ in Brazil which is expected to launch in in Q2 2024. Margins also saw improvement in Q3. GUD put together a good Q3 with positive signals across all three financial statements.

WEED had another tough quarter in Q2 FY2024 as both EPS and revenue missed analysts estimates. Revenue came in below forecast at $69.6M displaying shrinking growth year-over-year, down -41% and missing estimates of $73.4M. WEED recorded a net loss of ($310M) and EPS came in at a loss of ($0.43), below estimates of ($0.16). WEED’s management has shifted focus to reducing cutting with operating expenses down -50% to $30.4M. Total debt was also cut down $364M from the previous quarter to $681M. WEED continues to respond correctly to their weak financials, but consistent profitability is unlikely to be achieved for some time.

AQN was slightly below Q3 earnings expectations with an adjusted EPS at $0.11 versus the forecast of $0.12. Adjusted net earnings were $79.3M compared to $73.5M from the same quarter a year prior. Revenue also came in below expectations at $642.7M compared to the expectation of $645.12M and a -6% year-over-year decline. AQN is still in the process of selling their renewables sector at a forecasted price range of $2.5B to $3.5B.