The Cronos Australia Ltd (ASX: CAU) share price is lifting today amid the company's FY22 results.
Cronos shares are currently trading at 36 cents, a 4.35% lift. In contrast, the S&P/ASX 200 Index (ASX: XJO) is falling 1.94% today.
Let's take a look at what this ASX cannabis share reported today.
Net profit surges by 324%
Highlights of Cronos Australia's FY22 results include:
- Net profit after tax (NPAT) surged 324% on previous financial year to $6 million
- EBITDA lifted 390% on FY21 to $10.5 million
- Revenue rose 208% to $67 million
- Fully franked dividend of 1 cent per share
What else did the company report?
Cronos reported average gross margins between 35% to 40% on its products.
Receipts from customers lifted 245% on the previous year, while net cash flows from operations soared 1,164% to more than $13.5 million.
Cronos said it is the only ASX medicinal cannabis company to declare a dividend. The company is also inviting shareholders to take part in a dividend reinvestment plan.
Cronos now has $16.1 million cash at the bank and no debt aside from standard leases.
The company's medicinal cannabis patients have lifted from nearly zero in 2018 to 100,000 in 2022.
The dividend will be paid on 11 October.
Management commentary
Commenting on the results and dividend, executive director Rodney Cocks said:
Cronos Australia is very pleased to be able to declare a dividend to its shareholders at 1.0 cent
per share, fully franked.This is, yet again, another first for Cronos Australia, being the first ASX-listed medicinal cannabis company to report a profit and now, the first to declare a dividend.
The Company has achieved record growth during the 2022 financial year and it is
gratifying that the Company can share its success with its shareholders in a very tangible way.
What's next?
This ASX cannabis share is predicting revenue in FY21 to be more than $100 million, based on current sales and growth.
Cronos said the Australian medicinal cannabis market is expected to be more than $400m by the end of the 2022 calendar year, nearly 74% higher than the 2021 calendar year.
Cronos believes it is well positioned for "sustainable, scalable growth" in FY23 and the years ahead.
Cronos share price snapshot
The Cronos Australia share price has soared 227% in a year, while it has climbed 80% year to date.
In the past month alone, this ASX cannabis share has lifted 24%.
For perspective, the benchmark ASX 200 Index has lost nearly 7% in the past year.
