(Reuters) – Pot producer Canopy Growth Corp reported a smaller second-quarter core loss on Wednesday, helped by higher sales of its cannabis-infused drinks and cost-cutting measures.
Canopy has been doubling down on its efforts to turn profitable, including cost cuts through layoffs, exits from some international markets, store closures and divestiture of its retail business across Canada.
Last month, the company said it will create a holding company to fast track its entry into the United States, which is projected to be more than $50-billion market by 2026.
U.S. President Joe Biden has recently been seeking a review on how marijuana is classified and a potential change in legislation is expected to benefit cannabis producers further.
The company posted an adjusted core loss of C$78.1 million ($58.13 million) in the second quarter, compared with a loss of C$162.6 million a year earlier.
($1 = 1.3436 Canadian dollars)
(Reporting by Mrinalika Roy in Bengaluru; Editing by Shounak Dasgupta)
