Canopy Growth (CGC) Gross Margin
Canopy Growth (CGC) currently has a gross margin of 25.8%. Margins are expanding over recent quarters. The company is a LP cannabis company trading on the NASDAQ.
Current Gross Margin
25.8%
Margin Trend
Expanding
Latest Quarter Margin
28.8%
Quarterly Gross Margin
| Period | Revenue | COGS | Gross Profit | Gross Margin |
|---|---|---|---|---|
| FY2026 Q3 | $74.5M | $53.1M | $21.5M | 28.8% |
| FY2026 Q2 | $66.7M | $44.8M | $21.9M | 32.8% |
| FY2026 Q1 | $72.1M | $54.1M | $18.0M | 25.0% |
| FY2025 Q4 | $65.0M | $54.5M | $10.5M | 16.2% |
| FY2025 Q3 | $74.8M | $50.7M | $24.1M | 32.2% |
| FY2025 Q2 | $63.0M | $41.2M | $21.8M | 34.7% |
| FY2025 Q1 | $66.2M | $43.2M | $23.0M | 34.8% |
| FY2024 Q4 | $72.8M | $57.3M | $15.5M | 21.3% |
Frequently Asked Questions
What is CGC's current gross margin?+
Gross margin for Canopy Growth is calculated as (revenue minus cost of revenue) divided by revenue, expressed as a percentage. It measures how efficiently the company converts sales into gross profit before operating expenses. Higher margins indicate better pricing power or lower production costs.
What is a good gross margin for cannabis companies?+
Cannabis gross margins vary widely by sub-sector. Retailers typically see 40-55%, vertically integrated MSOs 45-60%, and LPs 20-45%. Canopy Growth's margin should be compared to peers in the same sub-sector for meaningful context. Margins above 50% generally indicate strong pricing power.
Why do CGC's margins change quarter to quarter?+
Gross margin fluctuations for Canopy Growth can result from changes in product mix, pricing pressure from competition, input cost changes (e.g., energy, labor), inventory write-downs, or scaling into new markets where initial costs are higher. Seasonal harvest patterns can also affect margins for cultivators.