Auxly Cannabis Group stock reports record Q2 revenue growth

Published on 10/07/2026 at 06:54 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS

Auxly Cannabis Group stock posted CAD 45.8 million in Q2 revenue, up 18 percent year over year. Two analysts set a CAD 4.50 average target.

XLY, CA05335P7039, Illustration mit AI erstellt.

Auxly Cannabis Group stock (ISIN CA05335P7039) was last at CAD 3.36 on the Toronto Stock Exchange on October 6, 2026 at 4:00 p.m. ET, down 2.61 percent from CAD 3.45. The company delivered record second-quarter revenue and expanded its gross margin, giving the cannabis producer a stronger operating base for the second half of 2026.

Q2 revenue reaches CAD 45.8 million

SquawkNews reported on September 28, 2026 that Auxly's Q2 2026 net revenue reached CAD 45.8 million, a quarterly record and an 18 percent increase from Q2 2025. Adjusted EBITDA rose 24 percent to CAD 14.3 million, while gross margin expanded to 55 percent from 52 percent in the prior-year quarter.

The company also generated a 94 percent conversion from adjusted EBITDA to operating cash flow, according to SquawkNews. The result shifts attention from reported net income to cash generation, because the margin and conversion figures describe the underlying operating trend more clearly than a single quarter's bottom line.

Leamington investment sets next test

Auxly's investor materials describe the company as a consumer packaged goods business focused on cannabis products, with its primary listing on the Toronto Stock Exchange under XLY. The Auxly investor page lists the Q2 2026 results for the three and six months ended June 30, 2026.

Management plans a CAD 30 million capital program through 2028 to increase yield at Auxly Leamington by 30 percent from 2025 levels, with CAD 10 million to CAD 12 million allocated to 2026, according to SquawkNews. The operating payoff will depend on whether added cultivation and post-harvest capacity can preserve the 55 percent gross margin as volume grows.

Targets sit above the latest price

The analyst consensus is Strong Buy from two analysts, with a CAD 4.50 average 12-month target, a CAD 4.00 low and a CAD 5.00 high, according to Investing.com. The average target lies 33.93 percent above the CAD 3.36 latest price, making execution against the revenue and margin plan the central valuation question.

The market value was CAD 340.5 million on October 6, 2026, while the 52-week range was CAD 1.54 to CAD 3.75 and volume reached 54,723 shares. XLY therefore remained 10.40 percent below its 52-week high, even after the stock's 2.61 percent one-session decline.

XLY remains below its yearly high

Auxly Cannabis Group stock was last at CAD 3.36 on the Toronto Stock Exchange on October 6, 2026 at 4:00 p.m. ET, with the latest market capitalization at CAD 340.5 million. The next market test is whether record revenue and higher margins can translate into sustained cash generation.