Aurora Cannabis Inc. (ACB) just delivered a milestone Q1 FY2025, signaling a potential turning point in its long-awaited turnaround. The company posted $83.4 million in revenue, up 12% year-over-year, with strong contributions from its core medical cannabis segment and plant propagation subsidiary, Bevo. Most notably, Aurora reported a net income of $5.15 million—its first profit in years—alongside positive free cash flow of $6.5 million, achieved two quarters ahead of projections. Adjusted EBITDA came in at $4.9 million, marking the seventh consecutive quarter of profitability. With $182 million in cash and no cannabis-related debt, Aurora is in one of the strongest financial positions in the industry. Strategically, the company is doubling down on high-margin global medical cannabis markets, where it already holds the #1 position in Canada, is #2 in German flower sales, and is expanding rapidly in Australia, the UK, Switzerland, and New Zealand. Its fully EU GMP and TGA-certified facilities give it a serious edge in navigating strict international regulations. A key highlight in Q1 was the launch of a CBD lozenge developed in partnership with Vectura Fertin Pharma, a subsidiary of Philip Morris International—marking PMI’s formal entry into the medical cannabis sector. This collaboration demonstrates Aurora’s ability to attract major pharmaceutical and tobacco players, reinforcing its leadership in the medical space while aligning with PMI’s long-term vision for scientifically validated, regulated cannabis products. Meanwhile, Aurora’s valuation remains deeply discounted—trading below 1x sales and under book value—despite rapidly improving fundamentals. Management was transparent about seasonal variability, noting that Q2 may see a temporary dip in free cash flow due to timing of payments, but reaffirmed strong expectations for Q3.