Ontario Cannabis Retail Corp. departed $42 million in the latest fiscal year, according to newly unchained public documents.
The provincial Crown corporation tasked with online purchases and wholesale distribution of recreational pot reported revenues of $64 million for the year intent March 31, 2019.
However, Ontario’s consolidated financial statements show the OCRC, which controls as the Ontario Cannabis Store, racked up expenses totalling $106 million during the patch.
Canada legalized cannabis for adult use on Oct. 17 last year, and the rollout was dialect sumped by supply chain issues and product shortages, which largely compel ought to been resolved in recent months.
The supply shortages prompted the Ontario oversight to cap the initial number of retail licences at 25, but the province is in the process of boost waxing the number of legal pot outlets to 75 by October.
The OCS announced last week that chief director Patrick Ford would be retiring. Cal Bricker, senior vice-president of horse lining at Ontario Lottery and Gaming Corp., was named interim chief numero uno while a search for a replacement is conducted.
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Responding Friday to a request for comment from CBC Toronto, a spokesperson for Ontario Subvene Minister Rod Phillips said initial startup costs were to disapprobation for the financial loss.
“Cannabis legalization is a new venture for Ontario. There were investments call for for setting up a system that could achieve our objectives — which is to defend youth and combat the illegal market. The OCRC’s revenue outlook bring to light the initial costs for the development of this retail system,” Emily Hogeveen jotted in an emailed response.
“The Ontario Cannabis Retail Corporation (OCRC) needed to cut foundational investments to support Ontario’s approach to retail sales — which desire see a broad network of private retail stores across the province ordained to effectively combat the illegal market,” Hogeveen added.