Joining a growing list of peers who have made cuts to their employee rolls lately, Canada's Supreme Cannabis Company announced it would lay off roughly 15% of its workforce.
In its announcement, issued Tuesday after market hours, Supreme said this was part of a broader effort aimed at "focusing its businesses and implementing new operating models that prioritize near-term revenue growth in the Canadian market."
Supreme added that it has "optimized" its operations, with streamlined intra-company reporting procedures and rationalizations in vendor contracting and support services. On top of that, the company has pulled out from its involvement in Supreme Heights, described as "an investment platform based in London, UK focused on opportunities in the UK and Europe's CBD health and wellness space," when it was announced in June 2019.
Supreme's job cuts are the latest in a recent series of culls in the industry that have been undertaken by both large and small companies. In the former category, Aurora Cannabis (NYSE:ACB) and Tilray (NASDAQ:TLRY) only last week announced such measures; like Supreme, these were presented as components of wider restructuring efforts.
Tilray said it let go of around 10% of its staff, while Aurora not only admitted to handing out roughly 500 pink slips, it also announced the departure of its CEO and several strict rationalization measures.
On Tuesday, the fortunes of the three marijuana stocks diverged. Both Supreme and Tilray rose significantly in share price, by almost 7% and over 5%, respectively. Aurora, under fire from investors since its announcement, dipped by slightly more than 1%.