Canopy Growth Corporation (CGC) shares fell on Friday after the company’s first-quarter fiscal 2025 earnings fell well short of expectations.

The cannabis producer’s revenue of 66.2 million Canadian dollars (48.2 million US dollars) was 13% below the previous year’s level and missed analysts’ forecasts of 72.1 million Canadian dollars. Net loss widened to 1.60 Canadian dollars per share from 0.69 Canadian dollars, more than double the forecast loss per share.

The Company’s Canadian recreational cannabis sales decreased 22% to C$18.9 million, largely offset by a 20% increase in medical cannabis sales to C$18.8 million.

Looking ahead, Canopy is focusing on the second half of the fiscal year.

“The fundamentals of our business continue to strengthen and our focus on generating profitable revenues is bearing fruit as we set the stage for growth in the second half of fiscal 2025,” said David Klein, CEO of Canopy.

Shares of the Ontario-based company fell 7.95% in trading on Friday, although they have risen about 32% since the beginning of the year.