- Cronos Australia (CAU) will close its physical clinics across Queensland and transition to 100 per cent telehealth only consultations
- By March 31, 2023, the company’s clinics on the Gold Coast, Brisbane and Sunshine Coast will be closed, delivering “significant overhead cost savings”
- Currently 95 per cent of Cronos’ patient consults are done via telehealth, which the company says is the preferred option for patients
- The company will also close its CDA dispensary on the Gold Coast, requiring patients to get scripts filled through a partner pharmacy
- CAU shares were down 3.3 per cent, trading at 57 cents at 2:31pm AEDT
Cannabinoid product supplier and health and wellness company Cronos Australia (CAU) is preparing to close its physical clinics across Queensland.
The company will transition to 100 per cent telehealth only consultations by March 31.
As such, the company’s clinics on the Gold Coast, Brisbane and Sunshine Coast will be closed – a move which the company said would “deliver significant overhead cost savings”.
Currently, 95 per cent of patient consults are undertaken via telehealth, which the company says has been the preferred option for patients since the Covid-19 pandemic.
In addition to closing the physical clinics, CAU will be closing its CDA Dispensary on the Gold Coast, and patients will now have to have their medicinal cannabis scripts filled by a partner pharmacy.
Cronos said it will try and redeploy staff that will lose jobs in the closures to other parts of the business “where possible”, expecting “minimal” job losses.
“As the market leader in Australia, we operate in a rapidly evolving industry that demands constant innovation to ensure we continue to serve our patients, prescribers, pharmacies and suppliers in the best possible way,” CEO Rodney Cocks said.
“Moreover, our transition to 100% telehealth will deliver significant cost savings and
a scalable business model that allows us to consult with patients nationally not just in the local clinic area,” Mr Cocks said.
“In line with these changes, the Company is committed to investment in systems and human capital to continue to grow the business into the future.”
CAU shares were down 3.3 per cent, trading at 57 cents at 2:31pm AEDT.