TLRY - Cannabis stock Tilray pops on narrowed Q2 loss

2024-01-09 08:29:45 ET

Tilray Brands Inc (NASDAQ: TLRY) is trending up in premarket trading on Tuesday after reporting its financial results for the second quarter.

Tilray is expanding in alcoholic beverages

Shareholders are content also because the cannabis company saw its alcoholic beverages revenue more than double to $47 million in Q2.

The Nasdaq-listed firm acquired Blue Point Brewing Company, Shock Top, and six other brands from Anheuser-Busch to expand that business in recent months. Irwin D. Simon – the chief executive of Tilray Brands said in a press release today:

We have emerged as a disrupter in craft beverage-alcohol industry by assembling a portfolio of highly sought-after brands that are dominating key regions across the U.S.

Nonetheless, the consumer-packaged goods company said gross margin in its beverage unit tanked sharply from 47% to 34% in the second quarter. Tilray stock has gained roughly 40% over the past two months.

Notable figures in Tilray Q2 earnings release

• Lost $46 million versus the year-ago $62 million
• Per-share loss also narrowed from 11 cents to 7 cents
• Broke even on an adjusted per-share basis in Q2
• Revenue jumped 34% year-on-year to $193.8 million
• Consensus was 5 cents loss on $193.7 million revenue
• Cannabis revenue popped 35% but its margin dropped to 31%

Tilray Brands Inc now forecasts Hexo and Truss integration to deliver up to $35 million of cost savings in its current financial year. CEO Simon added:

We [continued] strengthening Tilray’s position as #1 cannabis operation and brand portfolio in Canada, the European market leader in medical cannabis, and leader in branded hemp products.

The post Cannabis stock Tilray pops on narrowed Q2 loss appeared first on Invezz