Tilray revenue doubled but losses widened ahead of legal pot sales in Canada
Tilray reported third-quarter earnings Tuesday. Tilray Inc. nearly doubled revenue as losses mounted ahead of Canadian legalization of recreational cannabis, the pot producer revealed Tuesday in an earnings report.
The Canada-based company reported net losses of $18.7 million for the third quarter, which amounts to 20 cents a share, widening from or 2 cents a share in the year-earlier period. Excluding items such as stock-based compensation, which resulted in an $11.2 million charge in the quarter, the company lost $7.5 million, or 8 cents a share.
Tilray’s TLRY, -1.67% sales and marketing expenses more than doubled compared with last year’s third quarter, and general and administrative expenses also more than doubled as the company ramped up for Canadian legalization. The four analysts polled by FactSet that cover Tilray expected a net loss of 12 cents a share on sales of $10.1 million.
Tilray revenue increased 86% to $10 million from the year before. Medical cannabis demand, as well as markets outside Canada and sales to other licensed producers within Canada, accounted for most of the revenue growth. The company doubled the amount of weed it sold to 1,613 kilograms from 684 kilograms in the year-earlier period.
Average per-gram weed prices dropped to $6.21 from $7.53, which the company said was because it sold more pot in bulk than the prior year.
“We are in the early stages of achieving our growth potential and our team continues to strategically execute on disciplined operational initiatives and investments to support Tilray’s long-term, sustainable growth as the pace […]
