Tilray’s stock plunged after the Canadian cannabis firm reported a wider-than-expected loss for the second quarter after the markets closed Tuesday.
The company reported contrasted with what Wall Street was anticipating, based on a survey of analysts by Refinitiv:
- Adjusted earnings per share: A loss of 32 cents vs. a loss of 25 cents expected
- Revenue: $45.9 million vs. $41.1 million expected
Shares of the Canadian pot company slipped by more than 7% in after-hours trading.
On an unadjusted foundation, Tilray reported a second-quarter internet lack of $35.1 million, or 36 cents per share, wider than its loss throughout the same quarter last year of $12.8 million, or 17 cents per share.
After excluding for acquisition-associated expenses and a list accounting cost, Tilray lost 32 cents per share, a sheerer loss than the 25 cents per share analysts surveyed by Refinitiv expected.
Sales rose 371% to $45.9 million, beating expectations of $41.1 million. Tilray attributed the rise to its acquisition of hemp meals producer Manitoba Harvest, Canada legalizing recreational marijuana last year and progress in international markets, particularly in Europe.
Tilray’s whole kilogram equivalents bought reached 5,588 kilograms, tripling the 1,514 kilograms in the year-in the past quarter. Investing in cultivation centers in Canada and Portugal elevated Tilray’s costs and ate into the company’s gross margin.
Tilray will introduce its first CBD products with Authentic Brands within the U.S. in the second half of the year, Kennedy informed analysts Tuesday on a conference call. In January, Tilray agreed to supply Authentic Brands Group with CBD to use in products from brands like Nine West, Prince Sports, and Juicy Couture.
Tilray will “be prepared” to introduce hashish drinks in Canada on the end of the year when rules allow, he stated. Tilray entered a partnership with Anheuser-Busch InBev, the world’s largest brewer, late last year to study cannabis-based beverages.