Tilray Brands, Inc. TLRY TLRY reported financial results for the third quarter ended February 29, 2024 on Tuesday, revealing $188.3 million in net revenuewhich represents a 30% increase year over year.
The Canadian medical cannabis company said net alcoholic beverage revenue increased 165% over the same period to $54.7 million. Global cannabis net revenues increased 33% year-over-year to $63.4 million, with international cannabis growth of 44% compared to the prior-year quarter.
“We achieved several noteworthy accomplishments during the third quarter, including increasing revenue in our core business segments, increasing our adjusted gross profit, reducing our convertible debt balance, making progress in integrating our recently acquired craft beverage brands, realizing operational synergies in the integration of our HEXO acquisition, completing our Canadian and international cannabis cost reduction plans and strengthening our balance sheet,” he said Irwin D. Simonpresident and CEO of the company.
Simon told Benzinga in 2021 that he intended to take advantage of the legalization of cannabis in the United States and intended to create cannabis-infused beer. He was a keynote speaker at past Benzinga Cannabis Capital conferences. The two-day event returns to Florida, at a new location in Hollywood, IL 16 and 17 April 2024.
See also: Tilray’s diversified growth strategy is paying off: Here’s what’s behind a 34% year-over-year revenue increase in the second quarter
Third Quarter 2024 Financial Highlights
- Gross profit was $49.4 million, while adjusted gross profit increased 17% to $51.6 million in the third quarter. Gross margin was 26% and adjusted gross margin was 27%.
- Net distribution revenue was $56.8 million in the third quarter compared to $65.4 million in the prior-year quarter.
- Wellness net revenue increased 12% to $13.4 million in the third quarter compared to $12.0 million in the prior-year quarter.
- Net loss fell to $105 million in the third quarter from a net loss of $1.2 billion in the year-earlier quarter.
- Net loss per share narrowed to ($0.12) from ($1.90) in the prior-year quarter.
- Adjusted EBITDA was positive $10.2 million in the third quarter compared to the prior-year quarter’s adjusted EBITDA gain of $13.3 million.
- The strong financial liquidity position was approximately $226 million, including $146.3 million in cash and $79.6 million in marketable securities.
- Reduced outstanding convertible debt by $50.7 million compared to the second quarter and by an additional $41.9 million after the end of the third quarter.
Updated guidance for fiscal year 2024
For the fiscal year ending May 31, 2024, the company is now guiding to an adjusted EBITDA target of between $60 million and $63 million.
Additionally, the company no longer expects to generate positive adjusted free cash flow for the full 2024 fiscal year, due to delayed timing of cash receipts on various asset sales.
TLRY Price Action
Tilray shares traded 13.5135% lower at $2.24 per share during Tuesday’s pre-market session.
THE Benzinga Cannabis Capital Conference will return to Florida, at a new location in Hollywood, on April 16 and 17, 2024. The two-day event in The Diplomatic Beach Resort it will be an opportunity for entrepreneurs, large and small, to network, learn and grow. Renowned for its trend-setting capabilities and influence on the future of cannabis, mark your calendars for this conference to be the cannabis world’s event of the year.
Get your tickets now bzcannabis.com – Prices will increase very soon!