Nanaimo, British Columbia-headquartered Tilray reported a net loss of $184.1 million for its quarter ending March 31, an improvement from the previous period’s $219.1 million loss.
Tilray’s adjusted EBITDA loss of $19.7 million was 44% better than the $35.3 million loss it recorded for the fourth quarter of 2019.
The company cited cost reductions and operating efficiencies for the improvement.
The financials were in line or better than most analyst expectations.
For example, Bank of Montreal subsidiary BMO Capital Markets forecasted an EBITDA loss of about $30 million for the company.
Tilray attributed its net loss partly to:
- A currency loss of $28.1 million stemming from a lower Canadian dollar.
- A change in the fair value of the warrant liability of $72 million.
- Asset impairment of $29.8 million.
Revenue for the three months ending March 31 rose quarter-over-quarter to $52.1 million.
That’s higher than the previous quarter’s $46.9 million in sales but not much better than third-quarter 2019 revenue of $51.1 million.
For the three months ending March 31, Tilray reported:
- Medical cannabis revenue in Canada of $4.05 million, up from $3.3 million quarter-over-quarter.
- International medical sales of $5.8 million. That’s higher than the previous quarter’s $4 million but about the same as the $5.7 million recorded in the quarter ending Sept. 30, 2019.
- Adult-use revenue worth $20.9 million, up slightly from $17 million for the previous quarter.
- Hemp revenue of $21.3 million, an improvement over the previous quarter’s $18.7 million.
By region, Canadian revenue of almost $30 million leads the way, followed by the United States at $16.5 million and sales of $6 million for the rest of the world.
Tilray said it has not experienced material COVID-19 impacts related to its ability to serve patients and consumers in core markets.
“The company’s operational sites remain open, but with enhanced measures to protect the safety of its workforce including rotating shifts of self-quarantined staff, reducing the sites to business-critical personnel only, physical distancing incorporated into manufacturing lines and cultivations sites, sanitation protocols and other enhanced safety measures,” the company noted in a disclosure this week.
Tilray trades as TLRY on the Nasdaq.