Benzinga | Jan 10, 2022 07:49AM EST

Tilray's Revenue Dives 8% QoQ To $155M, Announces New Parent Company Name Tilray Brands

Tilray, Inc. (NASDAQ:TLRY) (TSX:TLRY) reported Monday its financial results for the second fiscal quarter ended November 30, 2021, with net revenue of $155 million, up by around 20% from $129 million in the same period year ago and down from $168 million in the first fiscal quarter.

The Canadian marijuana giant also announced a new parent name, Tilray Brands, Inc., reflecting the company's evolution from a Canadian LP to a global consumer packaged goods company with a portfolio of cannabis and lifestyle CPG brands.

Q2 Financial Highlights

* Net income increased to $6 million from a net loss of $89 million in the previous year quarter;

* Adjusted EBITDA was of $13.8 million, representing 8% growth compared to the preceding prior quarter and making for the eleventh consecutive quarter of positive Adjusted EBITDA; Gross profit of $32.8 million was a 7% decrease from $35.3 million in the prior-year quarter;

* Adjusted gross margin in the cannabis segment was stable at 43%;

* Maintained #1 cannabis market share in Canada with a portfolio of comprehensive medical cannabis and adult-use brands, including a top position in cannabis flower and pre-rolls.

* International medical cannabis market leader and #1 in Germany with about 20% market share;

* Cost synergies from Aphria-Tilray combination of $70 million achieved on a run-rate basis to date, with actual cash-savings close to $36 million to date. Expect to reach the $80 million synergy target, ahead of schedule, by May 31, 2022, and to generate an additional $20 million in synergies in fiscal 2023.

"Our second quarter performance reflects notable success building high-quality and highly sought-after cannabis and lifestyle CPG brands which, coupled with our scale, operational excellence and broad global distribution, enabled us to increase sales and maintain profitability despite sector-specific and macro-economic headwinds," Irwin D. Simon, Tilray's chairman and CEO stated.

Discussing the company's U.S. strategy Simon noted that SweetWater Brewing and Manitoba Harvest are continually investing in products innovation and acquisitions.

"These profitable businesses further provide an opportunity to launch THC-based products upon federal legalization in the U.S. Subsequent to the end of the fiscal quarter, we also expanded our spirits portfolio through the acquisition of Breckenridge Distillery, deepening our presence in the fast-growing spirits sector while also providing an immediate contribution to earnings," Simon added.

More recent news from Tilray:

Will Tilray Stock Continue To Drop? Analyst's Thoughts Ahead Of Q2 Earnings Report

Tilray Continues To Slide Lower; Is A Bounce To Higher Prices In Sight?

Why Is Tilray Scaling Its Alcohol Operations? The Newest Acquisition: SweetWater To Buy Green Flash And Alpine Beer

Price Action

Tilray shares traded 4.98% higher at $6.74 per share during Monday's pre-market session.

Photo: Courtesy of 2H Media on Unsplash