Tilray Inc (NASDAQ:TLRY) reported on Tuesday that revenue expanded more than 85% in the third quarter as strong sales of its medical marijuana products became available to patients in 12 countries on five continents.
The company reported revenue of $10 million, compared with expectations it would hit $10.1 million. Net loss was $7.5 million, or $0.08 per share, against a net loss in the year-ago period of $1.7 million.
The higher loss was because of the increase in operating expenses related to continued growth, expansion of international teams, and costs related to financing and the initial public offering, Tilray explained.
“The cannabis industry remains very robust and we are pleased with our revenue momentum and strategic achievements in the third quarter,” said CEO Brendan Kennedy in a statement.
Shares of Tilray were down 2.4% in after-hours, having closed 1.7% lower at $111.55 Tuesday in New York.
Tilray's CEO expressed optimism about its prospects going forward.
“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 of legalization continues to accelerate around the world," said Kennedy.
He added: "Going forward, the demand for our products is strong and we remain committed to expanding our leadership in the global medical and adult-use cannabis markets.”
Tilray is one of the four top cannabis companies which are reporting this week. The first two are Aurora Cannabis (NYSE:ACB) and Cronos Group (NASDAQ:CRON). Canopy Growth Corp (NYSE:CGC) will report results Wednesday before the market opens.
Total kilogram equivalents sold by Tilray more than doubled to 1,613 kilograms from 684 kilograms the prior year.
Tilray's average net selling price per gram was $6.21 (C$7.98) compared with $7.53 (C$9.34) for the three months ended September 30, 2017. The reduction in 2018 compared to 2017 was primarily due to an increase in bulk sales as a percentage of total revenue.
Tilray focuses on medical cannabis research, cultivation, processing and distribution.
The Canadian pharmaceutical and cannabis company is headquartered in Nanaimo, British Columbia.
Contact Rene Pastor at [email protected]