Tilray Brands Inc. (TLRY) Brands Reports Q1 2025 Financial Results

Tilray Brands Inc. (TLRY) Brands Reports Q1 2025 Financial Results
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Tilray Brands, Inc. (TLRY) Brands Reports Q1 2025 Financial Results

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Tilray Brands Reports Q1 2025 Financial Results

Tilray Brands, Inc. (“Tilray”, “our”, “we” or the “Company”) (Nasdaq: TLRY; TSX: TLRY), a leading global lifestyle and consumer packaged goods company, today reported financial results for its first quarter ended August 31, 2024. All financial information in this press release is reported in U.S. dollars, unless otherwise indicated.

Irwin D. Simon, Tilray Brands’ Chairman and Chief Executive Officer, stated, “As the Chairman and CEO of Tilray Brands, I am excited to lead a company that is disrupting the CPG industry through innovative products that are transforming the way consumers eat, drink, and unwind with cannabis, hemp and beverage products. Our investments in the cannabis, wellness, beverage, and distribution industries are focused on shaping the future and staying ahead of the curve. We are dedicated to executing our strategic plan to increase revenue, drive operational efficiencies, and improve margins and profitability while investing in our continued growth. Our commitment to innovation and growth is unwavering.”

Mr. Simon, continued, “We believe that there is a greater likelihood that the upcoming U.S. Presidential elections will result in improved regulatory changes in the cannabis industry, as both candidates have publicly confirmed their support for further legalization. We are optimistic about the future of the cannabis industry and look forward to the potential opportunities that lie ahead.”

Financial Highlights – First Quarter Fiscal Year 2025

Net revenue increased 13% to $200 million in the first quarter compared to $177 million in the prior year quarter.

Gross profit increased by 35% to $59.7 million in the first quarter compared to $44.2 million in the prior year quarter. Gross margin increased to 30% in the first quarter compared to 25% in the prior year quarter.

Net loss improved by 38% to $(34.7) million in the first quarter compared to $(55.9) million in the prior year quarter.

Net loss per share improved to $(0.04) in the first quarter compared to $(0.10) in the prior year quarter.

Adjusted net loss per share improved to $(0.01) in the first quarter compared to $(0.04) in the prior year quarter.

Adjusted EBITDA in the first quarter was $9.3 million compared to $10.7 million in the prior year quarter.

Beverage alcohol net revenue including acquisitions increased 132% to $56.0 million in the first quarter.

Beverage alcohol gross margin was 41% in the first quarter.

Cannabis net revenue was $61.2 million in the first quarter.

Cannabis gross margin was 40% in the first quarter.

Distribution net revenue was $68.1 million in the first quarter.

Distribution gross margin was 12% in the first quarter.

Wellness net revenue increased 11% to $14.8 million in first the quarter.

Wellness gross margin was 32% in the first quarter.

Live Conference Call and Audio Webcast
Tilray Brands will host a webcast to discuss these results today at 8:30 a.m. ET. Investors may join the live webcast available on the Investors section of the Company’s website at www.tilray.com. A replay will be available and archived on the Company’s website.

About Tilray Brands

Tilray Brands, Inc. (“Tilray”) (Nasdaq: TLRY; TSX: TLRY), is a leading global lifestyle and consumer packaged goods company with operations in Canada, the United States, Europe, Australia, and Latin America that is leading as a transformative force at the nexus of cannabis, beverage, wellness, and entertainment, elevating lives through moments of connection. Tilray’s mission is to be a leading premium lifestyle company with a house of brands and innovative products that inspire joy, wellness and create memorable experiences. Tilray’s unprecedented platform supports over 40 brands in over 20 countries, including comprehensive cannabis offerings, hemp-based foods, and craft beverages.

For more information on how we are elevating lives through moments of connection, visit Tilray.com and follow @Tilray on all social platforms.

For more information on Tilray Brands, visit www.Tilray.com and follow @Tilray

Cautionary Statement Concerning Forward-Looking Statements

Certain statements in this press release constitute forward-looking information or forward-looking statements (together, “forward-looking statements”) under Canadian securities laws and within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, that are intended to be subject to the “safe harbor” created by those sections and other applicable laws. Forward-looking statements can be identified by words such as “forecast,” “future,” “should,” “could,” “enable,” “potential,” “contemplate,” “believe,” “anticipate,” “estimate,” “plan,” “expect,” “intend,” “may,” “project,” “will,” “would” and the negative of these terms or similar expressions, although not all forward-looking statements contain these identifying words. Certain material factors, estimates, goals, projections or assumptions were used in drawing the conclusions contained in the forward-looking statements throughout this communication.

Forward-looking statements include statements regarding our intentions, beliefs, projections, outlook, analyses or current expectations concerning, among other things: the Company’s ability to disrupt the CPG industry for cannabis, hemp, and beverage consumption; the Company’s ability to become a leading beverage alcohol Company; the Company’s ability to achieve long term profitability; the Company’s ability to achieve operational scale, market share, distribution, profitability and revenue growth in particular business lines and markets; the Company’s ability to successfully achieve revenue growth, margin and profitability improvements, production and supply chain efficiencies, synergies and cost savings; the Company’s expected revenue growth, sales volume, profitability, synergies and accretion related to any of its acquisitions; expected commercial opportunities and regulatory developments in the U.S., including upon U.S. federal cannabis legalization or rescheduling; the Company’s anticipated investments and acquisitions, including in organic and strategic growth, partnership efforts, product offerings and other initiatives; the Company’s ability to commercialize new and innovative products; market opportunities and regulatory risks for Hemp-Derived Delta-9 (HDD9) beverage products, and expected sales, distribution, margin, price and revenue generation projections; consumer sentiment regarding HDD9 beverage products; and Tilray’s strategy and anticipated offerings within the HDD9 beverage product segment.

Many factors could cause actual results, performance or achievement to be materially different from any forward-looking statements, and other risks and uncertainties not presently known to the Company or that the Company deems immaterial could also cause actual results or events to differ materially from those expressed in the forward-looking statements contained herein. For a more detailed discussion of these risks and other factors, see the most recently filed annual information form of the Company and the Annual Report on Form 10-K (and other periodic reports filed with the SEC) of the Company made with the SEC and available on EDGAR. The forward-looking statements included in this communication are made as of the date of this communication and the Company does not undertake any obligation to publicly update such forward-looking statements to reflect new information, subsequent events or otherwise unless required by applicable securities laws.

Use of Non-U.S. GAAP Financial Measures

This press release and the accompanying tables include non-GAAP financial measures, including Adjusted gross margin (consolidated and for each of our reporting segments), Adjusted gross profit (consolidated and for each of our reporting segments), Adjusted EBITDA, Adjusted net income (loss), Adjusted net income (loss) per share, free cash flow, adjusted free cash flow, constant currency presentations of revenue and cash and marketable securities. Management believes that the non-GAAP financial measures presented provide useful additional information to investors about current trends in the Company’s operations and are useful for period-over-period comparisons of operations. These non-GAAP financial measures should not be considered in isolation or as a substitute for the comparable GAAP measures. In addition, these non-GAAP measures may not be the same as similar measures provided by other companies due to potential differences in methods of calculation and items being excluded. They should be read only in connection with the Company’s Consolidated Statements of Operations and Cash Flows presented in accordance with GAAP.

Certain forward-looking non-GAAP financial measures included in this press release are not reconciled to the comparable forward-looking GAAP financial measures. The Company is not able to reconcile these forward-looking non-GAAP financial measures to their most directly comparable forward-looking GAAP financial measures without unreasonable efforts because the Company is unable to predict with a reasonable degree of certainty the type and extent of certain items that would be expected to impact GAAP measures but would not impact the non-GAAP measures. Such items may include litigation and related expenses, transaction costs, impairments, foreign exchange movements and other items. The unavailable information could have a significant impact on the Company’s GAAP financial results.

The Company believes presenting net sales at constant currency provides useful information to investors because it provides transparency to underlying performance in the Company’s consolidated net sales by excluding the effect that foreign currency exchange rate fluctuations have on period-to-period comparability given the volatility in foreign currency exchange markets. To present this information for historical periods, current period net sales for entities reporting in currencies other than the U.S. dollar are translated into U.S. dollars at the average monthly exchange rates in effect during the corresponding period of the prior fiscal year, rather than at the actual average monthly exchange rate in effect during the current period of the current fiscal year. As a result, the foreign currency impact is equal to the current year results in local currencies multiplied by the change in average foreign currency exchange rate between the current fiscal period and the corresponding period of the prior fiscal year. A reconciliation of prior year revenue to constant currency revenue the most directly comparable GAAP measure, has been provided in the financial statement tables included above in this press release.

Adjusted EBITDA is calculated as net income (loss) before income tax benefits, net; interest expense, net; non-operating income (expense), net; amortization; stock-based compensation; change in fair value of contingent consideration; purchase price accounting step-up; facility start-up and closure costs; litigation costs; restructuring costs, and transaction (income) costs, net. A reconciliation of Adjusted EBITDA to net loss, the most directly comparable GAAP measure, has been provided in the financial statement tables included below in this press release. Historically, we have included lease expenses for leases that were treated differently under IFRS 16 and ASC 842 in the calculation of adjusted EBITDA, aiming to align our definition with industry peers reporting under IFRS. The decision to include these lease expenses in the Company’s definition of adjusted EBITDA was based on our efforts to maintain comparability with peers. However, as the Company has continued to diversify, particularly with strategic acquisitions such as the newly acquired beverage alcohol business portfolio, this comparison is no longer relevant, accordingly, we are no longer including this adjustment. Had the Company continued to include lease expenses that were treated differently under IFRS 16 and ASC 842, the impact to adjusted EBITDA would have been $0.7 million for the three months ended August 31, 2023.

Adjusted net income (loss) is calculated as net loss attributable to stockholders of Tilray Brands, Inc., less; non-operating income (expense), net; amortization; stock-based compensation; change in fair value of contingent consideration; facility start-up and closure costs; litigation costs; restructuring costs and transaction (income) costs, net. A reconciliation of Adjusted net income (loss) to net loss attributable to stockholders of Tilray Brands, Inc., the most directly comparable GAAP measure, has been included below in this press release.

Adjusted net income (loss) per share is calculated as net loss attributable to stockholders of Tilray Brands, Inc., net; non-operating income (expense), net; amortization; stock-based compensation; change in fair value of contingent consideration; facility start-up and closure costs; litigation costs; restructuring costs and transaction (income) costs, divided by weighted average number of common shares outstanding. A reconciliation of Adjusted net income (loss) per share to net loss attributable to stockholders of Tilray Brands, Inc., the most directly comparable GAAP measure, has been included below in this press release. Adjusted net income (loss) per share is not calculated in accordance with GAAP and should not be considered an alternative for GAAP net income (loss) per share or as a measure of liquidity.

Adjusted gross profit (consolidated and for each of our reporting segments), is calculated as gross profit adjusted to exclude the impact of purchase price accounting valuation step-up. A reconciliation of Adjusted gross profit, excluding purchase price accounting valuation step-up, to gross profit, the most directly comparable GAAP measure, has been provided in the financial statement tables included above in this press release. Adjusted gross margin (consolidated and for each of our reporting segments), excluding purchase price accounting valuation step-up, is calculated as revenue less cost of sales adjusted to add back amortization of inventory step-up, divided by revenue. A reconciliation of Adjusted gross margin, excluding purchase price accounting valuation step-up, to gross margin, the most directly comparable GAAP measure, has been provided in the financial statement tables included above in this press release.

Free cash flow is comprised of two GAAP measures which are net cash flow provided by (used in) operating activities less investments in capital and intangible assets, net. A reconciliation of net cash flow provided by (used in) operating activities to free cash flow, the most directly comparable GAAP measure, has been provided in the financial statement tables included above in this press release. Adjusted free cash flow is comprised of two GAAP measures which are net cash flow provided by (used in) operating activities less investments in capital and intangible assets, net, and the exclusion of growth CAPEX from investments in capital and intangible assets, net, which excludes the amount of capital expenditures that are considered to be associated with growth of future operations rather than to maintain the existing operations of the Company, and excludes our integration costs related to HEXO and the cash income taxes related to Aphria Diamond to align with management’s prescribed guidance. A reconciliation of net cash flow provided by (used in) operating activities to adjusted free cash flow, the most directly comparable GAAP measure, has been provided in the financial statement tables included above in this press release.

Cash and marketable securities are comprised of two GAAP measures, cash and cash equivalents added to marketable securities. The Company’s management believes that this presentation provides useful information to management, analysts and investors regarding certain additional financial and business trends relating to its short-term liquidity position by combing these two GAAP metrics.

For further information:
Media Contact: [email protected]
Investor Contact: [email protected]

Consolidated Statements of Financial Position

August 31,

May 31,

(in thousands of US dollars)

2024

2024

Assets

Current assets

Cash and cash equivalents

$

205,186

$

228,340

Marketable securities

74,869

32,182

Accounts receivable, net

104,037

101,695

Inventory

264,295

252,087

Prepaids and other current assets

44,960

31,332

Assets held for sale

32,536

32,074

Total current assets

725,883

677,710

Capital assets

555,136

558,247

Operating lease, right-of-use assets

17,176

16,101

Intangible assets

908,768

915,469

Goodwill

2,009,714

2,008,884

Long-term investments

7,853

7,859

Convertible notes receivable

32,000

32,000

Other assets

5,337

5,395

Total assets

$

4,261,867

$

4,221,665

Liabilities

Current liabilities

Bank indebtedness

$

18,134

$

18,033

Accounts payable and accrued liabilities

236,146

241,957

Contingent consideration

15,000

15,000

Warrant liability

2,557

3,253

Current portion of lease liabilities

5,640

5,091

Current portion of long-term debt

16,072

15,506

Current portion of convertible debentures payable

330

Total current liabilities

293,549

299,170

Long – term liabilities

Lease liabilities

60,657

60,422

Long-term debt

155,268

158,352

Convertible debentures payable

132,650

129,583

Deferred tax liabilities, net

136,230

130,870

Other liabilities

99

90

Total liabilities

778,453

778,487

Stockholders’ equity

Common stock ($0.0001 par value; 1,198,000,000 common shares authorized; 875,444,828 and 831,925,373 common shares issued and outstanding, respectively)

88

83

Preferred shares ($0.0001 par value; 10,000,000 preferred shares authorized; nil and nil preferred shares issued and outstanding, respectively)

Additional paid-in capital

6,217,533

6,146,810

Accumulated other comprehensive loss

(39,877

)

(43,499

)

Accumulated deficit

(2,699,653

)

(2,660,488

)

Total Tilray Brands, Inc. stockholders’ equity

3,478,091

3,442,906

Non-controlling interests

5,323

272

Total stockholders’ equity

3,483,414

3,443,178

Total liabilities and stockholders’ equity

$

4,261,867

$

4,221,665

Condensed Consolidated Statements of Net Income (Loss) and Comprehensive Income (Loss)

For the three months ended

August 31,

August 31,

Change

% Change

(in thousands of U.S. dollars, except for per share data)

2024

2023

2024 vs. 2023

Net revenue

$

200,044

$

176,949

$

23,095

13

%

Cost of goods sold

140,338

132,753

7,585

6

%

Gross profit

59,706

44,196

15,510

35

%

Operating expenses:

General and administrative

44,113

40,516

3,597

9

%

Selling

11,690

6,859

4,831

70

%

Amortization

21,804

22,225

(421

)

(2

)%

Marketing and promotion

11,566

8,535

3,031

36

%

Research and development

105

79

26

33

%

Change in fair value of contingent consideration

(11,107

)

11,107

(100

)%

Litigation costs, net of recoveries

1,595

2,034

(439

)

(22

)%

Restructuring costs

4,247

915

3,332

364

%

Transaction costs (income), net

1,156

8,502

(7,346

)

(86

)%

Total operating expenses

96,276

78,558

17,718

23

%

Operating loss

(36,570

)

(34,362

)

(2,208

)

6

%

Interest expense, net

(9,842

)

(9,835

)

(7

)

0

%

Non-operating income (expense), net

12,646

(4,402

)

17,048

(387

)%

Loss before income taxes

(33,766

)

(48,599

)

14,833

(31

)%

Income tax expense, net

886

7,264

(6,378

)

(88

)%

Net loss

$

(34,652

)

$

(55,863

)

$

21,211

(38

)%

Net loss per share – basic and diluted

(0.04

)

(0.10

)

0.06

(60

)%

Condensed Consolidated Statements of Cash Flows

For the three months ended

August 31,

August 31,

Change

% Change

(in thousands of US dollars)

2024

2023

2024 vs. 2023

Cash provided by (used in) operating activities:

Net loss

$

(34,652

)

$

(55,863

)

$

21,211

(38

)%

Adjustments for:

Deferred income tax expense, net

382

59

323

547

%

Unrealized foreign exchange (gain) loss

(5,602

)

(3,127

)

(2,475

)

79

%

Amortization

31,814

30,789

1,025

3

%

Accretion of convertible debt discount

3,067

5,544

(2,477

)

(45

)%

Other non-cash items

729

(6,357

)

7,086

(111

)%

Stock-based compensation

6,917

8,257

(1,340

)

(16

)%

(Gain) loss on long-term investments & equity investments

(499

)

47

(546

)

(1162

)%

Loss on derivative instruments

(696

)

10,345

(11,041

)

(107

)%

Change in fair value of contingent consideration

(11,107

)

11,107

(100

)%

Change in non-cash working capital:

Accounts receivable

(2,342

)

13,044

(15,386

)

(118

)%

Prepaids and other current assets

(13,570

)

(4,654

)

(8,916

)

192

%

Inventory

(12,383

)

3,650

(16,033

)

(439

)%

Accounts payable and accrued liabilities

(8,472

)

(6,469

)

(2,003

)

31

%

Net cash used in operating activities

(35,307

)

(15,842

)

(19,465

)

123

%

Cash provided by (used in) investing activities:

Investment in capital and intangible assets

(6,736

)

(4,152

)

(2,584

)

62

%

Proceeds from disposal of capital and intangible assets

28

342

(314

)

(92

)%

Disposal (purchase) of marketable securities, net

(42,687

)

(45,436

)

2,749

(6

)%

Business acquisitions, net of cash acquired

22,956

(22,956

)

(100

)%

Net cash provided by (used in) investing activities

(49,395

)

(26,290

)

(23,105

)

88

%

Cash provided by (used in) financing activities:

Share capital issued, net of cash issuance costs

66,472

66,472

NM

Proceeds from long-term debt

7,621

(7,621

)

(100

)%

Repayment of long-term debt

(4,791

)

(6,369

)

1,578

(25

)%

Proceeds from convertible debt

21,553

(21,553

)

(100

)%

Repayment of convertible debt

(330

)

(330

)

NM

Repayment of lease liabilities

(862

)

(862

)

NM

Net increase (decrease) in bank indebtedness

101

(8,787

)

8,888

(101

)%

Net cash provided by (used in) financing activities

60,590

14,018

46,572

332

%

Effect of foreign exchange on cash and cash equivalents

958

614

344

56

%

Net decrease in cash and cash equivalents

(23,154

)

(27,500

)

4,346

(16

)%

Cash and cash equivalents, beginning of period

228,340

206,632

21,708

11

%

Cash and cash equivalents, end of period

$

205,186

$

179,132

$

26,054

15

%

Net Revenue by Operating Segment

For the three months ended

% of Total

For the three months ended

% of Total

(In thousands of U.S. dollars)

August 31, 2024

Revenue

August 31, 2023

Revenue

Beverage alcohol business

$

55,972

28

%

$

24,162

13

%

Cannabis business

61,249

31

%

70,333

40

%

Distribution business

68,071

34

%

69,157

39

%

Wellness business

14,752

7

%

13,297

8

%

Total net revenue

$

200,044

100

%

$

176,949

100

%

Net Revenue by Operating Segment in Constant Currency

For the three months ended

For the three months ended

August 31, 2024

August 31, 2023

(In thousands of U.S. dollars)

as reported in constant
currency

% of Total
Revenue

as reported in constant
currency

% of Total
Revenue

Beverage alcohol business

$

55,972

27

%

$

24,162

13

%

Cannabis business

62,792

31

%

70,333

40

%

Distribution business

70,396

35

%

69,157

39

%

Wellness business

14,940

7

%

13,297

8

%

Total net revenue

$

204,100

100

%

$

176,949

100

%

Net Cannabis Revenue by Market Channel

For the three months ended

% of Total

For the three months ended

% of Total

(In thousands of U.S. dollars)

August 31, 2024

Revenue

August 31, 2023

Revenue

Revenue from Canadian medical cannabis

$

6,261

10

%

$

6,142

9

%

Revenue from Canadian adult-use cannabis

57,235

94

%

71,195

102

%

Revenue from wholesale cannabis

5,507

9

%

5,295

7

%

Revenue from international cannabis

12,191

20

%

14,252

20

%

Less excise taxes

(19,945

)

(33

)%

(26,551

)

(38

)%

Total

$

61,249

100

%

$

70,333

100

%

Net Cannabis Revenue by Market Channel in Constant Currency

For the three months ended

For the three months ended

August 31, 2024

August 31, 2023

(In thousands of U.S. dollars)

as reported in constant
currency

% of Total
Revenue

as reported in constant
currency

% of Total
Revenue

Revenue from Canadian medical cannabis

$

6,432

10

%

$

6,142

9

%

Revenue from Canadian adult-use cannabis

58,806

94

%

71,195

102

%

Revenue from wholesale cannabis

5,658

9

%

5,295

7

%

Revenue from international cannabis

12,388

20

%

14,252

20

%

Less excise taxes

(20,492

)

(33

)%

(26,551

)

(38

)%

Total

$

62,792

100

%

$

70,333

100

%

Other Financial Information: Key Operating Metrics

For the three months ended

August 31,

August 31,

(in thousands of U.S. dollars)

2024

2023

Net beverage alcohol revenue

$

55,972

$

24,162

Net cannabis revenue

61,249

70,333

Distribution revenue

68,071

69,157

Wellness revenue

14,752

13,297

Beverage alcohol costs

33,050

11,266

Cannabis costs

37,054

50,517

Distribution costs

60,138

61,468

Wellness costs

10,096

9,502

Adjusted gross profit (excluding PPA step-up)

59,881

49,302

Beverage alcohol adjusted gross margin (excluding PPA step-up)

41

%

56

%

Cannabis adjusted gross margin (excluding PPA step-up)

40

%

35

%

Distribution gross margin

12

%

11

%

Wellness gross margin

32

%

29

%

Adjusted EBITDA

$

9,334

$

10,734

Cash and marketable securities as at the period ended:

280,055

466,465

Working capital as at the period ended:

$

432,334

$

291,981

Other Financial Information: Gross Margin and Adjusted Gross Margin

For the three months ended August 31, 2024

(In thousands of U.S. dollars)

Beverage

Cannabis

Distribution

Wellness

Total

Net revenue

$

55,972

$

61,249

$

68,071

$

14,752

$

200,044

Cost of goods sold

33,050

37,054

60,138

10,096

140,338

Gross profit

22,922

24,195

7,933

4,656

59,706

Gross margin

41

%

40

%

12

%

32

%

30

%

Adjustments:

Purchase price accounting step-up

175

175

Adjusted gross profit

23,097

24,195

7,933

4,656

59,881

Adjusted gross margin

41

%

40

%

12

%

32

%

30

%

For the three months ended August 31, 2023

(In thousands of U.S. dollars)

Beverage

Cannabis

Distribution

Wellness

Total

Net revenue

$

24,162

$

70,333

$

69,157

$

13,297

$

176,949

Cost of goods sold

11,266

50,517

61,468

9,502

132,753

Gross profit

12,896

19,816

7,689

3,795

44,196

Gross margin

53

%

28

%

11

%

29

%

25

%

Adjustments:

Purchase price accounting step-up

590

4,516

5,106

Adjusted gross profit

13,486

24,332

7,689

3,795

49,302

Adjusted gross margin

56

%

35

%

11

%

29

%

28

%

Other Financial Information: Adjusted Earnings Before Interest, Taxes and Amortization

For the three months ended

August 31,

August 31,

Change

% Change

(In thousands of U.S. dollars)

2024

2023

2024 vs. 2023

Net loss

$

(34,652

)

$

(55,863

)

$

21,211

(38

)%

Income tax expense, net

886

7,264

(6,378

)

(88

)%

Interest expense, net

9,842

9,835

7

0

%

Non-operating income (expense), net

(12,646

)

4,402

(17,048

)

(387

)%

Amortization

31,814

30,789

1,025

3

%

Stock-based compensation

6,917

8,257

(1,340

)

(16

)%

Change in fair value of contingent consideration

(11,107

)

11,107

(100

)%

Purchase price accounting step-up

175

5,106

(4,931

)

(97

)%

Facility start-up and closure costs

600

(600

)

(100

)%

Litigation costs, net of recoveries

1,595

2,034

(439

)

(22

)%

Restructuring costs

4,247

915

3,332

364

%

Transaction costs (income)

1,156

8,502

(7,346

)

(86

)%

Adjusted EBITDA

$

9,334

$

10,734

$

(1,400

)

(13

)%

Other Financial Information: Adjusted Net Loss and Adjusted Net Loss Per Share

For the three months ended

August 31,

August 31,

Change

% Change

2024

2023

Change

Net loss attributable to stockholders of Tilray Brands, Inc.

$

(39,165

)

$

(71,525

)

$

32,360

(45

)%

Non-operating income (expense), net

(12,646

)

4,402

(17,048

)

(387

)%

Amortization

31,814

30,789

1,025

3

%

Stock-based compensation

6,917

8,257

(1,340

)

(16

)%

Change in fair value of contingent consideration

(11,107

)

11,107

(100

)%

Facility start-up and closure costs

600

(600

)

(100

)%

Litigation costs, net of recoveries

1,595

2,034

(439

)

(22

)%

Restructuring costs

4,247

915

3,332

364

%

Transaction costs (income)

1,156

8,502

(7,346

)

(86

)%

Adjusted net loss

$

(6,082

)

$

(27,133

)

$

21,051

(78

)%

Adjusted net loss per share – basic and diluted

$

(0.01

)

$

(0.04

)

$

0.03

(75

)%

Other Financial Information: Free Cash Flow

For the three months ended

August 31,

August 31,

Change

% Change

(In thousands of U.S. dollars)

2024

2023

2024 vs. 2023

Net cash used in operating activities

$

(35,307

)

$

(15,842

)

$

(19,465

)

123

%

Less: investments in capital and intangible assets, net

(6,708

)

(3,810

)

(2,898

)

76

%

Free cash flow

$

(42,015

)

$

(19,652

)

$

(22,363

)

114

%

Add: growth CAPEX

2,540

1,687

853

51

%

Add: cash income taxes related to Aphria Diamond

5,714

(5,714

)

(100

)%

Add: integration costs related to HEXO

5,915

(5,915

)

(100

)%

Adjusted free cash flow

$

(39,475

)

$

(6,336

)

$

(33,139

)

523

%

The post Tilray Brands, Inc. (TLRY) Brands Reports Q1 2025 Financial Results appeared first on Marijuana Stocks | Cannabis Investments and News. Roots of a Budding Industry.™.





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