Tilray Brands (NASDAQ: TLRY) just reported its 15th consecutive quarter of positive adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA), but the Canadian company, with operations in the U.S., Europe, Latin America, and Australia, and more than 20 brands of cannabis, is struggling.
Over the past 12 months, the Leamington, Ontario company's shares have fallen more than 57%. In the second quarter of fiscal 2023, which the company reported on Jan. 9, Tilray said it kept its lead market share in Canada, but revenue through six months was reported as $297.3 million, down 8% year over year. Net income was even direr with the company reporting a loss of $127.4 million, 342% worse than its $28.8 million loss in the same period a year ago. Even though it reported $11.7 million in adjusted EBITDA in the quarter, that's down from $13.8 million in the same period a year ago.
The entire cannabis sector has been down as the possibility for federal approval of cannabis sales, or at least the SAFE Banking Act that would open up traditional financing avenues for cannabis companies in the U.S., has stalled. The company's shares dropped 10.5% the day it released its second-quarter earnings.
Source Fool.com