reported a lower net loss than analysts expected. Marijuana stocks appeared in after-hours trading on Wednesday.
Tilray (ticker: TLRY) reported a fourth-quarter net loss of $ 2.9 million, or two cents a share. The Wall Street consensus estimate called for a net loss of 14 cents per share, according to FactSet. The company’s sales of $ 56.6 million exceeded estimates of $ 56 million.
The company’s recreational marijuana sales grew 49% year-over-year to $ 25.3 million. International medical sales increased 191% to $ 11.7 million, while Canadian medical sales increased 26% to $ 4.2 million. Total cannabis revenue, which does not include $ 15.3 million in the hemp category, reached $ 41.2 million.
Shares of Tilray have risen and fallen in the past week after users of Reddit’s WallStreetBets forum began posting about marijuana stocks. Tilray is expected to close a combination with
(APHA) in the second trimester. Under the announced terms of the deal, each Aphria share would be exchanged for 0.84 shares of the new Tilray.
“Amid accelerating regulatory changes and an increasingly favorable political environment, our proposed merger with Aphria will position the combined company as a global leader with the lowest cost of production, leading brands, a well-developed distribution network and partnerships. unique “. Current TIlray CEO Brendan Kennedy said in the earnings release. Aphria CEO Irwin Simon will become CEO of the combined entity, while Kennedy will become president.
Kennedy noted more than C $ 100 million ($ 78.7 million) in expected pre-tax synergies for Tilray post-merger. “The added impact of these value drivers provides confidence that the ‘new’ Tilray will generate significant value for shareholders,” he added.
Tilray shares were up 11% in after-hours trading on Wednesday, while Aphria shares were up 7.7%.
Write Connor Smith at [email protected]