Tilray Revenue Rises 23% to First-Quarter Record as Adjusted Earnings Fall
Key Facts
Tilray Brands reported net revenue of $257.1 million in the first quarter of fiscal 2027, a record for the quarter, according to the company's earnings statement. Revenue rose 23% from the same period of the previous fiscal year, supported by the expansion of its beverage business through acquisitions. The results were announced on October 8, 2026, for the fiscal period ended August 31, 2026, in line with the company's scheduled release before markets opened. Gross profit reached $77.5 million, which the company also described as a first-quarter record. Gross margin rose to 30% from 27% a year earlier, while adjusted earnings before interest, taxes, depreciation and amortization declined.
Tilray reported adjusted earnings before interest, taxes, depreciation and amortization of $9.2 million in the first quarter of fiscal 2027, according to the earnings statement. That compared with $10.2 million in the corresponding period of the previous fiscal year, marking a decline in earnings by this measure despite higher sales and an improved gross margin. The company posted a consolidated net loss of $40,031 thousand for the quarter ended in August, according to its quarterly filing with the U.S. Securities and Exchange Commission. On costs, it incurred additional fuel and freight charges of $1.7 million during the same period. Tilray linked those charges to disruptions in the Middle East, among the burdens its operations faced during the fiscal quarter.
In the beverage segment, net revenue reached $101.5 million in the first quarter, according to the company's regulatory filing, with a contribution from the acquired BrewDog operations. The global BrewDog acquisitions added $55.9 million in beverage revenue to the period's results, supporting the expansion of the business that contributed to group revenue growth. Beverage sales fell from a year earlier when excluding BrewDog's contribution, however, according to the comparison Tilray provided in its quarterly filing. The company attributed the decline in sales excluding the acquisition to lower volumes and competitive pressures in the beverage business. The segment's revenue expansion was thus supported by acquired businesses, alongside weaker sales volumes in the other businesses included in the comparison.
In the cannabis business, total net revenue fell year on year to $56,109 thousand in the first quarter of fiscal 2027, according to the regulatory filing. International cannabis net revenue reached $16.2 million during the same period, with the business benefiting from demand for medical cannabis in Germany. Meanwhile, pricing pressures reduced international cannabis revenue by about $8.8 million, according to the company's account of its operations outside its domestic market. The impact of pricing pressures on the international business coincided with support from German medical demand, while total cannabis segment revenue declined from a year earlier. The distribution business recorded net revenue of $84.3 million during the quarter, according to figures in the same quarterly filing.
Tilray's beverage expansion follows its acquisition of BrewDog businesses for a total of £33 million, according to the company's statement on the deal in March 2026. The acquisition included the BrewDog brand among the assets transferred to Tilray under the announced agreement. The deal also included intellectual property associated with the acquired businesses, along with British brewing operations and pubs, according to details in the statement. Discussing the beverage strategy, Chief Executive Irwin Simon said, "Beer is here to stay," according to the company's statement on its agreement with Carlsberg Group. Simon's comment came as the company announced an agreement granting Tilray a license to produce, market, sell and distribute Carlsberg brands in the United States.
For fiscal 2027, Tilray maintained its forecast for adjusted earnings before interest, taxes, depreciation and amortization at a range of $68 million to $75 million, according to the earnings statement. The unchanged annual guidance follows a quarter in which revenue rose while adjusted earnings declined from the same period a year earlier. On the upcoming calendar, the company's annual shareholder meeting will take place on November 18, 2026, according to its investor events and presentations page. The company scheduled the meeting for 11 a.m. Eastern Standard Time, following the release of its first-quarter results. The license to produce, market, sell and distribute Carlsberg brands in the U.S. market then takes effect on January 1, 2027, according to the statement on the agreement between the companies.