Why Tilray Brands Stock Crashed 12% on Friday

Earnings Performance - Tilray's stock dropped 12% after missing analyst sales forecasts, reporting $211 million in revenue compared to the expected$ 216.3 million for Q2 FY2025 [1] - Despite the revenue miss, the company achieved a 9% year-over-year revenue growth, reaching a record $211 million for Q2 [2] - Adjusted earnings broke even, outperforming the forecasted$ 0.01 per share loss, but GAAP results showed a net loss of $85 million, or$ 0.10 per share, which is nearly 50% worse than the previous year's Q2 loss of $0.07 per share [4][5] Business Segment Performance - International cannabis sales grew 25%, beverage revenue increased 36%, and wellness revenue rose 13% year-over-year [2] - Gross profit increased 29%, with growth observed across all four business segments [2] - Total cannabis sales declined by 1.5% to$ 66 million, despite the strong growth in international cannabis sales [2] Company Outlook - Tilray has consistently reported losses over the past six years and is expected to continue losing money in the coming years [5] - The company's inability to achieve profitability raises concerns about its stock being a viable investment [5]