Tilray Brands (TLRY) Financials

Tilray Brands’ latest statements show strong revenue growth, but profitability and cash generation remain significant concerns. Revenue reached $281.7 million in Q4 fiscal 2026, up from $206.7 million in Q3 and $224.5 million in Q4 fiscal 2025. However, the company continued to report substantial losses, negative operating cash flow and reliance on equity financing.

• Revenue momentum improved. Q4 fiscal 2026 revenue increased approximately 36% sequentially and 25% year over year. Compared with $145.6 million in Q3 fiscal 2022, the latest quarterly revenue represents substantial long-term expansion.
• Gross margin strengthened in the latest quarter. Gross profit rose to $90.5 million, producing a margin of approximately 32.1%, compared with 26.6% in Q3 fiscal 2026 and 30.1% in Q4 fiscal 2025.
• Liquidity remains adequate in the near term. At February 28, 2026, Tilray reported $204.6 million of cash, $44.9 million of restricted cash and $15.3 million of short-term investments. Total current assets of $718.8 million exceeded current liabilities of $257.5 million.
• Debt reduction has continued. The company reported debt repayments in each of the first four quarters of fiscal 2026. Total debt at the latest balance-sheet date was approximately $250.0 million, down from roughly $520.0 million at February 2024.
• Historical impairment pressure has moderated. The major impairment charges recorded in earlier periods—$934.0 million in Q3 fiscal 2022 and $699.2 million in Q3 fiscal 2025—were not present in the latest quarter, although restructuring and special charges continued.
• Asset quality remains difficult to assess. Goodwill and other noncurrent operating assets totaled approximately $1.32 billion at February 2026, or roughly 64% of total assets. These balances may support the business, but they also create potential future impairment risk.
• Reported share counts are difficult to compare. Weighted-average basic shares ranged from approximately 87.5 million in Q1 fiscal 2025 to more than 1.06 billion in Q1 fiscal 2026 before falling to 111.8 million in Q4 fiscal 2026, indicating the effects of a reverse split, restatement or other capital-structure adjustment. Investors should rely on the company’s latest filings when evaluating dilution.
• Tilray remains unprofitable. Q4 fiscal 2026 operating loss was $16.5 million, while net loss attributable to common shareholders was $49.6 million, or $0.44 per diluted share. This followed losses of $26.6 million and $44.9 million attributable to common shareholders in Q3 and Q2, respectively.
• Operating expenses exceeded gross profit. Q4 operating expenses totaled $107.0 million, greater than the $90.5 million gross profit. SG&A alone was $75.2 million, and the quarter included $7.2 million of restructuring charges and $1.4 million of other special charges.
• Cash burn and financing dependence remain key risks. Operating cash flow was negative $37.3 million in Q4 fiscal 2026, following negative $21.9 million, $8.5 million and $1.3 million in the prior three quarters. The company offset part of this cash burn with $84.9 million of common-equity issuance, which can dilute existing shareholders.

The four-year pattern is mixed. Tilray has expanded revenue from the roughly $150 million-to-$190 million quarterly range in fiscal 2022–2024 to more than $200 million in most recent quarters, and Q4 fiscal 2026 produced the highest revenue in the provided data. Yet the company has generally remained loss-making, with operating cash flow frequently negative and profitability heavily affected by amortization, restructuring charges, special items and periodic impairments.

For investors, the most important test is whether higher revenue and the improved Q4 gross margin can eventually cover SG&A, marketing, amortization and financing costs. Until operating cash flow turns consistently positive without substantial equity issuance, Tilray’s improved sales trajectory remains offset by dilution and execution risk.