Tilray Brands has reported record first quarter fiscal 2026 results, achieving $210 million in net revenue and posting net income of $1.5 million.

The company says the performance underscores its focus on profitability and operational efficiency, with adjusted EBITDA climbing 9% year-over-year to $10.2 million. Cash flow from operations also improved significantly, narrowing to a $1.3 million outflow compared to $35.3 million a year earlier.

The quarter ended August 31, 2025, saw strong gains across Tilray’s business segments. Canadian adult-use cannabis revenue increased 12%, maintaining the company’s lead position in the market. International cannabis sales grew 10% compared to the same period last year, while distribution revenue rose to $74 million, up from $68.1 million. Wellness products edged up slightly to $15.2 million. Beverage revenue was essentially flat at $55.7 million.

Despite lower gross margins across several categories, the company highlighted notable financial improvements. Tilray cut net debt down to just $4 million and now holds nearly $265 million in cash, providing flexibility for future strategic opportunities. Adjusted net income reached $3.9 million, a turnaround from a $6.1 million adjusted net loss last year.

Chief Executive Officer Irwin Simon said the results reflect Tilray’s long-term strategy of balancing growth with disciplined execution. He pointed to potential opportunities from U.S. cannabis rescheduling and expanding markets in Europe as areas where Tilray is well-positioned to grow.

Tilray reaffirmed its fiscal 2026 outlook, projecting adjusted EBITDA in the range of $62 million to $72 million. The company says it remains committed to expanding market share in cannabis while advancing its global beverage and wellness platforms.