Tilray Inc. (TLRY) shares were indicated higher in pre-market trading Wednesday after the Canadian cannabis group posted stronger-than-expected first quarter sales, while its domestic rival Aurora Cannabis (ACB - Get Report) slumped after its revenues missed analysts' forecast amid caps on retail store growth in the Canadian market.
Tilray said revenues for the three months ending in March rose 195% from last year to $23 million, as sales in Canada surged following its decision to legalize cannabis for recreational use, but a 5.7% fall in the average price per kilogram sold meant the Nanaimo, British Columbia-based group posted a loss of 27 cents per share, missing Street forecasts by a penny.
Tilray CEO Brendan Kennedy also said the company was looking to further its partnerships with U.S. and international firms as the potential $150 billion global market for cannabis undergoes a generational change in both regulation and consumer acceptance.
Tilray's U.S.-listed shares were marked 3.71% higher in pre-market trading Wednesday to indicate an opening bell price of $50.55 each, a move that would still leave the stock nursing a year-to-date decline of 28%.
Edmonton, Alberta-based Aurora Cannabis, meanwhile, was marked 2.4% lower at $8.18 each in pre-market trading after its fiscal third quarter revenues of C$75.2 million missed Street forecasts of C$77.2 million and consumer cannabis sales were just under C$30 million as provincial regulators limit the number of retail outlets.