TLRY Gears Up to Report Q1 Earnings: Cannabis Recovery in Focus

Tilray Brands TLRY is slated to report first-quarter fiscal 2026 results on Oct. 9, 2025, before the market opens.

The company reported fourth-quarter fiscal 2025 adjusted earnings of 2 cents per share, which topped the Zacks Consensus Estimate by a staggering 166.67%. Tilray Brands beat on earnings in two of the trailing four quarters and missed in two of the same.

TLRY’s Q1 Earnings & Revenue Estimates

The Zacks Consensus Estimate for revenues is pegged at $206.8 million, suggesting a 3.4% rise from the year-ago reported figure.

The Zacks Consensus Estimate for loss per share is pinned at 3 cents, up 25% year over year.

Estimate Revision Trend Ahead of Tilray Brands’ Q1 Earnings

Estimates for loss per share have remained unchanged at 3 cents in the past 30 days.

Here’s a brief overview of the company’s progress ahead of this announcement.

Factors at Play

Cannabis

In the fourth quarter of fiscal 2025, cannabis net revenues declined on a year-over-year basis, mainly due to a pause in the vape and infused pre-roll categories to enhance profitability and delays in international medical cannabis permits. The Canadian market showed stabilization, while international cannabis drove growth, with revenues reported at a record high of $22.4 million. Germany led this surge with 134% growth, supported by Aphria RX, one of only three licensed medical cannabis cultivators. These trends are expected to continue into the fiscal first quarter.

Tilray Medical, a division of Tilray Brands, also achieved a key milestone in Europe by introducing three new medical cannabis flower varieties in Italy, becoming the first company authorized by the Italian Ministry of Health to import and distribute proprietary Tilray Medical-branded products. Additionally, during the fiscal first quarter, the company’s wholly owned subsidiary, FL Group S.R.L., entered into a strategic partnership with Molteni, an Italian pharmaceutical firm specializing in pain therapies and substance dependence. The partnership aims to broaden the availability of Tilray Medical cannabis extracts for patients across Italy. These developments are expected to boost top-line growth in the to-be-reported quarter.

Tilray Brands, Inc. Price and EPS Surprise

Tilray Brands, Inc. price-eps-surprise | Tilray Brands, Inc. Quote

Beverages

In the fiscal first quarter, the Beverages segment is expected to have experienced a revenue decline due to SKU rationalization implemented as part of the company’s broader Project 420 plan to integrate its craft beer businesses and streamline operations. In the spirits category, TLRY’s Breckenridge Distillery brand demonstrated strong resilience in the bourbon sector, achieving higher depletions than competitors despite a declining market. We expect this trend to persist in the fiscal first quarter.

The company also launched several premium innovations in the fiscal first quarter, including Mock One (a non-alcoholic spirit), Mountain Shot (targeting the shot occasion) and Casa Breck (entering the tequila market). This development is expected to boost the company’s sales in the to-be-reported quarter.

Wellness

Like the previous quarter, Wellness net revenues are expected to witness a year-over-year surge in the fiscal first quarter, driven by continued growth of Manitoba Harvest Hemp Hearts and new product innovations across snacks, breakfast items and smoothie blends.

Distribution

In the to-be-reported quarter, Distribution revenues — primarily generated through Tilray Pharma — are expected to witness growth, driven by change in product mix.

Earnings Whispers for TLRY Stock

Per our proven model, stocks with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold), along with a positive Earnings ESP, have a higher chance of beating estimates, which is not the case here, as you can see below:

TLRY’s Earnings ESP: Tilray Brands has an Earnings ESP of 0.00%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

TLRY’s Zacks Rank: The company currently carries a Zacks Rank #3.

Top MedTech Picks

Here are some medical stocks worth considering, as these have the right combination of elements to post an earnings beat this reporting cycle:

Exact Sciences EXAS has an Earnings ESP of +32.65% and a Zacks Rank #1 at present. The company is slated to release third-quarter 2025 results soon. You can see the complete list of today’s Zacks #1 Rank stocks here.

EXAS’ earnings surpassed estimates in three of the trailing four quarters, and missed in one, the average surprise being 329.9%. The Zacks Consensus Estimate for fiscal third-quarter EPS implies a year-over-year increase of 147.6%.

Edwards Lifesciences EW has an Earnings ESP of +2.18% and a Zacks Rank #2 at present. The company is expected to release third-quarter 2025 results soon.

EW’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 5.5%. Per the Zacks Consensus Estimate, the company’s third-quarter EPS may decrease 11.9% from the year-ago quarter’s figure.

Incyte INCY has an Earnings ESP of +11.90% and a Zacks Rank #2 at present. The company is expected to release third-quarter 2025 results soon.

INCY’s earnings surpassed estimates in two of the trailing four quarters, and missed in two of the same, the average surprise being 4.2%. The Zacks Consensus Estimate for third-quarter EPS suggests a year-over-year improvement of 54.2%.

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

This article originally published on Zacks Investment Research (zacks.com).

Zacks Investment Research