According to Canadian marijuana producer Tilray’s CEO, Brendan Kennedy, the company would have sold a lot more marijuana had growers in the country lied about how much they could actually grow.
Tilray reported its earnings this week, revealing that sales were slower than expected. The company cited the low sales on producers not producing the needed marijuana that Tilray expected to buy.
“Some of them were lying about their funded capacity,” Kennedy said to MarketWatch.
“If I can go back 18 months, 12 months ago, I would have invested another $100 million, $200 million in terms of Canadian cultivation,” Kennedy said on a conference call. “That was a — that was a mistake. But we believed, we believed all the hype 18 months ago.”
On a more optimistic note, the CEO also said on the earnings call, “he global transformation of $150 billion worldwide industry is just beginning. At Tilray, we’re building a global platform to be a multibillion dollar consumer packaged goods company known for delighting consumers with the house of trusted brands, and delivering those brands to market through world class multinational supply chains. We are taking decisive actions to create a global infrastructure that can be scaled globally over the long-term.”
He added, “We’re pleased with our first quarter results, which included the first full quarter of adult-use market sales. Revenue increased 195% year-over-year to $23 million. And total kilogram equivalents sold increased both sequentially and on a year-over-year basis to 3,012 kilograms. We are proud to have achieved this growth despite the continued supply constraints across Canada.”
