Tilray CEO On Cannabis Company's Q1: 'Our Objective Is To Invest For The Long-Term'
Tilray Inc (NASDAQ:TLRY) reported Tuesday with first-quarter results that were highlighted by a 195-percent jump in revenue year-over-year — and show the long-term opportunity within the cannabis space, CEO Brendan Kennedy told CNBC following the earnings release.
Focus Beyond Canada
Recreational cannabis was legalized in Tilray's home country of Canada in 2018; the company has a footprint around the world.
Germany remains an important emerging market, and the company opened a new facility in Portugal two weeks ago, the CEO said. The Portugal facility is expected to begin exporting products to other European Union countries by the end of 2019, he said.
From Prohibition To Legalization
The global cannabis market quickly shifted from a "state of prohibition to a state of legalization," which creates opportunities across nearly every sector, Kennedy said.
For example, there are opportunities for Tilray to address within the medical space; the CBD segment; adult use; and hemp food, he said.
"We will make investments across all four of those segments based on where we think we can generate the most profit," he said. "U.S. CBD is very interesting to us right now and we will make investments there in the second half of the year."
Volatility In Shares
As a long-term and large shareholder, Kennedy said he personally ignores the day-to-day fluctuation in Tilray's stock.
Part of the volatility could be attributed to the cannabis industry being in its early stages, the CEO said, adding that it almost "emerged overnight."
"You are going to see some daily volatility, but our objective is to invest for the long-term."
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