Tilray Brands TLRY, will lay off 49 employees at medical cannabis cultivation and manufacturing facility in Cantanhede, Portugal, reported Jornal de Notícias.
The layoffs, which will cut the workforce by 25%, are expected to occur in the coming three months. A company source clarified that Tilray is not in “economic difficulties”, but rather “making cost cuts” in view of the current market.
Tilray’s net revenue decreased 7% in Q2 2023 when it reported a net loss of $61.6 million as compared to Q2 2022's net income of $5.8 million.
“We are close to achieving our increased annualized cost savings target of $130 million, consistent with our commitment to building a lean, efficient, and dynamic business that will realize tangible and immediate benefits as the market improves,” stated Irwin Simon, Tilray’s chairman and CEO, in the earnings report.
A Growing Industry Trend
Tilray joins many cannabis companies that have recently laid off employees as part of cost-saving measures.
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Columbia Care Inc CCHWF is laying off numerous workers at its Saxton facility, per data from the Department of Labor & Industry; 73 employees will be let go effective February 28.
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LeafLink, an online wholesale cannabis platform, laid off 80 workers on December 15th.
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Curaleaf Holdings CURLF laid off around 220 people in November.
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WM Technology Inc. MAPS recently cut 25% of its workforce, amounting to 175 employees.
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Trulieve Inc. TCNNF laid off an unspecified number of workers at its McKeesport growing facility in Pennsylvania.
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Leafly LFLY laid off 21% of its workforce in October, claiming annual savings of $16 million.
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The Flowr Corp FLWPF cut 40% of its workforce in an effort to save the company from bankruptcy.
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Aurora Cannabis ACB cut 12% of its global workforce in a scheme to save up to $69 million.
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Photo by CRYSTALWEED cannabis on Unsplash
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