TILT Holdings Inc. (OTCQB: TLLTF) reported that its revenue fell 9% sequentially to $38.6 million and dropped 1% from the last year’s second quarter in 2019. The company blamed the decline on “COVID-19 related headwinds including decreased sales at the Company’s inhalation technology subsidiary, Jupiter Research, as well as lower wholesale demand in the cannabis segment due to the temporary suspension of adult-use sales in Massachusetts from March 24^th to May 25^th.”

The net loss for TILT grew to $9 million versus the first quarter’s net income of $51,000, but much better than last year’s second-quarter net loss of $48.9 million. The positive adjusted EBITDA for the second consecutive quarter of $1.2 million, down $0.5 million from the quarter ended March 31, 2020, but was an improvement of $5.2 million from the prior-year period.

“Second quarter results reinforced our position that TILT’s balanced portfolio of businesses offers multiple trajectories for ongoing shareholder value creation,” said Mark Scatterday, CEO of TILT.  “For a second consecutive quarter, the company generated positive adjusted EBITDA, increased positive cash flow from operations, and improved its cash position, all while navigating the effects COVID-19.”

Still, the company noted in its filing that it has “Incurred comprehensive losses of $11,024,183 and $9,732,023 during the three and six months ended June 30, 2020, respectively, and has an accumulated deficit as at June 30, 2020, of $703,309,904. Management has estimated that the Company has sufficient working capital financing to complete current work plans; however, future development will require additional financing in order to complete other programs during the forthcoming year and thereafter.”

The bulk of the company’s revenue comes from Jupiter’s vape category which generated $28 million in revenue for the quarter but still reported a net loss of $473,000. Cannabis delivered $7.6 million in revenue with a net loss of $4.3 million.

Scatterday added, “Jupiter’s highly efficient operating model continues to provide a foundation of consistent profitability and broad client reach. This is supplemented by the strong cash flow of our plant-touching businesses in two of the strongest limited license markets, and by Blackbird, which provides additional upside with its highly versatile integrated suite of enterprise software and logistics solutions.”