Edible Garden AG rporated(EDBL) - 2025 Q1 - Quarterly Results

Financial Performance - For Q1 2025, Edible Garden reported total revenue of $2.7 million, a decrease of 13.2% from $3.1 million in Q1 2024, primarily due to the exit from lower-margin floral and lettuce product lines[8]. - Non-perishable revenue grew by 15% year-over-year, indicating strong consumer demand for higher-margin, shelf-stable products like Kick. Sport Nutrition and Pickle Party[3]. - Gross profit increased to $88,000, representing a 283% year-over-year increase from $23,000 in the prior-year period, with gross margin improving to 3.2% from 0.7%[9]. - The company experienced a net loss of $3.3 million for Q1 2025, an improvement from a net loss of $4.0 million in Q1 2024, driven by cost reductions and higher-margin product sales[11]. - Revenue decreased from $3,132 million to $2,718 million, a decline of approximately 13.2%[22]. - Cost of goods sold decreased from $3,109 million to $2,630 million, resulting in a gross profit of $88 million[22]. - Selling, general and administrative expenses decreased from $3,884 million to $3,015 million[22]. - Net loss attributable to common stockholders was $3,324 million, compared to a net loss of $3,977 million in the previous period[22]. - Net income (loss) per common share was $(2.47), compared to $(341.14) in the previous period[22]. - Loss from operations improved from $(3,861) million to $(2,926) million[22]. - Interest expense increased from $(117) million to $(440) million[22]. - Total other income (expenses) worsened from $(116) million to $(398) million[22]. - The company reported a significant decrease in gross profit margin due to higher costs relative to revenue[22]. Strategic Initiatives - Edible Garden completed a $15.5 million acquisition of assets from NaturalShrimp Farms Inc., enhancing its R&D and warehousing capabilities[4]. - The company launched or expanded retail partnerships with key accounts including Walmart and Stop & Shop, supporting growth in both fresh and non-perishable categories[5]. - Edible Garden's strategic focus on higher-margin, branded product lines is expected to strengthen its competitive positioning in both retail and e-commerce channels[7]. Market Trends - Cut herbs saw a 13% seasonal growth in Q1 2025, reflecting increased consumer preference for convenience and value[3]. - The company maintains over 90% of its operations in the U.S., minimizing exposure to global tariffs and disruptions[6]. Cost Management - Selling, general and administrative expenses decreased to $3.0 million from $3.9 million in the prior year, primarily due to lower personnel costs[10].