Grove laborative (GROV) - 2025 Q3 - Quarterly Results

Financial Performance - Total revenue for Q3 2025 was $43.7 million, a decline of 9.4% year-over-year and 0.7% sequentially [6]. - Net loss for the quarter was $3.0 million, compared to a net loss of $1.3 million in the same period last year [7]. - Adjusted EBITDA loss was $1.2 million, compared to breakeven in the same period last year [7]. - Revenue for Q3 2025 was $43.734 million, a decrease of 9.5% compared to $48.280 million in Q3 2024 [27]. - Gross profit for Q3 2025 was $23.322 million, down from $25.602 million in Q3 2024, reflecting a gross margin of 53.3% [27]. - Operating loss for Q3 2025 was $2.731 million, an improvement from a loss of $6.746 million in Q3 2024 [27]. - Net loss attributable to common stockholders for Q3 2025 was $3.335 million, compared to a loss of $1.510 million in Q3 2024 [27]. - Adjusted EBITDA for the nine months ended September 30, 2025, was a loss of $3.711 million, compared to a gain of $2.919 million in the same period of 2024 [31]. Customer Metrics - DTC total orders were 619,000, a decline of 12.5% year-over-year, primarily due to lower advertising spend [12]. - DTC active customers totaled 660,000, a decrease of 7.0% year-over-year, driven by reduced advertising spend [13]. Cost Management - Operating expenses decreased by 19.5% to $26.1 million compared to $32.3 million in the prior year [8]. - The company executed a reduction in force in November, expected to result in approximately $5 million of annualized savings [7]. Future Guidance - Full-year 2025 revenue is expected to be between $172.5 million and $175 million, tracking to the lower end of the guidance range [19]. - Fourth-quarter revenue is expected to remain roughly flat sequentially, with full-year Adjusted EBITDA still expected to be within prior guidance [19]. Balance Sheet - Total current assets decreased to $34.515 million as of September 30, 2025, from $44.941 million as of December 31, 2024 [25]. - Total liabilities decreased to $46.023 million as of September 30, 2025, from $48.787 million as of December 31, 2024 [25]. - Cash, cash equivalents, and restricted cash at the end of Q3 2025 were $12.309 million, down from $55.589 million at the end of Q3 2024 [29]. - Inventory as of September 30, 2025, was $19.984 million, slightly up from $19.351 million as of December 31, 2024 [25]. - The company incurred $2.848 million in cash paid for acquisitions during the nine months ended September 30, 2025 [29].