cbdMD Generates $5.1 Million in Revenue, Positive Earnings

Core Insights - cbdMD reported a historic first quarter for fiscal year 2025, achieving $5.1 million in net sales, a 19.1% decrease year-over-year but a 12% increase sequentially from the previous quarter [6][12] - The company achieved positive net income of $15,000, marking a significant improvement of approximately $1 million from the prior year [2][7] - The first quarter also marked the first instance of positive non-GAAP Adjusted EBITDA of approximately $214,000, compared to a loss of approximately $695,000 in the previous fiscal year [6][22] Financial Highlights - Net sales for the first quarter totaled $5.1 million, down from $5.3 million in the same period last year, but up 12% from the fourth quarter of fiscal 2024 [6][12] - Gross profit remained stable at 66% for the first quarter of fiscal 2025 [6] - The loss from operations was $80,000, a significant improvement from a loss of $1.1 million in the prior year [6][22] - The net loss attributable to common shareholders was approximately $0.98 million, or a loss of $0.22 per share, compared to a net loss of approximately $2.0 million, or $0.67 per share, in the first quarter of fiscal 2024 [6][7] Business Developments - The company launched a new ready-to-drink hemp-derived beverage brand, Herbal Oasis, entering a rapidly growing market segment [6] - All remaining convertible notes were converted to common stock, resulting in the company being debt-free, excluding ordinary course liabilities and accrued dividends [6] - A preliminary proxy statement was filed for the 2025 annual meeting, scheduled for April 10, 2025, which includes a proposal to convert Series A Preferred stock and accrued dividends into common stock [4]