Core Insights - Synergy CHC Corp. reported strong financial results for Q2 2025, marking its tenth consecutive quarter of profitability, with year-over-year growth in revenue, gross profit, net income, and earnings per share [2][5][7] Financial Performance - Revenue for Q2 2025 was $8.1 million, a 1% increase from $8.0 million in Q2 2024 [5][8] - Gross margin improved to 76.7% in Q2 2025 from 69.5% in Q2 2024, primarily due to increased license revenue [5][8] - Operating expenses rose to $4.6 million, up 16% from $4.0 million in Q2 2024, attributed to costs related to being a public company [6][8] - Income from operations was $1.62 million, a 2.5% increase compared to $1.58 million in Q2 2024 [6][8] - Net income surged to $1.5 million, reflecting a 125% increase from $655.2 thousand in Q2 2024 [7][8] - Earnings per share increased to $0.17, up 86% from $0.09 in Q2 2024 [7][8] - EBITDA for Q2 2025 was $3.80 million, a 136% increase from $1.61 million in Q2 2024 [9] Strategic Developments - The company expanded its FOCUSfactor brand's global presence through a licensing agreement in Turkey [2][8] - Synergy secured distribution partners across North America for its ready-to-drink (RTD) beverage business [2][8] - A $20 million debt refinancing was completed, enhancing financial flexibility and supporting long-term growth strategies [2][8] Balance Sheet and Cash Flow - As of June 30, 2025, cash and cash equivalents increased to approximately $1.5 million from $687.9 thousand at the end of 2024 [10][20] - Working capital surplus improved to $12.4 million from a deficit of $1.12 million at the end of 2024 [10][20] - Inventory rose to $2.4 million from $1.7 million at the end of 2024 [10][20] - Cash used in operating activities for the first half of 2025 was $899.7 thousand, an improvement from $1.1 million in the same period of 2024 [11][27]