Edible Garden (EDBL) Q4 2025 earnings summary

Executive summary

• Expanded into higher-margin RTD and shelf-stable CPG categories, leveraging existing infrastructure and national retail distribution, with distribution reaching nearly 6,000 retail locations and major e-commerce platforms.

• Achieved significant growth in cut herbs, vitamin and supplement portfolios, and condiment platforms, supported by new customer wins, expanded e-commerce, and international presence.

• Strategic investments in onboarding new retail customers, expanding product lines, and RTD manufacturing at the Midwest facility are expected to drive future scalability and margin improvement.

Financial highlights

• Q4 2025 revenue was $4.1 million, up from $3.9 million in Q4 2024; full-year 2025 revenue was $12.8 million, down from $13.9 million in 2024 due to strategic exit from low-margin lines.

• Q4 cost of goods sold rose to $5.3 million from $3.8 million, reflecting investments in new customer onboarding.

• Q4 gross profit was a loss of $1.2 million, with a gross margin of -29%, due to front-loaded costs for securing 2026 shelf space and higher input costs; full-year gross profit was a loss of $0.2 million, with a gross margin of -1.6%.

• SG&A expenses for the year were $15.6 million, up from $11.6 million, driven by acquisitions, personnel, and capital markets activity.

• Net loss attributable to common stockholders was $12.6 million for Q4 and $33.9 million for the year.

Outlook and guidance

• Focus remains on scaling higher-margin RTD and shelf-stable categories, leveraging retail relationships and infrastructure for sustainable long-term growth.

• Gross margin recovery is a top priority for 2026 as new programs mature, volumes increase, and fixed costs are absorbed.

• CEA business expected to return to high-single digit growth, with nutraceuticals growing at double-digit rates and RTD margins projected in the 20%-30% range.

• Midwest RTD facility expected to be operational by late 2027, with significant capacity and retailer demand.