Greenlane Renewables (GRN) Q2 2025 earnings summary

Executive summary

• Achieved $15.1 million in revenue for Q2 2025, a 3% increase year-over-year, with net income of $1.4 million and positive Adjusted EBITDA of $3.4 million, reflecting significant operational improvement.

• Gross margin before amortization reached 49%, boosted by a one-time royalty revenue; underlying gross margin excluding this was 38%, up from 28% in Q2 2024.

• Sales Order Backlog rose to $26.3 million, up 24% sequentially, indicating strong order intake momentum.

• Maintained $16.6 million in cash and no debt, supporting ongoing strategic initiatives and product launches.

• Announced over $2 million in new orders and filed a third patent for landfill gas upgrading technology since December 2024.

Financial highlights

• Revenue of $15.1 million, up 3% year-over-year; net income of $1.4 million (9% of revenue) versus a $0.4 million loss in Q2 2024.

• Adjusted EBITDA of $3.4 million (23% of revenue), compared to a loss of $0.8 million in Q2 2024.

• Gross profit of $7.2 million; gross margin before amortization at 49%, with underlying margin at 38% excluding royalty revenue.

• G&A expenses reduced by 28% year-over-year, supporting improved profitability.

• Cash and cash equivalents at $16.6 million, with no debt other than normal course payables and performance bonds.

Outlook and guidance

• On track with 2025 strategic plan, focusing on advanced product development, project execution, and royalty revenue.

• Next generation landfill gas upgrading product line to launch next month, with revenue recognition expected in 2026.

• Positioned to capitalize on growing RNG market opportunities, especially in Brazil and the U.S.

• Management expects continued order momentum and long-term value creation through new product lines and manufacturing.