Solesence (SLSN) Q3 2025 earnings summary

Executive summary

• Leadership transition with Kevin Cureton as CEO and Laura Riffner as CFO, alongside new VP appointments and operational restructuring to drive innovation and growth.

• Company pioneered mineral-based beauty, holding over 90 patents and achieving industry leadership.

• Q3 2025 marked the first year-over-year revenue decline in nearly two years, following a record Q3 2024.

• Consumer products remain the primary growth driver, offsetting declines in other segments.

• Uplisting to Nasdaq and rebranding to Solésence, Inc. completed in 2025.

Financial highlights

• Q3 2025 revenue was $14.5 million, down from $16.9 million in Q3 2024; nine-month revenue rose to $49.6 million from $39.8 million year-over-year.

• Gross profit was $3.4 million, with gross margin at 23% versus 36% last year, impacted by manufacturing inefficiencies and facility improvements.

• Operating expenses rose to $4.2 million, with R&D at $1.1 million and SG&A at $3.1 million for Q3 2025.

• Net loss of $1.1 million compared to net income of $3 million in Q3 2024; nine-month net income was $1.6 million, down from $4.8 million.

• Adjusted EBITDA loss of $435,000 versus $3.6 million positive last year.

• Received a one-time $1.2 million Employee Retention Credit (ERC) and related interest.

Outlook and guidance

• Full-year 2025 revenue expected to be up $10–12 million over prior year, with Q4 sales anticipated to improve versus 2024.

• Margins expected to normalize over the next few quarters as operational improvements take effect.

• Long-term goal to achieve gross margins of 30% as a floor, with aspirations to return to 40%+ levels seen during COVID-era.

• 2026 guidance withheld due to market uncertainty, but growth expected to outpace industry rates.

• Capital spending for 2025 projected between $0.1M and $1M, funded by operations, loans, and possible new debt.