TILT (TILT) Q1 2025 earnings summary

Executive summary

• Q1 2025 revenue was $22.7 million, down from $24.6 million in Q4 and $37.5 million year-over-year, mainly due to lower Jupiter hardware sales.

• Net loss was $13.2 million, improved from $41.4 million in Q4 but higher than $9.7 million year-over-year.

• The company is divesting plant-touching assets, including a $2 million sale of two Massachusetts dispensaries.

• Jupiter achieved EU Medical Device Regulation certification for the QMID vaporizer, enabling international commercialization.

• Shift to an asset-light, Jupiter-first model aims to drive sustainable growth and margin improvement.

Financial highlights

• Gross margin in Q1 was 15%, down from 22% in Q4 and 18% year-over-year; adjusted gross margin was 18%.

• Adjusted EBITDA was -$974,000, down from $543,000 in Q4 and $38,000 year-over-year.

• Cash flow from operations was $1.9 million, compared to cash used of $508,000 in Q4 and $2.4 million a year ago.

• Cash, cash equivalents, and restricted cash stood at $4.3 million as of March 31, 2025, flat sequentially.

• Operating loss was $6.6 million in Q1 2025 versus $5.4 million in Q1 2024.

Outlook and guidance

• Anticipates closing the sale of two dispensaries in Q2, with proceeds to pay down debt and simplify operations.

• Management expects the asset-light transition to enable scalable growth, margin improvement, and consistent cash flow.

• Strategic focus on Jupiter hardware, supply chain diversification, and innovation to drive long-term growth.

• Continued efforts to minimize tariff impacts and support customers amid supply chain uncertainty.