Edible Garden Reports $2.718 Million Revenue in Q1 2025, Down 13.2% Year-Over-Year

Edible Garden AG Incorporated reported a revenue of $2.718 million for the first quarter of 2025, a decline of 13.2% from $3.132 million in the same period of 2024. This decrease is primarily attributed to the company's strategic exit from the floral and lettuce categories, which accounted for a $334,000 reduction in revenue. Revenue from the core portfolio fell from $2.62 million to $2.50 million, while the non-perishable portfolio saw an increase from $462,000 to $531,000. The cost of goods sold also decreased, amounting to $2.630 million, down 15.4% from $3.109 million year-over-year, reflecting the overall decline in revenue.

The company's selling, general, and administrative expenses (SG&A) decreased significantly to $3.015 million from $3.884 million, a reduction of 22.4%. This decline was largely due to the absence of severance expenses related to the departure of the Chief Financial Officer in the previous year. As a result, the loss from operations improved to $2.926 million compared to $3.861 million in the prior year. The net loss for the quarter was $3.324 million, down from $3.977 million in the same quarter of 2024, indicating a positive trend in reducing losses.

Operationally, Edible Garden continues to focus on its core business of hydroponic produce, with products distributed across over 5,000 supermarkets in the Northeast and Midwest. The company has also been pursuing strategic acquisitions, including a proposed transaction with Narayan d.o.o, a sustainable food producer based in Slovenia. Additionally, on May 14, 2025, Edible Garden completed the acquisition of sustainable aquaculture assets from NaturalShrimp Farms Inc. for $12 million, which involved issuing preferred stock to finance the purchase.

As of March 31, 2025, Edible Garden's total assets were reported at $8.535 million, down from $11.915 million at the end of 2024. The company had cash and cash equivalents of $409,000, a significant decrease from $3.530 million at the end of the previous year. Total liabilities also decreased to $6.617 million from $7.821 million, primarily due to reductions in accounts payable and accrued expenses. The company is actively seeking additional financing to support its operations, as it anticipates continued operational losses and cash flow challenges in the near term.

Looking ahead, Edible Garden's management has expressed concerns regarding its ability to continue as a going concern, given the significant losses and limited cash reserves. The company is exploring various options to raise capital, including public and private financing, while implementing cost-saving measures. The outlook remains uncertain, with management emphasizing the need for additional funding to sustain operations and meet financial obligations in the coming months.