Will Greenlane Holdings' Cost-Trimming Counter Q2 2023 Revenue Decline?

Greenlane Holdings, Inc. GNLN, a global leader in cannabis accessories and vaporization products, reported its financial performance Monday for the second quarter concluding on June 30th, 2023.

The company reported a decline in revenue for Q2 2023, with figures dropping to $19.6 million, in comparison to the $24.0 million achieved in Q1 2023.

Despite this, operating expenses in Q2 2023 saw a reduction of $0.9 million, marking a 6.2% decrease when compared with Q1 2023.

"We're focused on profitability, enhancing innovation, and eliminating $15M debt," stated Craig Snyder, Greenlane CEO. "In Q2, substantial expense reduction progress continued, consolidating eight facilities, including Verst, saving over $4M annually, enhancing customer experience. Similar initiatives in Technology and Professional Services for ongoing savings."

Net Loss And EBITDA Trends

• Greenlane recorded a net loss of $10.5 million in Q2 2023, marginally surpassing the $10.2 million loss reported in Q1 2023.
• Basic and diluted net loss per share amounted to $6.56, slightly higher than the previous quarter's loss of $6.40 per share.
• The company's adjusted EBITDA loss for Q2 2023 stood at $5.8 million, a reduction from the $6.8 million loss reported in Q1 2023.
• Although experiencing a decrease in net sales for the quarter, Greenlane Holdings, Inc. maintained a gross margin of 23.3%, consistent with the first quarter of 2023.

Price Action

GNLN stocks were trading lower by 4.38% at $0.851 per share after market close. 

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Photo: Rudy and Peter Skitterians via Pixabay.