Hydrofarm Holdings Group, Inc.
2.4400-0.23 (-8.61%)
Oct 29, 4:00:00 PM EDT · NasdaqCM · HYFM · USD
Key Stats
Market Cap
11.37MP/E (TTM)
-Basic EPS (TTM)
-13.40Dividend Yield
0%Recent Filings
8-K
Board changes at Hydrofarm
Hydrofarm Holdings Group announced Susan P. Peters' retirement from its board effective October 1, 2025, with no disagreements cited, accelerating vesting of her 30,000 restricted stock units. Chris Yetter, founder and CIO of Dumont Global—an affiliate of a major shareholder—was appointed to fill the vacancy as a Class III director and join the Compensation Committee, receiving a pro rata 20,000 RSU grant vesting June 9, 2026. Yetter's cannabis industry investment expertise bolsters board oversight. Smooth transition maintains continuity.
8-K
Q2 sales drop, restructuring launched
Hydrofarm Holdings Group reported Q2 2025 net sales of $39.2 million, down 28.4% from $54.8 million last year, amid persistent industry oversupply hitting durable products hardest. Gross profit margin slipped to 7.1%, but adjusted version held at 19.2%; net loss narrowed to $16.9 million from $23.5 million, thanks to 15.7% cuts in adjusted SG&A. The company launched a restructuring plan targeting over $3 million in annual savings by trimming underperforming brands and optimizing operations, while generating $1.4 million in free cash flow. Yet tariffs on imports loom as a cost risk.
10-Q
Q2 FY2025 results
Hydrofarm's Q2 sales fell 28.4% year-over-year to $39.2M, driven by industry oversupply, yet narrowed its operating loss to $13.3M from $19.3M through cost controls and restructuring. Gross margins slipped to 7.1% amid inventory markdowns from the new 2025 plan, which targets $3M+ in annual savings by trimming underperforming brands and headcount. Diluted EPS improved to -$3.63 from -$5.10, consistent with 4.6M weighted shares and no dilution. Cash dipped to $11.0M after $10.0M operating outflow, but $9M revolver availability cushions the $114.5M term loan due 2028. The 2024 IGE asset sale closed in May for $8.7M, retaining the brand via exclusive supply deal. Regulatory delays in cannabis reform linger as a key risk.
8-K
Board refresh and stock cleanup
Hydrofarm Holdings Group held its 2025 annual meeting on June 9, electing B. John Lindeman, its CEO, to the board to replace resigning director Richard D. Moss. Stockholders reelected Class II directors Melisa Denis and Renah Persofsky, approved executive compensation advisory, and ratified Deloitte & Touche as auditors. That day, the company retired 7,725,045 shares of Series A Preferred Stock converted from its IPO and eliminated related charter references, streamlining its capital structure. Clean slate ahead.
10-Q
Q1 FY2025 results
Hydrofarm's Q1 FY2025 net sales fell 25.2% y/y to $40.5M, driven by a 22.6% drop in volume and mix amid cannabis oversupply, while gross margin slipped to 17.0% from 20.2% due to a lower mix of proprietary brands. Operating loss widened 26.3% y/y to $11.0M, with SG&A down 9.0% y/y to $17.9M from restructuring gains, but net loss grew 14.1% y/y to $14.4M, or $(3.12) diluted EPS on 4.6M shares—consistent with no anti-dilution. Cash burned $11.8M in operations, leaving $13.7M on hand versus $26.1M at year-end, with $115.8M total debt (10.93% effective rate, due 2028) and $17M revolver availability under a $35M line; free cash flow not disclosed in the 10-Q. The second restructuring phase wrapped with $2.0M cash costs for U.S. facility consolidations. Yet regulatory delays in cannabis reform linger as a key risk.
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