Hydrofarm's Q3 Results: Revenue Decline But Improved Margins And Reduced Losses
Hydrofarm's Q3 Results: Revenue Decline But Improved Margins And Reduced Losses
Hydrofarm reaffirmed its 2024 guidance, targeting positive Adjusted EBITDA and Free Cash Flow for the year, despite a challenging market environment. CEO Hydrofarm Holdings Group (NASDAQ:HYFM) posted its Q3 2024 results, showing mixed performance with a drop in net sales but improved gross margins.
Hydrofarm控股集團（NASDAQ:HYFM）公佈了其2024年第三季度業績，顯示出銷售淨額下降但毛利率提高的複合業績。
- Get Benzinga's exclusive analysis and the top news about the cannabis industry and markets daily in your inbox for free. Subscribe to our newsletter here. You can't afford to miss out if you're serious about the business.
- 在Benzinga獲取獨家分析，並每天免費獲得關於大麻業務和市場的頭條新聞。立即訂閱我們的通訊，認真對待業務，您不容錯過。
Key Financial Highlights
重要財務亮點
- Net Sales: Down 18.8% year-over-year, totaling $44.0 million, primarily due to lower demand in the cannabis sector.
- Gross Profit Margin: Increased significantly to 19.4% (from 6.1%), attributed to cost-saving measures and a higher mix of proprietary brands.
- Net Loss: Improved to $13.1 million, compared to $19.9 million last year, driven by reduced SG&A expenses.
- Adjusted EBITDA: Stayed positive but decreased to below $0.1 million, influenced by declining net sales but offset by lower operating costs.
- 銷售淨額：同比下降18.8%，總計4400萬美元，主要是由於大麻股板塊需求降低。
- 毛利潤率：顯著提高至19.4%（從6.1%），歸因於節約成本的措施和更高比例的自有品牌。
- 淨虧損：提升至1310萬美元，較去年的1990萬美元有所改善，主要是由於較低的銷售和管理費用減少。
- 調整後的息稅折舊及攤銷前EBITDA：保持爲正值但下降至不足10萬美元，受到淨銷售額下降的影響，但被較低的運營成本抵消。
Read Also: Gardening Giant Scotts Miracle-Gro Reports 46% YoY Drop In Q4 Net Sales For Its Cannabis-Focused Subsidiary
也可閱讀：園藝巨頭Scotts Miracle-Gro報告其以大麻爲重點的子公司2024年第四季度淨銷售額同比下降46%。
Cash Flow And Liquidity
現金流和流動性
The company ended Q3 with $24.4 million in cash and $17 million in available credit. Free Cash Flow for the quarter was negative, at $(5.3) million, largely due to adjustments in working capital.
公司第三季度以2440萬美元現金和1700萬美元的可用信貸結餘結束。本季度的自由現金流爲負，爲5.3百萬美元，主要是由於營運資本調整所致。
Outlook
展望
Hydrofarm reaffirmed its 2024 guidance, targeting positive Adjusted EBITDA and Free Cash Flow for the year, despite a challenging market environment. CEO Bill Toler highlighted continued focus on proprietary brands and operational efficiency as key drivers of margin growth.
hydrofarm重申了其2024年的指導方針，旨在實現正向調整後EBITDA和全年的自由現金流，儘管市場環境具有挑戰性。首席執行官比爾·托勒強調繼續專注於自有品牌和運營效率作爲提高利潤率增長的關鍵驅動力。
These results underscore Hydrofarm's cautious but optimistic approach, balancing cost management with strategic growth initiatives amidst industry pressures.
這些成果強調了hydrofarm在行業壓力中謹慎樂觀的做法，通過平衡成本管理與戰略增長計劃來實現。
Price Action
股價變動
Hydrofarm traded down 4.66% at $0.56 when the market opened on Thursday.
在週四市場開盤時，hydrofarm以0.56美元下跌了4.66%。
