Grove Collaborative Holdings Inc【GROV】株式ニュース

Grove Announces First Quarter 2026 Financial ResultsMay 7, 2026 4:10 PM
Business Wire Grove Collaborative Holdings, Inc. (NYSE: GROV) (“Grove” or the “Company”), the world’s first plastic neutral retailer and a leading sustainable consumer products company, certified B Corporation, and Public Benefit Corporation, today reported financial results for its fiscal first quarter ended March 31, 2026. Key First Quarter 2026 Financial Highlights: Total Net Revenue was $36.2 million, down 16.8% year-over-year Adjusted EBITDA was positive $0.3 million, compared to a loss of $1.6 million in the same period last year Net Loss was $1.0 million, compared to a Net Loss of $3.5 million in the same period last year Operating Cash Flow was negative $0.7 million, compared to negative $6.9 million in the same period last year Raising full-year 2026 net revenue guidance to $142.5 million to $152.5 million and Adjusted EBITDA guidance to breakeven to positive low single digit millions Sequential Net Revenue growth expected in each remaining quarter “We executed with discipline in the first quarter, delivering positive Adjusted EBITDA even as net revenue reached its expected trough. That outcome reflects deliberate choices: maintaining disciplined advertising spend while stabilizing the customer experience, and letting the leaner cost structure flow through to the bottom line. What gives us confidence as we look ahead is the quality of what we're seeing underneath the surface: repeat order rates among recent customer cohorts are performing at levels consistent with what we saw prior to the ecommerce migration, and customer acquisition costs justify a gradual increase in investment. We intend to scale spend strategically, increasing as we maintain efficiency and prioritize advertising paybacks and lifetime value. The most visible milestone in the quarter was the launch of our redesigned mobile application. With approximately half of non-autoship orders being placed through the app, mobile is one of the most important shopping channels for our customers - which is precisely why we made the decision to rebuild it internally. The result is a 5-star app that our customers deserve and that we now fully control, giving us the flexibility to improve and personalize it as we grow. We also continued to deepen Grove's commitment to human health. In the first quarter, we expanded our ingredient standards to more than 10,000 banned or restricted ingredients — including more than 3,000 that are outright banned across every category we carry. This is what differentiates Grove: not just a curated assortment, but a platform customers can trust to make the hard calls on their behalf. With the first quarter behind us, we are raising both top and bottom line guidance and still expect sequential Net Revenue improvement through the remainder of 2026.” First Quarter 2026 Financial Results (All comparisons are versus the quarter ended March 31, 2025 except where otherwise noted) Net Revenue was $36.2 million, a decline of 16.8% year-over-year. The decline was primarily driven by a smaller active customer base entering the year — reflecting the compounding impact of lower advertising investment in 2024 and 2025 and customer attrition associated with the ecommerce platform disruptions experienced throughout 2025 — as well as continued disciplined advertising investment in the first quarter, consistent with the strategy to prioritize profitability and customer experience stabilization before re-accelerating growth. Gross Margin was 54.8%, an increase of 180 basis points compared to 53.0% in the first quarter of 2025. The improvement was primarily driven by more targeted promotional activity, enabled in part by the Grove Green Rewards loyalty program launched in the fourth quarter of 2025. Grove Green Rewards has enabled a shift away from broad discounting toward more efficient incentives. Operating Expenses were $20.8 million, a decrease of 21.9% compared to $26.6 million in the prior-year period. The decline reflects the full-quarter benefit of the reduction in force executed in November 2025, lower advertising expense consistent with the current strategy, and lower fulfillment costs on reduced order volume. Net Loss was $1.0 million, or (2.8%) Net Loss margin, compared to a net loss of $3.5 million, or (8.1%) Net Loss margin, in the prior-year period. The year-over-year improvement reflects lower operating expenses. Adjusted EBITDA was positive $0.3 million, or 0.8% margin, compared to negative $1.6 million, or (3.7%) margin, in the prior-year period. This marks the second consecutive quarter of positive Adjusted EBITDA and reflects the continued focus on operating discipline as the Company completes the stabilization of the ecommerce platform. Operating Cash Flow was negative $0.7M for the quarter, primarily reflecting an increase in inventory to support ongoing operational execution, offset by the timing of payables. This compares favorably to negative $6.9 million in the prior-year period, which included a larger net loss, working capital investment in M&A, and other one-time items that did not reoccur. Cash, Cash Equivalents, and Restricted Cash totaled $10.4 million as of March 31, 2026, down from $11.8 million as of December 31, 2025, primarily reflecting cash used in operating and investing activities, including the development of the recently launched mobile application. First Quarter 2026 Key Metrics: Three Months Ended
March 31, (in thousands, except DTC Net Revenue Per Order) 2026 2025 Financial and Operating Data DTC Total Orders 502 622 DTC Active Customers 553 678 DTC Net Revenue Per Order $ 67.79 $ 66.49 Direct to Consumer (DTC) Total Orders were 502,000, a decline of 19.2% year-over-year. The decrease was primarily driven by a smaller active customer base entering the year, reflecting lower advertising investment relative to prior years and customer attrition associated with the 2025 ecommerce platform disruptions, both of which resulted in fewer new customers and, given the recurring nature of the business, fewer repeat orders. DTC Active Customers – defined as the number of customers that have placed an order in the trailing twelve months – totaled 553,000 as of March 31, 2026, a decrease of 18.5% year-over-year. The decline is consistent with the factors described above. DTC Net Revenue Per Order was $67.79, an increase of 2.0% year-over-year. The improvement was driven by a more targeted promotional strategy — including the shift to Grove Green Rewards — and a larger mix of higher-priced items in customer orders, reflecting the continued expansion of assortment in categories such as clean beauty, personal care, and wellness. Plastic Intensity1 – measured as pounds of plastic per $100 in net revenue across all online and retail sales – was 0.84 pounds in the first quarter of 2026, improving from 0.99 pounds the first quarter of 2025. _________________________ 1 Grove defines plastic intensity as pounds of plastic used per $100 in revenue as a way to hold itself accountable for the pace at which it decouples revenue from the use of plastic. To calculate plastic intensity, Grove defines "plastic" as any of the following materials within both products and packaging: plastic resin codes #1-7 (from the ASTM International Resin Identification Coding System), inclusive of polyvinyl alcohol (PVA, PVOH, PVAl), silicone, bioplastics, and any plastic liners, coatings, and resins. 2026 Financial Outlook: For the twelve-month period ending December 31, 2026, Grove is raising its full-year guidance, reflecting improved cohort performance and customer acquisition efficiency. The Company now expects full-year net revenue of approximately $142.5 million to $152.5 million, raised from the prior range of $140 million to $150 million, and Adjusted EBITDA of breakeven to positive low single digit millions, raised from approximately breakeven. First quarter 2026 net revenue represented the expected trough for the year. Grove expects sequential net revenue improvement in each of the remaining three quarters of 2026. Webcast and Conference Call Information: The Company will host an investor conference call and webcast to review these financial results at 5:00pm ET / 2:00pm PT on the same day. The webcast can be accessed at https://investors.grove.co/. The conference call can be accessed by calling 877-413-7205. International callers may dial +1 201-689-8537. A replay of the call will be available until June 4, 2026 and can be accessed by dialing 877-660-6853 or 201-612-7415, access ID: 13760192. The webcast will remain available on the Company’s investor relations website for 30 days following the webcast. About Grove Collaborative Holdings, Inc. Grove Collaborative Holdings, Inc. (NYSE: GROV) is the one-stop online destination for everyday essentials that create a healthier home and planet. Explore thousands of thoughtfully vetted products for every room and everyone in your home, including household cleaning, personal care, health and wellness, laundry, clean beauty, kitchen, pantry, kids, baby, pet care, and beyond. Everything Grove sells meets a higher standard — from health to sustainability and performance — so you get a great value without compromising your values. As a B Corp and Public Benefit Corporation, Grove goes beyond selling products: every order is carbon neutral, supports plastic waste cleanup initiatives, and lets you see and track the positive impact of your choices. Shopping with purpose starts at Grove.com. Forward-Looking Statements This press release contains "forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements include, but are not limited to, statements relating to the intention to scale spend carefully and to maintain efficiency; prioritizing paybacks and customer lifetime value; improved cohort performance and customer acquisition efficiency; first quarter 2026 being the net revenue trough for the year; sequential net revenue improvement in each of the remaining quarters of 2026; and guidance for 2026, including full year 2026 net revenue and Adjusted EBITDA. The forward-looking statements contained in this press release are based on Grove’s current expectations and beliefs in light of the Company’s experience and perception of historical trends, current conditions and expected future developments and their potential effects on the Company as well as other factors believed to be appropriate under the circumstances. There can be no assurance that future developments affecting the Company will be those that have been anticipated. These forward-looking statements involve a number of risks, uncertainties (some of which are beyond the Company’s control) or other assumptions that may cause actual results or performance to be materially different from those expressed or implied by these forward-looking statements, including continued disruption relating to the ecommerce platform migration, changes in business, market, financial, political and legal conditions; legal and regulatory matters and developments; risks relating to the uncertainty of the projected financial information; Grove’s ability to successfully expand its business; competition; risks relating to tariffs, inflation and interest rates; effectiveness of the Company’s ecommerce platform and selling and marketing efforts; demand for Grove products and other brands that it sells and those factors discussed in documents filed, or to be filed, with the U.S. Securities and Exchange Commission. Should one or more of these risks or uncertainties materialize, or should any assumptions prove incorrect, actual results may vary in material respects from those projected in these forward-looking statements. All forward-looking statements in this press release are made as of the date hereof, based on information available to Grove as of the date hereof, and Grove assumes no obligation to update any forward-looking statement, whether as a result of new information, future events or otherwise, except as may be required under applicable securities laws. Non-GAAP Financial Measures Some of the financial information and data contained in this press release, such as Adjusted EBITDA and Adjusted EBITDA margin, have not been prepared in accordance with United States generally accepted accounting principles (“GAAP”). These non-GAAP financial measures, and other measures that are calculated using such non-GAAP measures, are an addition to, and not a substitute for or superior to, measures of financial performance prepared in accordance with GAAP and should not be considered as an alternative to revenue, operating income, profit before tax, net income or any other performance measures derived in accordance with GAAP. Investors should not consider the non-GAAP financial measures in isolation from, or as a substitute for, GAAP measures. A reconciliation of historical Adjusted EBITDA to Net Income is provided in the tables at the end of this press release. Reconciliations of projected Adjusted EBITDA and projected Adjusted EBITDA Margin to the closest corresponding GAAP measures are not available without unreasonable effort on a forward-looking basis due to the high variability, complexity, and low visibility with respect to the charges excluded from these non-GAAP measures, such as the impact of depreciation and amortization of fixed assets, amortization of internal use software, the effects of net interest expense (income), other expense (income), and non-cash stock based compensation expense. Grove believes these non-GAAP measures of financial results, including on a forward-looking basis, provide useful information to management and investors regarding certain financial and business trends relating to Grove’s financial condition and results of operations. Grove’s management uses these non-GAAP measures for trend analyses and for budgeting and planning purposes. Grove believes that the use of these non-GAAP financial measures provides an additional tool for investors to use in evaluating projected operating results and trends in and in comparing Grove’s financial measures with other similar companies, many of which present similar non-GAAP financial measures to investors. Management of Grove does not consider these non-GAAP measures in isolation or as an alternative to financial measures determined in accordance with GAAP. There are a number of limitations related to the use of these non-GAAP measures. Other companies may calculate non-GAAP measures differently, or may use other measures to calculate their financial performance, and therefore Grove’s non-GAAP measures may not be directly comparable to similarly titled measures of other companies. Grove calculates Adjusted EBITDA as net loss, adjusted to exclude: stock-based compensation expense; depreciation and amortization; changes in fair values of derivative liabilities; interest income; interest expense; restructuring costs; transaction related costs related to certain strategic merger & acquisition projects; provision for income taxes and certain litigation and legal settlement expenses that we do not consider representative of the underlying operations. We define Adjusted EBITDA Margin as Adjusted EBITDA divided by net revenue. Because Adjusted EBITDA excludes these elements that are otherwise included in the Company’s GAAP financial results, this measure has limitations when compared to net loss determined in accordance with GAAP. Further, Adjusted EBITDA is not necessarily comparable to similarly titled measures used by other companies. For these reasons, investors should not consider Adjusted EBITDA in isolation from, or as a substitute for, net loss determined in accordance with GAAP. Grove Collaborative Holdings, Inc. Condensed Consolidated Balance Sheets (Unaudited) (In thousands, except per share amounts) March 31,
2026 December 31,
2025 Assets Current assets: Cash and cash equivalents $ 7,160 $ 8,490 Restricted cash, current 2,265 2,300 Inventory 21,479 18,421 Prepaid expenses and other current assets 2,638 5,492 Total current assets 33,542 34,703 Restricted cash, noncurrent 1,002 1,002 Property and equipment, net 3,524 3,653 Intangible assets, net 2,198 2,302 Operating lease right-of-use assets 9,084 9,535 Other long-term assets 1,715 1,899 Total assets $ 51,065 $ 53,094 Liabilities and Stockholders’ Deficit Current liabilities: Accounts payable $ 8,685 $ 8,828 Accrued expenses 8,000 9,476 Deferred revenue 5,857 5,033 Debt, current — 800 Operating lease liabilities, current 3,049 2,895 Other current liabilities 603 665 Total current liabilities 26,194 27,697 Debt, noncurrent 7,500 6,700 Operating lease liabilities, noncurrent 9,225 10,053 Derivative liabilities 772 871 Total liabilities 43,691 45,321 Redeemable convertible preferred stock 24,772 24,772 Stockholders’ deficit: Common stock 4 4 Additional paid-in capital 643,836 643,226 Accumulated deficit (661,238 ) (660,229 ) Total stockholders’ deficit (17,398 ) (16,999 ) Total liabilities, redeemable convertible preferred stock and stockholders’ deficit $ 51,065 $ 53,094 Grove Collaborative Holdings, Inc. Condensed Consolidated Statements of Operations (Unaudited) (In thousands, except share and per share amounts) Three Months Ended
March 31, 2026 2025 Revenue, net $ 36,224 $ 43,547 Cost of goods sold 16,369 20,483 Gross profit 19,855 23,064 Operating expenses: Advertising 1,162 2,807 Product development 1,435 1,779 Selling, general and administrative 18,159 21,986 Operating loss (901 ) (3,508 ) Non-operating expenses (income): Interest expense 274 346 Changes in fair value of derivative liabilities (99 ) (144 ) Other income, net (75 ) (172 ) Total non-operating expenses (income), net 100 30 Loss before provision for income taxes (1,001 ) (3,538 ) Provision for income taxes 8 9 Net loss $ (1,009 ) $ (3,547 ) Less: Accumulated dividends on redeemable convertible preferred stock (375 ) (375 ) Net loss attributable to common stockholders, basic and diluted $ (1,384 ) $ (3,922 ) Net loss per share attributable to common stockholders, basic and diluted $ (0.03 ) $ (0.10 ) Weighted-average shares used in computing net loss per share attributable to common stockholders, basic and diluted 40,086,439 38,209,966 Grove Collaborative Holdings, Inc. Condensed Consolidated Statements of Cash Flows (Unaudited) (In thousands) Three Months Ended March 31, 2026 2025 Cash Flows from Operating Activities Net loss $ (1,009 ) $ (3,547 ) Adjustments to reconcile net loss to net cash used in operating activities: Stock-based compensation expense 806 969 Depreciation and amortization 391 378 Changes in fair value of derivative liabilities (99 ) (144 ) Non-cash interest expense 53 139 Inventory write-down — (107 ) Changes in operating assets and liabilities: Inventory (3,058 ) (536 ) Prepaids and other assets 3,044 (61 ) Accounts payable (143 ) (816 ) Accrued expenses (1,340 ) (2,733 ) Deferred revenue 824 (520 ) Operating lease right-of-use assets and liabilities (223 ) 188 Other liabilities 71 (82 ) Net cash used in operating activities (683 ) (6,872 ) Cash Flows from Investing Activities Cash paid for acquisitions — (2,848 ) Purchase of property and equipment (294 ) (541 ) Net cash used in investing activities (294 ) (3,389 ) Cash Flows from Financing Activities Payment of issuance costs related to preferred stock and SEPA — (15 ) Payment on finance agreement (192 ) — Payments related to stock-based award activities, net (196 ) (521 ) Net cash used in financing activities (388 ) (536 ) Net decrease in cash, cash equivalents and restricted cash (1,365 ) (10,797 ) Cash, cash equivalents and restricted cash at beginning of period 11,792 24,304 Cash, cash equivalents and restricted cash at end of period $ 10,427 $ 13,507 Grove Collaborative Holdings, Inc. Non-GAAP Financial Measures (Unaudited) (In thousands, except percentages) Three Months Ended
March 31, 2026 2025 Reconciliation of Net Loss to Adjusted EBITDA (in thousands, except percentages) Net loss $ (1,009 ) $ (3,547 ) Stock-based compensation 806 969 Depreciation and amortization 391 378 Changes in fair value of derivative liabilities (99 ) (144 ) Interest income (75 ) (172 ) Interest expense 274 346 Transaction related costs — 563 Provision for income taxes 8 9 Total Adjusted EBITDA $ 296 $ (1,598 ) Net loss margin (2.8 )% (8.1 )% Adjusted EBITDA margin (loss) 0.8 % (3.7 )% View source version on businesswire.com: https://www.businesswire.com/news/home/20260507291700/en/ Investor Relations Contact
ir@grove.co Media Relations Contact
pr@grove.co Original: Grove Announces First Quarter 2026 Financial Results

Grove Announces Fourth Quarter and Full Year 2025 Financial ResultsMarch 5, 2026 4:10 PM
Business Wire
Grove Collaborative Holdings, Inc. (NYSE: GROV) (“Grove” or the “Company”), the world’s first plastic neutral retailer and a leading sustainable consumer products company, certified B Corporation, and Public Benefit Corporation, today reported financial results for its fiscal fourth quarter and year ended December 31, 2025.

Key Fourth Quarter 2025 Financial Highlights:

Total Revenue was $42.4 million, down 14.3% year-over-year

Adjusted EBITDA was $1.6 million, compared to a loss of $1.6 million in the prior-year period

Net Loss was $1.6 million, compared to Net Loss of $12.6 million in the prior-year period

Operating cash flow was breakeven, compared to $0.3 million in the prior-year period

“We finished 2025 in line with our revised revenue and Adjusted EBITDA guidance and returned to positive Adjusted EBITDA in the fourth quarter,” said Jeff Yurcisin, Chief Executive Officer of Grove Collaborative. “That performance reflects the trade-offs we made throughout the year, prioritizing liquidity and Adjusted EBITDA profitability, while we addressed customer experience disruption tied to our ecommerce platform migration. The impacts lasted longer than planned, but we believe we’re past the customer experience low point and are focused on continued stabilization and improvement through 2026.”

“We also advanced key customer-facing initiatives, including the launch of Grove Green Rewards in the fourth quarter and our redesigned mobile application in the first quarter of 2026. These investments are designed to strengthen engagement and retention as we scale growth responsibly.”

Fourth Quarter 2025 Financial Results

(All comparisons are versus the quarter ended December 31, 2024 except where otherwise noted)

Revenue was $42.4 million, a decline of 14.3% year-over-year primarily reflecting fewer orders due to reduced advertising investment and lagging effects from disruptions associated with the Company’s ecommerce platform migration earlier in the year. The revenue decline was partially offset by $2.9 million in QVC revenue from an 8Greens Today’s Special Value program. QVC was an existing 8Greens channel acquired as part of the 8Greens asset acquisition in the first quarter.

Gross Margin was 53.0%, an increase of 60 basis points compared to 52.4% in the fourth quarter of 2024. The increase was primarily driven by lower promotional activity, partially offset by a non-recurring benefit in the prior-year period related to the sell-through of previously reserved inventory.

Operating Expenses were $24.1 million, down 29.7% compared to $34.3 million in the prior year. The decline was driven by ongoing cost optimization initiatives including a reduction in force the Company executed in the fourth quarter, as well as reduced depreciation and amortization, lower fulfillment costs, lower advertising expense, and lower stock-based compensation.

Net Loss was $1.6 million, or (3.7%) Net Loss margin, compared to a net loss of $12.6 million, or (25.5%) Net Loss margin, in the prior-year period. The year-over-year improvement reflects lower operating expenses, with the prior-year quarter including a mostly non-cash loss on extinguishment of debt related to the payoff of the Company’s term loan facility.

Adjusted EBITDA was positive $1.6 million, or 3.7% margin, compared to negative $1.6 million or (3.3%) margin in the prior year.

Operating Cash Flow was breakeven for the quarter, as non-cash expenses more than offset the net loss, partially offset by an increase in working capital. This is compared to $0.3 million in the prior year.

Cash, Cash Equivalents, and Restricted Cash totaled $11.8 million as of December 31, 2025, down from $12.3 million as of September 30, 2025, primarily reflecting cash used in investing and financing activities.

Fourth Quarter 2025 Key Metrics:

Three Months Ended

December 31,

(in thousands, except DTC Net Revenue Per Order)

2025

2024

Financial and Operating Data

DTC Total Orders

539

719

DTC Active Customers

599

689

DTC Net Revenue Per Order

$

70

$

67

Direct to Consumer (DTC) Total Orders were 539,000, a decline of 25.0% year-over-year. The year-over-year decline was primarily due to lower advertising spend relative to prior years resulting in fewer new customers and therefore fewer repeat orders due to the recurring nature of our business, along with headwinds related to the company's ecommerce migration.

DTC Active Customers – defined as the number of customers that have placed an order in the trailing twelve months – totaled 599,000 as of December 31, 2025, a decrease of 13.0% year-over-year. Consistent with the decline in DTC Total Orders, the year-over-year decline was driven by lower advertising spend throughout 2024 compared to prior years, along with headwinds related to the company's ecommerce migration.

DTC Net Revenue Per Order was $69.50, an increase of 4.1% year-over-year primarily due to improved promotional strategies, as well as an increase in mix of higher priced items in customer orders.

Plastic Intensity1 – measured as pounds of plastic per $100 in net revenue across all online and retail sales – was 0.88 pounds in the fourth quarter of 2025, improving from 1.02 pounds the fourth quarter of 2024.

_________________________

1 Grove defines plastic intensity as pounds of plastic used per $100 in revenue as a way to hold itself accountable for the pace at which it decouples revenue from the use of plastic. To calculate plastic intensity, Grove defines "plastic" as any of the following materials within both products and packaging: plastic resin codes #1-7 (from the ASTM International Resin Identification Coding System), inclusive of polyvinyl alcohol (PVA, PVOH, PVAl), silicone, bioplastics, and any plastic liners, coatings, and resins.

Full Year 2025 Financial Results

Revenue totaled $173.7 million, landing within the Company’s previously announced revised full-year guidance. This represents a 14.6% year-over-year decline, primarily due to a decrease in DTC orders. Net Revenue per Order was flat year-over-year.

Gross Margin was 53.7%, a slight decrease from 53.8% year-over-year, driven by the removal of certain customer fees and a non-recurring benefit in the prior-year period related to the sell-through of previously reserved inventory, mostly offset by optimized discounting and higher allowances from vendors.

Operating Expenses totaled $104.6 million, representing a 20.7% year-over-year decline due to reduced depreciation and amortization, lower stock-based compensation, ongoing cost optimization initiatives, and lower fulfillment costs.

Net Loss was $11.7 million improving by $15.7 million year-over-year.

Net Loss Margin was (6.7%) improving 670bps year-over-year.

Adjusted EBITDA was negative $2.2 million, decreasing $3.5 million year-over-year. This landed within the Company’s full year guidance.

Adjusted EBITDA Margin2 was (1.2%), decreasing 190 basis points year-over-year.

_________________________

2 Adjusted EBITDA margin is a non-GAAP financial measure. See “Non-GAAP Financial Measures” for a reconciliation of adjusted EBITDA, a non-GAAP financial measure, to net loss in the table at the end of this press release.

Plastic Intensity1 decreased to 0.90 pounds of plastic per $100 of revenue in 2025 compared to 1.05 pounds in 2024.

2026 Financial Outlook:

For the 12-month period ending December 31st, 2026, Grove is providing the following guidance:

For full-year 2026, the Company expects net revenue to be approximately $140 million to $150 million and Adjusted EBITDA to be approximately breakeven.

The Company expects net revenue to reach a trough in the first quarter, reflecting seasonality and an advertising investment at approximately the same level as the fourth quarter of 2025, and improve sequentially over the remainder of 2026, driven by continued stabilization of the ecommerce platform and improving customer experience metrics, which management expects will support a measured re-acceleration of customer acquisition investment.

Webcast and Conference Call Information:

The Company will host an investor conference call and webcast to review these financial results at 5:00pm ET / 2:00pm PT on the same day. The webcast can be accessed at https://investors.grove.co/. The conference call can be accessed by calling 877-413-7205. International callers may dial +1 201-689-8537. A replay of the call will be available until April 2, 2026 and can be accessed by dialing 877-660-6853 or 201-612-7415, access ID: 13758791. The webcast will remain available on the Company’s investor relations website for 30 days following the webcast.

About Grove Collaborative Holdings, Inc.

Grove Collaborative Holdings, Inc. (NYSE: GROV) is the one-stop online destination for everyday essentials that create a healthier home and planet. Explore thousands of thoughtfully vetted products for every room and everyone in your home, including household cleaning, personal care, health and wellness, laundry, clean beauty, kitchen, pantry, kids, baby, pet care, and beyond. Everything Grove sells meets a higher standard — from health to sustainability and performance — so you get a great value without compromising your values. As a B Corp and Public Benefit Corporation, Grove goes beyond selling products: every order is carbon neutral, supports plastic waste cleanup initiatives, and lets you see and track the positive impact of your choices. Shopping with purpose starts at Grove.com.

Forward-Looking Statements

This press release contains "forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements include, but are not limited to, statements relating to continuing to stabilize and improve the customer experience on our ecommerce platform; scaling growth responsibly; guidance for 2026, including full year 2026 net revenue and Adjusted EBITDA; net revenue reaching a low point in the first quarter and improving sequentially over the remainder of 2026; continued stabilization of the ecommerce platform; improving customer experience metrics; and a measured re-acceleration of customer acquisition investment. The forward-looking statements contained in this press release are based on Grove’s current expectations and beliefs in light of the Company’s experience and perception of historical trends, current conditions and expected future developments and their potential effects on the Company as well as other factors believed to be appropriate under the circumstances. There can be no assurance that future developments affecting the Company will be those that have been anticipated. These forward-looking statements involve a number of risks, uncertainties (some of which are beyond the Company’s control) or other assumptions that may cause actual results or performance to be materially different from those expressed or implied by these forward-looking statements, including continued disruption relating to the ecommerce platform migration, changes in business, market, financial, political and legal conditions; legal and regulatory matters and developments; risks relating to the uncertainty of the projected financial information; Grove’s ability to successfully expand its business; competition; risks relating to tariffs, inflation and interest rates; effectiveness of the Company’s ecommerce platform and selling and marketing efforts; demand for Grove products and other brands that it sells and those factors discussed in documents filed, or to be filed, with the U.S. Securities and Exchange Commission. Should one or more of these risks or uncertainties materialize, or should any assumptions prove incorrect, actual results may vary in material respects from those projected in these forward-looking statements. All forward-looking statements in this press release are made as of the date hereof, based on information available to Grove as of the date hereof, and Grove assumes no obligation to update any forward-looking statement, whether as a result of new information, future events or otherwise, except as may be required under applicable securities laws.

Non-GAAP Financial Measures

Some of the financial information and data contained in this press release, such as Adjusted EBITDA and Adjusted EBITDA margin, have not been prepared in accordance with United States generally accepted accounting principles (“GAAP”). These non-GAAP financial measures, and other measures that are calculated using such non-GAAP measures, are an addition to, and not a substitute for or superior to, measures of financial performance prepared in accordance with GAAP and should not be considered as an alternative to revenue, operating income, profit before tax, net income or any other performance measures derived in accordance with GAAP. Investors should not consider the non-GAAP financial measures in isolation from, or as a substitute for, GAAP measures. A reconciliation of historical Adjusted EBITDA to Net Income is provided in the tables at the end of this press release. Reconciliations of projected Adjusted EBITDA and projected Adjusted EBITDA Margin to the closest corresponding GAAP measures are not available without unreasonable effort on a forward-looking basis due to the high variability, complexity, and low visibility with respect to the charges excluded from these non-GAAP measures, such as the impact of depreciation and amortization of fixed assets, amortization of internal use software, the effects of net interest expense (income), other expense (income), and non-cash stock based compensation expense. Grove believes these non-GAAP measures of financial results, including on a forward-looking basis, provide useful information to management and investors regarding certain financial and business trends relating to Grove’s financial condition and results of operations. Grove’s management uses these non-GAAP measures for trend analyses and for budgeting and planning purposes. Grove believes that the use of these non-GAAP financial measures provides an additional tool for investors to use in evaluating projected operating results and trends in and in comparing Grove’s financial measures with other similar companies, many of which present similar non-GAAP financial measures to investors. Management of Grove does not consider these non-GAAP measures in isolation or as an alternative to financial measures determined in accordance with GAAP. There are a number of limitations related to the use of these non-GAAP measures. Other companies may calculate non-GAAP measures differently, or may use other measures to calculate their financial performance, and therefore Grove’s non-GAAP measures may not be directly comparable to similarly titled measures of other companies.

Grove calculates Adjusted EBITDA as net loss, adjusted to exclude: stock-based compensation expense; depreciation and amortization; changes in fair values of derivative liabilities; interest income; interest expense; restructuring costs; transaction related costs related to certain merger and acquisition projects; loss on extinguishment of debt; provision for income taxes and certain litigation and legal settlement expenses that we do not consider representative of our underlying operations. We define Adjusted EBITDA Margin as Adjusted EBITDA divided by net revenue. Because Adjusted EBITDA excludes these elements that are otherwise included in the Company’s GAAP financial results, this measure has limitations when compared to net loss determined in accordance with GAAP. Further, Adjusted EBITDA is not necessarily comparable to similarly titled measures used by other companies. For these reasons, investors should not consider Adjusted EBITDA in isolation from, or as a substitute for, net loss determined in accordance with GAAP.

Grove Collaborative Holdings, Inc.

Consolidated Balance Sheets

(In thousands)

December 31,

2025

December 31,

2024

(Unaudited)

Assets

Current assets:

Cash and cash equivalents

$

8,490

$

19,627

Restricted cash, current

2,300

3,675

Inventory

18,421

19,351

Prepaid expenses and other current assets

5,492

2,288

Total current assets

34,703

44,941

Restricted cash, noncurrent

1,002

1,002

Property and equipment, net

3,653

3,677

Intangible assets, net

2,302

712

Operating lease right-of-use assets

9,535

12,532

Other long-term assets

1,899

2,146

Total assets

$

53,094

$

65,010

Liabilities and Stockholders’ Deficit

Current liabilities:

Accounts payable

$

8,828

$

6,800

Accrued expenses

9,476

11,546

Deferred revenue

5,033

6,340

Debt, current

800

—

Operating lease liabilities, current

2,895

1,636

Other current liabilities

665

742

Total current liabilities

27,697

27,064

Derivative liabilities

871

1,274

Debt, noncurrent

6,700

7,500

Operating lease liabilities, noncurrent

10,053

12,949

Total liabilities

45,321

48,787

Redeemable convertible preferred stock

24,772

24,772

Stockholders’ deficit:

Common stock

4

4

Additional paid-in capital

643,226

639,960

Accumulated deficit

(660,229

)

(648,513

)

Total stockholders’ deficit

(16,999

)

(8,549

)

Total liabilities, redeemable convertible preferred stock and stockholders’ deficit

$

53,094

$

65,010

Grove Collaborative Holdings, Inc.

Consolidated Statements of Operations

(In thousands, except share and per share amounts)

Three Months Ended

December 31,

Year Ended

December 31,

2025

2024

2025

2024

(Unaudited)

(Unaudited)

(Unaudited)

Revenue, net

$

42,409

$

49,501

$

173,716

$

203,425

Cost of goods sold

19,917

23,558

80,443

94,077

Gross profit

22,492

25,943

93,273

109,348

Operating expenses:

Advertising

1,027

2,953

9,710

10,265

Product development

1,872

4,592

7,484

18,456

Selling, general and administrative

21,181

26,730

87,396

103,174

Operating loss

(1,588

)

(8,332

)

(11,317

)

(22,547

)

Non-operating expenses (income):

Interest expense

282

1,589

1,225

12,777

Loss on extinguishment of debt

—

5,004

—

5,004

Changes in fair value of derivative liabilities

(215

)

(1,869

)

(404

)

(9,888

)

Other income, net

(80

)

(430

)

(455

)

(3,057

)

Total non-operating expenses (income), net

(13

)

4,294

366

4,836

Loss before provision for income taxes

(1,575

)

(12,626

)

(11,683

)

(27,383

)

Provision for income taxes

8

9

33

40

Net loss

$

(1,583

)

$

(12,635

)

$

(11,716

)

$

(27,423

)

Less: Accumulated dividends on redeemable convertible preferred stock

(375

)

(375

)

(1,500

)

(849

)

Net loss attributable to common stockholders, basic and diluted

$

(1,958

)

$

(13,010

)

$

(13,216

)

$

(28,272

)

Net loss per share attributable to common stockholders, basic and diluted

$

(0.05

)

$

(0.34

)

$

(0.34

)

$

(0.76

)

Weighted-average shares used in computing net loss per share attributable to common stockholders, basic and diluted

39,769,414

37,751,421

39,048,320

37,040,375

Grove Collaborative Holdings, Inc.

Consolidated Statements of Cash Flows

(In thousands)

Year Ended December 31,

2025

2024

(Unaudited)

Cash Flows from Operating Activities

Net loss

$

(11,716

)

$

(27,423

)

Adjustments to reconcile net loss to net cash used in operating activities:

Gain on lease modification

—

(3,139

)

Stock-based compensation

4,284

11,995

Depreciation and amortization

1,680

9,821

Changes in fair value of derivative liabilities

(404

)

(9,888

)

Non-cash interest expense

322

3,380

Asset impairment charges

915

1,260

Inventory write-downs

(328

)

(3,061

)

Loss on extinguishment of debt

—

5,004

Other non-cash expenses (income)

6

(140

)

Changes in operating assets and liabilities:

Inventory

3,303

12,486

Prepaids and other assets

(1,228

)

569

Accounts payable

(376

)

(1,274

)

Accrued expenses

(2,162

)

(4,612

)

Deferred revenue

(1,307

)

(814

)

Operating lease right-of-use assets and liabilities

502

(4,349

)

Other liabilities

(445

)

436

Net cash used in operating activities

(6,954

)

(9,749

)

Cash Flows from Investing Activities

Cash paid for acquisitions

(2,848

)

—

Proceeds from sale of property and equipment

15

136

Purchase of property and equipment

(1,166

)

(1,757

)

Net cash used in investing activities

(3,999

)

(1,621

)

Cash Flows from Financing Activities

Payment of issuance costs related to SEPA

(43

)

—

Payment of debt issuance costs

—

(301

)

Payment on finance agreement

(353

)

—

Repayment of debt and Structural Derivative Liability

—

(72,348

)

Payment of costs to extinguish debt

(77

)

(24

)

Proceeds from issuance of redeemable convertible preferred stock

—

15,000

Payment of transaction costs related to redeemable convertible preferred stock

—

(513

)

Payments related to stock-based award activities, net

(1,266

)

(1,366

)

Proceeds from issuance under employee stock purchase plan

248

363

Payment of debt modification costs

(68

)

—

Net cash used in financing activities

(1,559

)

(59,189

)

Net decrease in cash, cash equivalents and restricted cash

(12,512

)

(70,559

)

Cash, cash equivalents and restricted cash at beginning of period

24,304

94,863

Cash, cash equivalents and restricted cash at end of period

$

11,792

$

24,304

Grove Collaborative Holdings, Inc.

Non-GAAP Financial Measures

(Unaudited)

(In thousands, except percentages)

Three Months Ended

December 31,

Year Ended

December 31,

2025

2024

2025

2024

Reconciliation of Net Loss to Adjusted EBITDA

Net loss

$

(1,583

)

$

(12,635

)

$

(11,716

)

$

(27,423

)

Stock-based compensation

828

2,727

4,284

11,995

Depreciation and amortization

393

2,420

1,680

9,821

Changes in fair value of derivative liabilities

(215

)

(1,869

)

(404

)

(9,888

)

Interest income

(80

)

(429

)

(455

)

(3,057

)

Interest expense

282

1,589

1,225

12,777

Restructuring expenses

1,919

1,566

1,919

2,032

Transaction related costs

—

—

1,275

—

Loss on extinguishment of debt

—

5,004

—

5,004

Provision for income taxes

8

9

33

40

Total Adjusted EBITDA

$

1,552

$

(1,618

)

$

(2,159

)

$

1,301

Net loss margin

(3.7

)%

(25.5

)%

(6.7

)%

(13.5

)%

Adjusted EBITDA margin

3.7

%

(3.3

)%

(1.2

)%

0.6

%

View source version on businesswire.com: https://www.businesswire.com/news/home/20260305220738/en/
Investor Relations Contact

ir@grove.co

Media Relations Contact

pr@grove.co

Original: Grove Announces Fourth Quarter and Full Year 2025 Financial Results