The company is burning cash rapidly with only $1.95M on hand against $5.1M in payables. Monitor for a potential dilutive offering or going-concern disclosure in the next 10-Q. The RTD pivot is a long-term story but offers no near-term revenue offset.
Price Chart
Executive Summary
Edible Garden reported Q1 2026 revenue of $3.3M (+22.9% YoY), driven by 46% growth in cut herbs and expansion into higher-margin RTD nutrition. However, operating expenses surged 77.5% to $10.0M due to accelerated depreciation from the RTD pivot and higher COGS, resulting in a net loss of $3.7M (EPS -$5.25). The company is investing heavily in its Tetra Pak RTD platform, but the widening losses and cash burn (cash $1.95M vs. $5.1M in current liabilities) raise going-concern risk for this micro-cap.
Key Financial Metrics
Key Facts
- Revenue grew 22.9% YoY to $3.3M, beating the $0 consensus estimate.
- Net loss widened to $3.7M vs. $3.3M in Q1 2025; EPS was -$5.25 (vs. -$24.74 in prior year, adjusted for reverse splits).
- Operating expenses surged 77.5% to $10.0M, driven by a $2.5M increase in accelerated depreciation from the RTD pivot.
- Cash balance fell to $1.95M, with $5.1M in accounts payable and other current liabilities, implying near-term liquidity pressure.
- The company recorded a $3.4M income tax benefit from selling state tax credits, which masked a $7.0M operating loss.
- Management highlighted expansion into RTD nutrition via Tetra Pak, but no revenue from this segment has been reported yet.
Financial Impact
Revenue growth of $0.6M (+22.9%) was offset by a $4.4M increase in operating expenses, resulting in a $0.4M wider net loss. Cash burn remains severe relative to market cap of $2M.
Risk Factors
- Cash runway appears limited to less than one quarter given the $3.7M quarterly net loss and negative operating cash flow.
- Accelerated depreciation of $2.5M suggests asset write-downs may continue if the RTD pivot fails to generate revenue.
- The $3.4M tax benefit is a one-time item; without it, the net loss would have been $7.0M.
- Micro-cap with $2M market cap is highly susceptible to dilution and delisting risk.
Market Snapshot
Investment Themes
Documents Analyzed
This report is based on 1 press release from GlobeNewswire.
| Document | Accession Number |
|---|---|
| PRESS-RELEASE Data (Synthetic) | press-3295762 |
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Oct 22, 2026 5d ago | 8-K | $0.8511 | awaiting T+20 | — | $0.7380 (−13.29%) |
Oct 6, 2026 21d ago | Press Release | $1.14 | awaiting T+20 | — | $0.7380 (−35.26%) |
Oct 1, 2026 26d ago | 8-K | $1.14 | awaiting T+20 | — | $0.7380 (−35.26%) |
Sep 2, 2026 7w ago | 8-K | $1.49 $1.19 | ▼ −20.13% | ▼ −19.80% | $0.7380 (−50.47%) |
Aug 24, 2026 9w ago | 8-K | $1.41 $1.27 | ▼ −9.93% | ▼ −11.24% | $0.7380 (−47.66%) |
Aug 17, 2026 10w ago | 8-K | $1.56 $1.41 | ▼ −9.62% | ▼ −7.64% | $0.7380 (−52.69%) |
Aug 14, 2026 10w ago | 8-K | $1.67 $1.45 | ▼ −13.17% | ▼ −11.18% | $0.7380 (−55.81%) |
Aug 10, 2026 11w ago | EFFECT | $1.83 $1.42 | ▲ +22.40% | ▲ +21.49% | $0.7380 (+59.67%) |
Aug 7, 2026 11w ago | Press Release | $1.88 $1.39 | ▼ −26.06% | ▼ −25.67% | $0.7380 (−60.74%) |
Aug 3, 2026 12w ago | 8-K | $2.28 $1.46 | ▲ +35.96% | ▲ +37.20% | $0.7380 (+67.63%) |
US Market Status
Subscribe to SecBot
Get Real-Time SEC Filing Intelligence
Comprehensive SEC filing analysis delivered the moment filings hit EDGAR. Sentiment scoring, impact analysis, and actionable insights for every material event.
Create a free account Live analysis, Telegram alerts, watchlists and the MCP server for subscribers