Overview

* GrowGeneration Corp ( GRWG ) Q2 net sales rise 14.7% sequentially, missing analyst expectations

* Proprietary brand sales grow to 32% of cultivation and gardening revenue

* Store operating expenses down 22.9% yr/yr, reflecting cost control measures

Outlook

* The owner of specialty retail hydroponic and organic gardening stores expects Q3 2025 net sales to exceed $41 mln

* GrowGeneration ( GRWG ) not providing full-year 2025 guidance due to macroeconomic uncertainty

* Company exploring strategies to mitigate risks from global trade policies

* GrowGeneration ( GRWG ) adjusting pricing strategies amid retail pricing pressure

Result Drivers

* PROPRIETARY BRAND SALES - Proprietary brand sales increased to 32% of cultivation and gardening revenue, driven by strategic initiatives

* COST CONTROL - Store operating expenses declined 22.9% yr/yr, reflecting effective cost control measures

* RETAIL CONSOLIDATION - Net loss impacted by decreased sales volume due to fewer retail locations

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 Sales Miss $40.96 $41 mln

mln (3

Analysts

)

Q2 EPS -$0.08

Q2 Net -$4.81

Income mln

Q2 Basic -$0.08

EPS

Q2 Gross $11.59

Profit mln

Q2 -$4.81

Pretax mln

Profit

Analyst Coverage

* The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 1 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"

* The average consensus recommendation for the home improvement products & services retailers peer group is "buy."

* Wall Street's median 12-month price target for GrowGeneration Corp ( GRWG ) is $1.88, about 44% above its August 8 closing price of $1.05

Press Release:

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)