Hydrofarm Q1 FY26 net loss widens to $14.6 million; net sales drop 29.6% to $28.5 million

• Hydrofarm posted a first-quarter net loss of $14.6 million, or $ (3.07) per share, while net sales fell 29.6% to $28.5 million from a year earlier.
• Gross profit dropped to $1.8 million, pushing gross margin down 10.6 percentage points to 6.4%, on $1.7 million of restructuring expenses.
• SG&A expense fell 40.8% to $10.6 million, reflecting restructuring actions and cost-saving initiatives, including a $1.2 million reduction in employee compensation costs.
• Cash used in operating activities narrowed to $0.8 million, while the company ended the quarter with $4.8 million in cash and $0.5 million in restricted cash.
• Hydrofarm said it completed consolidation of U.S. manufacturing into one location, while a missed term-loan interest payment triggered an event of default and a forbearance agreement that remains in effect as it explores strategic alternatives.

Disclaimer: This news brief was created by Public Technologies (PUBT) using generative artificial intelligence. While PUBT strives to provide accurate and timely information, this AI-generated content is for informational purposes only and should not be interpreted as financial, investment, or legal advice. Hydrofarm Holdings Group Inc. published the original content used to generate this news brief via GlobeNewswire (Ref. ID: 202605151602PRIMZONEFULLFEED9721459) on May 15, 2026, and is solely responsible for the information contained therein.