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Grove Collaborative Reports Q2 2025 Financial Results

Grove Collaborative Reports Q2 2025 Financial Results

Grove Collaborative Holdings, Inc. ( (GROV) ) has released its Q2 earnings. Here is a breakdown of the information Grove Collaborative Holdings, Inc. presented to its investors.

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Grove Collaborative Holdings, Inc. is a sustainable consumer products company that operates as the world’s first plastic neutral retailer, focusing on providing eco-friendly household and personal care products. In its second quarter of 2025, Grove reported a total revenue of $44.0 million, which marks a 15.5% decrease from the previous year but a slight increase from the first quarter. The company also reported a net loss of $3.6 million, a significant improvement from the $10.1 million net loss in the same period last year.

Key financial metrics indicate that Grove’s gross margin improved to 55.4%, up from 53.9% in the previous year, driven by better promotional efficiency and vendor funding. Operating expenses decreased by 20.3% to $27.9 million, reflecting cost optimization efforts. Despite a negative adjusted EBITDA of $0.9 million, the company achieved positive operating cash flow of $1.0 million, attributed to improved inventory management.

Grove’s strategic focus remains on enhancing its eCommerce platform and customer experience, with a commitment to sustainability and personal wellness. The company experienced challenges due to its eCommerce platform migration but saw a sequential increase in orders. The company aims to return to year-over-year revenue growth by the fourth quarter of 2025, marking a significant milestone in its transformation.

Looking ahead, Grove maintains its full-year revenue guidance, expecting a decline in the mid-single-digit to low-double-digit percentage range. The company plans to continue investing in advertising to drive growth while managing adjusted EBITDA losses, positioning itself for long-term shareholder value.

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