Revenue Growth
Full-year revenue increased 20% to approximately $2.2M in 2025 (from $1.86M in 2024). Management estimates that excluding an approximately $200k transitional impact from taking Amazon sales in-house, full-year revenue growth would have been closer to 30%.
E-commerce Acceleration
E-commerce revenue grew 88% year-over-year and now represents more than one-half of total revenue. Company transitioned to directly managing Amazon listings to improve presentation, marketing performance, and margin capture with the expectation of accelerating growth further.
Improved Gross Margin
Gross margin improved to 62.5% in 2025 versus 54.1% in 2024 (an increase of ~8.4 percentage points), driven by improved product mix and a larger e-commerce contribution.
Adjusted Profitability Trends
Adjusted EBITDA loss improved to $5.3M in 2025 from $5.8M in 2024 (an improvement of ~$0.5M, roughly 8.6%), and adjusted net loss excluding one-time items was about $5.6M versus a GAAP net loss of $6.4M.
Cash and Liquidity Position
The company ended the year with $8.6M in cash and short-term investments, which management states provides a solid operating runway to continue executing its strategy.
Municipal and Field Traction
Growing municipal interest and deployments: Chicago neighborhoods are reordering and expanding; Baltimore has moved from study to deployment; New York City trial concluding in spring with follow-up deployment discussions already underway.
International Progress
Regulatory approval received in New Zealand with an initial stocking order shipped (revenue recognized in Q1). Expanded distribution activity in Belize and other regions with additional regulatory approvals pending.
Legal Dispute Resolved
The legal dispute with Leafotech has been settled, all litigation dismissed and cannot be reinstated; management characterizes the outcome as satisfactory and the associated costs as non-recurring.
Inventory Preparedness
Inventory increased ~25% year-over-year to ensure readiness for potential large retail or municipal orders (management says inventory build is deliberate to meet anticipated surge demand).