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Greenlane Holdings, Inc. has submitted its 10-Q filing for the quarterly period ended September 30, 2024.
The filing reports a decrease in net sales to $4,038,000 from $11,800,000 in the same quarter the previous year, attributed to a restructuring of the Industrial Group and a shift in strategy within the Consumer Brands Group.
Cost of sales for the quarter was $1,011,000, representing 25% of sales, compared to 73.5% in the same quarter of the previous year, reflecting a decrease in inventory write-offs.
The company reported a gross profit of $3,027,000 for the quarter, compared to $3,129,000 in the previous year, with a gross margin increase to 75% from 26.5%.
Salaries, benefits, and payroll taxes decreased to $1,609,000 from $4,059,000, reflecting a reduction in workforce.
General and administrative expenses decreased to $1,771,000 from $5,433,000, due to cost reduction efforts and restructuring.
Depreciation and amortization expenses decreased to $185,000 from $524,000, related to asset sales and office footprint reduction.
The company reported a net loss of $3,757,000, compared to a net loss of $10,098,000 in the previous year.
Greenlane has implemented several initiatives to improve liquidity and profitability, including a focus on cost reduction, new product introductions, and strategic partnerships.
The company has expressed substantial doubt about its ability to continue as a going concern, contingent on successful execution of management's plan to improve liquidity.
The filing also details various financial arrangements, including future receivables financings and notes payable, aimed at addressing liquidity needs.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Greenlane Holdings Inc. quarterly 10-Q report dated November 14, 2024. To report an error, please email earnings@qz.com.