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Leafly Holdings Inc. (LFLY-39.71%) has submitted its 10-K filing for the fiscal year ended December 31, 2024.
The filing reports a net loss of $5.7 million for the year, compared to a net loss of $9.5 million in the previous year. The decrease in net loss is attributed to cost-saving measures, including reductions in force and other expense reductions.
Revenue for the year was $34.6 million, down from $42.3 million in 2023. The decline in revenue was primarily due to a decrease in retail subscriptions and digital display ads.
Operating expenses decreased by 23% to $34.1 million from $44.5 million in 2023, driven by reductions in sales and marketing, product development, and general and administrative expenses.
Leafly reported cash, cash equivalents, and restricted cash totaling $14.8 million as of December 31, 2024, a slight decrease from $15.5 million at the end of 2023.
The company noted substantial doubt about its ability to continue as a going concern due to its significant working capital deficiency and the need to raise additional funds to meet its obligations.
Leafly's 2022 convertible notes, with a principal amount of $29.4 million, were extended to mature on July 1, 2025, contingent upon a 12.5% reduction in principal.
The company was delisted from Nasdaq and began trading on the OTC Pink Open Market on January 17, 2025, following a determination by Nasdaq that Leafly did not meet continued listing standards.
Leafly is considering options to take the company private to reduce costs associated with operating as a public company. This includes terminating its registration statements and deregistering unsold shares.
The company continues to focus on its core business of providing an online cannabis discovery marketplace and resource for consumers, with a strategy to improve revenue through enhanced sales efforts and product offerings.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Leafly Holdings Inc. annual 10-K report dated March 31, 2025. To report an error, please email earnings@qz.com.