Revenue growth remains in a contractionary phase, with a 16.8% year-over-year decline in 2026Q1 and persistent negative operating margins of -2.7%.
| Sales/Revenue | 166.39M | 173.72M | 203.43M | 259.28M | 321.53M | 383.69M | 364.27M | 233.12M |
| Revenue Growth % | -13.98% | -14.6% | -21.54% | -19.36% | -16.2% | 5.33% | 56.26% | - |
| Cost of Goods Sold | 76.33M | 80.44M | 94.08M | 121.92M | 166.88M | 195.18M | 188.27M | 149.68M |
| COGS % of Revenue | - | 46.31% | 46.25% | 47.02% | 51.9% | 50.87% | 51.68% | 64.21% |
| Gross Profit | 90.06M | 93.27M | 109.35M | 137.36M | 154.65M | 188.5M | 176M | 83.44M |
| Gross Margin % | 54.12% | 53.69% | 53.75% | 52.98% | 48.1% | 49.13% | 48.32% | 35.79% |
| Gross Profit Growth % | - | -14.7% | -20.39% | -11.18% | -17.96% | 7.1% | 110.95% | - |
| Operating Expenses | 98.85M | 101.4M | 121.63M | 172.62M | 295.63M | 317.36M | 242.5M | 246.6M |
| OpEx % of Revenue | - | 58.37% | 59.79% | 66.58% | 91.95% | 82.71% | 66.57% | 105.79% |
| Selling, General & Admin | 91.24M | 97.11M | 103.17M | 156.22M | 273.13M | 293.95M | 223.84M | 233M |
| SG&A % of Revenue | - | 55.9% | 50.72% | 60.25% | 84.95% | 76.61% | 61.45% | 99.95% |
| Research & Development | 7.61M | 7.48M | 18.46M | 16.4M | 22.5M | 23.41M | 18.66M | 13.6M |
| R&D % of Revenue | - | 4.31% | 9.07% | 6.33% | 7% | 6.1% | 5.12% | 5.84% |
| Other Operating Expenses | 0 | -3.19M | 0 | 0 | 0 | 0 | 0 | 0 |
| Operating Income | -8.79M | -8.12M | -12.28M | -35.26M | -140.98M | -128.85M | -66.49M | -163.17M |
| Operating Margin % | -5.28% | -4.68% | -6.04% | -13.6% | -43.85% | -33.58% | -18.25% | -69.99% |
| Operating Income Growth % | - | 33.86% | 65.17% | 74.99% | -9.41% | -93.79% | 59.25% | - |
| EBITDA | -7.09M | -6.44M | -2.46M | -29.44M | -135.27M | -123.86M | -62.38M | -160.81M |
| EBITDA Margin % | -4.26% | -3.71% | -1.21% | -11.35% | -42.07% | -32.28% | -17.12% | -68.98% |
| EBITDA Growth % | 59.54% | -161.8% | 91.64% | 78.24% | -9.21% | -98.57% | 61.21% | - |
| D&A (Non-Cash Add-back) | 1.7M | 1.68M | 9.82M | 5.82M | 5.72M | 4.99M | 4.12M | 2.36M |
| EBIT | -8.25M | -8.12M | -14.61M | -27.12M | -77.98M | -130.64M | -66.61M | -159.41M |
| Net Interest Income | -1.03M | -1.23M | -12.78M | -16.08M | -9.69M | -5.2M | -5.61M | -2.05M |
| Interest Income | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Expense | 1.03M | 1.23M | 12.78M | 16.08M | 9.69M | 5.2M | 5.61M | 2.05M |
| Other Income/Expense | -363K | -3.56M | -15.1M | -7.93M | 53.32M | -6.99M | -5.73M | 1.71M |
| Pretax Income | -9.15M | -11.68M | -27.38M | -43.19M | -87.66M | -135.84M | -72.22M | -161.46M |
| Pretax Margin % | -5.5% | -6.73% | -13.46% | -16.66% | -27.26% | -35.41% | -19.83% | -69.26% |
| Income Tax | 24K | 33K | 40K | 38K | 54K | 52K | 41K | 12K |
| Effective Tax Rate % | -0.26% | -0.28% | -0.15% | -0.09% | -0.06% | -0.04% | -0.06% | -0.01% |
| Net Income | -9.18M | -11.72M | -27.42M | -43.23M | -87.72M | -135.9M | -72.26M | -161.47M |
| Net Margin % | -5.52% | -6.74% | -13.48% | -16.67% | -27.28% | -35.42% | -19.84% | -69.27% |
| Net Income Growth % | 66.72% | 57.28% | 36.57% | 50.71% | 35.45% | -88.07% | 55.25% | - |
| Net Income (Continuing) | -9.18M | -11.72M | -27.42M | -43.23M | -87.72M | -135.9M | -72.26M | -161.47M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | -0.23 | -0.34 | -0.76 | -1.28 | -4.85 | -4.17 | -2.22 | -0.14 |
| EPS Growth % | 65.29% | 55.26% | 40.63% | 73.61% | -16.31% | -87.84% | -1485.71% | - |
| EPS (Basic) | - | -0.34 | -0.76 | -1.28 | -4.85 | -4.17 | -2.22 | -0.14 |
| Diluted Shares Outstanding | 40.09M | 39.05M | 37.04M | 34.8M | 33.08M | 17.14M | 10.75M | 11.8M |
| Basic Shares Outstanding | 40.09M | 39.05M | 37.04M | 34.8M | 33.08M | 17.14M | 10.75M | 11.8M |
| Dividend Payout Ratio | - | - | - | - | - | - | - | - |
Liquidity and revenue contraction
As indicated by recent financial filings, Grove Collaborative has experienced a sustained revenue decline, with the most recent quarter reporting a 16.8% year-over-year contraction to $36.2M, reflecting significant challenges in maintaining its legacy direct-to-consumer subscription base amidst a broader shift toward omnichannel retail distribution strategies.
The consistent double-digit revenue decay suggests that the company's core value proposition may be losing resonance with its primary customer demographic. Investors should monitor whether the transition to third-party retail channels can eventually offset the erosion of the high-margin subscription model or if this pivot merely accelerates the commoditization of the brand.
Based on reported income statements, Grove's operating expenses have failed to scale efficiently with revenue, as evidenced by a persistent negative operating margin of -2.7% in 2026Q1, despite the company's ongoing efforts to rationalize its cost structure and reduce its reliance on expensive direct-to-consumer marketing channels.
The inability to achieve positive operating income despite maintaining gross margins above 50% implies that the company's fixed overhead and fulfillment costs remain disproportionately high relative to its current revenue scale. This structural imbalance suggests that the business model may require a much larger revenue base than currently exists to reach a sustainable break-even point.
According to historical income statement data, Grove's cost structure remains heavily burdened by significant SG&A expenses, which totaled $18.9M in the most recent quarter, effectively consuming over 50% of total revenue and preventing the company from achieving meaningful profitability despite its relatively strong gross margin profile.
The company's expense discipline appears to be improving on a nominal basis, yet the high ratio of SG&A to revenue indicates that the cost of maintaining its proprietary logistics and customer acquisition infrastructure remains a primary drag on earnings. Further investigation into the sustainability of these fulfillment costs is warranted, particularly as the company shifts its sales mix toward lower-margin wholesale retail partners.
As reported in recent financial statements, the company's critically low cash position of $8.49M, combined with ongoing quarterly operating losses, suggests a heightened risk of near-term liquidity stress that may necessitate dilutive equity financing or emergency debt measures to sustain its current operational trajectory and strategic pivot.
While management has successfully expanded into physical retail, the current cash burn rate relative to the remaining balance leaves little room for execution errors or further market volatility. Investors should be wary that the company's survival may become increasingly dependent on external capital markets, which could significantly dilute existing shareholders if the revenue contraction is not arrested immediately.
Quick answers to the most common questions about buying GROV stock.
For fiscal year 2025, Grove Collaborative Holdings, Inc. (GROV) reported total revenue of $173.7M. This represents a 25.5% decline compared to $233.1M in 2019.
Grove Collaborative Holdings, Inc. (GROV) reported a net loss of $11.7M for the fiscal year ending 2025.
Grove Collaborative Holdings, Inc. (GROV) reported an operating income of $-8.1M, resulting in an operating profit margin of -4.7%. This margin reflects the operational efficiency of the business before interest and taxes.
Grove Collaborative Holdings, Inc. (GROV) generated $93.3M in gross profit for the year, representing a gross profit margin of 53.7%. This demonstrates the company's core pricing power and production efficiency.