How did Mama's Creations' revenue and expenses trend in Q3 2025?

Mama's Creations experienced notable revenue growth in Q3 2025, but faced challenges in managing expenses and maintaining profitability.

1. **Revenue Trend**: The company's revenue increased by 25.7% in Q4 2025, reaching $33.6 million. This growth was driven by strategic initiatives such as securing new customers like Walmart, Albertsons, Costco, and Amazon Fresh, as well as significant product launches.
2. **Expense Trend**: Despite the revenue growth, Mama's Creations faced increased operating expenses, which rose by 22.1% in Q4 2025, reaching $7.2 million. This increase was primarily due to a 93% surge in marketing spend aimed at fueling future growth. However, the company managed to lower its total debt, reducing it from $8.7 million to $5.1 million over the fiscal year.
3. **Net Income**: The net income for Q4 2025 rose by 13.6% to $1.6 million, or $0.04 per share, up from $1.4 million in the same period the previous year. This improvement suggests that the company's operational efficiencies and strategic investments are beginning to yield positive results.
4. **Profit Margin**: The gross margin for Q4 2025 stood at 27.0%, indicating strategic improvements and enhanced operational efficiency. However, the full-year profit margin compressed from 29.4% to 24.8%, reflecting substantial margin pressure despite revenue gains.

In conclusion, Mama's Creations saw robust revenue growth in Q3 2025, but this was accompanied by increased expenses and a decline in profit margins. The company's strategic investments and operational efficiencies are starting to show positive results, as evidenced by the improved net income and gross margin in Q4 2025.