Edible Garden's Q2 2025 Earnings Call: Unpacking Contradictions in Growth Strategies and Market Positioning

Sports nutrition line - Kick growth and performance, private label growth strategy, strategic focus on core products and market expansion, private label growth and impact on revenue, and international expansion plans are the key contradictions discussed in Edible Garden AG Incorporated's latest 2025Q2 earnings call.



Revenue and Strategic Focus:
- Edible Garden AG reported revenue of $3.1 million for Q2 2025, down from $4.3 million the previous year.
- The decrease is primarily due to the strategic decision to exit the floral and lettuce categories, which accounted for approximately $740,000 of the difference.

Private Label Growth:
- Private label products saw a 19.1% year-over-year increase, contributing significantly to the company's revenue growth.
- This growth is driven by expanded retail programs and strong consumer demand for sustainably grown, CEA-produced herb products.

Core Produce and Innovation:
- The core produce category, particularly hydroponic basil, led with a 7.1% quarter-over-quarter growth.
- New product launches, such as the Kick Sports Nutrition line on Amazon, are driving e-commerce sales and digital marketing reach.

Acquisition and Operational Expansion:
- The acquisition of NaturalShrimp aquaculture in Iowa now operating as Edible Garden Prairie Hills expands R&D capabilities in aquaponics.
- This strategic move supports year-round climate control production, improves water treatment, and enhances distribution efficiency.