1847 Holdings Reports 380% Revenue Growth to $12.8 Million in Q2 2025, Drives Gross Profit to $6.7 Million and Generates $973,606 in Positive Cash Flow from Continuing Operations.

1847 Holdings reported a 380% increase in revenue to $12.8 million in Q2 2025, with a 462% rise in gross profit to $6.7 million and a 756 basis point increase in gross margin to 52.2%. Net income from continuing operations improved by $26.6 million to $23.7 million. Revenue for the first half of 2025 increased 382% to $22.9 million, and the company generated $973,606 in positive cash flow from continuing operations. The company reaffirms 2025 guidance for net income of ~$1.3 million on revenue of over $45 million and projects 2026 net income of ~$5.0 million on revenue of more than $60 million.

1847 Holdings LLC (NYSE: EFSH) has delivered remarkable financial results for the second quarter of 2025, with revenue surging 380% to $12.8 million and gross profit increasing 462% to $6.7 million. The company's net income from continuing operations improved by $26.6 million to $23.7 million, driven primarily by the acquisition of CMD, which contributed $11.2 million to Q2 revenues [1].

The strong performance is reflected in the first half of 2025, where revenue grew 382% to $22.9 million, generating positive cash flow of $973,606 from continuing operations. The company has reaffirmed its 2025 guidance for net income of ~$1.3 million on revenue of over $45 million and projected 2026 net income of ~$5.0 million on revenue of more than $60 million [1].

Despite the impressive top-line growth, it is essential to consider the nuances of these results. The acquisition of CMD was the primary growth driver, indicating that the company's impressive growth is largely inorganic rather than from existing business improvements. The $23.7 million net income from continuing operations is substantially inflated by a $24.1 million non-cash gain from changes in warrant liability valuations. Excluding this accounting adjustment, operational performance would look considerably different [1].

The company's transition to the OTCID Basic Market following NYSE American delisting is also noteworthy. This transition typically results in reduced liquidity and institutional investment access. The company's forward guidance of $45 million in revenue with $1.3 million in net income for 2025 implies a net margin of just 2.9%, indicating significant room for efficiency improvements despite the impressive top-line growth [1].

In summary, 1847 Holdings reported exceptional Q2 2025 financial results, with significant margin improvement. However, investors should carefully analyze the company's performance, considering the impact of warrant-related gains and the implications of the NYSE American delisting and transition to the OTCID Basic Market.

References:
[1] https://www.stocktitan.net/news/EFSH/1847-holdings-reports-380-revenue-growth-to-12-8-million-in-q2-z4ru6pb4flhk.html