Sadot Group 2025 Q3 Earnings Record Net Loss of $15.2M Amid Sharp Revenue Decline

Sadot Group (NASDAQ:SDOT) reported a dramatic 99.9% year-over-year revenue decline to $272,000 in Q3 2025, alongside a net loss of $15.2 million, reflecting severe operational challenges. The company’s performance missed expectations, with no guidance adjustments provided. Strategic shifts, including asset monetization and a new Indonesian carbon project, are now central to its roadmap.

Revenue

Sadot Group’s total revenue plummeted to $272,000 in Q3 2025, a 99.9% drop from $200.91 million in the same period of 2024. Commodity sales accounted for the entirety of the $272,000 in revenue, while other revenue streams contributed an additional $17,000. This stark contraction highlights the company’s struggles in maintaining core trading operations, particularly within its primary Sadot LLC unit.

Earnings/Net Income

The company swung to a net loss of $15.2 million in Q3 2025, representing a 1495.1% deterioration from the $1.09 million net income in 2024 Q3. Earnings per share (EPS) fell to a loss of $17.42, a 805.3% negative change from the prior year’s $2.47 profit. This represents one of the most severe earnings reversals in the company’s history, underscoring acute liquidity and operational pressures.

Post-Earnings Price Action Review

Following the earnings report, Sadot Group’s stock price fell 2.53% on the latest trading day, 29.76% for the week, and 40.78% month-to-date. The sharp selloff reflects investor concern over the company’s financial stability and lack of near-term revenue visibility. Rhea-AI’s sentiment analysis flagged the news as highly negative, with no immediate catalysts identified to reverse the downward trend. Analysts note that the stock’s performance aligns with broader market skepticism about the company’s ability to execute its strategic initiatives, including asset sales and cost-cutting measures.

CEO Commentary

CEO Chagay Ravid attributed the Q3 challenges to uncollectible receivables in Sadot LLC, which constrained commodity-based credit trading. He emphasized cost-cutting and asset monetization, including the sale of the restaurant unit, to address liquidity. The new Board of Directors is reviewing the agri-food supply chain strategy amid geopolitical and climate risks, prioritizing operational efficiency over expansion.

Guidance

Sadot Group expects to advance its Indonesian carbon project, targeting 1.1–1.2 million carbon credits in the first issuance cycle. Strategic reviews of the agri-food supply chain are ongoing, but the company provided no specific timelines or financial targets. The Board is assessing alignment with the company’s risk profile and leveraging credit facilities, though forward-looking statements exclude operational guidance beyond these strategic initiatives.

Additional News

1. Reverse Stock Split: On September 15, 2025, Sadot executed a 1-for-10 reverse stock split to regain Nasdaq compliance, reducing shares from 9.9 million to 1.0 million.

2. Public Offering: On October 16, 2025, the company priced a $538,600 public offering to fund general operations and debt repayment.

3. Africa Agri-Commerce Partnership: In August 2025, Sadot partnered with MOTI to digitize agricultural commerce across Africa, leveraging Vodacom’s network to connect farmers with markets.

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