GrowGeneration Corp., through its subsidiaries, operates as a developer, marketer, retailer, and distributor of products for both indoor and outdoor hydroponic and ...
GrowGeneration Corp. operates as a developer, marketer, retailer, and distributor of products for indoor and outdoor hydroponic and organic gardening in the United States. Founded in 2008 and headquartered in Greenwood Village, Colorado, the company has grown to become the nation's largest specialty hydroponic supplier, with over 60 retail locations ...GrowGeneration Corp. operates as a developer, marketer, retailer, and distributor of products for indoor and outdoor hydroponic and organic gardening in the United States. Founded in 2008 and headquartered in Greenwood Village, Colorado, the company has grown to become the nation's largest specialty hydroponic supplier, with over 60 retail locations and a robust e-commerce platform. The company operates in two segments: Cultivation and Gardening, and Storage Solutions. The Cultivation and Gardening segment offers a comprehensive range of products including nutrients, additives, growing media, lighting, environmental control systems, and other supplies for both commercial and hobbyist growers. It markets these products under its own proprietary brands such as Charcoir, Drip Hydro, Power Si, Ion lights, The Harvest Company, and Viagrow, as well as through strategic partnerships with leading industry brands. The Storage Solutions segment, under the Mobile Media or MMI brand, provides customized high-density mobile storage systems, static shelving, and other accessories for various markets including agriculture, retail, warehousing, and hospitality. GrowGeneration also provides services such as site surveys, floor plan designs, capacity analysis, and installation. Financially, the company has faced challenges in recent years, with a market cap of approximately $89.5 million, negative profitability margins, and a price-to-earnings ratio of -5.3. However, it maintains a strong balance sheet with a current ratio of 3.89 and a debt-to-equity ratio of 0.29. Under the leadership of CEO and co-founder Darren Lampert, who has been at the helm since 2014, the company continues to innovate with new product launches and expansion of its online platform. With 248 full-time employees, GrowGeneration aims to provide exceptional selection, service, and solutions to its customers.
YoYYoY means Year-over-Year. It compares the latest annual value with the previous annual value to show long-term trend strength.
QoQQoQ means Quarter-over-Quarter. It compares the latest quarter with the immediately previous quarter to show short-term momentum changes.
RevenueThe total money that came through the front door from selling things, before paying a single bill. Think of it as the grand total of every credit card swipe from customers. (YoY compares this year to last year's performance, while QoQ compares the current three months to the previous three).
$161.7M
-14.4%
+12.6%
Net IncomeThe absolute bottom line. If the company paid every single supplier, employee, banker, and tax collector, this is the actual money left in their pocket at the end of the day.
$-24.0M
+51.4%
+59.1%
Gross MarginThe basic markup. If they sell a $100 pair of sneakers, this percentage tells you how much of that price tag is profit right after paying for the rubber and shoelaces, but before paying for things like store rent or TV commercials.
+19.8%
-14.6%
+34.6%
Operating MarginThe 'day job' efficiency score. Out of every dollar a customer spends, this shows how many cents the company keeps after making the product AND paying for all the everyday corporate overhead (like salaries, marketing, and keeping the lights on).
-15.0%
+45.4%
+60.5%
Net MarginThe final take-home percentage. When you strip away every conceivable cost, tax, and interest payment, this is the exact number of cents the company truly gets to keep from every dollar in sales.
-14.9%
+43.3%
+63.7%
Free Cash FlowThe holy grail of corporate cash. It's the spendable, physical money left over after the business pays for its daily operations AND buys the big, expensive upgrades (like new factories or servers) it needs to survive. This is the 'free' money they can use to pay dividends or buy back stock.
$-10.0M
-164.3%
+114.5%
FCF MarginThe ultimate cash conversion rate. It shows how good the company is at turning regular sales directly into cold, hard, spendable cash. A high percentage means the business is an absolute cash-printing machine.
-6.2%
-208.6%
+112.9%
Debt / EquityThe financial risk gauge. It compares how much of the company's empire was built using borrowed money (loans) versus the owners' own money (shareholders). A high number means they are heavily leveraged and playing a riskier game; a low number means they are playing it safe.
30.2%
-2.0%
-2.1%
Current RatioThe 12-month survival check. It simply compares the cash they have right now (plus things they can quickly turn into cash) against the immediate bills they absolutely must pay this year. A score above 1 means they have enough in the wallet to cover the upcoming bills without panicking.
3.99x
-14.4%
-4.0%
Total AssetsThe absolute size of the company's empire. It bundles together absolutely everything of value they own—from the cash in the register and the inventory in the warehouse, to the software patents in the vault and the factories on the ground.
Operator: Hello, everyone, and welcome to GrowGeneration. Second Quarter 26 Earnings Conference Call. My name is Melissa, and I will be your operator for today's call. At this time, participants are in a listen only mode. Following prepared remarks, we will open the call to questions from analysts with instructions will be given at that time. This conference call is being recorded and a replay of today's call will be available on the Investor Relations section of GrowGeneration's website. I will now hand the call over to Phil Carlson, with KCSA Strategic Communications for introduction and the reading of the safe harbor statement. Please go ahead, sir.
Phil Carlson: Thank you, operator, and welcome, everyone, to GrowGeneration's Second Quarter 26 Earnings Results Conference Call. With us today from GrowGeneration are Darren Lampert, Co-Founder and Chief Executive Officer and Gregory Sanders, Chief Financial Officer. Company's second quarter 26 earnings press release was issued after close of market today. A copy of this press release is available on the Investor Relations section of the GrowGeneration website at ir.growgeneration.com. I would like to remind everyone that certain comments made on this call include forward looking statements which are subject to the safe harbor provisions of the Private Securities Litigation Reform Act of 2000. These forward looking statements are based on management's current expectations and beliefs concerning future events, and are subject to several risks and uncertainties that could cause actual results to differ materially from those described in these forward looking statements. Please refer to today's press release and other filings with the SEC for a detailed discussion of the risks that could cause actual results to differ materially from those expressed or implied in any of the forward looking statements made today. During the call, we will use some non-GAAP financial measures as we describe business performance. The SEC filing as well as the earnings press release, which provide reconciliations of non-GAAP financial measures to the most directly comparable GAAP measures are all available on our website. Following the prepared remarks, management will be happy to take your questions. We ask that you please limit yourself to 1 question and 1 follow-up. If you have additional questions, please reenter the queue, and we will take them as time allows. Now I will hand the call over to GrowGeneration's Co-Founder and CEO, Darren Lampert. Darren? Please go ahead.
Darren Lampert: Thanks, Phil. And good afternoon, everyone. Thank you for joining us to review GrowGeneration's second quarter 26 financial results. And to discuss our outlook for the rest of 2026. I am pleased to report that our sales momentum in early 26 continued into the second quarter. This marks our third consecutive quarter of year over year revenue growth. Following the actions we have taken over the past few years, as part of our larger …