GrowGeneration Q2 Sales Rise 5.5% YoY As Adjusted EBITDA Turns Positive

Cannabis ancillary company GrowGeneration Corp. (NASDAQ: GRWG) announced on Tuesday financial results for the second quarter of 2026, revealing that profitability is improving.

According to the company’s SEC filing, adjusted EBITDA moved from a $1.3 million loss in the second quarter of 2025 to a $0.3 million gain. That’s a year-over-year improvement of $1.6 million.

That said, the company raised its full-year 2026 adjusted EBITDA guidance. Now it’s expected to be $2 million to $3 million.

Darren Lampert, co-founder and CEO of one of the nation’s largest cannabis-focused suppliers of specialty products for controlled-environment agriculture (CEA), commercial cultivation, and garden centers, said GrowGen had a strong second quarter, with sales growing for the third quarter in a row, its own-brand products making up nearly 40% of sales, and costs and profitability improving.

“All of this contributed to GrowGen achieving positive Adjusted EBITDA for the second quarter,” Lampert said. “Our performance reflects the continued expansion of our commercial platform, the benefits of our streamlined cost structure, and disciplined execution against our strategic initiatives.”

Q2 2026 Financial Highlights

• Net sales increased 5.5% year-over-year to $43.2 million. That’s the third consecutive quarter of YoY revenue growth.
• Cultivation & Gardening increased roughly 6.1% year-over-year.
• Storage Solutions grew approximately 2.5% over the same period.
• Proprietary brands accounted for 39.7% of Cultivation & Gardening sales, up from 32% a year ago.
• Gross profit totaled $12.3 million, compared to gross profit of $11.6 million for the second quarter of 2025.
• Gross margin was 28.5%, compared to 28.3% in the last year’s period.
• Operating expenses amounted to $14.7 million, representing a 13.1% YoY decrease.
• GAAP net loss was $2 million compared to a $4.8 million net loss in the corresponding quarter of fiscal 2025.

GRWG Price Action

GrowGeneration’s shares rose 2.65% to $1.5295 per share in after-hours trading on Tuesday