Greenlane Renewables (GRN) Q1 2025 earnings summary

Executive summary

• Revenue reached CAD 7 million for Q1 2025, with a gross margin of 40% and a net loss of CAD 1 million.

• Adjusted EBITDA loss was CAD 1.1 million, reflecting ongoing investment in strategic initiatives.

• Sales order backlog stood at CAD 21.2 million as of March 31, 2025, with cash reserves of CAD 16.2 million and no debt.

• Strategic focus remains on profitable sales growth, next-gen landfill gas upgrading, biogas desulfurization, and improved core segment profitability.

• Strategy targets making renewable natural gas projects more accessible and scalable.

Financial highlights

• Q1 2025 revenue was CAD 7 million, with a gross margin of 40%, up from 26.5% in Q1 2024.

• Adjusted EBITDA loss of CAD 1.1 million in Q1 2025.

• Operating loss from continuing operations was CAD 1.4 million, versus CAD 1 million in Q1 2024.

• Net loss from continuing operations was CAD 1 million, compared to CAD 0.8 million in Q1 2024.

• Sales order backlog at CAD 21.2 million, with a strong cash position of CAD 16.2 million and no debt.

Outlook and guidance

• Optimistic outlook for the year, with expectations to improve Adjusted EBITDA results.

• CAD 3.3 million in royalty revenue from a technology licensing agreement to be recognized in Q2 2025, expected to positively impact EBITDA.

• Continued focus on converting backlog into profitable revenue and growing sales in the most profitable segments.

• Management expects to recognize deferred revenue from the ZEG Biogás licensing agreement in Q2 2025.

• Goal of achieving positive Adjusted EBITDA in 2025.