GRWG on Nasdaq

GrowGeneration Corp.

American retail-building materials company, incorporated in Colorado1

In its 2026 annual report the company says: “GrowGeneration is a leading developer, marketer, retailer, and distributor of products for both indoor and outdoor hydroponic and organic gardening. We are dedicated to providing best-in-class selection, service, and solutions to all types of cultivators.”3 It is headquartered in Greenwood Village, Colorado.1 Its shares trade on Nasdaq under the symbol GRWG.1

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Last updated Oct 21, 2026.

Overview

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  • TickerGRWG on Nasdaq1
  • IndustryRetail-Building Materials, Hardware, Garden Supply1
  • HeadquartersGreenwood Village, Colorado1
  • Incorporated inCO2
  • Business address5619 Dtc Parkway, Greenwood Village, Co 801112
  • Filer categoryNon-accelerated filer, Smaller reporting company2

GrowGeneration Corp. (together with all of its direct and indirect wholly owned subsidiaries, collectively "GrowGeneration" or the "Company") was incorporated in Colorado in 2014. Since then, GrowGeneration has grown from a small chain of specialty retail hydroponic and organic garden centers to a multifaceted business with diverse assets. Today, GrowGeneration operates two major lines of business: our Cultivation and Gardening segment, composed of our hydroponic and organic gardening business; and our Storage Solutions segment, composed of our benching, racking, and storage solutions business.3 From its latest annual report

Financials

From the company’s reports to the SEC. Every number links to the filing it came from.

Key numbers, fiscal 2025

26.8%Gross margin4
-15.8%Operating margin4
-14.9%Net margin4
-14.4%Revenue growth, 20254
-24.7%Return on equity4

What sells

Revenue by product, business segment and region, as the company reports it to the SEC.

Business segments

Cultivation and Gardening brought in 83% of the revenue GrowGeneration Corp. broke down this way in fiscal 2025.

  1. Cultivation and Gardening$134.2M483%down 18% from 2024
  2. Storage Solutions$27.5M417%up 8% from 2024
Business segments by year
Business segments202320242025
Cultivation and Gardening$194.5M$163.5M$134.2M
Storage Solutions$31.4M$25.4M$27.5M

Where the money goes

Where each dollar of revenue went, fiscal 2025

  • Selling, general and admin16¢$26.3M
  • Other costs84¢$135.3M
  • Income tax0¢$191.0K

Out of $161.7M in revenue.4 The company lost money this year.

Financial statements

Revenue56784$161.7M in 2025+103% since 2019
0$200.0M$400.0M$600.0M2019: $79.7M$79.7M20192020: $193.4M$193.4M2020+143%2021: $422.5M$422.5M2021+118%2022: $278.2M$278.2M2022−34%2023: $225.9M$225.9M2023−19%2024: $188.9M$188.9M2024−16%2025: $161.7M$161.7M2025−14%
Gross profit56784$43.3M in 2025+97% since 2019
0$50.0M$100.0M$150.0M2019: $22.0M$22.0M20192020: $51.0M$51.0M2020+132%2021: $118.2M$118.2M2021+132%2022: $70.3M$70.3M2022−41%2023: $61.3M$61.3M2023−13%2024: $43.7M$43.7M2024−29%2025: $43.3M$43.3M2025−1%
Operating income56784-$25.6M in 2025
-$200.0M-$150.0M-$100.0M-$50.0M0$50.0M2019: $1.6M$1.6M20192020: $8.4M$8.4M2020+433%2021: $15.0M$15.0M2021+78%2022: -$167.9M-$167.9M20222023: -$49.8M-$49.8M2023−70%2024: -$52.0M-$52.0M2024+4%2025: -$25.6M-$25.6M2025−51%
Net income56784-$24.0M in 2025
-$200.0M-$150.0M-$100.0M-$50.0M0$50.0M2019: $1.3M$1.3M20192020: $5.3M$5.3M2020+303%2021: $12.8M$12.8M2021+140%2022: -$163.7M-$163.7M20222023: -$46.5M-$46.5M2023−72%2024: -$49.5M-$49.5M2024+6%2025: -$24.0M-$24.0M2025−51%

Every line of the income statement as filed: the last 3 fiscal years, latest first.4

Period ending2025-12-312024-12-312023-12-31
Net sales$161.7M$188.9M$225.9M
Cost of sales (exclusive of depreciation and amortization shown below)$118.5M$145.1M$164.6M
Gross profit$43.3M$43.7M$61.3M
Store operations and other operational expenses$30.7M$40.2M$48.1M
Selling, general, and administrative$26.3M$29.2M$29.8M
Estimated credit losses (recoveries)$437.0K-$58.0K$955.0K
Depreciation and amortization$11.3M$19.4M$16.6M
Impairment loss$130.0K$6.9M$15.7M
Total operating expenses$68.9M$95.7M$111.1M
Loss from operations-$25.6M-$52.0M-$49.8M
Other (expense) income$0-$13.0K$781.0K
Interest income$1.7M$2.7M$2.7M
Interest expense$0-$70.0K-$97.0K
Total other income$1.7M$2.6M$3.4M
Net loss before taxes-$23.9M-$49.4M-$46.5M
Provision for income taxes-$191.0K-$158.0K-$32.0K
Net loss-$24.0M-$49.5M-$46.5M
Net loss per share, basic (in dollars per share)-$0.40-$0.82-$0.76
Net loss per share, diluted (in dollars per share)-$0.40-$0.82-$0.76
Weighted average shares outstanding, basic (in shares)59.7M shares60.2M shares61.2M shares
Weighted average shares outstanding, diluted (in shares)59.7M shares60.2M shares61.2M shares

Compare GrowGeneration Corp. with another company

Corporate structure

GrowGeneration Corp. sits at the top of its group. 1 entity, 1 country on record. Switch between the flow chart and the network, and select any entity to see its details.

Major holders of GrowGeneration Corp.

  • VANGUARD GROUP INC Filed SCHEDULE 13G/A on GrowGeneration Corp., latest Jul 29, 2025 (3 filings since Nov 4, 2024)
  • BlackRock Filed SCHEDULE 13G/A on GrowGeneration Corp., latest Jul 17, 2025 (4 filings since Feb 4, 2022)
  • AWM Investment Company, Inc. Filed SCHEDULE 13G on GrowGeneration Corp., latest May 9, 2025
  • AdvisorShares Trust Filed SC 13G/A on GrowGeneration Corp., latest Feb 14, 2023 (2 filings since Feb 14, 2022)
  • ETF MANAGERS GROUP, LLC Filed SC 13G/A on GrowGeneration Corp., latest Feb 14, 2023 (4 filings since Feb 14, 2022)
  • Gotham Green Partners LLC Filed SC 13G/A on GrowGeneration Corp., latest May 5, 2022
  • GrowGeneration Corp. Greenwood Village, Colorado

Built from major holders from Schedules 13D and 13G. Each entity in the chart links to its source.

What it owns

What GrowGeneration Corp. reports owning in its annual reports to the SEC: buildings, land and equipment, real estate and locations, investments, intangible assets and inventory, at the end of its latest fiscal year and a year before.

Property and equipment

ItemLatestA year beforeChange
Property and equipment, before depreciation$35.7M4 Dec 31, 2025$46.3M4 Dec 31, 2024−22.9%
Accumulated depreciation$25.9M4 Dec 31, 2025$30.8M4 Dec 31, 2024−15.9%
Property and equipment, net$9.8M4 Dec 31, 2025$15.5M4 Dec 31, 2024−36.8%
Operating-lease assets (leased space)$27.1M4 Dec 31, 2025$34.5M4 Dec 31, 2024−21.5%

Real estate and locations

ItemLatestA year beforeChange
Stores234 Dec 31, 2025318 Dec 31, 2024−25.8%

Investments

ItemLatestA year beforeChange
Cash and cash equivalents$30.4M4 Dec 31, 2025$27.5M4 Dec 31, 2024+10.7%
Marketable securities, current$15.7M4 Dec 31, 2025$29.0M4 Dec 31, 2024−46.0%

Intangibles and goodwill

ItemLatestA year beforeChange
Goodwill$2.1M4 Dec 31, 2025$1.6M4 Dec 31, 2024+29.6%
Intangible assets, net (excluding goodwill)$3.3M4 Dec 31, 2025$8.8M4 Dec 31, 2024−62.1%
Accumulated amortization$39.9M4 Dec 31, 2025$33.9M4 Dec 31, 2024+17.4%
Finite-lived intangibles, net$3.3M4 Dec 31, 2025$8.8M4 Dec 31, 2024−62.1%

Inventory

ItemLatestA year beforeChange
Inventory, total$38.8M4 Dec 31, 2025$40.3M4 Dec 31, 2024−3.8%
Raw materials$2.2M4 Dec 31, 2025$2.4M4 Dec 31, 2024−8.3%

Properties, in its own words

REAL ESTATE

Our real estate portfolio consists primarily of leased retail stores and related storage, warehouse and distribution centers, and offices located across the U.S. Our principal offices are located at 5619 DTC Parkway, Suite 900, Greenwood Village, CO 80111. In total, the Company utilizes 713,000 square feet of space, which primarily consists of 22,000 square feet of corporate office space, 286,000 square feet of warehouse and distribution center space, and 405,000 square feet of retail and related storage space. The table below summarizes our real estate portfolio by reporting segment and by state as of December 31, 2025.

The rest of Item 2

Cultivation and Gardening · Storage Solutions · Corporate · Total Locations

Alaska · 1 · — · — · 1

California · 6 · — · — · 6

Colorado · 2 · — · 1 · 3

Maine · 3 · — · — · 3

Michigan · 3 · — · — · 3

Missouri · 1 · — · — · 1

New York · — · 4 · — · 4

Ohio · 1 · — · — · 1

Oklahoma (1) · 3 · — · — · 3

Oregon · 2 · — · — · 2

Rhode Island · 1 · — · — · 1

Utah · — · 1 · — · 1

Washington · 2 · — · — · 2

Total Locations · 25 · 5 · 1 · 31

(1) The Company owns a retail location in Oklahoma.

Item 2 of the 10-K filed Mar 20, 2026.3

Leadership

Who has led GrowGeneration Corp., and when. Pick a name to see everywhere that person has worked.

Board members and other officers (10)

Former names

  • EasyLife, Corp.Apr 11, 2014 to Apr 11, 20142

Timeline

  1. Aug 11, 20268-K Regulation FD disclosure26
  2. Jun 22, 20268-K Shareholder vote27
  3. May 12, 20268-K Regulation FD disclosure28
  4. Mar 19, 20268-K Regulation FD disclosure29
  5. Dec 30, 20258-K Entered a material agreement; Executive or director change30
  6. Nov 6, 20258-K Regulation FD disclosure31
  7. Aug 11, 20258-K Regulation FD disclosure32
  8. Jul 14, 20258-K Change of auditor33
  9. Jun 20, 20258-K Shareholder vote34
  10. Jun 9, 20258-K Other events35
  11. May 8, 20258-K Regulation FD disclosure36
  12. Mar 13, 20258-K Regulation FD disclosure37
  13. Nov 27, 2019New chief executive Darren Lampert becomes CEO12

Calendar

Coming up

  1. Nov 5, 2026Reports results for the quarter ending Sep/2026 A year earlier it reported ($0.04) a share, on Nov 6, 2025.38

When it reported results

  1. Feb 6, 2025Reported quarterly or annual results39
  2. Jul 23, 2024Reported quarterly or annual results40

Upcoming dates from Nasdaq's calendar; past results from the company's 8-K filings (Item 2.02). The full markets calendar

Filings

191 filings to the SEC since October 2021: 5 annual reports, 15 quarterly reports, 67 major events, 73 insider forms, 15 large holders, 16 other. The latest 20:

  1. Sep 18, 20264 EDGAR
  2. Sep 17, 20264 EDGAR
  3. Sep 17, 20264 EDGAR
  4. Aug 11, 202610-Q EDGAR
  5. Aug 11, 20268-K EDGAR
  6. Jun 22, 20268-K EDGAR
  7. Jun 16, 20264 EDGAR
  8. Jun 16, 20264 EDGAR
  9. Jun 16, 20264 EDGAR
  10. May 19, 20264 EDGAR
  11. May 12, 202610-Q EDGAR
  12. May 12, 20268-K EDGAR
  13. Apr 28, 2026ARS EDGAR
  14. Apr 28, 2026DEF 14A EDGAR
  15. Mar 20, 202610-K EDGAR
  16. Mar 19, 20268-K EDGAR
  17. Dec 30, 20258-K EDGAR
  18. Dec 17, 20254 EDGAR
  19. Dec 17, 20254 EDGAR
  20. Dec 17, 20254 EDGAR

The 191 filings since October 2021 can be filtered by form type and year here when JavaScript is on.

Every filing from the last five years, summarized. The full record is on SEC EDGAR.

Insider trades

21 open-market trades by officers, directors and large owners since October 2021: 19 buys and 2 sales. Grants, option exercises and gifts are left out.

DateWhoTradeSharesPriceValueFiling
May 20, 2026ADAMS EULA LDirectorBuy4,000$1.67$6.7KForm 4
May 18, 2026Lampert DarrenCEOBuy64,098$1.55$99.4KForm 4
Nov 13, 2025Lampert DarrenCEOSale56,540$1.61$91.0KForm 4
Nov 12, 2025Lampert DarrenCEOSale70,280$1.74$122.3KForm 4
Sep 22, 2025Aiello StephenDirectorBuy133,334$1.66$221.3KForm 4
Mar 19, 2025Salaman MichaelPresidentBuy85,465$1.21$103.4KForm 4
Mar 19, 2025Lampert DarrenCEOBuy82,639$1.19$98.3KForm 4
Nov 19, 2024Salaman MichaelPresidentBuy58,476$1.74$101.7KForm 4
Nov 19, 2024Lampert DarrenCEOBuy57,467$1.75$100.6KForm 4
Aug 27, 2024ADAMS EULA LDirectorBuy25,000$2.02$50.5KForm 4
Aug 15, 2024Aiello StephenDirectorBuy48,916$2.03$99.3KForm 4
Aug 14, 2024Aiello StephenDirectorBuy51,084$1.91$97.6KForm 4
Aug 14, 2024Salaman MichaelPresidentBuy19,996$1.90$38.0KForm 4
Aug 14, 2024Lampert DarrenCEOBuy19,996$1.90$38.0KForm 4
Aug 13, 2024Salaman MichaelPresidentBuy85,301$1.88$160.4KForm 4
Aug 13, 2024Lampert DarrenCEOBuy85,300$1.88$160.4KForm 4
Nov 15, 2023Salaman MichaelPresidentBuy302,766$2.35$711.5KForm 4
Nov 15, 2023Lampert DarrenCEOBuy21,000$2.36$49.6KForm 4
Nov 14, 2023Salaman MichaelPresidentBuy127,234$2.15$273.6KForm 4
Nov 14, 2023Lampert DarrenCEOBuy175,000$2.11$369.2KForm 4

All 21 trades can be filtered by person here when JavaScript is on.

From Forms 4 filed with the SEC.

Major holders

Investors who own more than 5% of the shares must tell the SEC: a 13D if they may seek to influence the company, a 13G if they hold passively.

Executive pay

What the company paid its top executives, from the summary compensation table in its proxy statement. Total pay includes salary, bonus, stock and option awards and other pay, as the company valued them.

YearExecutiveAgeSalaryTotal pay
2025Darren Lampert65$492.9K$658.0K47
2025Michael Salaman63$492.6K$658.0K47
2025Gregory Sanders37$406.4K$654.1K47
2024Chief Executive Officer$500.0K$1.1M47
2024President$493.2K$1.1M47
2024Chief Financial Officer$359.7K$486.4K47

Held by these funds

The largest holders among investment managers' 13F reports for the quarter ending Jun 30, 2026, the top 25 of 89. Change is in shares since the quarter before.

FundSharesValueShare of the fundChange
AWM Investment Company, Inc.3,098,410$4.6M0.4%−282,374
Vanguard Capital Management LLC2,334,794$3.5M0.0%+8,130
Renaissance Technologies LLC1,368,636$2.0M0.0%−1,974
Monaco Asset Management SAM1,199,225$1.8M0.7%+25,000
BlackRock, Inc.1,160,213$1.7M0.0%+50,275
Millennium Management LLC856,653$1.3M0.0%−170,009
Geode Capital Management, LLC611,859$905.8K0.0%−50,462
MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd.584,967$865.8K0.0%+125,339
Tidal Investments LLC557,435$825.0K0.0%−88,398
D. E. Shaw & Co., Inc.514,602$761.6K0.0%+134,340
Jane Street Group, LLC398,530$589.8K0.0%+63,234
Primecap Management Co/ca/377,300$558.4K0.0%No change
Baader Bank Aktiengesellschaft365,000$540.2K0.0%No change
Vanguard Fiduciary Trust Co331,562$490.7K0.0%+2,226
UBS Group AG303,865$449.7K0.0%−15,027
Main Street Financial Solutions, LLC275,847$408.3K0.0%No change
State Street Corp263,240$389.6K0.0%No change
Chico Wealth RIA227,000$336.0K0.2%No change
Citadel Advisors LLC221,443$327.7K0.0%+204,215
LPL Financial LLC185,894$275.1K0.0%−8,431
Prentice Capital Management, LP172,204$254.9K0.5%−101,893
Dimensional Fund Advisors LP156,691$231.6K0.0%−50,058
Two Sigma Investments, LP148,751$220.2K0.0%+43,798
Savvy Advisors, Inc.137,572$203.6K0.0%No change
Northern Trust Corp127,742$189.1K0.0%−15,100

13F reports cover disclosed long positions in U.S. stocks only.

SEC filer profile

How GrowGeneration Corp. is registered with the Securities and Exchange Commission, from its EDGAR record and the cover page of its latest annual report.

  • Name on EDGARGrowGeneration Corp.1
  • CIK0001604868
  • Employer ID (EIN)46-50081293
  • Filer statusNon-accelerated filer not an emerging growth company; a smaller reporting company; not a shell company3
  • Incorporated inColorado3
  • Fiscal year endsDecember 311
  • Industry code (SIC)5200 Retail-Building Materials, Hardware, Garden Supply1
  • SEC reviewing officeOffice of Trade & Services, Division of Corporation Finance1
  • Business address5619 Dtc Parkway, Greenwood Village, CO 801111
  • Phone914-924-12351
  • Shares outstanding58,920,449 as of Aug 5, 202610
  • Public float$51.7M as of Jun 30, 20253
  • AuditorBDO USA, P.C., Denver, Colorado PCAOB ID 243; no auditor attestation of internal control over financial reporting3
  • On EDGAR sinceApr 11, 20141
  • Filings530 in all: 8-K (191), 4 (143), 10-Q (31), 3 (17), CORRESP (14), SC 13G/A (12), 424B3 (11), 10-K (10)1
    All 37 form types

    D (10), UPLOAD (10), EFFECT (9), 144 (8), POS AM (8), 8-K/A (7), DEF 14A (7), S-1/A (6), SC 13G (6), ARS (3), S-8 (3), 144/A (2), 424B5 (2), NT 10-Q (2), S-1 (2), S-8 POS (2), SCHEDULE 13G/A (2), 10-K/A (1), 3/A (1), 4/A (1), 424B4 (1), 8-A12B (1), CERT (1), D/A (1), DEFA14A (1), NT 10-K (1), S-1MEF (1), S-3ASR (1), SCHEDULE 13G (1)

  • Latest filingsAnnual report (10-K) Mar 20, 2026
    Quarterly report (10-Q) Aug 11, 2026
    Proxy statement (DEF 14A) Apr 28, 2026
    Latest 8-K (8-K) Aug 11, 2026

Securities registered for trading

ClassSymbolExchange
Common Stock, par value $0.001 per shareGRWGThe NASDAQ Stock Market LLC

From the cover page of the 10-K filed Mar 20, 2026 (Section 12(b) of the Exchange Act).3

Risk factors and legal proceedings

The risks GrowGeneration Corp. names in Item 1A of its 10-K filed Mar 20, 2026: 39 risks under these headings, as written.3

  • RISKS RELATING TO OUR BUSINESS
  • We face competition that could prohibit us from developing or increasing our customer base.
  • If we underestimate or overestimate demand for our products and do not maintain appropriate inventory levels, our net sales, working capital, or profitability could be negatively impacted.
  • We may not successfully develop new products or improve existing products, or successfully manage various risks that we may be exposed to in connection with our proprietary brand offerings.
  • A significant interruption in the operation of our or our suppliers’ facilities could impact our capacity to produce products and service our customers, which could adversely affect revenues and earnings.
  • Disruptions in availability or prices of materials sourced by suppliers could adversely affect our results of operations.
  • Economic conditions could adversely affect our business.
  • Changes to trade policies, including additional or potential tariffs, or a global trade war could increase the cost of our products, which could adversely impact the competitiveness of our products and our financial results.
  • Our operations may be impaired if our information technology systems, or those of our third-party vendors, fail to perform adequately, or if we or our third-party vendors are the subject of a data breach or cyber-attack.
  • Acquisitions, strategic alliances, and other investments could result in operating difficulties, dilution, and other consequences that may adversely impact our business and results of operations.
  • If we are unable to hire and retain employees, we may not be able to implement our business plan and our business may be materially adversely affected.
  • Our products may be purchased for use in new and emerging industries subject to varying, inconsistent, and rapidly changing laws, regulations, administrative practices, enforcement, judicial interpretations, and consumer perceptions.
The other 28 risks
  • Litigation may adversely affect our business, financial condition, and results of operations.
  • Third parties may initiate legal proceedings alleging that we are infringing their intellectual property rights, the outcome of which could have a material adverse effect on our business, financial condition, or results of operations.
  • If our owned or in-licensed trademarks and trade names are not adequately protected, then we may not be able to build name recognition in our markets of interest and our business may be adversely affected.
  • Compliance with, or violation of, environmental, health, and safety laws and regulations, including laws pertaining to the use of pesticides, could result in significant costs that adversely impact our reputation, businesses, financial position, results of operations, and cash flows.
  • If product liability lawsuits are brought against us, we may incur substantial liabilities.
  • Our insurance coverage may not be sufficient to avoid material impact on our financial position or results of operations resulting from liabilities against us, and we may not be able to obtain insurance coverage in the future.
  • Cost-cutting measures could be insufficient to drive profitability and could have unanticipated negative consequences, including hindering strategic initiatives and future growth of our business.
  • We are subject to collection risk that can impact the results of our operations.
  • If we do not maintain effective internal control over financial reporting, the accuracy and timing of our financial reporting may be adversely affected, along with investor confidence in our company and, as a result, the value of our common stock.
  • We may be required to record impairment charges against the carrying value of our goodwill and other intangible assets in the future.
  • The estimates and judgments we make, or the assumptions on which we rely, in preparing our consolidated financial statements could prove inaccurate.
  • We occupy many of our facilities under long-term, non-cancellable leases, and we may be unable to renew our leases at the end of their terms.
  • Public health emergencies and efforts to mitigate their impact may adversely affect our business, liquidity, results of operations, and financial condition and the price of our securities.
  • If we need additional capital to fund our operations, we may not be able to obtain sufficient capital and may be forced to limit the scope of our operations.
  • Ongoing and future armed conflicts could create or exacerbate certain risks we face to our business, financial condition, and results of operations.
  • Damage to our reputation could have an adverse effect on our business.
  • Climate change and other environmental issues could adversely affect our brands, business, results of operations, and financial condition.
  • Unanticipated changes in our tax provisions, the adoption of new tax legislation or exposure to additional tax liabilities could affect our profitability and cash flows.
  • RISKS RELATING TO THE CANNABIS INDUSTRY
  • We are subject to a number of risks associated with the cannabis industry because cannabis is illegal under federal law.
  • Our growth to a certain extent is dependent on the U.S. cannabis market. In the past, California regulations caused licensing shortages and future regulations may create other limitations that decrease the demand for our products. State level regulations adopted in the future may adversely impact our business. Supply and demand and prevailing prices for cannabis may also adversely impact our business.
  • Participants in the cannabis industry have difficulty accessing the service of banks, which makes it difficult for us to operate.
  • If cannabis were to become legal under federal law, its sale and use could become regulated by the Food and Drug Administration ("FDA") or another federal agency, which could result in a decrease in cannabis sales and have a material adverse impact on the demand for our products.
  • RISKS RELATING TO OUR COMMON STOCK
  • There are risks, including stock market volatility, inherent in owning our common stock.
  • We may incur indebtedness that ranks senior or equally to our common stock as to liquidation preference and other rights and that may dilute our stockholders’ ownership interest.
  • Our security holders may be diluted by future issuances of securities by us. The market price of our common stock could be negatively affected by future sales of our common stock.
  • We do not intend to pay dividends for the foreseeable future and, as a result, investor's ability to achieve a return on their investment will depend on appreciation in the price of our common stock.
  • If securities or industry analysts do not publish research or reports about our business, or they publish negative reports about our business, our share price and trading volume could decline.
  • If we fail to meet the continued listing standards of Nasdaq, our common stock may be delisted, which may adversely affect the market price and liquidity of our common stock.

Legal proceedings

From time to time, we have been and may again become involved in legal proceedings arising in the ordinary course of our business, including the initiation and defense of proceedings related to contract and employment disputes. Due to the unpredictable nature of litigation, the outcome of a litigation matter and the amount or range of potential loss at particular points in time is normally difficult to ascertain.

During the year ended December 31, 2025, the Company was engaged in two ongoing legal matters related to a California employment class action dispute and a vendor contract dispute, resulting in a loss contingency accrual of $1.1 million.

In December 2021, the Company was sued in the U.S. District Court for the Southern District of Texas related to a Promissory Note & Asset Acquisition Rights Option ("Note & Option") with TGC Systems, LLC ("Total Grow"). The case was dismissed and the parties submitted the matter to arbitration pursuant to the arbitration clause of the Note & Option. Among other claims, Total Grow alleged that the Company was liable to Total Grow for failing to consummate the acquisition of Total Grow by the Company. The Company asserted counterclaims for repayment of $1.5 million in principal loaned by the Company to Total Grow pursuant to the Note & Option, plus interest and certain costs. In July 2023, the arbitrator rendered an arbitration award denying all of Total Grow's claims and defenses and awarding the Company more than $2.0 million in total, consisting of principal, interest, and certain costs. Total Grow voluntarily filed for bankruptcy in October 2023. In February 2024, the Company received $0.3 million from the bankruptcy proceedings, which was recorded as a recovery on the $1.5 million Note & Option. The remainder of the Note & Option, which were fully reserved, were written off during the year ended December 31, 2024.

The opening of Item 3, Legal Proceedings.3

Sources

The numbers on this page point here. Each one links to the record it came from.

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  35. 35
    SEC EDGAROther events
  36. 36
  37. 37
  38. 38
  39. 39
  40. 40
  41. 41
  42. 42
  43. 43
  44. 44
  45. 45
  46. 46
  47. 47