Agrify Corporation, a leading provider of innovative cultivation and extraction solutions for the cannabis industry, today announced financial results for the second quarter ended June 30, 2023 (“Q2 2023”).
“As described in our prior earnings release, the four key priorities for the Company are (1) restructuring our balance sheet, (2) reducing our costs and headcount, (3) improving our product offerings, and (4) getting our key products CE-certified for international markets,” said Raymond Chang, Chairman and Chief Executive Officer at Agrify. “In the second quarter, we continued to reduce our operating costs and headcount. Our total operating expenses were reduced by 31%, from $8.6 million in Q1 2023 to $5.9 million in Q2 2023. The total headcount has also been reduced by 55%, from 190 to 85 on June 30, 2023. As a result, our operating loss was reduced from $7.6 million in Q1 2023 to $5.3 million this quarter, a 30% sequential improvement, and net loss was reduced from $10.3 million in Q1, 2023 to $6.8 million this quarter, a 34% sequential improvement. We will continue to make focused reductions in costs and increase organizational efficiency in an effort to turn the business profitable in the shortest time possible.”
Second Quarter 2023 Financial Results Summary
- Revenue was $5.1 million for Q2 2023, compared to $19.3 million for Q2 2022.
- Gross profit for Q2 2023 was $0.6 million, compared to $1.6 million in Q2 2022.
- Operating expenses were $5.9 million for Q2 2023, compared to $93.1 million in Q2 2022. The decrease was largely due to a decrease in general and administrative costs and a decrease in impairment of goodwill and intangible assets.
- Operating loss for Q2 2023 was $5.3 million, compared to $91.5 million for Q2 2022.
- Net loss attributable to Agrify Corporation for Q2 2023 was $6.8 million, or $4.39 per basic and diluted shares, compared to $74.6 million, or $561.31 per basic and diluted shares for Q2 2022.
About Agrify
Agrify is a leading provider of innovative cultivation and extraction solutions for the cannabis industry, bringing data, science, and technology to the forefront of the market. Our proprietary micro-environment-controlled Vertical Farming Units(“VFUs”), enable cultivators to produce the highest quality products with unmatched consistency, yield, and ROI (return on investment) at scale. Our comprehensive extraction product line, which includes hydrocarbon, ethanol, solventless extraction, post-processing, and lab equipment, empowers producers to maximize the quantity and quality of extract required for premium concentrates. For more information, please visit our website at http://www.agrify.com.