Charlottes Web Financials
This page shows Charlottes Web (CWBHF) financial statements, including the income statement, balance sheet, cash flow statement, and key financial ratios. View 6 years of annual fundamentals and quarterly data, with year-over-year growth rates and compound annual growth rates (CAGR). All figures are derived from SEC filings (10-K and 10-Q reports).
Charlotte's Web's recent results show a cost-cutting reset more than a sales recovery, with losses easing on flat demand.
With revenue essentially unchanged, the EBITDA loss narrowed to-$13.9M from-$22.0M as gross margin held and SG&A fell, showing the latest improvement came from a cost reset rather than revived demand. But cash ended at$8.0M against operating cash use of-$14.1M , so the business is spending less without yet funding itself internally.
The balance sheet now carries negative equity, yet short-term obligations are not the immediate pressure point because current liabilities are only
Gross margin rebounded from its trough to
Financial Health Signals
Based on FY2025 annual data, averaged across the last 3 years for performance metrics (most-recent year weighted highest). How this score is calculated →
Health score ≠ stock price. This rates the quality of Charlottes Web's business: profitability, growth, balance sheet strength. It doesn't tell you whether the stock is a good buy at today's price. Not financial advice. Use it alongside valuation analysis and your own research.
Charlottes Web has an operating margin of -40.6%, meaning the company retains $-41 of operating profit per $100 of revenue. This below-average margin results in a low score of 0/100, suggesting thin profitability after operating expenses. This is up from -64.4% the prior year.
Charlottes Web's revenue grew a modest 0.5% year-over-year to $49.9M. This slow but positive growth earns a score of 15/100.
Charlottes Web has a moderate D/E ratio of -37.92. This balance of debt and equity financing earns a leverage score of 37/100.
With a current ratio of 3.51, Charlottes Web holds $3.51 in current assets for every $1 of short-term obligations. This comfortable liquidity earns a score of 68/100.
While Charlottes Web generated -$14.1M in operating cash flow, capex of $549K consumed most of it, leaving -$14.7M in free cash flow. This results in a low score of 0/100, reflecting heavy capital investment rather than weak cash generation.
Charlottes Web passes 4 of 9 financial strength tests. 1 of 4 profitability signals pass, 1 of 3 leverage/liquidity signals pass, both operating efficiency signals pass.
For every $1 of reported earnings, Charlottes Web generates $0.47 in operating cash flow (-$14.1M OCF vs -$29.7M net income). This low ratio suggests earnings are primarily driven by accounting accruals rather than cash generation, which may not be sustainable.
Key Financial Metrics
Earnings & Revenue
Charlottes Web generated $49.9M in revenue in fiscal year 2025. This represents an increase of 0.5% from the prior year.
Charlottes Web's EBITDA was -$13.9M in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization. This represents an increase of 36.6% from the prior year.
Charlottes Web reported -$29.7M in net income in fiscal year 2025. This represents an increase of 0.4% from the prior year.
Charlottes Web earned $-0.19 per diluted share (EPS) in fiscal year 2025. This represents an increase of 0.0% from the prior year.
Cash & Balance Sheet
Charlottes Web generated -$14.7M in free cash flow in fiscal year 2025, representing cash available after capex. This represents an increase of 41.6% from the prior year.
Charlottes Web held $8.0M in cash against $0 in long-term debt as of fiscal year 2025.
Charlottes Web had 159M shares outstanding in fiscal year 2025. This represents an increase of 0.9% from the prior year.
Margins & Returns
Charlottes Web's gross margin was 43.5% in fiscal year 2025, indicating the percentage of revenue retained after direct costs. This is up 0.7 percentage points from the prior year.
Charlottes Web's operating margin was -40.6% in fiscal year 2025, reflecting core business profitability. This is up 23.8 percentage points from the prior year.
Charlottes Web's net profit margin was -59.6% in fiscal year 2025, showing the share of revenue converted to profit. This is up 0.5 percentage points from the prior year.
Capital Allocation
Charlottes Web invested $1.8M in research and development in fiscal year 2025. This represents a decrease of 22.6% from the prior year.
Charlottes Web invested $549K in capex in fiscal year 2025, funding long-term assets and infrastructure. This represents a decrease of 85.7% from the prior year.
CWBHF Income Statement
| Metric | Q1'26 | Q4'25 | Q3'25 | Q2'25 | Q1'25 | Q4'24 | Q3'24 | Q2'24 |
|---|---|---|---|---|---|---|---|---|
| Revenue | $11.2M-16.3% | $13.3M+15.8% | $11.5M-10.2% | $12.8M+4.4% | $12.3M-3.2% | $12.7M+0.6% | $12.6M+2.4% | $12.3M |
| Cost of Revenue | $6.0M-28.5% | $8.3M+18.5% | $7.0M+3.1% | $6.8M+13.0% | $6.0M-20.3% | $7.6M+28.1% | $5.9M-39.1% | $9.7M |
| Gross Profit | $5.2M+4.0% | $5.0M+11.7% | $4.5M-25.3% | $6.0M-3.9% | $6.2M+22.3% | $5.1M-23.7% | $6.7M+158.4% | $2.6M |
| R&D Expenses | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| SG&A Expenses | $9.5M-10.1% | $10.6M+8.9% | $9.7M-3.3% | $10.1M-13.1% | $11.6M+9.8% | $10.5M-16.9% | $12.7M-13.8% | $14.7M |
| Operating Income | -$4.3M+22.7% | -$5.6M-6.5% | -$5.3M-29.0% | -$4.1M+23.9% | -$5.3M+1.9% | -$5.5M+9.4% | -$6.0M+50.4% | -$12.1M |
| Interest Expense | $1.4M | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Income Tax | -$3K+90.0% | -$30K+16.7% | -$36K-1700.0% | -$2K | $0+100.0% | -$23K | $0-100.0% | $46K |
| Net Income | -$13.1M-14.8% | -$11.4M-96.3% | -$5.8M+7.5% | -$6.3M-1.2% | -$6.2M-84.4% | -$3.4M+41.8% | -$5.8M+47.7% | -$11.1M |
| EPS (Diluted) | $-0.08 | N/A | $-0.040.0% | $-0.040.0% | $-0.04 | N/A | $-0.04+42.9% | $-0.07 |
CWBHF Balance Sheet
| Metric | Q1'26 | Q4'25 | Q3'25 | Q2'25 | Q1'25 | Q4'24 | Q3'24 | Q2'24 |
|---|---|---|---|---|---|---|---|---|
| Total Assets | $70.7M-6.1% | $75.3M-7.8% | $81.6M-7.2% | $88.0M-18.6% | $108.0M-4.8% | $113.4M-5.2% | $119.6M-7.8% | $129.8M |
| Current Assets | $27.1M-10.7% | $30.4M-11.9% | $34.5M-13.2% | $39.7M-9.8% | $44.0M-6.3% | $47.0M-6.0% | $50.0M-12.2% | $56.9M |
| Cash & Equivalents | $5.2M-35.3% | $8.0M-18.1% | $9.8M-35.7% | $15.3M-21.1% | $19.4M-14.4% | $22.6M-8.1% | $24.6M-24.3% | $32.5M |
| Inventory | $17.2M-4.7% | $18.0M-9.1% | $19.8M+2.2% | $19.4M+2.5% | $18.9M0.0% | $18.9M-3.2% | $19.5M+4.6% | $18.7M |
| Accounts Receivable | $1.4M+73.9% | $811K-25.7% | $1.1M-45.4% | $2.0M+30.6% | $1.5M+21.2% | $1.3M-21.3% | $1.6M-14.1% | $1.9M |
| Goodwill | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Total Liabilities | $85.7M+10.9% | $77.3M+6.9% | $72.4M-1.0% | $73.0M-16.0% | $87.0M+0.7% | $86.4M-3.4% | $89.4M-4.9% | $94.0M |
| Current Liabilities | $8.1M-6.5% | $8.7M-2.4% | $8.9M-14.4% | $10.4M-43.9% | $18.5M+16.0% | $15.9M-3.3% | $16.5M-10.7% | $18.5M |
| Long-Term Debt | $51.5M | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Total Equity | -$15.0M-637.7% | -$2.0M-122.1% | $9.2M-38.1% | $14.9M-29.1% | $21.1M-22.2% | $27.1M-10.4% | $30.2M-15.6% | $35.8M |
| Retained Earnings | -$344.4M-4.0% | -$331.3M-3.6% | -$319.9M-1.9% | -$314.1M-2.0% | -$307.8M-2.1% | -$301.6M-1.1% | -$298.2M-2.0% | -$292.4M |
CWBHF Cash Flow Statement
| Metric | Q1'26 | Q4'25 | Q3'25 | Q2'25 | Q1'25 | Q4'24 | Q3'24 | Q2'24 |
|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | -$2.8M-48.2% | -$1.9M+65.7% | -$5.5M-35.9% | -$4.0M-45.2% | -$2.8M-54.5% | -$1.8M+76.4% | -$7.6M-61.3% | -$4.7M |
| Capital Expenditures | $21K+120.8% | -$101K-4950.0% | -$2K-101.5% | $131K-74.9% | $521K+136.8% | $220K-30.2% | $315K-74.9% | $1.3M |
| Free Cash Flow | -$2.8M-41.7% | -$2.0M+63.8% | -$5.5M-31.6% | -$4.1M-26.1% | -$3.3M-63.5% | -$2.0M+74.5% | -$7.9M-32.6% | -$6.0M |
| Investing Cash Flow | -$17K-114.7% | $116K+954.5% | $11K+123.9% | -$46K+90.7% | -$493K-149.0% | -$198K+36.1% | -$310K+75.3% | -$1.3M |
| Financing Cash Flow | -$41K-156.3% | -$16K-77.8% | -$9K+64.0% | -$25K | $0+100.0% | -$12K+20.0% | -$15K+25.0% | -$20K |
| Dividends Paid | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Share Buybacks | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
CWBHF Financial Ratios
| Metric | Q1'26 | Q4'25 | Q3'25 | Q2'25 | Q1'25 | Q4'24 | Q3'24 | Q2'24 |
|---|---|---|---|---|---|---|---|---|
| Gross Margin | 46.6%+9.1pp | 37.5%-1.4pp | 38.9%-7.9pp | 46.8%-4.0pp | 50.8%+10.6pp | 40.2%-12.8pp | 53.0%+32.0pp | 21.0% |
| Operating Margin | -38.8%+3.2pp | -42.0%+3.7pp | -45.7%-13.9pp | -31.8%+11.8pp | -43.6%-0.6pp | -43.0%+4.8pp | -47.8%+51.0pp | -98.8% |
| Net Margin | -117.5%-31.8pp | -85.7%-35.1pp | -50.6%-1.5pp | -49.1%+1.6pp | -50.7%-24.1pp | -26.6%+19.4pp | -46.0%+44.0pp | -90.0% |
| Return on Equity | N/A | N/A | -62.9%-20.8pp | -42.1%-12.6pp | -29.5%-17.1pp | -12.4%+6.7pp | -19.1%+11.7pp | -30.9% |
| Return on Assets | -18.6%-3.4pp | -15.2%-8.0pp | -7.1%+0.0pp | -7.1%-1.4pp | -5.8%-2.8pp | -3.0%+1.9pp | -4.8%+3.7pp | -8.5% |
| Current Ratio | 3.35-0.2 | 3.51-0.4 | 3.88+0.1 | 3.83+1.5 | 2.38-0.6 | 2.95-0.1 | 3.03-0.0 | 3.08 |
| Debt-to-Equity | -5.70+32.2 | -37.92-45.7 | 7.82+2.9 | 4.89+0.8 | 4.13+0.9 | 3.19+0.2 | 2.96+0.3 | 2.62 |
| FCF Margin | -25.1%-10.3pp | -14.8%+32.6pp | -47.5%-15.1pp | -32.4%-5.6pp | -26.8%-10.9pp | -15.9%+46.9pp | -62.8%-14.3pp | -48.5% |
Note: Shareholder equity is negative (-$2.0M), which causes debt-to-equity and return on equity ratios to appear negative or not meaningful. This can occur from accumulated losses or large share buyback programs.
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Frequently Asked Questions
What is Charlottes Web's annual revenue?
Charlottes Web (CWBHF) reported $49.9M in total revenue for fiscal year 2025. This represents a 0.5% change compared to the previous fiscal year. Revenue measures the total income earned from the company's primary business operations before any expenses are deducted.
How fast is Charlottes Web's revenue growing?
Charlottes Web (CWBHF) revenue grew by 0.5% year-over-year, from $49.7M to $49.9M in fiscal year 2025.
Is Charlottes Web profitable?
No, Charlottes Web (CWBHF) reported a net income of -$29.7M in fiscal year 2025, with a net profit margin of -59.6%.
What is Charlottes Web's EBITDA?
Charlottes Web (CWBHF) had EBITDA of -$13.9M in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization.
What is Charlottes Web's gross margin?
Charlottes Web (CWBHF) had a gross margin of 43.5% in fiscal year 2025, indicating the percentage of revenue retained after direct costs of goods sold.
What is Charlottes Web's operating margin?
Charlottes Web (CWBHF) had an operating margin of -40.6% in fiscal year 2025, reflecting the profitability of core business operations before interest and taxes.
What is Charlottes Web's net profit margin?
Charlottes Web (CWBHF) had a net profit margin of -59.6% in fiscal year 2025, representing the share of revenue converted into profit after all expenses.
What is Charlottes Web's free cash flow?
Charlottes Web (CWBHF) generated -$14.7M in free cash flow during fiscal year 2025. This represents a 41.6% change compared to the previous fiscal year. Free cash flow represents the cash a company generates after accounting for capital expenditures, and is widely used to assess financial flexibility and shareholder value.
What is Charlottes Web's operating cash flow?
Charlottes Web (CWBHF) generated -$14.1M in operating cash flow during fiscal year 2025, representing cash generated from core business activities.
What are Charlottes Web's total assets?
Charlottes Web (CWBHF) had $75.3M in total assets as of fiscal year 2025, including both current and long-term assets.
What are Charlottes Web's capital expenditures?
Charlottes Web (CWBHF) invested $549K in capital expenditures during fiscal year 2025, funding long-term assets and infrastructure.
How much does Charlottes Web spend on research and development?
Charlottes Web (CWBHF) invested $1.8M in research and development during fiscal year 2025.
What is Charlottes Web's current ratio?
Charlottes Web (CWBHF) had a current ratio of 3.51 as of fiscal year 2025, which is generally considered healthy.
What is Charlottes Web's debt-to-equity ratio?
Charlottes Web (CWBHF) had a debt-to-equity ratio of -37.92 as of fiscal year 2025, measuring the company's financial leverage by comparing total debt to shareholder equity.
What is Charlottes Web's return on assets (ROA)?
Charlottes Web (CWBHF) had a return on assets of -39.5% for fiscal year 2025, measuring how efficiently the company uses its assets to generate profit.
What is Charlottes Web's cash runway?
Based on fiscal year 2025 data, Charlottes Web (CWBHF) had $8.0M in cash against an annual operating cash burn of $14.1M. This gives an estimated cash runway of approximately 7 months at the current burn rate. Cash runway measures how long a company can continue operating before running out of cash, assuming no additional funding.
Why is Charlottes Web's debt-to-equity ratio negative or unusual?
Charlottes Web (CWBHF) has negative shareholder equity of -$2.0M as of fiscal year 2025, which causes the debt-to-equity ratio to appear negative or not meaningful. This can occur when accumulated losses exceed invested capital, or after large share buyback programs. Other solvency metrics like the current ratio or interest coverage may be more informative.
What is Charlottes Web's Piotroski F-Score?
Charlottes Web (CWBHF) has a Piotroski F-Score of 4 out of 9, indicating neutral financial health. The F-Score evaluates nine binary signals across profitability (positive ROA, positive cash flow, improving ROA, earnings quality), leverage (decreasing debt, improving liquidity, no share dilution), and operating efficiency (improving gross margin, improving asset turnover). Scores of 7 to 9 indicate strong and improving fundamentals. Learn more in our complete guide to financial health indicators.
Are Charlottes Web's earnings high quality?
Charlottes Web (CWBHF) has an earnings quality ratio of 0.47x, considered low quality (accrual-driven). This ratio compares operating cash flow to net income. A ratio above 1.0x means the company generates more cash than its reported earnings, indicating sustainable, cash-backed profits. Ratios below 1.0x suggest earnings rely on accounting accruals rather than actual cash generation. Learn more in our complete guide to financial health indicators.
How financially healthy is Charlottes Web?
Charlottes Web (CWBHF) scores 20 out of 100 on our Financial Profile, indicating weak overall financial health. This composite score evaluates six dimensions: profitability (operating margin), revenue growth, leverage (debt-to-equity), liquidity (current ratio), cash flow quality (free cash flow margin), and shareholder returns (return on equity). Each dimension is normalized against standard financial benchmarks. Learn more in our complete guide to financial health indicators.