Cea Industries Inc Stock Price, News & Analysis

CEA Industries (NASDAQ: CEAD) reported its Q4 and full-year 2024 results, showing mixed performance. Q4 revenue increased to $0.4M from $0.3M year-over-year, with net bookings rising to $0.5M from $0.1M. The company maintained a lean cost structure, reducing operating expenses by 16% in 2024 through headcount reduction and elimination of product development costs.

Notable highlights include a reduced Q4 gross loss of $0.2M (vs $0.3M in 2023) and quarterly net loss of $1.0M or $(1.29) per share. Cash position stood at $9.5M as of December 31, 2024, down from $12.5M year-over-year. The company remains debt-free.

CEA Industries recently announced an agreement to acquire Fat Panda, a Canadian e-cigarette and vape devices manufacturer, aiming to leverage their retail footprint and profitable operations for long-term value creation.

CEA Industries Inc. (NASDAQ: CEAD) has signed an agreement to acquire Fat Panda , a leading Canadian vape retailer and manufacturer, for CAD $18 million (USD $12.6 million). The purchase will be financed through a combination of cash, CEAD common shares, and debt.

Fat Panda is central Canada's largest vape products retailer with over 50% market share, operating 33 retail locations across Manitoba, Ontario, and Saskatchewan. The company also maintains an e-commerce platform and manufactures its own line of premium e-liquids. Founded in 2013, Fat Panda has demonstrated consistent growth through strategic store locations and robust product development.

The acquisition aims to accelerate Fat Panda's expansion in the Canadian market through additional store acquisitions and manufacturing scale-up. The deal is expected to close in the first half of 2025, subject to conditions including financial statement preparation, due diligence completion, and necessary approvals.

CEA Industries (NASDAQ: CEAD) has entered into a non-binding Letter of Intent to acquire a leading specialty retailer and manufacturer. The target company operates over 30 retail locations and has shown double-digit revenue growth with consistent profitability. The acquisition would be financed through a combination of cash, CEAD common shares, and debt.

CEA plans to leverage its strong balance sheet to expand the target's retail footprint through additional store acquisitions and new store openings. The company aims to grow the target's manufacturing business for house brand and white-label products. The definitive agreement is expected before year-end, with closing targeted for Q1 2025, subject to various conditions.

CEA Industries reported Q3 2024 financial results with revenue of $0.4 million, down from $0.9 million in Q3 2023. The company posted a net loss of $0.7 million or $(0.94) per share, showing slight improvement from a $0.8 million loss in Q3 2023. Net bookings increased to $0.5 million, while quarter-end backlog decreased to $0.4 million. The company maintained $10.3 million in cash and remains debt-free. Management announced further cost reduction measures including headcount reductions and paused product development while the Board explores strategic alternatives including potential sale, merger, or company dissolution.

CEA Industries Inc. (NASDAQ: CEAD) reported its Q2 2024 results, showing a 66% increase in revenue to $1.8 million compared to Q2 2023. The company booked and fulfilled a $1.2 million contract in Q2, reducing its net loss to $0.5 million or $(0.66) per share, down from a $0.7 million loss in Q2 2023. Gross profit increased over 2x to $180,000, with gross margin improving by 280 basis points to 10.2%. Operating expenses decreased 16% to $0.7 million due to cost-cutting measures.

CEA Industries continues to operate under a lean cost structure, focusing on expense reduction and capital preservation. The company's cash position stood at $11.3 million as of June 30, 2024. The Board of Directors is exploring strategic alternatives, including a potential sale, merger, or dissolution of the company.

CEA Industries announced a 1-for-12 reverse stock split effective June 7, 2024. Each twelve shares of common stock will be converted into one share. Publicly traded common stock purchase warrants will also be adjusted, allowing each 12 warrants to acquire one share at a revised price of $60.00. The reverse split aims to maintain the company's Nasdaq listing. However, there is no assurance that the stock price will reflect the reverse split ratio or remain above the pre-split price. Shares will trade on a split-adjusted basis from June 7, 2024, with new CUSIP number 86887P309. Fractional shares will be rounded up to the next whole share.

CEA Industries (NASDAQ: CEAD) reported its Q1 2024 financial results. Revenue plummeted to $235K from $4.7M in Q1 2023. Gross profit turned negative at $(154K), down from $853K. Operating expenses declined 41% to $769K, but net loss widened to $917K from $431K. Cash reserves dropped to $11.6M from $12.5M at year-end 2023.

The company continues its strategic review, exploring options including a sale or merger. Discussions with potential partners are ongoing, but no outcome is assured. The backlog decreased to $0.5M from $1.9M, driven by reduced capital expenditures in the cannabis market.