Greenlane Reports Third Quarter 2025 Financial Results

Rhea-AI Summary

Greenlane Holdings (Nasdaq: GNLN) reported third quarter 2025 results and a strategic shift to a BERA-focused digital-asset treasury model on November 14, 2025. Q3 net sales were $0.74 million versus $4.04 million a year earlier, and net loss was $8.9 million versus a $3.8 million loss in Q3 2024. The company recorded a $5.0 million non-cash inventory reserve as part of a review tied to its transition.

Subsequent to quarter end, Greenlane closed a $110.7 million private placement on October 23, 2025, generating approximately $24.3 million net cash proceeds, approximately $19.0 million stablecoin proceeds, and resulting in holdings of ~54.2 million BERA tokens to seed its staking and treasury strategy. Cash was $1.8 million at September 30, 2025; no borrowings outstanding as of that date.

Positive

• Closed $110.7M private placement on October 23, 2025
• Received approximately $24.3M net cash proceeds
• Received approximately $19.0M stablecoin proceeds
• Accumulated ~54.2M BERA tokens for treasury staking

Negative

• Net sales down ~82% YoY to $0.74M in Q3 2025
• Net loss widened to $8.9M in Q3 2025
• Recorded $5.0M non-cash inventory reserve included in cost of sales
• Cash and cash equivalents only $1.8M as of September 30, 2025

Insights

Senior Financial Analyst

Greenlane shifts from cannabis distribution to a BERA-centered digital-asset treasury while reporting deep near-term losses but secured substantial crypto and cash proceeds.

Greenlane pivoted its balance sheet into a treasury strategy concentrated on the BERA token and continues legacy distribution operations. The company reported Q3 net sales of $0.74 million and a Q3 net loss of $8.9 million, driven in part by a $5.0 million non-cash inventory reserve and elevated operating expenses of $4.0 million.

The strategic pivot materially changes the business mechanism: management now intends to hold and stake approximately 54.2 million BERA acquired in a private placement closed on October 23, 2025, funded by roughly $24.3 million net cash and $19.0 million in stablecoins from the offering. This creates a treasury that generates yield via staking rather than revenue from product sales; success depends on execution of institutional-grade treasury operations, custody and staking arrangements, and the realizability of legacy inventory.

Key risks and dependencies include the company’s persistent operating losses and low operating cash ($1.8 million at September 30, 2025), the one-time inventory write-down that reduced near-term gross profit, and the need to convert crypto proceeds into usable liquidity for operations if required. The balance sheet shows reduced current liabilities versus year-end 2024, and additional paid-in capital of $301.8 million, which supports the pivot but does not eliminate short-term cash needs.

Watch for three concrete items in the coming months: the operational performance of the BERA staking program and realized yield metrics; quarterly changes in cash, stablecoin and BERA holdings following staking activities; and progress on inventory monetization and reductions in legacy product recoverability over the next two quarters through Q1 2026. These items will clarify whether the treasury model offsets declining product sales and near-term losses.

BOCA RATON, FLORIDA / ACCESS Newswire / November 14, 2025 / Greenlane Holdings, Inc. ("Greenlane" or the "Company") (Nasdaq:GNLN), a Berachain-focused digital asset treasury company and global seller of premium cannabis accessories, today reported its financial results for the third quarter and nine months ended September 30, 2025 along with an update on the expansion of the Company's Berachain (BERA) treasury strategy.

BERA is the fee token of Berachain, the first Layer 1 blockchain powered by Proof of Liquidity (PoL) to help businesses scale and power on-chain economies. PoL provides BERA with a staking yield derived from the revenues or ownership of companies on the network.

In late October 2025, Greenlane executed a strategic shift - adopting a treasury reserve strategy with BERA as the Company's primary asset. Greenlane's goal is to give investors a simplified way to participate in what management believes will be Berachain's transformation of global finance, with institutional-grade discipline, transparency, and full activation of Berachain's yield potential. Greenlane is strategically accumulating BERA and employing active treasury management and staking. The result is yield-generating BERA treasury that aims to compound growth and capture the full upside exposure of BERA.

While the Company advances its digital-asset strategy and treasury operations, it will continue to operate its distribution business, enhance operational efficiencies and continue inventory monetization to accelerate the disposition of aged inventory.

Key Highlights Since Launch of BERA Treasury Strategy

• Built world class leadership team:

  • Bruce Linton, previously led Canopy Growth Corporation to a $15B market capitalization and has extensive experience in leading companies across communications and cleantech, joined as Chairman of the Board.

  • Billy Levy, a serial entrepreneur and capital markets executive with a history of building, scaling, and exiting companies across multiple industries, including co-founding Virgin Gaming in collaboration with Sir Richard Branson, appointed as a director.

  • Ben Isenberg, appointed as Chief Investment Officer to manage the BERA treasury strategy. Isenberg also serves as Founder and Principal of BSQD Corp., a market-making and proprietary trading firm specializing in digital assets and cryptocurrencies. In this role, Mr. Isenberg is responsible for the strategic direction and oversight of digital asset trading operations. Prior to this, Isenberg served as a Trader at Tradias GmbH, a BAFIN regulated market maker based in Frankfurt, Germany from 2021- 2024. Before entering the digital asset markets, Isenberg worked in investment banking at M Partners in Toronto, where he covered digital assets, technology and mining from 2019-2021.

• Formed a Digital Assets Committee in October 2025 comprised of Mr. Levy and Mr. Linton, with Mr. Linton serving as chair.

• Establishing an experienced team of institutional-grade capital markets and treasury management professionals to operationalize the Company's strategy with support from leading crypto asset managers and custodians.

• Raised over $110 million in capital and digital assets through an October 23, 2025 private placement offering to drive BERA acquisitions, resulting in approximately $24.3 of net cash proceeds, approximately $19.0 of stablecoin proceeds, and approximately 54.2 million BERA.

• The Company intends to manage its BERA tokens to generate yields through staking and activities and to enhance long-term value as the adoption of the BERA token increases.

Third Quarter 2025 Results Compared to Prior Year Period

Total revenue of premium cannabis accessories, vape devices, and lifestyle products was $0.74 million compared to $4.0 million in the prior year period.

Total operating expenses were $4.0 million, compared to $3.6 million in the prior year period.

Net loss was $8.9 million compared to a net loss of $3.8 million in the prior year period.

Management completed a comprehensive review of inventory aging and realizability in connection with the Company's transition under the BERA initiative toward a capital-light, IP-driven operating model. As a result, the Company recorded a $5.0 million non-cash inventory reserve, included in cost of sales, to reflect expected recoveries from legacy product lines.

As of September 30, 2025, the Company had cash and cash equivalents of $1.8 million and no borrowings outstanding.

Subsequent Events

On October 23, 2025, we closed a $110.7 million private placement consisting of cash and crypto-denominated subscriptions, as disclosed in our Form 8-K filed October 20, 2025. The closing delivered approximately $24.3 million of net cash proceeds and approximately $19.0 million of stablecoin proceeds and resulted in holdings of approximately 54.2 million BERA as of October 23, 2025. These proceeds strengthen near-term liquidity as we execute a strategic shift from the legacy business and transition to our digital-asset treasury model.

GREENLANE HOLDINGS, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands, except share and per share amounts)

		September 30, 2025				December 31, 2024
		(unaudited)
ASSETS
Current assets
Cash		$	1,810			$	899
Accounts receivable, net of allowance of $3,383 and $2,616 at September 30, 2025 and December 31, 2024, respectively			4,138				4,262
Inventories, net			6,250				14,215
Vendor deposits			64				3,091
Other current assets			2,080				1,305
Total current assets			14,342				23,772
Property and equipment, net			1,101				1,420
Operating lease right-of-use assets			300				1,043
Other assets			1,895				2,396
Total assets		$	17,638			$	28,631
LIABILITIES
Current liabilities
Accounts payable		$	4,066			$	9,787
Accrued expenses and other current liabilities			1,555				1,218
Customer deposits			684				2,661
Current portion of notes payable			-				7,674
Current portion of operating leases			319				926
Total current liabilities			6,624				22,266
Operating leases, less current portion			1				83
Total liabilities			6,625				22,349
Commitments and contingencies (Note 7)			-
STOCKHOLDERS' EQUITY
Preferred stock, $0.0001 par value, 10,000,000 shares authorized, none issued and outstanding			-				-
Class A common stock, $0.01 par value per share, 600,000,000 shares authorized, 1,386,551 and 3,023 shares issued and outstanding as of September 30, 2025 and December 31, 2024, respectively*			-				-
Class B common stock, $0.0001 par value per share, 30,000,000 shares authorized, and 0 shares issued and outstanding as of September 30, 2025 and December 31, 2024*			-				-
Common stock, value			-				-
Additional paid-in capital*			301,841				281,095
Accumulated deficit			(290,944	)			(274,929	)
Accumulated other comprehensive income			265				265
Total stockholders' equity attributable to Greenlane Holdings, Inc.			11,162				6,431
Non-controlling interest			(149	)			(149	)
Total stockholders' equity			11,013				6,282
Total liabilities and stockholders' equity		$	17,638			$	28,631

*

After giving effect to the Reverse Stock Splits

GREENLANE HOLDINGS, INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS
(Unaudited)
(in thousands, except share and per share amounts)

		Three months ended September 30,								Nine months ended September 30,
		2025				2024				2025				2024
Net sales		$	737			$	4,038			$	2,994			$	11,616
Cost of sales			5,840				1,011				7,374				6,066
Gross profit (loss)			(5,103	)			3,027				(4,380	)			5,550
Operating expenses:
Salaries, benefits and payroll taxes			1,462				1,609				3,848				6,066
General and administrative			1,956				1,771				6,550				6,864
Restructuring expenses			492				-				492				-
Depreciation and amortization			87				185				394				635
Total operating expenses			3,997				3,565				11,284				13,565
Loss from operations			(9,100	)			(538	)			(15,664	)			(8,015	)
Other income (expense), net:
Interest expense			(2	)			(3,219	)			(393	)			(4,030	)
Change in fair value of contingent consideration			-				-				-				1,000
Gain on extinguishment of debt			-				-				-				2,166
Other income (expense), net			169				-				42				(3	)
Total other income (expense), net			167				(3,219	)			(351	)			(867	)
Loss before income taxes			(8,933	)			(3,757	)			(16,015	)			(8,882	)
Provision for (benefit from) income taxes			-				-				-				-
Net loss			(8,933	)			(3,757	)			(16,015	)			(8,882	)
Less: Net income (loss) attributable to non-controlling interest			-				-				-				(17	)
Net loss attributable to Greenlane Holdings, Inc.		$	(8,933	)		$	(3,757	)		$	(16,015	)		$	(8,865	)
Net loss attributable to Class A common stock per share - basic and diluted (Note 9)*		$	(6.44	)		$	(5,484.67	)		$	(19.88	)		$	(12,044.84	)
Weighted-average shares of Class A common stock outstanding - basic and diluted (Note 9)*			1,386,551				685				805,484				736
Other comprehensive income (loss):
Foreign currency translation adjustments			-				4				-				3
Comprehensive loss			(8,933	)			(3,753	)			(16,015	)			(8,879	)
Less: Comprehensive loss attributable to non-controlling interest			-				-				-				(17	)
Comprehensive loss attributable to Greenlane Holdings, Inc.		$	(8,933	)		$	(3,753	)		$	(16,015	)		$	(8,862	)

*

After giving effect to the Reverse Stock Splits

GREENLANE HOLDINGS, INC.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
(in thousands)

		Nine Months Ended September 30,
		2025				2024
Cash Flows from Operating Activities:
Net loss		$	(16,015	)		$	(8,882	)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization			394				635
Equity-based compensation expense			-				86
Change in fair value of contingent consideration			-				(1,000	)
Accretion of debt discount			284				3,373
Gain on extinguishment of debt			-				(2,166	)
Change in provision for credit losses			767				41
Changes in operating assets and liabilities:
Accounts receivable			(643	)			(660	)
Inventories			7,965				4,516
Vendor deposits			3,027				40
Other current assets			(219	)			1,058
Accounts payable			(5,721	)			(1,221	)
Accrued expenses and other liabilities			336				468
Customer deposits			(1,977	)			(1,520	)
Net used in operating activities			(11,802	)			(5,232	)
Cash flows from Investing Activities:
Purchases of property and equipment, net			(75	)			(173	)
Net cash used in investing activities			(75	)			(173	)
Cash flows from Financing Activities:
Proceeds from issuance of Class A common stock and warrants			20,746				5,640
Proceeds from exercise of stock options, net of costs							1,477
Proceeds from notes payable			-				2,950
Payments on notes payable			(7,958	)			(2,100	)
Proceeds from future receivables financing			-				225
Repayments of loan against future accounts receivable			-				(939	)
Other			-				(5	)
Net cash provided by financing activities			12,788				7,248
Effects of exchange rate changes on cash			-				3
Net increase in cash			911				1,846
Cash as of beginning of the period			899				463
Cash as of end of the period		$	1,810			$	2,309

About Greenlane Holdings, Inc.

Founded in 2005, Greenlane is a premier global platform for the development and distribution of premium smoking accessories, vape devices, and lifestyle products to thousands of producers, processors, specialty retailers, smoke shops, convenience stores, and retail consumers. We operate as a powerful family of brands, third-party brand accelerator, and an omnichannel distribution platform. The Company has entered the cryptocurrency industry and cash management of assets through a digital asset treasury strategy. For more information on Greenlane's treasury strategy and future developments, visit https://investor.gnln.com.

Investor Contact:

IR@greenlane.com

or

PCG Advisory
Kevin McGrath
+1-646-418-7002
kevin@pcgadvisory.com

Forward-Looking Statements

This press release contains statements that constitute "forward-looking statements" within the safe harbor provisions under The Private Securities Litigation Reform Act of 1995. Forward-looking statements are statements other than historical facts and include, without limitation, statements regarding the potential for and amount of additional cash proceeds from warrant exercises, use of proceeds from the announced PIPE, future announcements and priorities, expectations regarding management, market position, business strategies, future financial and operating performance, and other projections or statements of plans and objectives.

These forward-looking statements are based on current expectations, estimates, assumptions, and projections, and involve known and unknown risks, uncertainties, and other factors-many of which are beyond the Company's control-that may cause actual results, performance, or achievements to differ materially from those expressed or implied by such statements. Important factors that may affect actual results include, among others, the Company's ability to execute its growth strategy; its ability to raise and deploy capital effectively; developments in technology and the competitive landscape; the market performance of BERA; and other risks and uncertainties described under "Risk Factors" in the Company's Annual Report on Form 10-K filed with the SEC on March 21, 2025, its most recent Quarterly Report on Form 10-Q, and in other subsequent filings with the SEC. These filings are available at www.sec.gov. The forward-looking statements in this press release speak only as of the date of this document, and the Company undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise, except as required by law.

SOURCE: Greenlane Holdings, Inc.

View the original press release on ACCESS Newswire

FAQ

What were Greenlane's (GNLN) total net sales for Q3 2025?

Greenlane reported $0.74 million in net sales for Q3 2025.

How large was Greenlane's (GNLN) net loss in Q3 2025?

The company reported a $8.9 million net loss for Q3 2025.

What did Greenlane announce about its treasury strategy and BERA tokens on October 23, 2025?

Greenlane closed a $110.7 million private placement, obtaining ~54.2 million BERA and proceeds of ~$24.3M cash and ~$19.0M stablecoin to fund a BERA treasury strategy.

Did Greenlane (GNLN) take any inventory charges in Q3 2025?

Yes; management recorded a $5.0 million non-cash inventory reserve included in cost of sales.

What was Greenlane's cash balance and debt situation as of September 30, 2025?

Cash and cash equivalents were $1.8 million and the company reported no borrowings outstanding as of September 30, 2025.

How will Greenlane use the acquired BERA tokens?

The company intends to manage and stake BERA to generate yield and pursue a digital-asset treasury reserve strategy.