Hydrofarm Holdings Group Announces Second Quarter 2026 Results
Rhea-AI Summary
Hydrofarm Holdings Group (Nasdaq: HYFM) reported second quarter 2026 net sales of $23.2 million, down 40.9% year over year, as industry oversupply and discontinued distributed brands reduced volume. GAAP gross margin improved to 11.3% from 7.1%, and Adjusted Gross Margin rose to 20.0% from 19.2%, driven by a higher mix of proprietary brands.
SG&A fell to $10.1 million, with Adjusted SG&A down 35.7% to $6.3 million, reflecting cost-saving initiatives. Net loss narrowed to $10.6 million, and Adjusted EBITDA improved to $(1.7) million. Hydrofarm generated roughly break-even free cash flow. The company ended June 30, 2026 with $6.2 million in cash and $114.4 million of Term Loan principal, which is in default under a forbearance agreement extended to August 31, 2026. On July 31, 2026, Hydrofarm sold Aurora Peat Products for $16 million and applied proceeds to reduce Term Loan debt.
Positive
- Net loss reduced to $10.6 million from $16.9 million year over year
- GAAP gross margin increased to 11.3% from 7.1% on higher proprietary mix
- Adjusted SG&A decreased 35.7% to $6.3 million through cost-saving initiatives
- Adjusted EBITDA improved to $(1.7) million from $(2.3) million
- Aurora Peat Products sale generated $16 million, applied to reduce Term Loan debt
- Free cash flow was approximately break-even versus $1.4 million prior year
Negative
- Net sales declined 40.9% to $23.2 million due to volume/mix pressure
- Q2 2026 net loss remains sizable at $10.6 million, or $(2.23) per share
- Adjusted EBITDA margin stayed negative at (7.1)% of net sales
- Term Loan of $114.4 million is in default and classified as current debt
- Free cash flow slipped to about $(0.0) million from $1.4 million prior year
- Stockholders’ deficit widened to $(89.0) million as of June 30, 2026
News Explained
The Aurora sale reduced term-loan debt, but $5 million of its $16 million consideration was a promissory note rather than immediate cash.
Hydrofarm reports second-quarter results and a
At June 30, the company reported 4,814,612 shares issued and outstanding, versus 4,667,004 at December 31, 2025; additional issued shares reduce an existing holder’s percentage ownership absent offsetting changes, but these counts alone do not establish that additional shares were issued.
Market Reaction – HYFM
Following this news, HYFM has declined 0.69%, reflecting a mild negative market reaction. Our momentum scanner has triggered 21 alerts so far, indicating elevated trading interest and price volatility. The stock is currently trading at $1.46. Trading volume is elevated at 2.8x the average, suggesting increased selling activity.
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Key Figures
Previous Earnings Reports
| Date | Event | Sentiment | 24h Move | Catalyst |
|---|---|---|---|---|
| May 15 | 1Q26 earnings | Negative | +0.0% | Sales declined and net loss remained elevated despite lower expenses. |
| Mar 27 | FY25 earnings | Negative | -4.4% | Impairment drove a substantial net loss amid declining quarterly sales. |
| Nov 12 | 3Q25 earnings | Negative | -16.1% | Sales and adjusted gross profit declined while adjusted EBITDA remained negative. |
| Aug 12 | 2Q25 earnings | Negative | -2.9% | Sales declined substantially despite improved net loss and positive free cash flow. |
| May 13 | 1Q25 earnings | Negative | -13.1% | Sales declined and net loss widened as the company withdrew full-year outlook. |
24h Move is the share-price change in the day after each event; other market factors may also have contributed.
Earnings-tagged history showed predominantly negative or flat reactions, with four aligned negative reactions and one divergence.
Key Terms
controlled environment agriculture technical
adjusted ebitda financial
non-gaap measures financial
forbearance agreement financial
AI-generated analysis. How Rhea-AI works. Not financial advice.
SHOEMAKERSVILLE, Pa., Aug. 14, 2026 (GLOBE NEWSWIRE) -- Hydrofarm Holdings Group, Inc. (“Hydrofarm” or the “Company”) (Nasdaq: HYFM), a leading independent manufacturer and distributor of branded hydroponics equipment and supplies for controlled environment agriculture, today announced financial results for its second quarter ended June 30, 2026.
Comparison of Second Quarter vs. Prior Year Period:
- Net sales decreased to
$23.2 million compared to$39.2 million . - Gross Profit Margin increased to
11.3% of net sales compared to7.1% . - Adjusted Gross Profit Margin(1) increased to
20.0% of net sales compared to19.2% . - SG&A expense and Adjusted SG&A(1) expense decreased by
37.7% and35.7% , respectively. - Net loss decreased to
$10.6 million compared to$16.9 million . - Adjusted EBITDA(1) of
$(1.7) million compared to$(2.3) million . - Cash from operating activities and Free Cash Flow(1) were each approximately break-even, compared to
$1.7 million and$1.4 million , respectively, in the prior year.
(1) Adjusted Gross Profit, Adjusted Gross Profit Margin, Adjusted SG&A, Adjusted SG&A as a percent of net sales, Adjusted EBITDA, and Free Cash Flow are non-GAAP measures. For a description of our non-GAAP measures see the “Non-GAAP Measures” section accompanying this release; and for reconciliations of GAAP to non-GAAP measures see the “Reconciliation of Non-GAAP Measures” accompanying this release.
William Toler Chief Executive Officer of Hydrofarm, said, "In the second quarter, we achieved our best quarterly proprietary brand sales mix ever, consistent with our strategy of focusing sales efforts on these products. We also significantly reduced Adjusted SG&A expense by
Second Quarter 2026 Financial Results
Net sales decreased
Gross Profit decreased to
Selling, general and administrative ("SG&A") expense improved to
Net loss was
Adjusted EBITDA (1) improved to
Balance Sheet, Liquidity, and Strategic Alternatives Update
As of June 30, 2026, the Company had
Cash from operating activities was
As previously disclosed, on February 4, 2026, the Company elected to defer making the interest payment of approximately
On July 31, 2026, the Company completed the sale of Aurora Peat Products ULC (“APP”) in Canada for total consideration of
The Company continues to offer its high-performing Roots Organics product line and other proprietary brands manufactured in Eugene, Oregon, along with several partner brands that provide a comprehensive customer solution to meet CEA needs. Hydrofarm remains committed to drive high-quality revenue streams, improve profit margins and strengthen its financial position. While maintaining its dedication to customer service, the Company is focused on reducing costs and improving productivity within the organization. Hydrofarm's initiatives include implementing operational changes, reducing headcount, and focusing its sales efforts on its proprietary brand offerings. Additionally, the Company is scaling its logistics services business, leveraging its distribution center footprint to drive cost savings.
(1) Adjusted Gross Profit, Adjusted Gross Profit Margin, Adjusted SG&A, Adjusted SG&A as a percent of net sales, Adjusted EBITDA, and Free Cash Flow are non-GAAP measures. For a description of our non-GAAP measures see the “Non-GAAP Measures” section accompanying this release; and for reconciliations of GAAP to non-GAAP measures see the “Reconciliation of Non-GAAP Measures” accompanying this release.
About Hydrofarm Holdings Group, Inc.
Hydrofarm is a leading independent manufacturer and distributor of branded hydroponics equipment and supplies for controlled environment agriculture, including grow lights, climate control solutions, grow media and nutrients, as well as a broad portfolio of innovative proprietary branded products. For over 40 years, Hydrofarm has helped growers make growing easier and more productive. The Company’s mission is to empower growers, farmers and cultivators with products that enable greater quality, efficiency, consistency and speed in their grow projects.
Cautionary Note Regarding Forward-Looking Statements
Statements contained in this press release, other than statements of historical fact, which address activities, events and developments that the Company expects or anticipates will or may occur in the future, including, but not limited to, information regarding the future economic performance and financial condition of the Company, the plans and objectives of the Company’s management, and the Company’s assumptions regarding such performance and plans are “forward-looking statements” within the meaning of the U.S. federal securities laws that are subject to risks and uncertainties. These forward-looking statements generally can be identified as statements that include phrases such as “guidance,” “outlook,” “projected,” “believe,” “target,” “predict,” “estimate,” “forecast,” “strategy,” “may,” “goal,” “expect,” “anticipate,” “intend,” “plan,” “foresee,” “likely,” “will,” “should” or other similar words or phrases. Actual results could differ materially from the forward-looking information in this release due to a variety of factors, including, but not limited to:
The Company's ability to continue as a going concern; The Company's level of indebtedness; The market in which the Company operates has been substantially adversely impacted by conditions of the agricultural and cannabis industries, including oversupply and decreasing prices of the products the Company's end customers sell, which, in turn, has materially adversely impacted the Company's sales and other results of operations and which may continue to do so in the future; If industry conditions worsen or are sustained for a lengthy period, the Company could be forced to take additional impairment charges and/or inventory and accounts receivable reserves, which could be substantial, and, ultimately, the Company may face liquidity challenges; The Company’s current and future debt facilities may limit the operation of the Company’s business including restricting its ability to sell products directly to the cannabis industry; Although equity financing may be available, the Company's current stock prices are at depressed levels and any such financing would be dilutive; Interruptions in the Company's supply chain could adversely impact expected sales growth and operations; Increased prices and inflation could adversely impact the Company's performance and financial results; Global political and economic conditions including the imposition of potential tariffs could increase the costs of the Company's products and adversely impact the competitiveness of the Company's products and the Company's financial results; The Company may be unable to regain compliance and continue to meet the continued listing standards of Nasdaq; The Company's restructuring activities may increase our expenses and cash expenditures, and may not have the intended cost saving effects; The highly competitive nature of the Company’s markets could adversely affect its ability to maintain or grow revenues; Certain of the Company’s products may be purchased for use in new or emerging industries or segments, including the cannabis industry, and/or be subject to varying, inconsistent, and rapidly changing laws, regulations, administrative and enforcement approaches, and consumer perceptions which may adversely impact the market for the Company’s products; The market for the Company’s products has been impacted by conditions impacting its customers, including related crop prices, climate change, and other factors impacting growers; Compliance with government laws and regulations including environmental and other public health regulations or changes in such regulations or regulatory enforcement priorities could increase the Company’s costs of doing business or limit the Company’s ability to market all of its products; Damage to the Company’s reputation or the reputation of its products or products it markets on behalf of third parties could have an adverse effect on its business; If the Company is unable to effectively execute its e-commerce business, its reputation and operating results may be harmed; The Company’s operations may be impaired if its information technology systems fail to perform adequately or if it is the subject of a data breach or cyber-attack; The Company may not be able to adequately protect its intellectual property and other proprietary rights that are material to the Company’s business; Acquisitions, other strategic alliances and investments could result in operating and integration difficulties, dilution and other harmful consequences that may adversely impact the Company’s business and results of operations. Additional detailed information concerning a number of the important factors that could cause actual results to differ materially from the forward-looking information contained in this release is readily available in the Company’s annual, quarterly and other reports. The Company disclaims any obligation to update developments of these risk factors or to announce publicly any revision to any of the forward-looking statements contained in this release, or to make corrections to reflect future events or developments except as otherwise required by law.
Contacts:
Investor Contact
ir@hydrofarm.com
| Hydrofarm Holdings Group, Inc. CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED) (In thousands, except share and per share amounts) | ||||||||||||||||
| Three months ended June 30, | Six months ended June 30, | |||||||||||||||
| 2026 | 2025 | 2026 | 2025 | |||||||||||||
| Net sales | $ | 23,211 | $ | 39,245 | $ | 51,735 | $ | 79,779 | ||||||||
| Cost of goods sold | 20,577 | 36,451 | 47,264 | 70,108 | ||||||||||||
| Gross profit | 2,634 | 2,794 | 4,471 | 9,671 | ||||||||||||
| Operating expenses: | | | | | ||||||||||||
| Selling, general and administrative | 10,062 | 16,140 | 20,630 | 34,003 | ||||||||||||
| Loss from operations | (7,428 | ) | (13,346 | ) | (16,159 | ) | (24,332 | ) | ||||||||
| Interest expense | (3,453 | ) | (3,391 | ) | (9,319 | ) | (6,768 | ) | ||||||||
| Other income (expense), net | 25 | (222 | ) | (97 | ) | (162 | ) | |||||||||
| Loss before tax | (10,856 | ) | (16,959 | ) | (25,575 | ) | (31,262 | ) | ||||||||
| Income tax benefit | 225 | 98 | 333 | 16 | ||||||||||||
| Net loss | $ | (10,631 | ) | $ | (16,861 | ) | $ | (25,242 | ) | $ | (31,246 | ) | ||||
| | | | | |||||||||||||
| Net loss per share: | | | | | ||||||||||||
| Basic | $ | (2.23 | ) | $ | (3.63 | ) | $ | (5.29 | ) | $ | (6.75 | ) | ||||
| Diluted | $ | (2.23 | ) | $ | (3.63 | ) | $ | (5.29 | ) | $ | (6.75 | ) | ||||
| Weighted-average shares of common stock outstanding: | | | | | ||||||||||||
| Basic | 4,776,834 | 4,646,096 | 4,770,252 | 4,630,390 | ||||||||||||
| Diluted | 4,776,834 | 4,646,096 | 4,770,252 | 4,630,390 | ||||||||||||
| Hydrofarm Holdings Group, Inc. CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED) (In thousands, except share and per share amounts) | ||||||||
| June 30, 2026 | December 31, 2025 | |||||||
| Assets | ||||||||
| Current assets: | ||||||||
| Cash and cash equivalents | $ | 6,154 | $ | 6,309 | ||||
| Restricted cash | 459 | — | ||||||
| Accounts receivable, net | 7,948 | 8,186 | ||||||
| Inventories | 22,769 | 33,324 | ||||||
| Prepaid expenses and other current assets | 2,550 | 3,622 | ||||||
| Total current assets | 39,880 | 51,441 | ||||||
| Property, plant and equipment, net | 26,387 | 30,334 | ||||||
| Operating lease right-of-use assets | 31,419 | 37,765 | ||||||
| Intangible assets, net | 2,801 | 2,801 | ||||||
| Other assets | 1,091 | 1,463 | ||||||
| Total assets | $ | 101,578 | $ | 123,804 | ||||
| Liabilities and stockholders’ deficit | ||||||||
| Current liabilities: | ||||||||
| Accounts payable | $ | 10,655 | $ | 9,752 | ||||
| Accrued expenses and other current liabilities | 13,914 | 7,688 | ||||||
| Deferred revenue | 888 | 2,742 | ||||||
| Current portion of operating lease liabilities | 7,666 | 7,543 | ||||||
| Current portion of finance lease liabilities | 460 | 455 | ||||||
| Current portion of long-term debt | 114,420 | 111,853 | ||||||
| Total current liabilities | 148,003 | 140,033 | ||||||
| Long-term operating lease liabilities | 28,425 | 32,800 | ||||||
| Long-term finance lease liabilities | 7,143 | 7,381 | ||||||
| Long-term debt | 39 | 50 | ||||||
| Deferred tax liabilities | 2,131 | 2,130 | ||||||
| Other long-term liabilities | 4,858 | 4,706 | ||||||
| Total liabilities | 190,599 | 187,100 | ||||||
| Commitments and contingencies | ||||||||
| Stockholders’ deficit | ||||||||
| Common stock ( | — | — | ||||||
| Additional paid-in capital | 791,525 | 791,227 | ||||||
| Accumulated other comprehensive loss | (8,053 | ) | (7,272 | ) | ||||
| Accumulated deficit | (872,493 | ) | (847,251 | ) | ||||
| Total stockholders’ deficit | (89,021 | ) | (63,296 | ) | ||||
| Total liabilities and stockholders’ deficit | $ | 101,578 | $ | 123,804 | ||||
| Hydrofarm Holdings Group, Inc. RECONCILIATION OF NON-GAAP MEASURES (In thousands, except share and per share amounts) (Unaudited) | ||||||||||||||||
| Three months ended June 30, | Six months ended June 30, | |||||||||||||||
| 2026 | 2025 | 2026 | 2025 | |||||||||||||
| Reconciliation of Adjusted Gross Profit: | | | | | ||||||||||||
| Gross Profit (GAAP) | $ | 2,634 | $ | 2,794 | $ | 4,471 | $ | 9,671 | ||||||||
| Depreciation, depletion and amortization | 946 | 1,416 | 1,937 | 2,729 | ||||||||||||
| Restructuring expenses1 | 1,068 | 3,321 | 2,757 | 3,663 | ||||||||||||
| Adjusted Gross Profit (Non-GAAP) | $ | 4,648 | $ | 7,531 | $ | 9,165 | $ | 16,063 | ||||||||
| | | | | |||||||||||||
| As a percent of net sales: | | | | | ||||||||||||
| Gross Profit Margin (GAAP) | 11.3 | % | 7.1 | % | 8.6 | % | 12.1 | % | ||||||||
| Adjusted Gross Profit Margin (Non-GAAP) | 20.0 | % | 19.2 | % | 17.7 | % | 20.1 | % | ||||||||
| Three months ended June 30, | Six months ended June 30, | |||||||||||||||
| 2026 | 2025 | 2026 | 2025 | |||||||||||||
| Reconciliation of Adjusted SG&A: | | | | | ||||||||||||
| Selling, general and administrative (GAAP) | $ | 10,062 | $ | 16,140 | $ | 20,630 | $ | 34,003 | ||||||||
| Depreciation, depletion and amortization | 42 | 5,996 | 82 | 11,992 | ||||||||||||
| Restructuring expenses1 | 2,297 | — | 3,105 | 20 | ||||||||||||
| Other2 | 41 | 45 | 82 | 229 | ||||||||||||
| Stock-based compensation3 | 146 | 289 | 316 | 764 | ||||||||||||
| Debt transactions and strategic alternatives4 | 1,234 | 7 | 2,294 | 215 | ||||||||||||
| Adjusted SG&A (Non-GAAP) | $ | 6,302 | $ | 9,803 | $ | 14,751 | $ | 20,783 | ||||||||
| | | | | |||||||||||||
| As a percent of net sales: | | | | | ||||||||||||
| SG&A (GAAP) | 43.4 | % | 41.1 | % | 39.9 | % | 42.6 | % | ||||||||
| Adjusted SG&A (Non-GAAP) | 27.2 | % | 25.0 | % | 28.5 | % | 26.1 | % | ||||||||
| Three months ended June 30, | Six months ended June 30, | |||||||||||||||
| 2026 | 2025 | 2026 | 2025 | |||||||||||||
| Reconciliation of Adjusted EBITDA: | | | | | ||||||||||||
| Net loss (GAAP) | $ | (10,631 | ) | $ | (16,861 | ) | $ | (25,242 | ) | $ | (31,246 | ) | ||||
| Interest expense | 3,453 | 3,391 | 9,319 | 6,768 | ||||||||||||
| Income tax benefit | (225 | ) | (98 | ) | (333 | ) | (16 | ) | ||||||||
| Depreciation, depletion and amortization | 988 | 7,412 | 2,019 | 14,721 | ||||||||||||
| Restructuring expenses1 | 3,365 | 3,321 | 5,862 | 3,683 | ||||||||||||
| Other2 | 41 | 45 | 82 | 229 | ||||||||||||
| Stock-based compensation3 | 146 | 289 | 316 | 764 | ||||||||||||
| Debt transactions and strategic alternatives4 | 1,234 | 7 | 2,294 | 215 | ||||||||||||
| Other (income) expense, net5 | (25 | ) | 222 | 97 | 162 | |||||||||||
| Adjusted EBITDA (Non-GAAP) | $ | (1,654 | ) | $ | (2,272 | ) | $ | (5,586 | ) | $ | (4,720 | ) | ||||
| | | | | |||||||||||||
| As a percent of net sales: | | | | | ||||||||||||
| Net loss (GAAP) | (45.8 | )% | (43.0 | )% | (48.8 | )% | (39.2 | )% | ||||||||
| Adjusted EBITDA (Non-GAAP) | (7.1 | )% | (5.8 | )% | (10.8 | )% | (5.9 | )% | ||||||||
| Three months ended June 30, | Six months ended June 30, | |||||||||||||||
| 2026 | 2025 | 2026 | 2025 | |||||||||||||
| Reconciliation of Free Cash Flow: | | | | | ||||||||||||
| Net cash from (used in) operating activities (GAAP): | $ | 52 | $ | 1,716 | $ | (707 | ) | $ | (10,047 | ) | ||||||
| Capital expenditures of Property, plant and equipment (GAAP) | (61 | ) | (281 | ) | (80 | ) | (525 | ) | ||||||||
| Free Cash Flow (Non-GAAP): | $ | (9 | ) | $ | 1,435 | $ | (787 | ) | $ | (10,572 | ) | |||||
Notes to GAAP to Non-GAAP reconciliations presented above (Adjusted Gross Profit, Adjusted SG&A, Adjusted EBITDA, and Free Cash Flow):
- For the three and six months ended June 30, 2026, non-cash restructuring expenses were primarily associated with the write-down of certain ROU assets which were recorded in SG&A and inventory write-downs which were recorded in cost of goods sold. Cash charges were primarily comprised of costs incurred to relocate and terminate certain facilities. For the three and six months ended June 30, 2025, Restructuring expenses primarily related to non-cash inventory markdowns.
- For the six months ended June 30, 2026, other charges was primarily comprised of certain legal charges. For the six months ended June 30, 2025, other charges primarily related to legal costs related to the 1-for-10 reverse stock split effected on February 12, 2025, as well as severance charges.
- Includes stock-based compensation and related employer payroll taxes on stock-based compensation for the periods presented.
- For the three and six months ended June 30, 2026, debt transactions and strategic alternatives charges include legal and advisory services associated with debt transactions, including the forbearance agreement. For the three and six months ended June 30, 2025, debt transactions and strategic alternatives charges include consulting, transaction services and legal fees for potential acquisitions, divestitures, or strategic combinations. Such amounts were previously presented in the line item titled “Acquisition and integration expenses.”
- For the three and six months ended June 30, 2026 and 2025, other expense (income), net related primarily to foreign currency exchange rate gains and losses and other non-operating income and expenses.
Non-GAAP Financial Measures
We report our financial results in accordance with generally accepted accounting principles in the U.S. (“GAAP”). Management believes that certain non-GAAP financial measures provide investors with additional useful information in evaluating our performance and that excluding certain items that may vary substantially in frequency and magnitude period-to-period from net loss provides useful supplemental measures that assist in evaluating our ability to generate earnings and to more readily compare these metrics between past and future periods. These non-GAAP financial measures may be different than similarly titled measures used by other companies.
To supplement our condensed consolidated financial statements which are prepared in accordance with GAAP, we use "Adjusted EBITDA", "Adjusted Gross Profit", "Adjusted SG&A", "Free Cash Flow", "Net Debt", and "Liquidity" which are non-GAAP financial measures. We also present certain of these non-GAAP metrics as a percentage of net sales. Our non-GAAP financial measures should not be considered in isolation from, or as substitutes for, financial information prepared in accordance with GAAP. There are several limitations related to the use of our non-GAAP financial measures as compared to the closest comparable GAAP measures.
We define Adjusted EBITDA (non-GAAP) as net loss (GAAP) excluding interest expense, income taxes, depreciation, depletion and amortization, stock-based compensation including employer payroll taxes on stock-based compensation, restructuring expenses, impairments, severance, loss on asset disposition, other income/expense, net, and other non-cash, unusual and/or infrequent costs (i.e., acquisition and integration expenses), which we do not consider in our evaluation of ongoing operating performance.
We define Adjusted EBITDA (non-GAAP) as a percent of net sales as Adjusted EBITDA (as defined above) divided by net sales in the respective period.
We define Adjusted Gross Profit (non-GAAP) as Gross Profit (GAAP) excluding depreciation, depletion, and amortization, restructuring expenses, severance and other expenses, and other non-cash, unusual and/or infrequent costs, which we do not consider in our evaluation of ongoing operating performance.
We define Adjusted Gross Profit Margin (non-GAAP) as a percent of net sales as Adjusted Gross Profit (as defined above) divided by net sales in the respective period.
We define Adjusted SG&A (non-GAAP) as SG&A (GAAP) excluding depreciation, depletion, and amortization, stock-based compensation including employer payroll taxes on stock-based compensation, restructuring expenses, severance and other expenses, and other non-cash, unusual and/or infrequent costs (i.e., acquisition and integration expenses), which we do not consider in our evaluation of ongoing operating performance.
We define Adjusted SG&A (non-GAAP) as a percent of net sales as Adjusted SG&A (as defined above) divided by net sales in the respective period.
We define Free Cash Flow (non-GAAP) as Net cash from (used in) operating activities less capital expenditures for property, plant and equipment. We believe this provides additional insight into the Company's ability to generate cash and maintain liquidity. However, Free Cash Flow does not represent funds available for investment or other discretionary uses since it does not deduct cash used to service our debt or other cash flows from financing activities or investing activities.
We define Liquidity as total cash, cash equivalents and restricted cash, if applicable.
We define Net Debt as total debt principal outstanding plus finance lease liabilities and other debt, less cash, cash equivalents and restricted cash, if applicable.
