1847 Holdings Reports First Quarter 2026 Financial Results
Rhea-AI Summary
1847 Holdings (OTC:LBRA) reported Q1 2026 results and advanced its portfolio streamlining strategy, including a non-binding LOI to potentially sell CMD for $65 million in cash. CMD was reclassified as held-for-sale and discontinued operations.
From continuing operations, Q1 2026 revenue was $1.2 million versus $2.8 million, operating expenses declined about 53% to $2.0 million, and loss from operations improved about 44% to $0.8 million. Net loss from continuing operations widened to $3.8 million, mainly due to higher interest and a warrant liability fair-value loss. Operating cash flow from continuing operations was positive at $0.7 million. CMD, reported as discontinued operations, generated Q1 2026 revenue of $8.2 million and net income of about $0.4 million. Pro forma, assuming CMD in continuing operations, Q1 2026 revenue was $9.4 million and operating loss was about $0.3 million.
AI-generated analysis. Not financial advice.
Positive
- Continuing operations revenue of $1.2 million with detailed segment disclosure
- Total operating expenses from continuing operations cut about 53% to $1.97 million
- Loss from operations from continuing operations improved about 44% to $0.80 million
- Operating cash flow from continuing operations positive at approximately $0.7 million
- Non-binding LOI to potentially sell CMD for $65 million all cash
- CMD Q1 2026 discontinued operations revenue $8.2 million and net income about $0.4 million
Negative
- Continuing operations revenue declined to $1.17 million from $2.77 million year-over-year
- Net loss from continuing operations widened to about $3.85 million from $1.63 million
- Higher interest expense and $1.3 million warrant liability loss versus prior-year $3.7 million gain
- Pro forma Q1 2026 revenue down to $9.37 million from $10.99 million
- Pro forma net result shifted to $3.45 million loss from prior $0.42 million profit
Company Advances Portfolio Streamlining Strategy, Including Proposed Sale of CMD in Potential
Operating Expenses from Continuing Operations Declined Approximately
Loss from Operations Improved Approximately
Achieved Positive Cash Flow From Operations
NEW YORK, May 15, 2026 (GLOBE NEWSWIRE) -- 1847 Holdings LLC (OTC: LBRA) (“1847 Holdings” or the “Company”), a diversified acquisition holding company focused on identifying and monetizing overlooked, deep-value businesses, today announced financial results for the first quarter ended March 31, 2026.
During the first quarter of 2026, the Company’s Board of Directors approved a plan to actively market for sale of CMD Inc. (“CMD”), which comprises the CMD segment within the Company’s Construction operations. As a result, CMD has been classified as held-for-sale and discontinued operations under U.S. GAAP for all periods presented.
Accordingly, the Company’s reported continuing operations for the periods presented reflect the operations of Kyle’s, Wolo, ICD, and Corporate Services. Supplemental unaudited pro forma information reflecting CMD within continuing operations is included later in this release to assist investors in evaluating comparative operating performance.
“During the first quarter, we continued to focus on cost controls, liquidity management and portfolio optimization,” said Ellery W. Roberts, CEO of 1847 Holdings. “Our reported net loss was impacted by higher interest expense and non-cash financing-related charges, including a warrant liability revaluation; however, total operating expenses from continuing operations declined significantly year-over-year, loss from operations improved, and cash flow from operating activities from continuing operations was positive for the quarter.”
“In addition, we recently announced the execution of a non-binding letter of intent for the proposed sale of CMD in a potential
“We acquired CMD in December 2024 for approximately
“On a continuing operations basis, we reduced total operating expenses by approximately
Results from Continuing Operations
Revenue from continuing operations for the first quarter of 2026 was approximately
Total operating expenses from continuing operations declined to approximately
Loss from operations from continuing operations improved to approximately
Net loss from continuing operations was approximately
Net loss attributable to 1847 Holdings was approximately
Cash flow from operating activities from continuing operations was approximately
Condensed Consolidated Statements of Operations – Continuing Operations
(Unaudited)
| Three Months Ended March 31, 2026 | Three Months Ended March 31, 2025 | |||||
| Revenue | ||||||
| Total Operating Expenses | 1,967,611 | 4,185,691 | ||||
| Loss from Operations | (799,203 | ) | (1,414,900 | ) | ||
| Total Other Expense | (3,110,746 | ) | (307,402 | ) | ||
| Loss from Continuing Operations Before Income Taxes | (3,909,949 | ) | (1,722,302 | ) | ||
| Income Tax Benefit | 62,000 | 94,000 | ||||
| Net Loss from Continuing Operations | ) | ) | ||||
CMD Assets Held-for-Sale and Discontinued Operations Classification
Management determined that the planned sale of CMD represents a strategic shift that will have a major effect on the Company’s operations and financial results. Accordingly, CMD’s assets and liabilities are presented as held-for-sale in the Company’s condensed consolidated balance sheets, and CMD’s operating results are presented as discontinued operations in the Company’s condensed consolidated statements of operations and condensed consolidated statements of cash flows for all periods presented.
CMD generated revenue of approximately
Supplemental Unaudited Pro Forma Financial Information
(Assuming CMD Included in Continuing Operations)
The following selected unaudited supplemental pro forma financial information is presented as if CMD had remained included in continuing operations for the three months ended March 31, 2026 and 2025. The pro forma information should not be considered a substitute for, or superior to, financial information presented in accordance with U.S. GAAP.
On a supplemental pro forma basis, revenue for the first quarter of 2026 was approximately
| Three Months Ended March 31, 2026 | |||||||||
| 1847 Holdings Continuing Operations | CMD Discontinued Operations | Pro Forma Total | |||||||
| Revenue | |||||||||
| Total Operating Expenses | 1,967,611 | 7,722,428 | 9,690,039 | ||||||
| (Loss) Income from Operations | (799,203 | ) | 480,255 | (318,948 | ) | ||||
| Total Other Expense | (3,110,746 | ) | 3,403 | (3,107,343 | ) | ||||
| (Loss) Income from Before Income Taxes | (3,909,949 | ) | 483,658 | (3,426,291 | ) | ||||
| Income Tax Benefit (Provision) | 62,000 | (84,000 | ) | (22,000 | ) | ||||
| Net (Loss) Income | ) | ) | |||||||
| Three Months Ended March 31, 2025 | |||||||||
| 1847 Holdings Continuing Operations | CMD Discontinued Operations | Pro Forma Total | |||||||
| Revenue | |||||||||
| Total Operating Expenses | 4,185,691 | 6,987,335 | 11,173,026 | ||||||
| (Loss) Income from Operations | (1,414,900 | ) | 1,233,785 | (181,115 | ) | ||||
| Total Other Expense | (307,402 | ) | 564 | (306,838 | ) | ||||
| (Loss) Income from Before Income Taxes | (1,722,302 | ) | 1,234,349 | (487,953 | ) | ||||
| Income Tax Benefit (Provision) | 94,000 | (22,000 | ) | 72,000 | |||||
| Net (Loss) Income | ) | ||||||||
About 1847 Holdings LLC
1847 Holdings LLC (OTC: LBRA), a diversified acquisition holding company, was founded by Ellery W. Roberts, a former partner of Parallel Investment Partners, Saunders Karp & Megrue, and Principal of Lazard Freres Strategic Realty Investors. 1847 Holdings' investment thesis is that capital market inefficiencies have left the founders and/or stakeholders of many small business enterprises or lower-middle market businesses with limited exit options despite the intrinsic value of their business. Given this dynamic, 1847 Holdings seeks to consistently acquire businesses it views as "solid" for reasonable multiples of cash flow and then deploy resources to strengthen the infrastructure and systems of those businesses in order to improve operations. These improvements may lead to a sale or IPO of an operating subsidiary at higher valuations than the purchase price and/or alternatively, an operating subsidiary may be held in perpetuity and contribute to 1847 Holdings' ability to pay regular and special dividends to shareholders. For more information, visit www.1847holdings.com.
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Forward-Looking Statements
This press release may contain information about 1847 Holdings' view of its future expectations, plans and prospects that constitute forward-looking statements. All forward-looking statements are based on our management's beliefs, assumptions and expectations of our future economic performance, taking into account the information currently available to it. These statements are not statements of historical fact. Forward-looking statements are subject to a number of factors, risks and uncertainties, some of which are not currently known to us, that may cause our actual results, performance or financial condition to be materially different from the expectations of future results, performance or financial position. Our actual results may differ materially from the results discussed in forward-looking statements. Factors that might cause such a difference include but are not limited to the risks set forth in "Risk Factors" included in our SEC filings.
Contact:
Crescendo Communications, LLC
Tel: +1 (212) 671-1020
Email: LBRA@crescendo-ir.com
