Urban-Gro, Inc. Stock Price, News & Analysis

urban-gro reported Q3 2022 revenue of $12.4 million, surpassing guidance of $10-$11 million. The net loss stood at $8.7 million, impacted by one-time expenses of $4.2 million and a $1.7 million impairment. Adjusted EBITDA was $(2.3) million, aligning closely with guidance. A record project backlog reached $67 million, indicating strong demand despite a 32% revenue decline year-over-year, largely driven by reduced cannabis equipment demand due to regulatory delays. The company anticipates $17 million in Q4 revenue, with a net loss of approximately $(1.5) million.

urban-gro, a design-build firm in the Controlled Environment Agriculture (CEA) sector, has acquired Dawson Van Orden, a Texas engineering firm, for $6.1 million. This acquisition enhances urban-gro's engineering capabilities and expands its market presence. DVO, generating approximately $5.5 million in revenue with over 20% EBITDA margins, is expected to provide cross-selling opportunities and improve margins. Urban-gro CEO Bradley Nattrass highlighted the acquisition's strategic importance amid rising demand for CEA professional services.

urban-gro, Inc. (Nasdaq: UGRO) announced it will report its financial and operational results for Q3 2022 on November 10, 2022, after market close. A conference call will follow at 4:30 PM ET, where management will discuss key highlights and take questions from participants. The company provides professional services and design-build solutions for the Controlled Environment Agriculture (CEA) and commercial sectors. Interested parties can access a replay of the call until November 24, 2022.

urban-gro (Nasdaq: UGRO) announced a binding letter of intent to acquire Dawson Van Orden, Inc. (DVO), an engineering firm specializing in indoor Controlled Environment Agriculture (CEA), for $7.25 million. This acquisition will enhance urban-gro's engineering capabilities and is expected to generate immediate revenue and margin growth. The funding will be sourced from cash, a seller's note, and UGRO common stock. DVO reported $5.5 million in revenue and over 20% EBITDA in the past year. Completion of the acquisition is anticipated in Q4 2022.

urban-gro, Inc. (Nasdaq: UGRO) announced strong growth in its design-build division, signing over $50 million in new contracts during Q3 2022. Following its acquisition of Emerald Construction Management, the company now offers a comprehensive design-build solution, managing everything from architecture to equipment integration. CEO Bradley Nattrass expressed confidence in ongoing client interest and reiterated guidance for Q3, highlighting the company’s strategy for sustainable growth in the Controlled Environment Agriculture (CEA) sector and beyond.

XS Financial Inc. announced the receipt of a delayed draw of $10 million as part of its $43.5 million unsecured convertible notes financing. This financing, led by a large institutional investor, originally funded $33.5 million at the closing on November 1, 2021. The company, specializing in CAPEX financing for U.S. cannabis firms, has partnered with over 250 OEMs, contributing to recurring revenues and strong profit margins.

urban-gro, Inc. (Nasdaq: UGRO) announced participation in several October conferences, including A.G.P.’s Fall Consumer Cannabis Conference and the Lucky Leaf Expo. Key executives will host presentations and engage in one-on-one meetings with investors. The conferences aim to showcase the company's solutions in Controlled Environment Agriculture (CEA). Notably, Bradley Nattrass, CEO, will present at multiple events, enhancing investor relations. The company continues to focus on delivering value-added services across various sectors, including industrial and healthcare.

urban-gro (Nasdaq: UGRO) has announced a new stock repurchase program authorizing up to $2 million to buy back its common stock, succeeding a previously completed $8.5 million program. CEO Bradley Nattrass highlighted the company's strong balance sheet, with approximately $2.00 per share in net cash as of June 30, 2022, indicating ample flexibility for shareholder returns and growth initiatives. The repurchase strategy aims to capitalize on current market prices perceived as a significant discount to intrinsic value, enhancing shareholder value.

urban-gro, Inc. (Nasdaq: UGRO) announced its participation in key industry conferences this September. The company will showcase its services at the Cannabis Business Expo in Zurich on September 10-11, with Managing Director Arie Kamp attending. Additionally, CFO Dick Akright will present at the H.C. Wainwright Annual Global Investment Conference in New York on September 14, while CEO Bradley Nattrass will engage in a fireside chat at the Benzinga Cannabis Capital Conference in Chicago on September 13. These events highlight urban-gro's commitment to networking and growth in the Controlled Environment Agriculture sector.