0001628280-26-033681
SEC filingRevenue fell sharply due to grill decline and channel optimization, but profitability improved on tariff refunds and cost cuts, with strong cash flow.
Net cash provided by operating activities was $17.9 million, compared to -$20.8 million in Q1 2025, driven by working capital improvements from Project Gravity actions. Capital expenditures were $3.4 million, up from $1.8 million. Free cash flow was $14.5 million, reflecting strong cash generation despite lower revenue.
Phase 1 of Project Gravity focused on organizational efficiency and foundational cost actions, including a reduction in force and centralization of the MEATER business. Restructuring costs impacted operating income. The company faces uncertainty from macroeconomic conditions, tariffs, and consumer demand for durable goods. Future working capital requirements will depend on revenue growth, profitability, acquisitions, and investments.