Grove Collaborative Holdings, Inc. reported first quarter 2025 revenue of $43.5 million, an 18.7% decrease compared to $53.5 million in Q1 2024. The decline was primarily driven by lower repeat order volume and temporary disruptions from the company’s e-commerce platform migration, which negatively impacted revenue by an estimated $2.0 to $3.0 million.
Adjusted EBITDA for the quarter was negative $1.6 million, or a negative 3.7% margin, compared to positive $1.9 million in the prior year. Operating cash flow was negative $6.9 million, driven by an increase in working capital related to recent acquisitions and negative net income.
The company revised its full year 2025 guidance, projecting revenue to decline approximately mid-single-digit to low double-digit percentage points year-over-year. Full-year Adjusted EBITDA is now expected to be in the negative low single-digit millions to positive low single-digit millions, reflecting the Q1 platform migration impact and ongoing effects from customer attrition.
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