CEAD Earnings Prediction
The chart below shows how CEAD performed 10 days before and after its earnings report, based on data from the past quarters. Typically, CEAD sees a -1.07% change in stock price 10 days leading up to the earnings, and a -9.07% change 10 days following the report. On the earnings day itself, the stock moves by -3.27%. This data can give you a slight idea of what to expect for the next quarter's release.
CEAD Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
1.06M
-64.72%
-77.28%
Gross Margin
7.40%
-27.17%
-59.39%
Operating Margin
-66.24%
75.15%
595.07%
Net Margin
-65.20%
11.64%
607.93%
EPS
-0.09
-60.87%
80.00%
No Data Available
CEAD Earnings Analysis
CEA Industries Inc. Corporation (CEAD.O) Earnings Conference Call
Positive
Implemented a series of cost-cutting initiatives that reduced operating expenses by more than 60% compared to the previous year, showing a disciplined approach to capital allocation.
Cost-cutting initiatives reduced operating expenses by over 60% year-over-year
Capital allocation approach focused on product development, marketing, and personnel
Further identification of cost-saving opportunities planned to maintain lean cost structure
Despite reducing marketing spend, the company remains equipped to source new opportunities and service current contracts, diversifying customer base across cannabis and traditional agriculture sectors.
Ability to source and evaluate new opportunities while servicing existing contracts
Diversification of customer base across cannabis and traditional agriculture sectors
Demonstrated adaptability in the face of market challenges
Initiating a review of strategic alternatives to maximize shareholder value, including a potential sale, merger, or financial transaction.
Strategic alternatives review initiated to maximize shareholder value
Retained financial advisor to assist in the review process
Commitment to executing best path forward for shareholders, customers, and employees.
Negative
- Revenue for Q2 2023 was $1.1 million compared to $3 million in the year ago period, primarily due to lower revenue recognition and a reduction in capital expenditures by operators in the cannabis and controlled agricultural sectors.
- Net bookings in the second quarter were approximately $200,000 compared to $1.5 million in the same period in 2022, with a quarter end backlog of $1.1 million compared to $9.7 million in the year ago quarter, reflecting fewer capital projects and expenditures.
- Gross profit for Q2 2023 decreased to approximately $79,000 or 7.4% of revenue compared to $300,000 or 10.2% of revenue in the same period in 2022, driven by an increase in fixed costs as a percentage of revenue.
- Operating expenses in the second quarter decreased by 62% to approximately $800,000 compared to $2.1 million in the year ago quarter, primarily due to lower product development expenses, reduced personnel and marketing costs, and a goodwill impairment that occurred in the prior period.
