Executive Summary
PMNT reported Q2 2025 revenue of USD 3.83 million with gross profit of USD 2.07 million, yielding a gross margin of 54.0%. Despite a healthy gross margin, the company posted a net loss of USD 2.74 million and negative EBITDA of USD 2.45 million, driven primarily by elevated operating expenses (SG&A and selling/marketing) and ongoing cash burn. The quarterly results show a significant sequential improvement in revenue and gross profit (YoY declines but QoQ gains), suggesting potential stabilization as the brand scales. However, profitability remains elusive for the quarter, and cash flow remains negative, with CFO of USD -3.85 million and free cash flow of USD -3.89 million. The balance sheet depicts modest assets with a thin liquidity buffer (current ratio ~1.20, cash ratio ~0.07) and a substantial accumulated deficit (retained earnings of USD -55.11 million). Leverage is small but present (total debt USD 2.79 million; net debt USD 2.06 million). The combination of negative earnings, ongoing cash burn, and limited liquidity underscores the need for operational refinement, working capital optimization, and potential external financing to sustain a growth trajectory.
Key Performance Indicators
QoQ: 293.53% | YoY:-34.90%
QoQ: 481.74% | YoY:-22.29%
QoQ: 24.68% | YoY:-743.89%
QoQ: 19.01% | YoY:-81.60%
Key Insights
Revenue performance and margins: Revenue USD 3.833 million for Q2 2025, down YoY by 34.9% but up QoQ by 293.5% (YoY and QoQ figures disclosed in incomeMetrics). Gross Profit USD 2.071 million, margin 54.03%; QoQ gross profit up strongly by 481.74% while YoY gross profit is down 22.29%. Operating income USD -2.558 million with a margin of -66.71%; EBITDA USD -2.446 million with an EBITDA margin of -63.8%. Net income USD -2.744 million and net margin -71.59%; EPS USD -0.17 (diluted -0.17).
Cash ...
Financial Highlights
Revenue performance and margins: Revenue USD 3.833 million for Q2 2025, down YoY by 34.9% but up QoQ by 293.5% (YoY and QoQ figures disclosed in incomeMetrics). Gross Profit USD 2.071 million, margin 54.03%; QoQ gross profit up strongly by 481.74% while YoY gross profit is down 22.29%. Operating income USD -2.558 million with a margin of -66.71%; EBITDA USD -2.446 million with an EBITDA margin of -63.8%. Net income USD -2.744 million and net margin -71.59%; EPS USD -0.17 (diluted -0.17).
Cash flow and liquidity: Net cash provided by operating activities USD -3.854 million; free cash flow USD -3.892 million. Cash at end of period USD 2.55 million; cash at beginning USD 3.952 million; operating cash flow per share USD -0.241; free cash flow per share USD -0.244. Balance sheet highlights: total assets USD 13.275 million; total liabilities USD 10.596 million; total stockholdersโ equity USD 2.679 million; retained earnings USD -55.109 million; cash and cash equivalents on balance sheet USD 0.725 million. Current ratio 1.203; quick ratio 0.699; cash ratio 0.0685. DSO 57.71 days; DIO 272.30 days; CCC ~118 days. Valuation context: price-to-sales 4.54; price-to-book 6.49; enterprise value multiple negative, reflecting the companyโs negative earnings and cash burn profile.
Income Statement
| Metric |
Value |
YoY Change |
QoQ Change |
| Revenue |
3.83M |
-34.90% |
293.53% |
| Gross Profit |
2.07M |
-22.29% |
481.74% |
| Operating Income |
-2.56M |
-743.89% |
24.68% |
| Net Income |
-2.74M |
-81.60% |
19.01% |
| EPS |
-0.17 |
39.29% |
22.73% |
Key Financial Ratios
operatingProfitMargin
-66.7%
operatingCashFlowPerShare
$-0.24
freeCashFlowPerShare
$-0.24
Management Commentary
No earnings call transcript data was provided in the materials. Consequently, management quotes and verbatim commentary are not extractable from the dataset. If a transcript becomes available, ะบะปัั themes to extract would include: strategic prioritization (DTC growth vs. wholesale expansion), cost containment initiatives (SG&A and marketing spend efficiency), inventory management and working capital optimization, plans to reach profitability (operating and net), capital structure actions (debt refinancing, equity raises, or financing partnerships), and market conditions affecting consumer demand for ski/outdoor apparel. Current qualitative context is therefore limited to the reported numbers and industry dynamics.
Forward Guidance
No formal forward guidance is included in the provided data. Given the results, investors should monitor: (1) whether PMNT issues explicit revenue or profitability targets for the next several quarters and a timeline for achieving break-even, (2) cost-reduction initiatives to bring SG&A and marketing spend in line with top-line growth, (3) working capital management improvements to reduce days inventory outstanding and tighten receivables, (4) capital-raising plans or debt restructuring to extend liquidity runway, and (5) any shifts in product mix or geographic expansion that could meaningfully lift top-line growth without disproportionately increasing expenses. Absent concrete guidance, the investment thesis hinges on execution toward scale and a meaningful reduction in cash burn over the near term.