Executive Summary

Q4 2024 came in seasonally weak: net revenue $6.19M, gross margin -9.4%, operating loss $(3.89)M, diluted EPS $(1.66), reflecting the ramp ahead of Valentine’s/Easter and higher interest expense tied to the Bloomia acquisition .
Year-over-year, operating loss widened from $(0.54)M in Q4’23 to $(3.89)M and net loss from continuing operations increased from $(0.37)M to $(3.36)M, driven by acquisition-related costs and interest expense .
Liquidity and leverage: cash $1.76M, working capital $11.03M, total debt $42.09M at 12/31/24, primarily related to the Bloomia acquisition; debt rose vs. $39.0M at 9/30/24 .
Management expects higher revenue over the next six months due to a successful increase in bulb sourcing despite a difficult harvest year, and changed fiscal year-end to June 30 to support reporting cadence during transition .

What Went Well and What Went Wrong

What Went Well

Increased bulb sourcing despite poor growing conditions in the Netherlands, positioning for stronger spring sales: “we were able to secure an increase in tulips bulbs this year despite a market where bulbs were scarce due to poor growing conditions” . In Q4, management reiterated “successful increase in bulb sourcing… fully expect should lead to higher revenue over the next six months” .
Bloomia integration progressing: “worked incredibly hard to integrate the Bloomia business and team into Lendway… very enthusiastic about the future,” and “The acquisition of Bloomia continues to impress” .
Full-year Adjusted EBITDA turned positive at $1.01M, with Bloomia Adjusted EBITDA of $3.73M since acquisition, evidencing operating potential despite corporate overhead and one-time items .

What Went Wrong

Q4 gross loss $(0.58)M and gross margin -9.4% due to seasonal weakness in the fourth quarter as the company ramps for the busy season .
Operating loss expanded significantly to $(3.89)M in Q4 versus $(0.54)M in Q4’23; net loss from continuing operations rose to $(3.36)M (vs. $(0.37)M), impacted by interest expense from acquisition financing and integration costs .
Elevated interest burden: FY interest expense $2.97M and Q4 interest expense $0.98M, representing a persistent headwind to profitability alongside foreign exchange volatility .

Financial Results

Metric	Q2 2024	Q3 2024	Q4 2024
Revenue ($USD Millions)	$16.8	$6.628	$6.192
Gross Profit ($USD Millions)	$4.0	$1.440	$(0.582)
Gross Margin %	23.7%	21.7%	-9.4%
Operating Income (Loss) ($USD Millions)	$(0.1)	$(1.351)	$(3.888)
Net Loss from Continuing Ops ($USD Millions)	$(0.9)	$(1.458)	$(3.360)
Interest Expense ($USD Millions)	$1.0	$0.800	$0.980
Diluted EPS ($USD)	$(0.42)	$(0.64)	$(1.66)
Adjusted EBITDA ($USD Millions)	$1.8	$(0.6)	$(2.675)

Year-over-Year comparison (Q4):

Metric	Q4 2023	Q4 2024
Revenue ($USD Millions)	$0.0	$6.192
Gross Profit ($USD Millions)	N/A	$(0.582)
Operating Income (Loss) ($USD Millions)	$(0.536)	$(3.888)
Net Loss from Continuing Ops ($USD Millions)	$(0.367)	$(3.360)
Diluted EPS ($USD)	$(0.19)	$(1.66)

Segment/KPI breakdown:

Metric	Q2 2024	Q3 2024	Q4 2024
Cash And Equivalents ($USD Millions)	$1.7	$1.3	$1.759
Working Capital ($USD Millions)	$6.1	$11.5	$11.026
Total Debt ($USD Millions)	N/A	$39.0	$42.090

FY 2024 segment Adjusted EBITDA:

Segment	FY 2024 Adjusted EBITDA ($USD Millions)
Bloomia	$3.733
Lendway Overhead	$(2.720)
Total Company	$1.013

Note: Q3 press release indicated Bloomia Adjusted EBITDA “since acquisition” of $5.0M; Q4 reconciliation shows Bloomia Adjusted EBITDA of $3.733M for FY 2024, suggesting updated classification/reconciliation of one-time items; management did not provide a bridge between the figures .

Guidance Changes

Metric	Period	Previous Guidance	Current Guidance	Change
Fiscal Year End	Reporting cadence	December 31	June 30 fiscal year-end; transition 10-K for Jan 1–Jun 30, 2025; 10-Q for Mar 31, 2025; new fiscal Q1 ends Sep 30, 2025	Changed
Revenue Outlook	Next six months	None provided	Management “fully expect[s]… higher revenue over the next six months” driven by increased bulb sourcing; no numeric range	Qualitative positive

No numeric guidance provided for revenue, margins, OpEx, tax rate, or segment KPIs in Q4 materials .

Earnings Call Themes & Trends

No Q4 earnings call transcript was available; themes reflect management’s press releases for Q2–Q4.

Topic	Previous Mentions (Q-2, Q-1)	Current Period (Q4)	Trend
Seasonality and ramp to busy season	Q2: strongest sales Q1–Q2 (Valentine’s/Easter/Spring) ; Q3: seasonally slower period meeting expectations	Q4: “always a difficult one on paper” as operations ramp for busy season; gross margin -9.4%	Stable, seasonal pattern
Bulb sourcing and supply constraints	Q3: increased bulbs despite scarcity due to poor Netherlands harvest	Q4: successful increase in bulb sourcing should lead to higher revenue over next six months	Improving supply
Bloomia integration/performance	Q2: strong quarter from Bloomia; integration costs	Q4: “Bloomia continues to impress”	Positive integration progress
Interest expense/leverage	Q2: $1.0M interest headwind ; Q3: $0.8M	Q4: $0.98M interest; FY $2.97M	Persistent headwind
Fiscal year change	—	Changed to June 30 FY; transition reporting plan	Structural change in reporting cadence

Management Commentary

“As we close the books on 2024… closed on the acquisition of our tulip business… refreshed and updated our management team… integrate the Bloomia business… extremely proud of what the team has accomplished… enthusiastic about the future.” — Mark Jundt, Co-CEO .
“The fourth quarter is always a difficult one on paper given we are ramping up for our busy season… very pleased to close the year with $1.0 million of Adjusted EBITDA and huge momentum going into fiscal year 2025 due to a successful increase in bulb sourcing… that we fully expect should lead to higher revenue over the next six months.” — Dan Philp, Co-CEO .
Q3 setup for spring: “we were able to secure an increase in tulips bulbs this year despite a market where bulbs were scarce due to poor growing conditions in the Netherlands… well positioned for strong spring flower sales” — Dan Philp .
Q2 strategic framing: Bloomia “excellent fit with our strategy to create long-term shareholder value through investments in high growth potential ag companies” — Dan Philp .

Q&A Highlights

No Q4 earnings call transcript found; therefore, no Q&A highlights or clarifications are available [ListDocuments returned 0 earnings-call-transcript results for LDWY across the period].

Estimates Context

S&P Global consensus estimates for Q4 2024 EPS and Revenue were unavailable; only actual revenue was present in the dataset. Values retrieved from S&P Global.* [GetEstimates: Q4 2024].

Metric	Q4 2024 Consensus (S&P Global)	Q4 2024 Actual
Revenue ($USD)	N/A*	$6.192M
Primary EPS ($USD)	N/A*	$(1.66)

Implications: With limited/absent Street coverage, near-term estimate setting should reflect seasonality (weak Q3–Q4, strong Q1–Q2) and the updated qualitative outlook for higher revenue in the next six months due to increased bulb supply; interest expense remains a material swing factor on EPS .

Key Takeaways for Investors

Seasonal trough quarter: Q4 revenue $6.19M, gross margin -9.4%, diluted EPS $(1.66); expect improvement through the spring selling season as operations shift from ramp to peak .
Leverage and liquidity: debt $42.09M vs cash $1.76M and working capital $11.03M; servicing costs (FY interest $2.97M) constrain bottom-line; monitor debt trajectory and refinancing optionality .
Bloomia integration progressing; full-year Adjusted EBITDA $1.01M underscores operating potential despite corporate overhead and one-time items; execution in the next two quarters is the catalyst to validate momentum .
Supply-side tailwind: increased bulb sourcing despite adverse Netherlands harvest conditions supports management’s expectation of higher revenue over the next six months; watch conversion to sales/margin during Valentine’s/Easter/Spring windows .
Reporting cadence change: fiscal year-end moved to June 30; expect a transition 10-K and interim 10-Q filings; near-term disclosures will focus on the peak season performance from January–June .
Non-GAAP adjustments matter: FY included $2.88M acquisition/integration costs, $1.52M inventory step-up write-off, and $0.27M one-time waste costs — critical for separating underlying operating trend from transaction effects .
Actionable setup: trade the seasonal inflection (Q1–Q2) vs. financing headwinds; stock narrative likely driven by spring revenue/margin delivery relative to qualitative outlook and any balance sheet developments (debt, liquidity) .

LENDWAY, INC. (LDWY)·Q4 2024 Earnings Summary