Teleconferência de Resultados da Local Bounti (LOCL) do 2T26: Receita Sobe 14%, Prejuízo do EBITDA Diminui

Principais Destaques

• A receita no 2T26 aumentou 14% em relação ao ano anterior e cerca de 4% trimestralmente, atingindo US$ 13,9 milhões, impulsionada pelo aumento da produção e das vendas nas instalações do Texas, da Geórgia e de Washington.
• O prejuízo do EBITDA ajustado reduziu-se em 17% em relação ao mesmo período do ano anterior, ficando em US$ 5,8 milhões. A administração espera melhoria contínua no segundo semestre, à medida que a rede de produção amadurece e ganha escala com os clientes de varejo.
• A margem bruta ajustada caiu para 27%, ante 30% no ano anterior e cerca de 29% no 1T26. A empresa atribuiu a pressão a ineficiências temporárias de embalagem relacionadas à diversificação de canais em sua instalação na Geórgia.
• A Local Bounti garantiu o lançamento piloto de sua linha relançada de kits de salada individuais em cerca de 400 lojas da região Mid-Atlantic neste outono. Outros programas de varejo lançados recentemente abrangem mais de 580 lojas.
• O saldo de caixa, equivalentes de caixa e caixa restrito somou US$ 10,1 milhões no fim do trimestre, ante US$ 18,8 milhões no 1T26, devido ao consumo de caixa operacional. Após o encerramento do trimestre, um investidor estratégico existente forneceu US$ 12,5 milhões adicionais.
• A capacidade de produtividade nas instalações modernizadas da Geórgia, do Texas e de Washington permaneceu cerca de 10% acima dos níveis anteriores à modernização. Os investimentos iniciais em uma instalação na Califórnia aumentaram a produção total em cerca de 10% em relação ao ano anterior.

Principais Resultados Financeiros

Desempenho Operacional e dos Negócios

A Local Bounti está relançando sua linha de kits de salada individuais por meio de um piloto com um grande varejista cobrindo cerca de 400 lojas na região Mid-Atlantic neste outono. O lançamento de seis SKUs em mais de 250 lojas da Harris Teeter e um lançamento separado em um varejista regional de 160 lojas estão totalmente operacionais e evoluindo de acordo com as expectativas da empresa.

A empresa também lançou cinco SKUs em aproximadamente 66 lojas da região Mid-South em julho e quatro SKUs em cerca de 110 lojas da região das Montanhas Rochosas no início de agosto. Além disso, estendeu acordos de fornecimento com diversas contas varejistas nacionais para produtos que incluem mini alface americana e alface lisa orgânica.

O kit de salada Caesar Romano adicionou um centro de distribuição em maio e está evoluindo em linha com o forte ritmo de vendas registrado no ano passado. A administração também identificou a rúcula como uma oportunidade, visto que a cadeia de suprimentos convencional tem enfrentado dificuldades para atender à demanda.

Do ponto de vista operacional, as modernizações de torres concluídas no ano passado na Geórgia, no Texas e em Washington estão garantindo cerca de 10% a mais na capacidade de produtividade. Os investimentos em eficiência na Califórnia podem aumentar os rendimentos em até 20% à medida que os projetos avançarem, segundo a administração. O trabalho inicial em uma instalação na Califórnia já elevou a produção total em aproximadamente 10% em relação ao mesmo período do ano anterior.

Práticas de semeadura mais eficientes reduziram os custos com sementes em cerca de 20% em relação ao ano anterior. A empresa também está buscando economias em compras, manutenção, eficiência de mão de obra e gestão de frete.

Perspectivas da Administração

A administração espera que a melhoria demonstrada nos últimos trimestres continue, com o crescimento da receita e a disciplina de custos servindo como as principais alavancas para um EBITDA ajustado positivo. A empresa prevê que o prejuízo do EBITDA ajustado melhore durante o segundo semestre, à medida que sua rede amadurece e ganha escala junto aos clientes de varejo.

A administração também espera que uma maior penetração no varejo e custos de insumos mais baixos sustentem margens mais robustas ao longo do tempo. Nenhuma meta específica de receita, margem ou EBITDA ajustado foi fornecida.

Riscos e Pontos de Atenção

• A margem bruta ajustada recuou tanto na comparação anual quanto na trimestral, devido a mudanças no mix de canais na Geórgia e a ineficiências temporárias de embalagem. A empresa afirmou que os processos já foram aprimorados e implementados desde então.
• A Local Bounti continua gerando prejuízos operacionais e consumiu caixa nas operações durante o 2T26. A empresa ainda não atingiu sua meta declarada de um EBITDA ajustado positivo.
• O saldo de caixa ao fim do trimestre diminuiu US$ 8,7 milhões em relação ao trimestre anterior, embora o investimento estratégico posterior de US$ 12,5 milhões não tenha sido incluído nesse saldo.
• Variações no valor justo do passivo de warrants podem criar volatilidade significativa no lucro líquido GAAP. O item passou de um ganho de US$ 5,2 milhões no 1T26 para um prejuízo de US$ 1,4 milhão no 2T26.
• A administração destacou as vantagens de segurança alimentar da agricultura em ambiente controlado, mas alertou que "nenhum sistema elimina 100% dos riscos".

Transcrição Completa da Teleconferência de Resultados

Transcrição completa da teleconferência de resultados

Comentários da administração

Operator

Good morning. and welcome to Local Bounti's Second Quarter 2026 Earnings Conference Call.

[Operator Instructions]

Please also note today's event is being recorded. At this time, I'd like to turn the conference call over to Jeff Sonnek, Investor Relations at ICR. Jeff, please go ahead.

Jeff Sonnek

Thank you, and good morning. Today's presentation will be hosted by Local Bounti's President and Chief Executive Officer, Kathleen Valiasek and Interim Chief Financial Officer and Chief Accounting Officer, Tony Hughes.

Comments made during today's call contain forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical facts are considered forward-looking statements. These statements are based on management's current expectations and beliefs as well as a number of assumptions concerning future events. Such forward-looking statements are subject to known and unknown risks and uncertainties that could cause actual results to differ materially from the results discussed in the forward-looking statements. Some of these risks and uncertainties are identified and discussed in the company's filings with the SEC.

We'll also refer to certain non-GAAP financial measures today. Please refer to the press release, which can be found on our Investor Relations website investors.localbounti.com for reconciliations of non-GAAP financial measures to their most directly comparable GAAP measures. And with that, I'd now like to turn the call over to Kathy.

Kathleen Valiasek

Thank you, Jeff. And good morning, everyone. I want to start by recognizing the work our team put in to achieve the results for sharing today. The second quarter continued the trajectory we've been building with disciplined execution across every part of the organization, and I want to walk you through that today. Revenue grew 14% year-over-year to $13.9 million and grew again sequentially from the first quarter. Adjusted EBITDA loss improved 17% year-over-year to $5.8 million, and adjusted G&A came down 17% year-over-year as well, all supporting our primary goal of achieving positive adjusted EBITDA.

We've talked for a while now about our ongoing strategic partnership discussions across the retail landscape. But I'd say in light of recent events in our industry, those conversations have never felt more relevant than they do right now. Food safety has become a genuinely mainstream conversation for consumers over the last several weeks, and that's translating directly into how retailers think about where and how they source their produce. Conversations that use to center on cost and availability now also focus on traceability water sourcing, food safety and environmental control. All questions that our CEA model was specifically built to solve for. We're seeing that shift show up almost daily across our retail network, including with prospects who aren't even our customers yet. Retailers want to understand how our water is sourced, treated and monitored in a closed loop, and while growing in doors under controlled conditions is structurally safer than open field agriculture, which is exposed to unpredictable outside conditions like runoff, wildlife and weather.

Our model also collapses much of the traditional supply chain. We take a plant from seed to finished package in a captive environment, which is a meaningful advantage when a retailer needs to understand and trace the product's journey quickly. To be clear, no system eliminates risk 100% but growing indoors remove several of the specific pathways like contaminated irrigation water, and wildlife exposure that drives these outbreaks in the first place. Conventional produce supply chains built around open fields and exposed to uncontrollable environmental impacts have a hard time addressing those difficult conversations with confidence. That shift doesn't create demand overnight, but we expect it to be a significant driver of long-term growth as retailers and ultimately, consumers increasingly choose product based on where and how it has grown and the brand behind it. The strategic conversations we've been having across our network for a while now carry more weight and move with more urgency than they did even a quarter ago.

So turning to the commercial side. Following discussions with a major retailer, we are relaunching our single-serve salad kit line and agreed with that retailer to a pilot launch throughout the Mid-Atlantic region in approximately 400 stores this fall. It's an encouraging step in building this product line that our commercial team is genuinely excited about and we expect can be a driver of continued growth for this product line in the future. We'll have more to share as that develops. So the rest of our commercial base continued to perform well across our approximately 13,000 doors and continues to build on our base of blue-chip retail relationships. The 2 accounts we discussed last quarter, a 6 SKU rollout covering more than 250 Harris Teeter stores and a large regional retailer operating 160 stores are both now fully launched and tracking in line with expectations. In July, we also launched a new retail partner in the Mid-South region featuring 5 SKUs across approximately 66 stores and in early August, launched a new retail partner in the Rocky Mountain region, featuring 4 SKUs across approximately 110 stores.

Between the first and second quarter, we were also awarded bids extending supply agreements with multiple national retail accounts. These relationships span key product lines, including baby leaf lettuce, and organic butter lettuce. These wins are a good measure of how our existing retail partners actually view us. Our Caesar Romano salad kit also continues to perform well. The additional distribution center we picked up in the first quarter, launched in May and is tracking in line with the strong velocity we saw last year. And we continue to see real opportunity in Arugula where the conventional supply chain has struggled to keep up with demand. Our greenhouse grown approach is a natural fit there, and it's a conversation more actively continuing with the retail partners. Selectively, these wins reflect the strength of our relationships with blue-chip retailers and their continued confidence in us to deliver consistent, high-quality products over the long term.

Turning to operations. The tower upgrades we completed across Georgia, Texas and Washington last year continue to deliver, running at roughly 10% higher yield capacity than before those upgrades, and our yields remain at the highest levels in the company's history. Looking at our California facilities, the selective investments we've talked about before are on track, aimed at improving efficiency in those legacy assets and strengthening our position in living butter head lettuce, and we still believe they can improve yield by as much as 20% as those projects progress through the year. In fact, our initial investments at one of our California facilities is already driving an approximate 10% increase in total production versus the prior year period. It isn't limited to California either. Across all of our facilities, we continue to make tangible progress on the cost side of the business. For example, more efficient seating practices have lowered our seed costs by approximately 20% year-over-year, and we expect to continue garnering cost savings across procurement, maintenance, labor efficiency and freight management across the network. With that, I'll turn it over to Tony for the financial review.

Anthony Hughes

Thank you, Kathy, and good morning, everyone. Turning to our results. Second quarter revenue grew 14% to $13.9 million compared to $12.1 million in the second quarter of last year, and grew approximately 4% sequentially from $13.3 million in the first quarter. The increase was driven by increased production and growth in sales from our Texas, Georgia and Washington facilities. Adjusted gross margin for the second quarter was 27%, excluding depreciation, stock-based compensation and other noncore items, compared to 30% in the prior year period and approximately 29% in the first quarter. The sequential and year-over-year decline is a function of our strategy to diversify our channel mix at our Georgia facility and resulted in temporary packing inefficiencies, which have since been refined and implemented.

As we look longer term, we expect that our increased penetration of the retail channel in combination with our broader efforts to lower input costs will support enhanced margins over time. Adjusted G&A expense for the second quarter was $4.1 million, down from $5 million in the second quarter of last year, a reduction of approximately 17% year-over-year, and essentially in line with the $4.1 million we reported in the first quarter. GAAP net loss for the second quarter was $19.8 million compared to $21.6 million in the second quarter of last year, and $12.7 million in the first quarter of 2026. The year-over-year improvement was primarily driven by a $1.5 million improvement in loss from operations reflecting lower operating expenses, along with a modest reduction in net interest expense. The sequential increase in GAAP net loss for the first quarter was almost entirely explained by noncash items. The change in fair value of our warrant liabilities swung from a $5.2 million gain in the first quarter to a $1.4 million loss in the second quarter, driven by changes in our stock price during the period.

Adjusted EBITDA loss for the second quarter was $5.8 million compared to a loss of $7.1 million in the second quarter of last year, a 17% year-over-year improvement. Relative to the first quarter, the loss was stable, and we still expect the pattern of continued improvement to hold in the second half as our network continues to mature and scale alongside our retail customers. Looking at our trending for the first half of the year, revenue is up 15% to $27.2 million, and adjusted EBITDA loss has improved approximately 24% to $11.5 million compared to $15.3 million in the first half of last year. These results reinforce that we are on the right path. With respect to the balance sheet, we ended the quarter with cash, cash equivalents and restricted cash of $10.1 million, down from $18.8 million at the end of the first quarter reflecting cash used in operations during the quarter. Subsequent to quarter end, and prior to today's call, we received an additional $12.5 million investment from an existing strategic investor which is not reflected in that $10.1 million balance.

Combined with the $15 million investment we received in March and the transactions we executed in 2025, these commitments continue to give us the financial flexibility to be strategic about growth and partnership decisions as we advance towards profitability. In terms of our outlook, we expect the trajectory of improvement we've demonstrated over the past several quarters to continue. Revenue growth and continued cost discipline remain the 2 biggest levers we have towards our goal of positive adjusted EBITDA. With that, I'll turn it back to Kathy for closing remarks.

Kathleen Valiasek

Thank you, Tony. To close, I'd say this was a quarter that moved us forward on every front that matters. The commercial pipeline turning into real placements, our operational discipline continuing to compound, and our strategic investor who knows the business well, choosing to back it with more capital. And all of it against a backdrop where the case for how we grow food has generally never been more relevant.

There is more work ahead of us before we get to positive adjusted EBITDA, but every quarter like this one narrows that gap. I'm grateful to the entire Local Bounti team for the execution and to our investors and partners for their continued confidence. That concludes our prepared remarks. Thank you again for joining us today and for your continued interest in Local Bounti.

Operator

Thank you. That does conclude today's teleconference and webcast. You may disconnect your line at this time, and have a wonderful day. We thank you for your participation today.