EMERGE Commerce Ltd., an acquirer and operator of profitable e-commerce brands and technologies, announced Wednesday financial results for its three and 12 months ended December 31, 2025, indicating annual revenue increased by 43% from a year ago to $27.7 million.
Q4 2025 Financial Highlights
For the fourth quarter of 2025, compared to the fourth quarter of 2024:
- Q4 revenue grew to $7.1M vs. $5.3M, an increase of 35% YoY, marking the 7th consecutive quarter of revenue growth
- Gross profit grew to $2.5M vs. $2.1M, an increase of 17% YoY
- Adj. EBITDA improved to $205K vs. $12K, marking the 5th consecutive quarter of positive Adj. EBITDA
- Cash position at December 31, 2025 grew to $4.1M vs. $3.1M (December 31, 2024), a $1M increase YoY
Full Year 2025 Financial Highlights
For the full year 2025, compared to full year 2024:
- Annual revenue increased to $27.7M vs. $19.3M, an increase of 43% YoY
- Gross profit grew to $9.9M vs. $7.9M, an increase of 25% YoY. Excluding $0.65M fair value of inventory adjustment related to Tee 2 Green (T2G), a non-cash item, gross margin would be approximately 38.1% vs. 41.0%
- Adj. EBITDA improved to $1.5M vs. ($472K), a $1.9M YoY improvement
- Cash flow from operations grew to $2.8M vs. $129K
- Net income (loss) improved to $279K vs. net loss of ($506K)
“2025 was a breakout year for EMERGE. We delivered another year of organic revenue growth, returned to positive Adjusted EBITDA, and generated meaningful cash flow – achieving all three of our core operational objectives. Our Q4 results marked another strong quarter of growth, despite being a seasonal period for T2G. Both our Grocery and Golf verticals performed well, supported by record holiday B2B sales,” said Ghassan Halazon, Founder and CEO, EMERGE.
“The acquisition and rapid scaling of T2G exceeded all expectations and validates our EMERGE 3.0 playbook. We’ve carried this momentum into 2026 with the acquisition of Viral Loops, adding a high-margin, recurring revenue stream that further enhances our model. We remain focused on compounding value through profitable growth and disciplined capital allocation. I’d like to thank our team, Board, and partners for their continued execution and unwavering support.”
EMERGE’s recently announced acquisition of Viral Loops is not included in 2025 results. Viral Loops achieved approximately $1.3M revenue, $800,000 Adjusted EBITDA and $700,000 cash flow in 2025 (unaudited), it noted.
For Q1 2026, EMERGE management said it expects to achieve another quarter of strong overall revenue growth year-over-year.
“Q1 is a seasonally softer quarter for the golf vertical, which represented nearly half of EMERGE’s annual revenue in 2025. EMERGE acquired T2G on April 5, 2025 so its results will not be included for the comparative period (Q1 2025),” it said.
“Q1 is typically a strong revenue and customer acquisition period for truLOCAL, driven by increased consumer demand for health and protein-focused subscription offerings. Accordingly, marketing spend is strategically elevated during the quarter. Viral Loops was acquired on March 10, 2026 and will contribute from the day of closing. Q2 2026 will be the first full quarter to include Viral Loops results, which is also peak season for the golf business, particularly T2G.”
The company said its top priorities in the near-term are to i) continue to drive organic growth, ii) extract synergies to drive profitability, iii) explore avenues to enhance cash flow and reduce interest expense; and iv) explore accretive strategic/ tuck-in acquisition opportunities.
truLOCAL is its flagship Canadian meat and seafood subscription service. Its golf vertical includes UnderPar (discounted golf experiences), JustGolfStuff and Tee 2 Green (discounted apparel and equipment). EMERGE B2B houses Viral Loops, its referral marketing platform that enables hundreds of international clients to acquire and retain customers.
More from Retail Insider:
