Local Bounti (LOCL) Q1 2026 earnings summary

Executive summary

• Achieved 15% year-over-year revenue growth to $13.3 million for Q1 2026, driven by expanded production and distribution in Georgia, Texas, and Washington facilities.

• Net loss narrowed significantly to $12.7 million from $37.7 million in Q1 2025, reflecting improved operating performance and lower interest expense after debt restructuring.

• Adjusted EBITDA loss improved 35% year-over-year to $5.7 million, reflecting cost controls and operational efficiencies.

• The company continues to invest in yield enhancement, cost reduction, and product innovation, including new salad kits and expanded arugula offerings.

• Distribution footprint expanded to 13,000 retail locations, with new retail and e-commerce partnerships secured, including a national rollout across 250+ stores.

Financial highlights

• Q1 2026 revenue reached $13.3 million, up 15% year-over-year and 7% sequentially.

• Gross profit stable at $1.5 million; adjusted gross margin held at 29%.

• Adjusted G&A expense declined 30% to $4.1 million from $5.8 million in Q1 2025.

• Adjusted EBITDA loss improved to $5.7 million from $8.8 million in Q1 2025.

• Net loss per share: $(0.53) vs. $(4.32) year-over-year.

Outlook and guidance

• Management expects continued sequential improvements in revenue and adjusted EBITDA loss rate throughout 2026, with ongoing improvements in gross margins.

• Achieving positive adjusted EBITDA remains a key priority, with management confident in the current trajectory.

• Liquidity needs will be addressed through potential debt, equity, or strategic transactions.