Synergy CHC (SNYR) Q1 2026 earnings summary

Executive summary

• Q1 2026 revenue was $5.5M, down from $8.2M in Q1 2025, mainly due to lower online nutraceutical sales and the absence of prior year license revenue.

• Functional beverage revenue exceeded $650K in Q1 2026, surpassing all beverage revenue for 2025 and driving increased reorder activity.

• Net loss for Q1 2026 was $2.6M, compared to net income of $0.9M in Q1 2025, driven by lower revenue and higher interest expense.

• Gross profit margin was 72% in Q1 2026, down from 75% in Q1 2025.

• Management expects 2026 to be a year of sustainable growth and value creation, leveraging early-year momentum.

Financial highlights

• Nutraceuticals revenue declined to $4.8M from $6.6M year-over-year; beverage sales rose to $668K from $31K.

• License revenue was $0 in Q1 2026 versus $1.5M in Q1 2025, reflecting a non-recurring item.

• Operating expenses were $4.5M in Q1 2026, up from $4.2M in Q1 2025, with higher G&A costs offsetting lower marketing spend.

• EBITDA was negative $0.54M in Q1 2026, compared to positive $1.98M in Q1 2025.

• Interest expense increased to $2.0M from $1.1M year-over-year due to new debt and amortization of discounts.

Outlook and guidance

• Management is focused on expanding product lines, launching new products, and increasing distribution for ready-to-drink beverages.

• Strategic acquisitions remain a priority for future growth.

• The company is positioned to capture significant growth opportunities in the functional beverage sector in 2026.