Company: GROVW
Filing Date: 2025-08-07
Form Type: 10-Q
Source: 0001628280-25-038957
Chunk: 290

Company: Grove Collaborative Holdings, Inc.
Filing Date: 2025-08-07
Form: 10-Q
Item: Part I, Item 8
Chunk 290
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 by decreases in performance partnerships and shopper marketing expenses.

Product Development Expenses

Three Months EndedJune 30,Change Six Months EndedJune 30,Change20252024Amount %20252024Amount%(in thousands, except percentages)Product development$2,207 $5,436 $(3,229)(59)%$3,986 $9,062 $(5,076)(56)%

Product development expenses decreased by $3.2 million, or 59%, for the three months ended June 30, 2025 as compared to the three months ended June 30, 2024, primarily due to a $1.3 million decrease in amortization expenses related to certain internally developed software which was fully amortized at the end of fiscal year 2024, a $1.1 million decrease in severance-related expenses and a $0.8 million decrease in salaries from reductions in headcount.

Product development expenses decreased by $5.1 million, or 56%, for the six months ended June 30, 2025 as compared to the six months ended June 30, 2024, primarily due to a $2.2 million decrease in amortization expenses related to certain internally developed software which was fully amortized at the end of fiscal year 2024, a $1.9 million decrease in salaries and stock based compensation from reductions in headcount and a $1.1 million decrease in severance-related expenses.

Selling, General and Administrative Expenses

Three Months EndedJune 30,Change Six Months EndedJune 30,Change20252024Amount %20252024Amount%(in thousands, except percentages)Selling, general and administrative$22,956 $27,124 $(4,168)(15)%$44,942 $51,718 $(6,776)(13)%

Selling, general and administrative expenses decreased by $4.2 million, or 15%, for the three months ended June 30, 2025 as compared to the three months ended June 30, 2024. Fulfillment costs decreased by $1.0 million due to a lower volume of orders. Additionally, stock-based compensation decreased by $1.9 million and corporate salaries decreased by $0.3 million both driven by reductions in headcount, depreciation expense decreased by $0.7 million primarily due to accelerated depreciation associated with the closure of our Missouri facility in the prior period that did not recur in the current period, and asset impairment charges