EMERGE Commerce reported its strongest quarter in years on August 27, 2026, as revenue reached $9.1 million, up 7% year-over-year, while adjusted EBITDA climbed 7% to $1.03 million. The Toronto-based company, which operates in grocery subscriptions and golf e-commerce, posted its ninth consecutive quarter of revenue growth and its first positive net income since 2021, with $200,000 in net earnings.
Gross margin expanded by 250 basis points to 39%, supported by operational efficiencies across its portfolio. Cash on hand increased to $4.8 million from $3.5 million a year earlier, while all-in cash flow remained positive for both the quarter and year-to-date. The company’s trailing-twelve-month pro forma figures show over $29 million in revenue and $1.6 million in adjusted EBITDA, with approximately $1 million in revenue generated per full-time employee.
Management outlined plans to refinance its $8.1 million debt load, including a $5.85 million senior credit facility at an 11% interest rate and a $1.39 million convertible note. Enterprise value stood at $17.7 million, factoring in $4.8 million in cash. The company’s shares traded at $0.08 on August 26, near the bottom of its 52-week range of $0.07 to $0.16.
The grocery segment, led by truLOCAL, reported its first full quarter under EMERGE’s ownership following a late Q1 2026 acquisition. truLOCAL, a Canadian premium meat and seafood subscription service, achieved an average order value of $250, a customer lifetime value of $2,027, and a customer acquisition cost of $100–$150. The business maintains a 90% returning customer rate and an average of 5,373 monthly boxes shipped. CEO Ghassan Halazon noted the segment benefits from the broader "Buy Canadian" movement, though he did not quantify potential trade-related tailwinds.
EMERGE’s golf portfolio, comprising three brands serving roughly 400,000 North American subscribers, contributed to the company’s diversified revenue base. JustGolfStuff, a discount golf apparel and equipment marketplace, grew gross merchandise sales from $0.5 million in 2019 to $5.0 million in 2024. Tee 2 Green, acquired for $2.2 million in 2025, generated $6.4 million in revenue and $1.0 million in adjusted EBITDA at the time of purchase. Post-acquisition, the brand delivered 39% revenue growth and 59% adjusted EBITDA growth in Q2–Q4 2025.
The company’s B2B technology arm, Viral Loops, contributed its first full quarter following its late Q1 2026 acquisition. The referral marketing platform has facilitated over 35 million referrals across 150,000 campaigns, serving clients including Product Hunt, Descript, Life360, and Zapier. Halazon described refinancing as a near-term priority, citing improved operational performance as a catalyst for debt restructuring.
