PAR(US:PAR)2025-05-09 20:09Financial Performance - Total revenues for Q1 2025 reached $103.859 million, a 48.4% increase from $70.073 million in Q1 2024[17] - Subscription service revenue grew to $68.410 million, up 78.5% from $38.379 million year-over-year[17] - The company reported a net loss of $24.350 million for Q1 2025, compared to a net loss of $18.288 million in Q1 2024[19] - Gross margin improved to $48.342 million, representing a gross margin percentage of approximately 46.5%[17] - Operating expenses increased to $64.092 million, up 21.5% from $52.801 million in the same quarter last year[17] - Adjusted EBITDA improved by $14,700,000 year-over-year, indicating a positive trend in operational performance[96] - The net loss for Q1 2025 was $24,350,000, compared to a net loss of $18,288,000 in Q1 2024, representing an increase in loss of $6,062,000[86] - The company reported a net loss from continuing operations of $23.5 million for the three months ended March 31, 2025, compared to a net loss of $19.8 million in 2024[68] Cash Flow and Liquidity - Cash used in operating activities for continuing operations was $17,171 thousand for the three months ended March 31, 2025, compared to $24,025 thousand for the same period in 2024, showing a decrease in cash used of about 29%[24] - Cash and cash equivalents decreased to $91.652 million from $108.117 million at the end of 2024, a decline of 15.2%[15] - Total cash and cash equivalents and cash held on behalf of customers decreased to $109,711 thousand as of March 31, 2025, down from $121,545 thousand at the end of 2024, representing a decline of approximately 9.7%[32] - Cash provided by financing activities was $10.7 million in Q1 2025, down from $190.8 million in Q1 2024, mainly due to the repayment of $90 million under the Credit Facility[137] - The company expects available cash and cash equivalents to be sufficient to meet operating needs for at least the next 12 months[138] Debt and Financing - Long-term debt increased to $392.270 million, up from $368.355 million at the end of 2024, indicating a rise of 6.4%[15] - The principal amount of long-term debt as of March 31, 2025, was $400,000,000, with total notes payable at $392,270,000[79] - The company completed a private offering of $115.0 million in Convertible Senior Notes due 2030, with a 1.00% interest rate[76] - The company incurred a loss of $5.8 million on debt extinguishment after repaying $90.0 million under its former credit facility[77] Acquisitions and Investments - The GoSkip Asset Acquisition was completed for approximately $4.8 million, aimed at expanding the company's retail product offerings[41] - The Delaget Acquisition involved a total purchase consideration of $125.1 million, including $16.9 million in cash and equity consideration valued at $108.2 million[48] - The TASK Group Acquisition was completed for a total consideration of $245.5 million, which included $131.5 million in cash and 2,163,393 shares of common stock[59] - The company reported additional revenues of $11.8 million from the Stuzo Acquisition and $11.6 million from the TASK Group Acquisition for the three months ended March 31, 2025[67] Revenue Recognition and Deferred Revenue - Deferred revenue increased to $31.1 million as of March 31, 2025, from $24.7 million at December 31, 2024, reflecting a growth of 25.5%[37] - The company recognized $11.4 million in revenue from deferred revenue at the beginning of the period for Q1 2025, compared to $2.7 million for Q1 2024, indicating a significant increase in revenue recognition[38] Operational Metrics - Total Annual Recurring Revenue (ARR) reached $282.1 million as of March 31, 2025, a 51.9% increase from $185.7 million in 2024[126] - Active sites for Engagement Cloud increased to 120.6 thousand in Q1 2025, up 30.1% from 92.7 thousand in Q1 2024[128] - Active sites for Operator Cloud surged to 59.0 thousand in Q1 2025, an increase of 118.5% from 27.0 thousand in Q1 2024[128] - The company reported an organic ARR growth of 18.1% in Engagement Cloud and 18.0% in Operator Cloud for Q1 2025[126] Stock-Based Compensation - The company reported stock-based compensation of $7,181 thousand for the three months ended March 31, 2025, compared to $4,410 thousand for the same period in 2024, reflecting an increase of about 63%[24] - Stock-based compensation expense totaled $7,181,000 in Q1 2025, up from $4,410,000 in Q1 2024, marking a 62.5% increase[80] - The aggregate unrecognized compensation expense related to unvested equity awards was $66,700,000, expected to be recognized from fiscal years 2025 through 2028[81] Other Financial Metrics - The company experienced a foreign currency translation adjustment of $4.254 million in Q1 2025, compared to a loss of $2.714 million in Q1 2024[19] - The company incurred a loss on debt extinguishment amounting to $5,791 thousand during the three months ended March 31, 2025[24] - The estimated future amortization of intangible assets totals $222.2 million, with $33.1 million expected for the remaining part of 2025[75] - The company recognized $20.7 million in deferred tax liabilities primarily related to intangible assets at the time of the TASK Group Acquisition[66]