XBP Europe (US:XBP)2025-05-15 20:25Revenue Performance - Total revenue for Q1 2025 was $37.7 million, a decrease of 1.2% year-over-year and an increase of 5.7% sequentially[5] - Revenue for the three months ended March 31, 2025, was $37,531 million, a decrease of 1.4% from $38,047 million in the same period of 2024[22] - Revenues at constant currency for Q1 2025 were $38,438 million, compared to $38,113 million in Q1 2024, reflecting a growth of 0.9%[25] - The technology segment revenue was $11.4 million, a decrease of 1.0% year-over-year but an increase of 16% sequentially[6] Profitability Metrics - Gross margin improved to 30.1%, reflecting a 380 basis points increase year-over-year and a 190 basis points increase sequentially[5] - Adjusted EBITDA from continuing operations was $3.7 million, representing a 25.6% increase year-over-year[5] - Adjusted EBITDA from continuing operations for Q1 2025 was $3,694 million, an increase of 25.5% from $2,942 million in Q1 2024[25] - Operating profit (loss) for Q1 2025 was $(1,787) million, a decline from an operating profit of $1,331 million in Q1 2024[22] Net Loss and Adjustments - Net loss from continuing operations was $3.9 million, but adjusted for non-cash stock-based compensation, the net loss was $0 million[6] - Net loss for the same period was $4,350 million, compared to a net loss of $2,208 million in 2024, representing an increase in loss of 97.4%[22] Cash Flow and Liquidity - Cash and cash equivalents totaled $9.7 million as of March 31, 2025, down from $12.1 million at the end of 2024[6] - Cash used in operating activities for Q1 2025 was $(929) million, an improvement from $(3,610) million in Q1 2024[24] - Cash and equivalents at the end of Q1 2025 were $9,726 million, up from $3,501 million at the end of Q1 2024[24] - Net cash used in investing activities for Q1 2025 was $(1,091) million, compared to $(385) million in Q1 2024, showing a significant increase in cash outflow[24] Assets and Liabilities - Total assets increased to $98.977 million as of March 31, 2025, compared to $88.045 million at the end of 2024[20] - Total liabilities rose to $119.365 million as of March 31, 2025, up from $109.391 million at the end of 2024[20] Acquisition Potential - The pending acquisition of Exela Technologies BPA, if completed, could expand XBP Europe's revenue to approximately $1 billion from $143 million on a pro forma basis for the year ending December 31, 2024[4] Expenses - Selling, general and administrative expenses for Q1 2025 were $10,953 million, a significant increase of 57.5% from $6,968 million in Q1 2024[22] - Interest expense, net for Q1 2025 was $1,721 million, compared to $1,417 million in Q1 2024, indicating an increase of 21.4%[22]