ReposiTrak(TRAK) - 2025 Q3 - Quarterly Results

Financial & Operational Highlights ReposiTrak achieved strong FQ3 2025 results with double-digit revenue and net income growth, driven by cross-selling and an accelerating network effect - Growth was delivered across all business lines: traceability, compliance, and supply chain, driven by accelerated cross-selling[4] - The onboarding of traceability customers has shifted from primarily retailers to mostly suppliers, expanding the Total Addressable Market (TAM)[4] - Over 70% of new traceability suppliers are now joining the ReposiTrak Traceability Network (RTN) using an automated wizard with little or no human intervention[4] - The 'network effect' is accelerating as larger suppliers bring smaller ingredient providers into the network, driving increased cross-selling opportunities[4] Financial Results This section details ReposiTrak's double-digit revenue growth and increased profitability for FQ3 and the first nine months of fiscal 2025 Third Fiscal Quarter 2025 Results ReposiTrak reported FQ3 2025 total revenue of $5.9 million, a 16.3% increase, with GAAP net income up 26.8% to $2.0 million and diluted EPS of $0.10 FQ3 2025 vs FQ3 2024 Financial Performance | Metric | FQ3 2025 | FQ3 2024 | % Change | | :--- | :--- | :--- | :--- | | Total Revenue | $5.9M | $5.1M | +16.3% | | Operating Income | $1.8M | $1.3M | +43% | | GAAP Net Income | $2.0M | $1.6M | +26.8% | | Net Income to Common Shareholders | $1.9M | $1.4M | +32.8% | | Diluted EPS | $0.10 | $0.08 | +25% | - 98% of the revenue in the quarter was recurring[6] - The company finished the quarter with over $28.1 million in cash and no bank debt[6][10] Year-to-Date Fiscal 2025 Results For the nine months ended March 31, 2025, total revenue grew 10.3% to $16.9 million, with GAAP net income increasing 18.3% to $5.2 million YTD FY2025 vs YTD FY2024 Financial Performance | Metric | Nine Months Ended 3/31/2025 | Nine Months Ended 3/31/2024 | % Change | | :--- | :--- | :--- | :--- | | Total Revenue | $16.9M | $15.3M | +10.3% | | GAAP Net Income | $5.2M | $4.4M | +18.3% | | Net Income to Common Shareholders | $4.9M | $4.0M | +23.8% | | Diluted EPS | $0.26 | $0.21 | +23.8% | Capital Management & Balance Sheet ReposiTrak continues to return capital to shareholders through preferred share redemptions and common stock dividends, maintaining a strong balance sheet with $28.1 million in cash - In FQ3 2025, the company redeemed 70,093 preferred shares for $749,995, anticipating full redemption within three years[8] - A quarterly dividend of $0.01815 per share was declared on March 21, 2025[9] - Approximately $7.9 million remains under the common share buyback authorization, with no shares repurchased during the quarter[8] - The company's cash and cash equivalents increased by 11.9% to $28.1 million at March 31, 2025, from $25.2 million at June 30, 2024[10] Financial Statements This section presents the unaudited consolidated financial statements for periods ended March 31, 2025, including Balance Sheets, Statements of Operations, and Cash Flows Consolidated Condensed Balance Sheets As of March 31, 2025, ReposiTrak reported total assets of $54.8 million and total liabilities of $5.9 million, with cash increasing to $28.1 million Key Balance Sheet Items | Account | March 31, 2025 | June 30, 2024 | | :--- | :--- | :--- | | Cash | $28,134,321 | $25,153,862 | | Total Assets | $54,834,436 | $51,596,732 | | Total Liabilities | $5,913,370 | $4,742,114 | | Total Stockholders' Equity | $48,921,066 | $46,854,618 | Consolidated Condensed Statements of Operations For the three months ended March 31, 2025, revenue was $5.9 million with net income of $2.0 million, while the nine-month period saw $16.8 million revenue and $5.2 million net income Quarterly Statement of Operations (Three Months Ended March 31) | Metric | 2025 | 2024 | | :--- | :--- | :--- | | Revenue | $5,913,732 | $5,084,866 | | Income from operations | $1,808,853 | $1,262,343 | | Net income | $1,965,788 | $1,550,427 | | Diluted income per share | $0.10 | $0.08 | Year-to-Date Statement of Operations (Nine Months Ended March 31) | Metric | 2025 | 2024 | | :--- | :--- | :--- | | Revenue | $16,845,782 | $15,270,729 | | Income from operations | $4,640,965 | $3,703,203 | | Net income | $5,182,023 | $4,380,124 | | Diluted income per share | $0.26 | $0.21 | Consolidated Condensed Statements of Cash Flows For the nine months ended March 31, 2025, net cash from operating activities was $6.8 million, with a $3.0 million increase in the cash balance Key Cash Flow Items (Nine Months Ended March 31) | Metric | 2025 | 2024 | | :--- | :--- | :--- | | Net cash provided by operating activities | $6,763,371 | $4,910,741 | | Net cash used in financing activities | $(3,789,227) | $(4,400,402) | | Net increase in cash | $2,980,459 | $461,801 | | Cash at end of period | $28,134,321 | $24,452,680 | Other Information This section includes details for the investor conference call, a forward-looking statement disclaimer, and investor relations contact information - The company will host a conference call on Thursday, May 15, 2025, at 4:15 p.m. ET to discuss the results[11][12] - The report contains forward-looking statements subject to risks and uncertainties, cautioning readers against undue reliance[13]