Park City Group, Inc.(PCYG) - 2025 Q3 - Quarterly Results

Executive Summary ReposiTrak reported strong FQ3 2025 financial results with significant revenue and net income growth, driven by cross-selling and network expansion FQ3 2025 Performance Highlights ReposiTrak achieved strong FQ3 2025 financial results, reporting significant revenue and net income growth across all business lines FQ3 2025 Financial Highlights | Metric | FQ3 2025 | FQ3 2024 | Change (%) | | :-------------------------------- | :--------- | :--------- | :--------- | | Total Revenue ($) | $5.9 million | $5.1 million | +16.3% | | GAAP Net Income ($) | $2.0 million | $1.6 million | +26.8% | | Net Income to Common Shareholders ($) | $1.9 million | $1.4 million | +32.8% | | Diluted EPS ($) | $0.10 | $0.08 | +25.0% | CEO Commentary CEO Randall K. Fields emphasized growth across all business lines, driven by accelerated cross-selling, successful supplier onboarding, and an accelerating network effect - Growth was delivered across all business lines: traceability, compliance, and supply chain, driven by accelerated cross-selling[4] - Onboarding of traceability customers shifted from primarily retailers to mostly suppliers, expanding the total addressable market (TAM)[4] - Automation enhancements led to over 70% of new traceability suppliers joining the ReposiTrak Traceability Network (RTN) using an automated wizard with little or no human intervention[4] - The network effect is accelerating, with larger suppliers bringing smaller ingredient providers into the network, driving increased cross-selling and accelerating profitability and cash generation[4] Financial Performance Overview This section provides a comprehensive overview of ReposiTrak's financial performance for FQ3 2025 and year-to-date, highlighting key growth metrics Third Fiscal Quarter (FQ3 2025) Results ReposiTrak achieved double-digit growth in FQ3 2025, with revenue up 16.3% and GAAP net income up 26.8%, driven by strategic investments and cost management FQ3 2025 Financial Results | Metric | FQ3 2025 | FQ3 2024 | Change (%) | | :-------------------------------- | :--------- | :--------- | :--------- | | Total Revenue ($) | $5.9 million | $5.1 million | +16.3% | | Total Operating Expense ($) | $4.1 million | $3.8 million | +7.4% | | Operating Income ($) | $1.8 million | $1.3 million | +43% | | GAAP Net Income ($) | $2.0 million | $1.6 million | +26.8% | | Net Income to Common Shareholders ($) | $1.9 million | $1.4 million | +32.8% | | Diluted EPS ($) | $0.10 | $0.08 | +25.0% | - 98% of the revenue in FQ3 2025 was recurring[6] - The Company finished the quarter with over $28.1 million in cash and no bank debt[6] Year-to-Date (YTD) Results For the first nine months of fiscal year 2025, total revenue grew by 10.3% and GAAP net income increased by 18.3%, demonstrating consistent performance YTD FQ3 Financial Results | Metric | YTD FQ3 2025 | YTD FQ3 2024 | Change (%) | | :-------------------------------- | :----------- | :----------- | :----------- | | Total Revenue ($) | $16.9 million | $15.3 million | +10.3% | | Total Operating Expense ($) | $12.2 million | $11.6 million | +5.5% | | GAAP Net Income ($) | $5.2 million | $4.4 million | +18.3% | | Net Income to Common Shareholders ($) | $4.9 million | $4.0 million | +23.8% | | Diluted EPS ($) | $0.26 | $0.21 | +23.8% | Capital Management and Financial Position This section details the company's capital management strategies, including share redemptions and dividends, alongside its strong balance sheet position Return of Capital The company continued its capital return strategy through preferred share redemptions and quarterly cash dividends, supported by a significant share buyback authorization Preferred Share Redemption | Preferred Share Redemption | FQ3 2025 | YTD FQ3 2025 | Total to Date | Remaining | | :------------------------- | :--------- | :----------- | :------------ | :-------- | | Shares Redeemed | 70,093 | 431,586 | 431,586 | N/A | | Total Value ($) | $749,995 | $4.6 million | $4.6 million | $4.3 million | - The Company anticipates redeeming all of its preferred shares issued and outstanding within three years[8] - ReposiTrak has approximately $7.9 million remaining of the $21 million total common share buyback authorization[8] Dividend Details | Dividend Details | Amount | Frequency | Record Date | Payment Date | | :--------------- | :----- | :-------- | :---------- | :----------- | | Quarterly Dividend ($ per share) | $0.01815 | Quarterly | March 31, 2025 | May 15, 2025 | | Annualized Dividend ($ per share) | $0.0726 | Annually | N/A | N/A | Balance Sheet Overview ReposiTrak maintained a strong liquidity position with an 11.9% increase in cash and cash equivalents and no bank debt Balance Sheet Metrics | Metric | March 31, 2025 | June 30, 2024 | Change (%) | | :-------------------- | :------------- | :------------ | :--------- | | Cash and Cash Equivalents ($) | $28.1 million | $25.2 million | +11.9% | - The Company carries no bank debt[10] Corporate Information and Disclosures This section provides essential corporate information, including conference call details, company overview, forward-looking statements, and investor relations contacts Conference Call Details Details for the FQ3 2025 earnings conference call and webcast, including dial-in and replay information, were provided for investors - A conference call was scheduled for Thursday, May 15, 2025, at 4:15 p.m. ET to discuss the Company's results[11][12] - The conference call will also be webcast and available via the investor relations section of the Company's website, www.repositrak.com[11](index=11&type=chunk) About ReposiTrak ReposiTrak is a SaaS platform offering food traceability, compliance, risk management, and supply chain solutions to various industry participants - ReposiTrak (NYSE: TRAK) provides retailers, suppliers, food manufacturers, and wholesalers with a robust solution suite to help reduce risk, remain in compliance with regulatory requirements, enhance operational controls, and increase sales[12] - The solution suite consists of three product families: food traceability, compliance and risk management, and supply chain solutions, all integrated and cloud-based[12] Forward-Looking Statement The document contains forward-looking statements subject to inherent risks and uncertainties, cautioning readers against undue reliance on projections - Any statements not historical facts are forward-looking statements as defined in the U.S. Private Securities Litigation Reform Act of 1995, identified by words such as 'anticipate,' 'believe,' 'estimate,' 'expect,' etc[13] - Projections of future results should not be construed as a guarantee and are subject to change, potentially differing materially from final reported results[13] - Readers are cautioned not to place undue reliance on these forward-looking statements, and risks and uncertainties are discussed in ReposiTrak's Form 10-K and 10-Q reports[13] Investor Relations Contact Contact information for investor relations inquiries regarding ReposiTrak was provided - Investor relations contact: John Merrill, CFO (Investor-relations@repositrak.com) or Rob Fink of FNK IR (646.809.4048, rob@fnkir.com)[14] Consolidated Financial Statements This section presents the unaudited consolidated financial statements, including balance sheets, statements of operations, and cash flows Consolidated Condensed Balance Sheets The unaudited consolidated balance sheets present the company's financial position as of March 31, 2025, and June 30, 2024 Consolidated Condensed Balance Sheets (Unaudited) | Balance Sheet Item | March 31, 2025 | June 30, 2024 | | :-------------------------------- | :------------- | :------------ | | Cash ($) | $28,134,321 | $25,153,862 | | Total Current Assets ($) | $32,752,375 | $29,300,167 | | Total Assets ($) | $54,834,436 | $51,596,732 | | Total Current Liabilities ($) | $5,434,176 | $4,543,142 | | Total Liabilities ($) | $5,913,370 | $4,742,114 | | Total Stockholders' Equity ($) | $48,921,066 | $46,854,618 | Consolidated Condensed Statements of Operations and Comprehensive Income The unaudited consolidated statements of operations detail financial performance for the three and nine months ended March 31, 2025, compared to the prior year Consolidated Condensed Statements of Operations and Comprehensive Income (Unaudited) | Income Statement Item | 3 Months Ended Mar 31, 2025 | 3 Months Ended Mar 31, 2024 | 9 Months Ended Mar 31, 2025 | 9 Months Ended Mar 31, 2024 | | :-------------------------------- | :-------------------------- | :-------------------------- | :-------------------------- | :-------------------------- | | Revenue ($) | $5,913,732 | $5,084,866 | $16,845,782 | $15,270,729 | | Total Operating Expense ($) | $4,104,879 | $3,822,523 | $12,204,817 | $11,567,526 | | Income from Operations ($) | $1,808,853 | $1,262,343 | $4,640,965 | $3,703,203 | | Net Income ($) | $1,965,788 | $1,550,427 | $5,182,023 | $4,380,124 | | Diluted Income per Share ($) | $0.10 | $0.08 | $0.26 | $0.21 | Consolidated Condensed Statements of Cash Flows The unaudited consolidated statements of cash flows detail cash generation and usage from operating, investing, and financing activities Consolidated Condensed Statements of Cash Flows (Unaudited) | Cash Flow Item (9 Months Ended Mar 31) | 2025 | 2024 | | :------------------------------------- | :----------- | :----------- | | Net cash provided by operating activities ($) | $6,763,371 | $4,910,741 | | Net cash provided by (used in) investing activities ($) | $6,315 | $(48,538) | | Net cash used in financing activities ($) | $(3,789,227) | $(4,400,402) | | Net increase in cash and cash equivalents ($) | $2,980,459 | $461,801 | | Cash and cash equivalents at end of period ($) | $28,134,321 | $24,452,680 |