Rimini Street(RMNI) - 2025 Q3 - Quarterly Results

Revenue Performance - Revenue for Q3 2025 was $103.4 million, a decrease of 1.2% compared to $104.7 million in Q3 2024; excluding Oracle's PeopleSoft support wind down, revenue increased by 2.5%[3] - U.S. revenue was $46.3 million, down 10.3% year-over-year; excluding the wind down, it decreased by 4.4%[3] - International revenue was $57.2 million, an increase of 7.7% year-over-year; excluding the wind down, it increased by 8.6%[3] - Total revenue for Q3 2025 was $103,428, a decrease of 1.2% compared to $104,672 in Q3 2024[19] - Gross profit for Q3 2025 was $61,938, down from $63,537 in Q3 2024, reflecting a gross margin of 59.9%[19] Client Metrics - Active Clients increased to 3,155, representing a growth of 1.9% year-over-year[3] - Active clients increased, indicating growth in business and effectiveness of sales strategies[24] Financial Performance - Net income for Q3 2025 was $2.8 million, compared to a net loss of $43.1 million for the same period last year[8] - Operating income for Q3 2025 was $4,385, compared to a loss of $49,594 in Q3 2024[19] - Net income for Q3 2025 was $2,766, a significant improvement from a net loss of $43,100 in Q3 2024[19] - Non-GAAP Operating Income was $8.5 million, compared to $13.4 million for the same period last year[8] - Non-GAAP operating income for Q3 2025 was $8,544, compared to $13,402 in Q3 2024[21] Revenue Obligations and Billings - Remaining Performance Obligations (RPO) reached $611.2 million, an increase of 6.4% year-over-year[3] - Adjusted Calculated Billings were $63.9 million, up 6.7% from the prior year[3] - Adjusted calculated billings for Q3 2025 were $63,943, up from $59,939 in Q3 2024[21] - Calculated Billings represent the change in deferred revenue plus revenue for the current period[32] - Adjusted Calculated Billings exclude those associated with PeopleSoft services[33] Recurring Revenue - Annualized Recurring Revenue was $391.0 million, a decrease of 2.6% year-over-year; excluding the wind down, it increased by 1.0%[3] - Annualized recurring revenue provides insight into expected revenue from existing clients, excluding non-recurring revenue[25] Assets and Liabilities - Total current liabilities decreased to $275,302 from $324,592 year-over-year[19] - Total assets decreased to $352,860 from $369,063 year-over-year[19] Future Guidance - The Company plans to provide forward-looking guidance at its Analyst and Investor Day on December 3, 2025[5] Costs and Adjustments - Stock-based compensation expense is utilized to align employee interests with stockholders and achieve long-term retention, leading to variability unrelated to operational decisions[29] - Reorganization costs primarily consist of severance costs related to the company's reorganization plan[30] - EBITDA is defined as net income adjusted for interest expense, income taxes, and depreciation and amortization[31] - Adjusted EBITDA excludes litigation costs, stock-based compensation expense, and reorganization costs[31]