ON24(US:ONTF)2025-11-10 21:19Financial Performance - Total revenue for Q3 2025 was $34.6 million, with Core Platform revenue of $34.0 million[5] - Total Annual Recurring Revenue (ARR) reached $124.5 million as of September 30, 2025, with Core Platform ARR at $122.4 million[6] - GAAP net loss was $6.4 million, or $(0.15) per diluted share, an improvement from a net loss of $11.4 million, or $(0.27) per diluted share in Q3 2024[6] - Non-GAAP net income was $1.2 million, or $0.03 per diluted share, compared to $1.1 million, or $0.02 per diluted share in Q3 2024[6] - Free cash flow for the quarter was $2.2 million, up from $0.1 million in Q3 2024[6] - Total revenue for Q3 2025 was $34.602 million, a decrease of 4.7% from $36.325 million in Q3 2024[29] - Subscription and other platform revenue for the nine months ended September 30, 2025, was $96.729 million, down 5.5% from $102.836 million in the same period of 2024[29] - Gross profit for Q3 2025 was $25.863 million, compared to $26.987 million in Q3 2024, reflecting a gross margin of 75%[29][37] - Operating expenses for Q3 2025 totaled $33.852 million, a decrease of 16.1% from $40.332 million in Q3 2024[29] - Net loss for Q3 2025 was $6.375 million, an improvement from a net loss of $11.406 million in Q3 2024[29] - Non-GAAP gross profit for Q3 2025 was $26.416 million, compared to $27.942 million in Q3 2024, with a non-GAAP gross margin of 76%[37] - Total revenue for the three months ended September 30, 2025, was $34,602, a decrease of 4.0% compared to $36,325 in the same period of 2024[48] - Subscription and other platform revenue for the core platform was $31,449 for the three months ended September 30, 2025, down from $33,272 in 2024, representing a decline of 5.5%[48] - Non-GAAP net income for the three months ended September 30, 2025, was $1,238, compared to $1,096 in the same period of 2024, reflecting an increase of 12.9%[42] - GAAP net loss for the three months ended September 30, 2025, was $(6,375), an improvement from $(11,406) in 2024[41] - Free cash flow for the three months ended September 30, 2025, was $2,162, significantly up from $143 in the same period of 2024[46] - Non-GAAP operating loss for the three months ended September 30, 2025, was $(376), compared to $(843) in 2024, indicating a reduction of 55.5%[40] - Total core platform revenue for the nine months ended September 30, 2025, was $102,702, down from $108,908 in 2024, a decrease of 5.7%[48] - Adjusted EBITDA for the three months ended September 30, 2025, was $673, compared to $228 in the same period of 2024, showing an increase of 195.7%[41] Cash and Securities - Cash, cash equivalents, and marketable securities totaled $175.2 million as of September 30, 2025[6] - Total cash, cash equivalents, and restricted cash at the end of Q3 2025 was $47.329 million, significantly up from $11.108 million at the end of Q3 2024[35] - Cash provided by operating activities for the nine months ended September 30, 2025, was $8.512 million, compared to $3.821 million in the same period of 2024[35] Restructuring and Expenses - The company reported stock-based compensation expense of $7.258 million for Q3 2025, down from $11.876 million in Q3 2024[35] - The company incurred restructuring costs of $107 thousand in Q3 2025, compared to $486 thousand in Q3 2024[32] - Operating expenses for Q3 2025 totaled $33.852 million, a decrease of 16.1% from $40.332 million in Q3 2024[29] Future Outlook - ON24 expects Q4 2025 total revenue to be between $33.9 million and $34.5 million, with Core Platform revenue in the range of $33.3 million to $33.9 million[11] AI Solutions - Nearly 20% of customers are now utilizing ON24's AI-powered solutions, indicating a growing adoption of AI offerings[3] - ON24 AI Propel+ was introduced as a new solution to enhance virtual events with AI-generated content[11] Collaboration - The company announced a collaboration with LinkedIn to enhance event marketing capabilities[11] Stock Information - The weighted average common stock outstanding for basic and diluted was 42,654,869 for the three months ended September 30, 2025, compared to 41,870,709 in 2024[44] Professional Services - Total professional services revenue for the three months ended September 30, 2025, was $2,615, slightly up from $2,465 in 2024, an increase of 6.1%[48]