Usio Announces Improved Profitability; Fourth Quarter GAAP Earnings of $0.02 per share and Full Year GAAP Earnings of $0.12 per share

Core Insights - Usio, Inc. reported a record full year 2024 dollar processing volume of $7.1 billion, representing a 33% increase compared to fiscal 2023, with transactions processed also up 26% year-over-year [1][2] - The company achieved a positive GAAP net income of approximately $0.6 million, or $0.02 per share, for the fourth quarter of 2024, marking its third consecutive quarter of positive net income [3][11] - Usio's cash position increased to a record high of $8.1 million at the end of fiscal 2024, up from $7.2 million in 2023 [1][3] Financial Performance - For the fourth quarter of 2024, revenues were $20.6 million, a 2% increase from $20.1 million in the same period in 2023 [7] - Full year revenues for 2024 totaled $82.9 million, down 1% from $84.1 million in 2023 [13] - The company reported gross profits of $5.1 million for the fourth quarter, down 4% from $5.3 million in 2023, with gross margins at 24.6% compared to 26.1% in the prior year [9] Business Unit Performance - ACH and complementary services revenue grew by 17% in the fourth quarter and 12% for the full year, driven by successful cross-selling strategies [3][15] - Card revenue increased by 6% for the quarter and 3% for the year, with PayFac revenues up 29% in the quarter and 22% for the year [3][15] - Output Solutions revenue grew by 13% in the fourth quarter, contributing to overall business unit growth after previous headwinds [3][15] Cash Flow and Share Repurchase - The company generated strong cash flow, allowing for a share repurchase of $1.4 million in 2024, with a new repurchase agreement of $4 million authorized by the Board [3][12] - Cash flow in 2024 was utilized to bolster the balance sheet and support growth initiatives [3] Future Outlook - Usio anticipates revenue growth of 14-16% in fiscal 2025, with Adjusted EBITDA margins expected to be in the range of 5-7% [5] - The company is implementing a new "One Usio" strategy to better integrate its product offerings and enhance market competitiveness [4]