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][3] - 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 [4][13] - 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, indicating strong cash flow management [1][4] Financial Performance - For the fourth quarter of 2024, Usio reported revenues of $20.6 million, a 2% increase from $20.1 million in the same period in 2023 [7] - The company's full year revenues for 2024 were $82.9 million, down 1% from $84.1 million in 2023, primarily due to a decline in prepaid card services revenue [15][18] - Adjusted EBITDA for the year was $2.9 million, a decline of $1.0 million compared to $3.9 million in 2023, attributed to lower revenues and gross margins [18] Business Unit Performance - ACH and complementary services revenue grew by 12% year-over-year to $16.7 million, while credit card revenue increased by 3% to $29.3 million [16] - Prepaid card services revenue saw a significant decline of 25% to $14.1 million, reflecting the wind down of COVID-related incentive programs [16][18] - Output Solutions revenue remained stable with a slight increase of 1% to $20.6 million, supported by new processing equipment implemented during the year [17] Strategic Initiatives - The company is focusing on its "One Usio" strategy to better integrate its product offerings and enhance cross-selling opportunities among existing clients [5] - Usio plans to continue its growth trajectory with guidance for 2025 expecting revenue growth of 14-16% and Adjusted EBITDA margins in the range of 5-7% [6] - The company has reauthorized a stock repurchase agreement of $4 million, reflecting confidence in its long-term prospects [4]