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Intelligent Protection (IPM) Earnings Transcript
Yahoo Financeยท 2025-11-13 17:09
Core Insights - The company has successfully integrated operations following the acquisition of Newtek Technology Solutions and rebranding to Intelligent Management Solutions (IPM) [6][14] - IPM is focused on expanding its services to existing customers while enhancing operational efficiencies, particularly in cybersecurity and cloud infrastructure [7][10] Financial Performance - For Q3 2025, IPM reported revenue of $6.2 million, a significant increase from $300,000 in the prior year, with a sequential growth of 9% [14][15] - For the nine months ended September 30, 2025, total revenue reached $17.5 million compared to $800,000 in the same period last year [14][15] - The operating loss for Q3 2025 was $1.4 million, slightly improved from a loss of $1.5 million in Q3 2024 [15][16] - Net loss for Q3 2025 was $1.1 million, down from $1.5 million in Q3 2024, attributed to a $2.1 million income tax benefit recorded earlier [16][18] - Adjusted EBITDA for Q3 2025 was negative $300,000, an improvement from negative $1.5 million in Q3 2024 [17][18] Strategic Initiatives - IPM has entered into a reseller agreement with MindsDB to provide AI capabilities to its customers [11] - The company initiated a stock repurchase plan for up to 400,000 shares, having repurchased 46,658 shares for $88,250 in 2025 [11] - IPM launched the Aura safety tool aimed at minimizing online threats for consumers [12] Market Positioning - The company manages over 9,000 devices under management, indicating a strong service agreement base [19] - IPM emphasizes a high-touch service model, providing dedicated technology managers for each client, which differentiates it from competitors [8][10] - The company is positioned to leverage its technological expertise in critical markets such as legal, healthcare, and finance [10] Future Outlook - IPM plans to grow through potential acquisitions of managed service provider businesses to enhance customer contracts and recurring revenue [20] - The company is well-prepared to mitigate risks associated with public cloud outages by utilizing private data centers [21] - IPM has a clean capital structure with sufficient cash to operate for at least the next twelve months, with potential for future acquisitions if they are accretive [22]