Core Insights - Giftify, Inc. reported a significant increase in gross billings, which rose by 28.8% year-over-year to $39.1 million, indicating strong underlying business momentum despite a decline in net sales [5][10][11] - The company's gross margin expanded by 710 basis points to 20.0%, reflecting improved operational efficiency and a shift towards agent transactions that carry lower inventory risk [9][11] - Net loss improved by 40% to $2.4 million, demonstrating progress in financial performance and operational strategy [9][13] Financial Highlights for Q3 2025 - Reported net sales decreased by 19.1% to $18.8 million compared to $23.2 million in Q3 2024, primarily due to a higher proportion of agent transactions [5][10] - Gross profit increased by 25.3% to $3.7 million, with gross margin improving to 20.0% from 12.9% in the prior year [11][13] - Modified EBITDA loss improved by 60% to $(0.3) million, reflecting enhanced operational efficiency [13] Year-to-Date Financial Highlights for 2025 - Gross billings for the year-to-date increased by 23.8% to $111.2 million compared to $89.8 million in the same period of 2024 [7][28] - Gross profit for the year-to-date rose by 17.6% to $11.1 million, with gross margin expanding to 18.1% from 14.7% [7][28] - Net loss for the year-to-date improved by 45% to $8.2 million, indicating a positive trend in financial performance [7][28] Strategic Initiatives and Operational Progress - The integration of Takeout7 has expanded the company's technology offerings, enhancing online ordering solutions and AI-powered digital marketing services for independent restaurants [8] - Operating expenses were reduced by 8% year-over-year while maintaining investment in growth initiatives [8] - The company is focusing on expanding B2B relationships and optimizing its transaction mix to balance growth in gross billings with margin expansion [8][9]