Ionik Delivers Record Revenue & Adjusted EBITDA in Second Quarter 2025

Executive Summary

• Ionik Corporation reported record quarterly financial results for Q2 2025, driven by the integration of recent acquisitions (Nimble5, LLC and Rise4 Inc.).
• Revenue reached $53.5 million, representing a 20% year-over-year increase and a 28% sequential increase from Q1 2025.
• The company generated $9.3 million in Adjusted EBITDA (up 58% YoY) and $7.3 million in Adjusted Free Cash Flow, while simultaneously reducing senior debt by $4.3 million.

Key Details

• Revenue: $53.5 million for Q2 2025; compared to $41.8 million in Q2 2024 and $42.3 million in Q1 2025 (implied from 28% growth).
• Gross Profit: $21.4 million with a 40% gross profit margin, up from $16.7 million (37% margin) in Q2 2024.
• Adjusted EBITDA: $9.3 million, an increase of 58% over Q2 2024 ($5.9 million) and 47% over Q1 2025.
• Adjusted Free Cash Flow: $7.3 million, with a 79% conversion rate, compared to $3.9 million (67% conversion) in Q2 2024.
• Net Income/Loss: Net loss of $2.8 million from continuing operations, compared to a net income of $0.1 million in Q2 2024.
• Cash Position: Cash on hand was $5.1 million as of June 30, 2025 (down from $12.7 million at March 31, 2025). The company had not drawn on its $10.0 million revolving facility.
• Debt Reduction: Total undiscounted debt decreased by $5 million to $117.5 million. This includes $79.7 million in senior lender debt, $29.6 million in convertible debt, $5.3 million in vendor take-back loans, and $3.0 million in working capital notes.
• Debt Repayment: Principal payments of $4.3 million were made on the senior debt term facility during the quarter. Senior debt net of cash stood at $74.6 million.
• Acquisition Impact: Growth in revenue, gross profit, and EBITDA was predominantly attributed to the acquisitions of Nimble5, LLC (September 2024) and Rise4 Inc. (November 2024).
• Six-Month Performance: For the six months ended June 30, 2025, Adjusted EBITDA was $15.6 million (up from $9.8 million in the prior year period), and Adjusted Free Cash Flow was $13.4 million (up from $5.9 million).

Notable Quotes

• "During highly dynamic market conditions our platform and team have responded well as evidenced by our strong EBITDA and Revenues in Q2. We have focused this year on integration across our two platforms - Marketing Optimization and Media Activation - and that streamlined focus is allowing us to service our growing customers better while improving our gross profit margins. We remain confident in the platform and team we've assembled and our ability to achieve our objectives in the second half." — Ted Hastings, CEO