POSaBIT Reports Second Quarter 2025 Financial Results

Executive Summary

• POSaBIT Systems Corporation reported its financial results for the quarter ended June 30, 2025, marking the first quarterly net earnings profit in company history.
• The company achieved a historic quarter with Adjusted EBITDA of nearly $800,000 and an Adjusted Gross Profit Margin of 78%, representing a 22% increase over Q1 2025.
• Cash on hand increased to $806,000 as of June 30, 2025, and board members/insiders acquired over 500,000 shares on the open market in July 2025.

Key Details

• Net Earnings: Reported net earnings of $634,736 for Q2 2025, compared to a net loss of $(1,121,030) in Q1 2025 and $(453,961) in Q2 2024.
• Revenues: Reported revenue of $2,653,328 in Q2 2025, down from $2,872,703 in Q1 2025 and $4,077,820 in Q2 2024.
• Adjusted Revenue: Reconciled Adjusted Revenue was $3,617,078 for Q2 2025 (vs. $4,854,070 in Q2 2024), calculated by adding cash receipts from licensing contracts ($1,350,000) and deducting licensing support revenue ($386,250).
• Gross Margin: Reported gross margin was $1,849,612 in Q2 2025. Adjusted Gross Profit was $2,813,362, resulting in an Adjusted Gross Profit Margin of 78% (up from 61% in Q2 2024).
• Adjusted EBITDA: Reported EBITDA was $(24,168). Adjusted EBITDA was $785,822, driven by the addition of $1,350,000 in cash receipts from licensing agreements.
• Operating Expenses: Total operating expenses were $(1,642,300) in Q2 2025, a significant decrease from $(2,635,158) in Q1 2025 and $(2,829,634) in Q2 2024.
• Balance Sheet: Cash and cash equivalents stood at $806,000 as of June 30, 2025, an increase from $736,000 as of March 31, 2025.
• Operational Highlights:
  • Over 75% of new Point of Sale merchants opted to use the POSaBIT eComm online menu.
  • The company reduced its outstanding accounts payable balance quarter-over-quarter.
  • Board and insiders purchased over 500,000 shares on the open market in July 2025.
• Conference Call: A conference call to discuss results is scheduled for August 21, 2025, at 4:30 PM Eastern Time.

Notable Quotes

• “POSaBIT delivered a historic quarter, announcing quarterly highs in Adjusted EBITDA of nearly $800 thousand dollars, Adjusted Gross Profit Margin of 78%, and the increasing of our cash on hand... We are poised for continued growth this year and beyond by adding cash to our balance sheet and increasing our net profits.” — Ryan Hamlin, Co-founder and CEO
• “It is unfortunate that our stock price has not been reflective of our great results as we continue to focus on growth and profits. We are confident that market participants will soon realize the full opportunity and potential of POSaBIT. With the potential of rescheduling now on the horizon, POSaBIT is well positioned to take advantage of what we expect to be a huge uplift to the industry and POSaBIT’s overall growth.” — Ryan Hamlin, Co-founder and CEO