Vertiqal Studios Announces Q3 2025 Results

Executive Summary

• Vertiqal Studios reported Q3 2025 revenue of $2.16 million, up 16% YoY, driven by recent acquisitions.
• Gross margin improved to 57% for the quarter (up from 53% YoY) and is 63% year‑to‑date.
• Normalized EBITDA remained negative at $(576k), reflecting one‑time integration costs; management targets positive normalized EBITDA in 2026.

Key Details

• Revenue: $2,158,802 for the three months ended Sep 30 2025 (vs. $1,863,636 YoY).
• Gross Profit: $1,233,483 (up 24% YoY); gross margin 57% vs. 53% in Q3 2024.
• Total Expenses: $4,263,224 (up 668% YoY) due largely to debt extinguishment and integration costs.
• Normalized EBITDA: $(576,315) for Q3 2025, a 40% decline from $(465,962) in Q3 2024.
• Adjusted Loss: $(376,478) for the quarter, improving 53% from $(807,976) YoY.
• Nine‑Month Comparison: Revenue down 4% YoY to $3.64 million; gross profit down 9% YoY; total expenses up 102% YoY.
• Debt Position: Repayment of promissory note eliminated security interests and associated debt.
• Integration Update: Acquired Enthusiast Gaming assets (Sept 2025) and Google Ad Manager license; integration costs expected to taper with synergy savings in upcoming quarters.
• Management Outlook: Focus on post‑acquisition integration, expanding direct advertising partnerships, and achieving positive normalized EBITDA in 2026.

Notable Quotes

“Q3 opened the aperture of scale… while integration drove temporary costs, our core model continues to run at healthy gross margins… we are focused on one simple goal: reach positive normalized EBITDA in 2026 for the very first time in our operating history.” – Jon Dwyer, Chairman and CEO

All forward‑looking statements are subject to risks and uncertainties; actual results may differ materially.