The chart below shows how ISPR performed 10 days before and after its earnings report, based on data from the past quarters. Typically, ISPR sees a +2.58% change in stock price 10 days leading up to the earnings, and a +8.36% change 10 days following the report. On the earnings day itself, the stock moves by +1.51%. This data can give you a slight idea of what to expect for the next quarter's release.
Positive
Stable Revenue Performance: Revenue for Q2 2025 reached $41.8 million, a slight increase of 0.3% from $41.7 million in Q2 2024, indicating stable revenue performance.
Gross Margin Improvement: Gross margin improved to 18.5%, up from 15% in the prior year, contributing to a gross profit increase to $7.7 million from $6.3 million, reflecting a successful transition to higher quality customer relationships.
Nicotine Business Revenue Growth: Revenue from the nicotine business accounted for $31 million in Q2 2025, demonstrating strong performance and growth in international markets, particularly in Africa.
Breakfast Nicotine Product Launch: The successful launch of breakfast nicotine products in South Africa and Nigeria established a presence in over 500 retail locations, with plans to expand to 2,000 stores in the next six months, indicating robust market entry and consumer acceptance.
Stock Repurchase Program Authorization: A $10 million stock repurchase program was authorized by the Board of Directors, reflecting confidence in the company's long-term vision and commitment to enhancing shareholder value.
Negative
North America Revenue Decline: Revenue from North America declined by $9,000,000 or 45.3% compared to the same period last fiscal year, primarily due to decreases in sales of cannabis vaping products.
Asia Pacific Revenue Decline: Asia Pacific revenues fell by $2,400,000 or 39.6% compared to the prior comparable period, indicating a significant downturn in that region's performance.
Operating Expenses Increase: Total operating expenses increased to approximately $15,100,000, up from $10,200,000 in the same period last year, reflecting higher costs associated with strategic initiatives.
Quarterly Net Loss Increase: Net loss for the quarter was $8,000,000 or $0.14 per share, compared to a net loss of $4,000,000 or $0.07 per share in the prior year, indicating worsening financial performance.
Cash Flow Challenges Ahead: Cash flow expectations for breakeven have been pushed out due to one-time expenses related to cost-saving initiatives, suggesting ongoing financial instability.
Earnings call transcript: Ispire Tech Q4 2024 misses EPS, stock up 4.93%
ISPR.O
6.15%