The chart below shows how RSSS performed 10 days before and after its earnings report, based on data from the past quarters. Typically, RSSS sees a -0.33% change in stock price 10 days leading up to the earnings, and a -0.16% change 10 days following the report. On the earnings day itself, the stock moves by +1.10%. This data can give you a slight idea of what to expect for the next quarter's release.
Positive
Strong Financial Growth: A 20% increase in total revenue and a 67% increase in platform revenue for the quarter were reported, showcasing strong financial growth.
Annual Recurring Revenue Surge: A 60% increase in Annual Recurring Revenue (ARR) was achieved, with B2B contributing $12.2 million and B2C contributing $5.4 million.
Adjusted EBITDA Improvement: Adjusted EBITDA improved significantly, generating $1.3 million in EBITDA and $800,000 in cash flow from operations, leading to nearly $4 million in adjusted EBITDA on a TTM basis.
Annual Recurring Revenue Surge: The company ended the quarter with $17.6 million in annual recurring revenue, up 60% year-over-year, indicating strong customer retention and growth.
Subscription Revenue Surge: The platform subscription revenue increased 67% to $4.3 million, driven primarily by the acquisition of Syte and an increase in platform deployments.
Negative
Quarterly Revenue Increase: Total revenue for the first quarter of fiscal 2025 was $12 million, a 20% increase from the first quarter of fiscal 2024. Our platform subscription revenue increased 67% to $4.3 million.
Q1 Deployment Challenges: Our first quarter deployments and incremental ARR were lower than average due to several factors including lower B2C subscription revenue growth during the summer months and the impact of the traditional European vacation period.
Net Income Improvement: Our first quarter net income was $669,000 or $0.02 per diluted share, compared to a net loss of $988,000 or negative $0.04 per share in the prior year quarter.
Quarterly Adjusted EBITDA Growth: Adjusted EBITDA for the quarter was $1.3 million, a 10.6% margin compared to a negative $441,000 in the year-ago quarter.
Customer Count Comparison: Our total active customer count for the quarter was 1,390 compared to 1,395 in the same period a year ago.
Research Solutions, Inc. (RSSS) Q1 2025 Earnings Call Transcript
RSSS.O
1.37%