USIO Earnings Prediction
The chart below shows how USIO performed 10 days before and after its earnings report, based on data from the past quarters. Typically, USIO sees a -0.79% change in stock price 10 days leading up to the earnings, and a -5.05% change 10 days following the report. On the earnings day itself, the stock moves by +4.56%. This data can give you a slight idea of what to expect for the next quarter's release.
USIO Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
21.32M
3.90%
6.18%
Gross Margin
20.23%
12.95%
-4.49%
Operating Margin
-1.77%
-70.05%
70.19%
Net Margin
13.37%
480.91%
3418.42%
EPS
0.10
350.00%
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No Data Available
USIO Earnings Analysis
Usio, Inc. Common Stock Corporation (USIO.O) Earnings Conference Call
Positive
Payment Processing Surge: 1. Accelerated Payment Processing Growth: Total payment dollar processing volume grew by 46% compared to the previous quarter, while transactions processed increased by 31%.
ACH Revenue Surge: 2. Record ACH Revenue Growth: ACH revenues rose by 22% in the quarter, marking the fifth consecutive quarter of recovery, with electronic check transaction volume up 25% and check dollars processed up 61%.
Card Issuing Metrics Surge: 3. Significant Increase in Card Issuing Metrics: Total dollars loaded on cards exceeded $140 million, up 21%, with purchase volume increasing by 23% and total transactions processed rising by 58%.
Adjusted EBITDA Surge: 4. Strong Adjusted EBITDA Performance: The company reported nearly $800,000 of adjusted EBITDA for the quarter, more than double that of the previous year, indicating improved operational profitability.
Cash Flow and Buyback Strategy: 5. Positive Cash Flow and Share Repurchase: Usio's cash position improved with $2.4 million of adjusted operating cash flows over the first nine months of 2024, alongside a $200,000 stock buyback, demonstrating effective capital management.
Negative
Gross Margin Decline: 1. Declining Gross Margins: Gross margins decreased sequentially by approximately 1% from Q2 to Q3, attributed to a mix in product lines and the loss of benefits from the New York City COVID program.
Revenue Gap Challenge: 2. Revenue Replacement Challenge: The company is replacing nearly $12 million in annualized revenue from the New York City COVID incentive program, which ended earlier this year, indicating a significant revenue gap that needs to be filled.
Implementation Delays Impacting Growth: 3. Slow Implementation Progress: Implementations for a large web-based ERP ISV have been slower than anticipated, which could impact future revenue growth and operational performance.
Flat Year Performance Outlook: 4. Flat Year Projection: The fourth quarter is expected to mirror the third quarter's performance, with potential slippage from ISV implementations leading to a flat year compared to fiscal 2023, which is seen as a notable achievement but lacks growth.
M&A Market Challenges: 5. Limited M&A Opportunities: The M&A market has not been favorable, with the company unable to find suitable acquisition targets that meet their criteria, indicating a cautious approach to capital allocation despite a growing cash position.
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USIO Earning Call Sentiment
Usio, Inc. (USIO) Q3 2024 Earnings Call Transcript
1.0x
00:00
00:00
USIO.O
9.52%Positive
The earnings call reflects strong financial performance, with significant growth in payment processing volumes, card services, and ACH revenues. Despite some implementation delays and competitive pressures, the company is enhancing its margins and maintaining a strong cash position. The share repurchase plan adds to positive sentiment. The Q&A section reveals optimism about margin improvement and strategic capital allocation, though some responses lacked clarity. Overall, the positive financial results and strategic initiatives outweigh the concerns, predicting a positive stock price movement.