AG真人官方

Usio Announces First Quarter 2025 Financial Results

Record First Quarter Revenues of听$22.0 million

Total payment dollars processed through all payment channels up 34%听versus the prior year period听

SAN ANTONIO, May 14, 2025 (GLOBE NEWSWIRE) -- Usio, Inc. (Nasdaq: USIO), a leading FinTech company听that operates a full stack of integrated, cloud-based electronic payment and embedded financial solutions, today announced financial results for the first听quarter, which ended March 31, 2025.

Louis Hoch, President and Chief Executive Officer of Usio, said,听鈥淩esults in the first quarter continue to reflect strong fundamental processing growth, disciplined cost control, and strong positive cash flow and a continued commitment to听cash management.听We reported听positive Adjusted EBITDA¹听辞蹿听$0.7 million听and added听$0.7 million in cash to our balance sheet illustrating our improved operational performance.听More importantly, our growing implementation queue from signed deals and pipeline have never been stronger, and we are beginning to generate activity/volume from some of our largest new opportunities. We believe we are in excellent position to generate value for our shareholders over the long-term and believe we have the financial resources to assure that we are well prepared from the ramp in activity arising from the imminent growth in volume associated with this new business."

Total payment dollar processing volume growth accelerated to 34%听in the first听quarter, led by strong growth in our highest margin听line of business, ACH, where electronic check dollar听volume increased听42%, transactions grew听36% and returned check transactions grew听24%, all compared to the same period in 2024.

Revenues for the quarter were听in line with our expectations,听and were up from a year ago, primarily due to strong growth in our ACH and complementary services line of business, offsetting the impact in the quarter from the loss of听breakage revenues arising from the completion听of a large prepaid card programs that were effectively wound down completely by the close of the first quarter of 2024. ACH & complementary services revenue growth was primarily attributable to an increase in ACH volume from net new business and organic growth. The business also benefited from a year over year increase in revenues from ancillary product offerings, such as听Remotely Created Checks, or RCC,听PINless debit as well as听cross-selling to our ACH base. Credit card revenues were up听4%, with PayFac revenues growing a strong 25% and continuing to offset听legacy credit card volume attrition and increased competition. With Payfac now over 50% of our total card business, we believe that overall credit card revenue growth will increasingly reflect PayFac's faster growth.听Prepaid card load volume was a strong听$98 million; we believe听that revenues should start to better reflect our focus on growing programs with recurring revenues in this business line.听Revenues for Output Solutions were up听4%听in the quarter.

For the quarter ended听March 31, 2025, margins were down听1% from the year ago听first quarter, mainly from non-operational factors, primarily听lower interest revenues. Other selling, general and administrative expenses were essentially听flat from the same period last year as part of our commitment to disciplined cost controls.听The Company reported a net loss of approximately听$0.2听尘颈濒濒颈辞苍, or ($0.01) per share, compared to a net loss of $0.3听尘颈濒濒颈辞苍, or ($0.01) per share, a year ago due largely to lower expenses related to stock compensation and depreciation.听 Adjusted EBITDA¹听飞补蝉听$0.7 million, a听$0.1听尘颈濒濒颈辞苍 decrease from the听$0.8 million Adjusted EBITDA¹听a year ago.

Mr. Hoch concluded, 鈥淭he Company is in a strong position, with a growing portfolio of recurring revenues, a best-ever financial position, and听signed contracts that we believe will be adding incremental revenue as they come online, although the timing of when these incremental deals will ramp up听remains uncertain. So far this year we have achieved our goals to strengthen the organization, strengthen our financial position, and expand our market presence.鈥�

^1听Please see reconciliation of GAAP to Non-GAAP Financial Measures below

Quarterly Processing and Transaction Volumes

Total payment transactions processed in the听first quarter of 2025听were 13.7 million, an increase听of 41% over the same quarter of last year.听Total payment dollars processed through all payment channels in the first quarter of 2025 were听$2.0 billion, an improvement of听34% over听last year's first quarter听$1.5 billion in volume.听

We set all-time records in dollars and transactions processed听in our credit card segment, where dollars processed were up听17% and transactions processed were up听65% from a year ago. ACH electronic check transaction volume was听up听36%, electronic check dollars processed were up听42% and return check transactions processed were up听24%. In our听Prepaid business unit,听card load volume was down听15%, transactions processed听up听5% and purchase volume听down听8%.

First听Quarter听2025听Revenue Detail

Revenues for the quarter ended听March 31, 2025听were听$22.0听尘颈濒濒颈辞苍, up听5%听compared to the prior year quarter, due primarily to strong growth in our ACH and complementary services revenues, overcoming听a decrease听in听Prepaid and interest revenues听as our COVID incentive programs were effectively wound down completely by the end of the first quarter in 2024.

Gross profit听for the first quarter of 2025 was听$4.8听million compared to听$4.9听million for the first quarter of 2024, while gross margins were 21.9%, declining from听23.1% in the same period a year ago. This was听primarily due to lower interest revenues. In addition, ACH and complementary services segment revenue growth was strongest in the slightly less profitable complementary services.

Other selling, general and administrative expenses, "SG&A",听were听$4.1听million for the quarter ended March 31, 2025, effectively flat compared to听$4.1听million in the prior year period. This was driven by strategic spend management in our听lines of business, as we focus on improving growing revenues while maintaining nominal growth in SG&A in order to improve profitability.

For the quarter, we reported an听operating loss of听$0.2听尘颈濒濒颈辞苍听compared to a loss of听$0.3听尘颈濒濒颈辞苍 in operating听income for the same quarter a year ago due to nominally reduced gross profits, and marginally increased SG&A expenses. Adjusted EBITDA¹听飞补蝉听$0.7听million for the quarter, compared to听Adjusted EBITDA¹听辞蹿听$0.8听million a year ago. Net loss in听the quarter ended听March 31, 2025听was approximately听$0.2听尘颈濒濒颈辞苍, or ($0.01) per share, compared to a net loss of听$0.3 million, or ($0.01) per share,听for the same period in the prior year.听

Operating Cash Flows听were听$1.4听million for the听three months ended March 31, 2025, as compared to $0.1听尘颈濒濒颈辞苍 in the same period a year ago. The difference was听driven primarily by a reduction in accounts receivable.

We continue听to be in solid financial condition with $8.7听million in cash and cash equivalents as of听March 31, 2025,听a听$0.7 million increase in cash balances over the first听three months of the year while $350,000 was utilized to repurchase shares in the period.

^1听Please see reconciliation of GAAP to Non-GAAP Financial Measures below

Conference Call and Webcast

Usio, Inc.'s management will host a conference call on Wednesday, May 14, 2025, at 4:30 pm Eastern time听to review financial results and provide a business update.听To listen to the conference call, interested parties within the听U.S.听should call +1-844-883-3890. International callers should call听+听1-412-317-9246. All callers should ask for the Usio conference call. The conference call will also be available through a live webcast, which can be accessed via the Company鈥檚 website at听www.usio.com/investors.

A replay of the call will be available approximately one hour after the end of the call through May听28, 2025. The replay can be accessed via the Company鈥檚 website or by dialing听+1-877-344-7529 (U.S.) or听1-412-317-0088听(international). The replay conference playback code is 3107685.

About Usio, Inc.

Usio, Inc. (Nasdaq: USIO), a leading, cloud-based, integrated FinTech electronic payment solutions provider, offers a wide range of payment solutions to merchants, billers, banks, service bureaus, integrated software vendors and card issuers. The Company operates credit, debit/prepaid, and ACH payment processing platforms to deliver convenient, world-class payment solutions and services to听clients through its unique payment facilitation platform as a service. The Company, through its Usio Output Solutions division offers services relating to electronic bill presentment, document composition, document decomposition and printing and mailing services. The strength of the Company lies in its ability to provide tailored solutions for card issuance, payment acceptance, and bill payments as well as its unique technology in the card issuing sector. Usio is headquartered in San Antonio, Texas, and has offices in Austin, Texas. Websites: www.usio.com, www.payfacinabox.com, www.akimbocard.com and www.usiooutput.com. Find us on Facebook庐 and Twitter.

Comparisons

Unless otherwise indicated, all comparisons and growth rates represent year-over-year comparisons, with the quarterly period of this year compared to the corresponding quarter of the prior year.

About Non-GAAP Financial Measures

This press release听includes non-GAAP financial measures, as defined in Regulation G adopted by the Securities and Exchange Commission, of EBITDA,听Adjusted EBITDA, and Adjusted EBITDA margins. The Company reports its financial results in compliance with GAAP, but believes that also discussing non-GAAP financial measures provides investors with financial measures it uses in the management of its business.

• The Company defines EBITDA as operating income (loss), before interest, taxes, depreciation and amortization of intangibles.
• The Company defines Adjusted EBITDA as EBITDA, as defined above, plus non-cash stock option costs and certain non-recurring items, such as costs related to acquisitions.
• The Company defines Adjusted EBITDA margins as听Adjusted EBITDA, as defined above, divided by total revenues.

In previous periods, the Company reported the non-GAAP financial measure of adjusted operating cash flows, which excluded certain items from operating cash flows to provide a measure of cash generated from its core operations. Beginning with the current reporting period, the Company is no longer presenting adjusted operating cash flows as a non-GAAP financial measure.听The decision to discontinue reporting adjusted operating cash flows is due to changes in the presentation of certain assets,听specifically the movement of听assets held for customers, into the financing activities section of our cash flow statement. As a result of this reclassification, we believe that the need for the adjusted operating cash flows measure is no longer required, as the adjustments previously made to exclude these amounts are not necessary.听

Management believes EBITDA, Adjusted EBITDA, and Adjusted EBITDA margins听are helpful to investors in evaluating the Company's operating performance because non-cash costs and other items that management believes are not indicative of its results of operations are excluded.听

EBITDA, Adjusted EBITDA, and Adjusted EBITDA margins should be considered in addition to, not as a substitute for, or superior to, financial measures calculated in accordance with GAAP.听They are not measurements of our financial performance under GAAP and should not be considered as alternatives to revenue,听net income, or cash provided by (used in) operating activities, as applicable, or any other performance measures derived in accordance with GAAP and may not be comparable to other similarly titled measures of other businesses. EBITDA, Adjusted EBITDA, and Adjusted EBITDA margins have limitations as analytical tools and you should not consider these non-GAAP financial measures听in isolation or as a substitute for analysis of our operating results as reported under GAAP.

¹ Please see reconciliation of GAAP to Non-GAAP Financial Measures Below

FORWARD-LOOKING STATEMENTS DISCLAIMER

Except for the historical information contained herein, the matters discussed in this press release include forward-looking statements which are covered by safe harbors. Those statements include, but may not be limited to, all statements regarding management's intent, belief and expectations, such as statements concerning our future and our operating and growth strategy and any guidance for future periods. These forward-looking statements are identified by the use of words such as "believe," "should,"听"intend," "look forward," "anticipate," "schedule,鈥� and "expect" among others. Forward-looking statements in this press release are subject to certain risks and uncertainties inherent in the Company's business that could cause actual results to vary, including such risks related to an economic downturn, the management of the Company's growth, the loss of key resellers, the relationships with the Automated Clearing House network, bank sponsors, third-party card processing providers and merchants, the security of our software, hardware and information, the volatility of the stock price, the need to obtain additional financing, risks associated with new听legislation, and compliance with complex federal, state and local laws and regulations, and other risks detailed from time to time in the Company's filings with the Securities and Exchange Commission including its annual report on Form 10-K for the fiscal year ended December 31, 2024. One or more of these factors have affected, and in the future could affect, the Company鈥檚 businesses and financial results听and could cause actual results to differ materially from plans and projections. Although the Company believes that the assumptions underlying the forward-looking statements included in this press release are reasonable, the Company can give no assurance such assumptions will prove to be correct. In light of the significant uncertainties inherent in the forward-looking statements included herein, the inclusion of such information should not be regarded as a representation by us or any other person that the objectives and plans will be achieved. All forward-looking statements made in this press release are based on information presently available to management. The Company assumes no obligation to update any forward-looking statements, except as required by law.

Contact:

Paul Manley
Senior Vice President, Investor Relations

612-834-1804