I3 Verticals ( (IIIV) ) has released its Q3 earnings. Here is a breakdown of the information I3 Verticals presented to its investors.
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i3 Verticals, Inc., a company specializing in providing enterprise software solutions for the public sector, reported its financial results for the third quarter of fiscal year 2025, showcasing significant improvements in revenue and profitability metrics.
For the third quarter ended June 30, 2025, i3 Verticals reported a 12.4% increase in revenue from continuing operations, reaching $51.9 million compared to the same period last year. The company also significantly reduced its net loss from continuing operations to $1.0 million, down from $14.4 million in the prior year. Notably, the adjusted EBITDA from continuing operations rose by 18% to $12.7 million, reflecting improved operational efficiencies.
Key financial highlights include a substantial increase in non-GAAP adjusted diluted earnings per share from continuing operations, which rose to $0.23 from $0.02 in the previous year. Additionally, the company achieved a 12% growth in Annualized Recurring Revenue (ARR), driven by a 24% increase in SaaS revenue and an 11% rise in payments revenue.
Looking ahead, i3 Verticals remains optimistic about its financial health, with over $50 million in cash reserves. The company plans to continue investing in government technology, aiming to enhance the efficiency of state and local government operations. The management has reaffirmed its revenue guidance for the fiscal year ending September 30, 2025, projecting revenue between $207 million and $217 million.
Overall, i3 Verticals is positioned for continued growth and stability, leveraging its focus on recurring revenue streams and strategic investments in public sector technology solutions.