Research Solutions ( (RSSS) ) has released its Q2 earnings. Here is a breakdown of the information Research Solutions presented to its investors.
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Research Solutions, Inc., a leading AI-powered research workflow platform, operates in the technology sector by offering cloud-based services to streamline obtaining, managing, and creating intellectual property for top pharmaceutical companies, universities, and businesses globally.
In its fiscal second quarter of 2025, Research Solutions reported a significant 15.5% revenue growth to $11.9 million, alongside a robust increase in platform revenue and annual recurring revenue, highlighting its strong performance in both B2B and B2C markets.
Key highlights from the quarter include a 47% increase in platform revenue, now representing a larger share of total revenue at 39%, and a 23% increase in annual recurring revenue reaching $19.1 million. However, the company faced a net loss of $2.0 million due to increased contingent earnout liabilities, although adjusted EBITDA improved to $963,000, reflecting operational strength.
The company experienced a marked improvement in gross profit by 30%, driven by a favorable shift to higher-margin platform operations. Despite a net loss, the increase in gross margin and operational cash flow highlights the company’s capacity for generating sustained financial performance.
Looking forward, Research Solutions’ management remains optimistic about capitalizing on the ongoing demand for their research workflow solutions, as the company continues to expand its platform deployments and enhance its product offerings to support further growth in the evolving research market.
