Increase in Gross Margin
Gross margins improved to 78% in Q1 2025, up from 75% in Q1 2024, attributed to operational optimization and lower headcount.
Growth in Subscription Revenue
Average recurring revenue for new subscriptions increased by 20%, moving from $9,300 in Q1 2024 to $11,139 in Q1 2025.
Strong Non-GAAP Financials
Adjusted EBITDA increased to $564,000 (10% of revenue) in Q1 2025 from $61,000 (1% of revenue) in Q1 2024.
Debt Reduction
Debt on the balance sheet was reduced by 78% due to the sale of the compliance business.
Deferred Revenue Increase
Deferred revenue balance increased by 6% to $5 million as of March 31, 2025, compared to $4.7 million as of December 31, 2024.