EPWK (EPWK) Q4 2025 earnings summary

Executive summary

• Net revenue for FY2025 was $27.84 million, up 37.7% from FY2024, driven by the launch of digital marketing services, which contributed $10.8 million in revenue.

• Net loss widened to $10.44 million in FY2025 from $1.20 million in FY2024, mainly due to increased operating expenses and lower gross margin.

• Gross profit margin declined to 12.2% in FY2025 from 18.7% in FY2024, reflecting the low-margin nature of the new digital marketing segment.

• The company was delisted from Nasdaq in December 2025 and now trades on the OTCID Basic Market under the symbol EPWKF.

Financial highlights

• Revenue: $27.84M (FY2025), $20.22M (FY2024), $19.80M (FY2023).

• Net loss: $10.44M (FY2025), $1.20M (FY2024), $1.08M (FY2023).

• Gross profit: $3.39M (FY2025), $3.78M (FY2024), $5.05M (FY2023).

• Gross margin: 12.2% (FY2025), 18.7% (FY2024), 25.5% (FY2023).

• Cash at year-end: $0.39M (FY2025), $0.23M (FY2024).

• Operating cash flow: $(10.68)M (FY2025), $(1.62)M (FY2024), $(1.50)M (FY2023).

Outlook and guidance

• Management expects to reduce operating loss and negative cash flow in the upcoming year by leveraging new services and user growth.

• The company plans to continue expanding its online platform and service offerings to drive sustainable profits.

• There is substantial doubt about the company’s ability to continue as a going concern without additional funding or improved operations.