Snipp Interactive (SPN) Q3 2025 earnings summary

Executive summary

• Q3 2025 revenue declined 13% year-over-year to $5.8 million, but YTD revenue increased 6% to $17.0 million, with operational adjustments leading to positive EBITDA and net income on a reduced revenue base.

• Gross margin improved to 64% in Q3 2025 from 62% in Q3 2024; YTD gross margin was 59% versus 60% last year.

• EBITDA for Q3 2025 was $0.5 million, down from $0.71 million in Q3 2024; YTD EBITDA was negative $0.38 million, a decrease from $0.12 million in 2024.

• Deferred revenue remained elevated at $6.9–$7 million, with a bookings backlog of $15.2–$15.3 million, providing strong future revenue visibility.

• A major partnership with Inmar Intelligence was soft-launched, expanding digital incentive reach to over 67 million consumers and integrating with Bank of America Deals.

Financial highlights

• Q3 2025 revenue was $5.8 million, down from $6.7 million in Q3 2024.

• Gross profit was $3.7 million, with gross margin improving to 64% from 62% year-over-year due to cost reductions.

• Cash at quarter-end was $3.9 million, up from $3.7 million at the end of 2024, and the company remains debt free.

• Cash flow from operations was $0.93 million, reflecting ongoing infrastructure investments but down $1.5 million from the prior year quarter.

• Operating expenses decreased by 12% year-over-year in Q3 2025.

Outlook and guidance

• Management expects continued cost optimization, with further reductions visible in Q2 2026.

• Gross margins are expected to remain in the current range, supported by historical performance.

• No clear improvement in client decision-making is anticipated; the current environment of indecision is expected to persist.

• The Inmar partnership is expected to ramp up in 2026, with national retailers joining and increased monetization opportunities.

• Strategic initiatives with partners for the Financial Media Network are progressing, with over 500 offers live and a national rollout planned.