XBP Global (XBP) Q3 2025 earnings summary

Executive summary

• Completed acquisition of Exela Technologies BPA, expanding global reach and rebranding as XBP Global Holdings, Inc. on July 29, 2025, issuing 81.8 million shares at a $585.7 million equity valuation.

• First consolidated results reported post-acquisition, with pro forma trailing 12-month revenue of $916.4 million and adjusted EBITDA of $103.6 million.

• Q3 2025 pro forma revenue was $220.4 million, down 18.1% year-over-year; reported revenue was $209.1 million, down 10.4%.

• Gross margin improved to 22.0% reported (up 310 bps) and 21.9% pro forma (up 190 bps) year-over-year.

• Pro forma adjusted EBITDA rose 7.4% year-over-year to $24.7 million, with margin up 260 bps to 11.2%.

Financial highlights

• Q3 2025 pro forma revenue was $220.4 million, down 18.1% year-over-year; excluding a one-time project, the decline was 8.3%.

• Gross margin increased to 22.0% reported and 21.9% pro forma.

• Pro forma adjusted EBITDA reached $24.7 million, up 7.4% year-over-year; margin improved to 11.2%, up 260 bps.

• Net loss for Q3 2025 was $305.8 million, primarily due to a $295.8 million goodwill impairment.

• As reported, Q3 2025 revenue was $209.1 million, a 10.4% decrease year-over-year.

Segment performance

• Applied workflow automation segment accounts for 90% of revenue; pro forma revenue declined 18.9% year-over-year, or 8% excluding the one-time project.

• Gross margin in applied workflow automation grew by 160 basis points year-over-year to 17.3%.

• Technology segment represents 10% of revenue but 30% of gross profit, with gross margins of 55%-65%; revenue declined 10.2% year-over-year.

• Applied Workflow Automation Technology segment reported revenue of $189.4 million, down 14.0% year-over-year, with gross margin up 170 bps to 17.7%.