Liquidity Services Reports Record GMV, Revenue, and Profitability Amid Macro Headwinds

Liquidity Services Inc. reported record GMV of $413 million, a 9% YoY increase, and strong profitability with a 28% revenue increase to $119.9 million and a 16% rise in non-GAAP adjusted EBITDA to $17 million. The GovDeals segment delivered an impressive GMV of $252 million, while the Capital Assets Group achieved double-digit organic growth in GMV and direct profit. Despite challenges in international markets and soft vehicle prices, the company provided guidance for the fourth quarter, projecting GMV in the range of $355 million to $390 million and anticipating double-digit growth in adjusted EBITDA for the full year 2025.

Liquidity Services Inc. (LQDT) has announced its third-quarter fiscal year 2025 financial results, showcasing robust growth and strong profitability. The company reported a record Gross Merchandise Volume (GMV) of $413.0 million, marking a 9% increase year-over-year (YoY) [1]. Revenue surged by 28% to $119.9 million, while GAAP Net Income rose by 24% to $7.4 million. The company also achieved a 16% increase in non-GAAP adjusted EBITDA to $17.0 million [2].

The GovDeals segment delivered an impressive GMV of $252.3 million, while the Capital Assets Group (CAG) achieved double-digit organic growth in GMV and direct profit. Despite challenges in international markets and soft vehicle prices, the company provided guidance for the fourth quarter, projecting GMV in the range of $355 million to $390 million and anticipating double-digit growth in adjusted EBITDA for the full year 2025 [1].

Liquidity Services maintains a strong financial position with $167.0 million in cash and zero financial debt, providing flexibility for continued investments and potential acquisitions. The company's strategic investments in software, platform innovation, and marketing are key drivers enhancing market share and delivering value to both sellers and buyers. Despite economic uncertainties, Liquidity Services is well-positioned to sustain growth, leveraging its leading technology platforms and expanding its direct-to-consumer operations [1].

References:
[1] https://www.gurufocus.com/news/3044047/liquidity-services-announces-third-quarter-fiscal-year-2025-financial-results-lqdt-stock-news
[2] https://investors.liquidityservices.com/news-releases/news-release-details/liquidity-services-announces-third-quarter-fiscal-year-2025-0