WM Technology 2025 Q2 Earnings Strong Net Income Growth Amid Revenue Decline

WM Technology (MAPS) reported its fiscal 2025 Q2 earnings on Aug 8, 2025. The company delivered a notable 80.8% year-over-year increase in net income, despite a modest revenue contraction. Management provided cautious third-quarter guidance, and the results generally aligned with expectations.

Revenue
WM Technology’s total revenue declined by 2.3% year-over-year to $44.85 million in the second quarter of 2025. The drop in revenue was primarily driven by weaker performance in its core advertising segments, although the SaaS business showed resilience. Weedmaps for Business and other SaaS solutions generated $13.34 million in revenue, while Featured and deal listings accounted for $27.06 million. The remaining $4.45 million came from other ad solutions, bringing the total revenue to $44.85 million for the quarter.

Earnings/Net Income
Despite the revenue decline, WM Technology maintained a stable EPS of $0.01 in the second quarter of 2025, the same as the prior year. More importantly, the company’s net income surged by 80.8% year-over-year to $2.16 million, reflecting improved profitability and cost control.

Price Action
WM Technology’s stock price showed mixed short-term performance in the 2025 Q2 reporting period. On the most recent trading day, the stock rose 3.59%, but it gained just 1.07% over the past week and declined slightly by 0.67% month-to-date.

Post-Earnings Price Action Review
The strategy of purchasing WM Technology shares after a revenue increase in the quarterly report and holding for 30 days showed poor performance over the past three years. The approach yielded no return, with a compound annual growth rate (CAGR) of 0.. The strategy underperformed the benchmark by a significant margin, with an excess return of -51.69%. Additionally, the strategy showed a maximum drawdown of 0.00% and volatility of 0.00%, indicating a risk-averse stance that failed to capitalize on potential gains.

CEO Commentary
Doug Francis, CEO of WM Technology, highlighted the company’s strong cash flow generation and disciplined operations in a challenging market. He noted continued pressures in core cannabis markets but pointed to encouraging progress in emerging regions through new client acquisitions. Susan Echard, CFO, emphasized the company’s solid financial position, including a debt-free balance sheet and strong Adjusted EBITDA performance, while underscoring flexibility in capital management to support future growth.

Guidance
WM Technology provided third-quarter 2025 guidance with revenue expected to range between $41 million and $43 million. Non-GAAP Adjusted EBITDA is projected to fall between $5 million and $7 million. The guidance excludes the potential impact of acquisitions, investments, restructurings, or legal settlements and reflects assumptions made as of August 7, 2025. The company noted that actual results may differ significantly and does not guarantee updates to the guidance.

Additional News
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