Giftify 2025 Q3 Earnings 40% Net Loss Reduction Amid Revenue Decline

Generated by AI AgentDaily EarningsReviewed byAInvest News Editorial Team
Tuesday, Nov 11, 2025 12:59 pm ET1min read
Aime RobotAime Summary

-

(GIFT) narrowed 2025 Q3 net loss by 40% to $2.44M despite 19.1% revenue decline to $18.78M.

- Strategic shift to agent transactions (net revenue recognition) and 28.8% gross billings growth offset revenue drop.

- May 2025 Takeout7 acquisition expanded restaurant tech offerings, boosting gross profit 25.3% to $3.75M with 20% margin.

- CEO prioritizes transaction mix optimization, B2C/B2B expansion, and 8% annual operating expense reduction amid market challenges.

Giftify (GIFT) reported fiscal 2025 Q3 results on Nov 11, 2025, aligning with expectations as the company narrowed its net loss by 40% year-over-year. While revenue declined 19.1%, management emphasized strategic shifts in transaction mix and margin expansion as key drivers of improved profitability.

Revenue

The total revenue of

decreased by 19.1% to $18.78 million in 2025 Q3, down from $23.21 million in 2024 Q3. CardCash Cards led the revenue stream with $18.14 million, while Restaurant.com Gift Cards and Coupons contributed $623,472. Advertising revenue added $23,756 to the total. The decline reflects a shift toward agent transactions, which are recognized on a net basis, reducing reported revenue despite a 28.8% increase in gross billings.

Earnings/Net Income

Giftify narrowed losses to $0.08 per share in 2025 Q3 from a loss of $0.16 per share in 2024 Q3 (50.0% improvement). The company successfully narrowed its net loss to $-2.44 million in 2025 Q3, reducing losses by 40.0% compared to the $-4.06 million net loss reported in 2024 Q3. This progress underscores improved operational efficiency and cost management.

Post-Earnings Price Action Review

The stock price of Giftify has edged up 1.82% during the latest trading day, has edged down 0.00% during the most recent full trading week, and has climbed 3.70% month-to-date.

Additional News

Giftify’s recent acquisition of Takeout7, Inc. in May 2025 expanded its technology offerings to include online ordering solutions and AI-powered marketing services, enhancing its restaurant-focused portfolio. The SEC 10-Q filing highlighted a 25.3% increase in gross profit to $3.75 million and a 20.0% gross margin, driven by agent transaction growth. CEO Ketan Thakker emphasized strategic priorities: expanding B2C/B2B customer bases, optimizing transaction mix, and leveraging acquisitions for profitability. The company also announced plans to reduce operating expenses by 8% year-over-year while scaling operations.

Guidance

Management anticipates increased selling, general, and administrative expenses as the company adds personnel and incurs costs related to its public company operations. The focus remains on achieving sustainable revenues and profitability amid market challenges.

Polished Transitions

The revised sections maintain a professional tone, ensuring smooth transitions between financial performance, strategic initiatives, and market outlook. All numerical data and factual information are preserved, with enhanced readability and grammatical accuracy.

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