Netcapital Announces FY25 Financial Results with $869,460 in Revenue and $8.3mln Operating Loss

Netcapital Inc. reported FY25 revenues of $869,460, a decrease from $4,951,435 in FY24, driven by a decline in consulting services. The company recorded an operating loss of $8.3 million and a net loss per share of $20.39. Netcapital announced a strategic shift to focus on building a stronger foundation for the future, with a broker-dealer license secured.

Netcapital Inc. (NCPL), a fintech company specializing in online capital formation, reported its fiscal year 2025 (FY25) financial results, showcasing a notable decline in revenues and increased losses. The company reported revenues of $869,460, a significant decrease from $4,951,435 in FY24, primarily due to a substantial drop in consulting services [1]. This decline was accompanied by an operating loss of $8.3 million and a net loss per share of $20.39.

The company's strategic shift for FY25 focused on building a stronger, more scalable foundation for the future. This strategic pivot included securing a broker-dealer license, which allows the company to serve a broader base of issuers and investors and deepen its impact on democratizing access to private markets [2].

Netcapital's platform, Netcapital Funding Portal Inc., is registered with the U.S. Securities & Exchange Commission (SEC) and is a member of the Financial Industry Regulatory Authority (FINRA). The company's broker-dealer subsidiary, Netcapital Securities Inc., is also registered with the SEC and is a member of FINRA. This expansion into the broker-dealer space is expected to generate additional revenue streams and enhance the company's market penetration.

Despite the financial challenges, Netcapital remains committed to disciplined execution, product innovation, and long-term value creation. The company's focus on expanding its broker-dealer activities and exploring new verticals such as Regulation A and D offerings is aimed at diversifying its revenue base and addressing liquidity issues for investors in private companies.

References:
[1] https://www.tradingview.com/news/tradingview:5edcdb24e694f:0-netcapital-inc-sec-10-k-report/
[2] https://www.stocktitan.net/news/NCPL/netcapital-announces-full-year-fiscal-2025-financial-rzax8q4y89qo.html