OneSpan Raises ARR Guidance to $186M-$192M, Bolsters Authentication Portfolio with Nok Nok Acquisition.

OneSpan raises annual recurring revenue (ARR) guidance to $186M-$192M, strengthening its authentication portfolio through the acquisition of Nok Nok. The company has completed restructuring and is now focused on building a foundation to grow and strengthen its product offerings.

OneSpan Inc. (NASDAQ: OSPN) has announced a significant update to its financial guidance, raising its annual recurring revenue (ARR) expectations to $186 million to $192 million for the full year 2025. The company also reported strong second-quarter results, with operating income increasing 38% year-over-year to $10.5 million and subscription revenue rising 22% to $36.2 million [1].

OneSpan's CEO, Victor Limongelli, stated that the company's focus on improving performance and evaluating targeted inorganic opportunities has led to the acquisition of Nok Nok Labs, a leading provider of FIDO passwordless software authentication solutions. This acquisition broadens OneSpan's authentication reach and adds FIDO2 passwordless authentication software to its portfolio [1].

The company's total revenue for the second quarter was $59.8 million, down 2% year-over-year, while gross profit increased to $44.0 million, representing a 73% gross margin. Operating income of $10.5 million and net income of $8.3 million reflect a strong performance, with non-GAAP net income reaching $13.3 million [1].

OneSpan has also completed a restructuring process and secured a $100.0 million, five-year syndicated revolving credit facility to support strategic growth priorities. The company's Board of Directors has declared a quarterly cash dividend of $0.12 per share, payable on September 5, 2025 [1].

Looking ahead, OneSpan expects revenue to be in the range of $245 million to $251 million for the full year 2025, with adjusted EBITDA projected to be between $72 million and $76 million. The company will continue to focus on improving its performance and evaluating targeted inorganic opportunities to drive profitable, efficient revenue growth [1].

OneSpan's financial results and guidance demonstrate a strong commitment to growth and innovation in the authentication and digital security sectors. The company's acquisition of Nok Nok Labs and the subsequent increase in ARR guidance reflect its strategic focus on strengthening its product offerings and expanding its market reach.

References:
[1] https://finance.yahoo.com/news/onespan-reports-second-quarter-2025-200100251.html