Rekor Systems Inc Q2 Earnings: Revenue Hits $12.4M, EPS Matches Estimate at -$0.06

Rekor Systems Inc reported Q2 revenue of $12.4mln, matching estimates, but EPS was -$0.06, matching expectations. The company narrowed its Adjusted EBITDA loss by $2mln over six months and reduced operating expenses by 17%. Rekor secured a statewide blanket purchase order with Texas DOT and extended a contract with the Central Texas Regional Mobility Authority by $1.4mln. Despite challenges, Rekor's focus on operational efficiency and strategic partnerships positions it well for future growth.

Rekor Systems Inc. (REKR) reported its financial results for the second quarter of 2025, with total revenue of $12.4 million, matching analyst estimates. The company also reported earnings per share (EPS) of -$0.06, aligning with expectations. Despite these results, Rekor Systems achieved notable improvements in operational efficiency, positioning it for future growth.

The company narrowed its adjusted EBITDA loss by $2 million over the six-month period, reflecting a significant reduction in operating expenses. Operating expenses declined by 17% year over year, demonstrating strong cost discipline. Quarterly gross revenue of $12.4 million indicated a rebound from the prior quarter, resulting in nearly flat year-over-year revenue.

Rekor Systems secured a major statewide blanket purchase order with the Texas Department of Transportation and extended a contract with the Central Texas Regional Mobility Authority by $1.4 million over five years. These strategic moves underscore the company's commitment to expanding its market presence and securing long-term contracts.

The company's focus on operational efficiency and strategic partnerships, despite challenges in the macro environment, positions Rekor Systems well for future growth. The earnings call highlighted several key points, including the importance of the Data-as-a-Service model for Rekor Discover and the potential for significant revenue contributions from ongoing pilots and studies.

Investors should closely monitor future earnings reports and the company's ability to execute on its strategic initiatives. The outlook for the Internet - Software industry, currently ranked in the top 39% of Zacks industries, may also impact Rekor Systems' performance.

References:
[1] https://finance.yahoo.com/news/rekor-systems-inc-rekr-q2-071308866.html
[2] https://www.nasdaq.com/articles/rekor-systems-inc-rekr-reports-q2-loss-lags-revenue-estimates
[3] https://www.rekor.ai/post/rekor-systems-reports-second-quarter-2025-financial-results