SurgePays 2025 Q3 Earnings 47.6% Net Loss Reduction and 292% Revenue Surge

SurgePays (SURG) reported Q3 2025 earnings on Nov 13, 2025, with revenue soaring 292% to $18.68 million, exceeding 2024 Q3 figures. The company narrowed its net loss by 47.6% to -$7.49 million and reaffirmed its $225 million 2026 revenue guidance, despite a $0.38 GAAP EPS miss.

Revenue for SurgePays surged to $18.68 million in Q3 2025, a 291.6% increase from $4.77 million in the prior-year period. Mobile Virtual Network Operators contributed $5.56 million, while Point-of-Sale and Prepaid Services accounted for $13.12 million. The remaining $0 was attributed to Other Corporate Overhead, reflecting a strategic focus on core revenue-generating segments.

Earnings/Net Income demonstrated significant improvement, with SurgePays narrowing losses to $0.38 per share in Q3 2025 from $0.73 per share in Q3 2024. The net loss reduced by 47.6% to -$7.49 million compared to -$14.28 million in the prior year. This progress underscores the company’s operational efficiency gains and cost management strategies.

Post-Earnings Price Action Review revealed a mixed performance. While the stock plummeted 16.46% on the latest trading day, a backtested strategy of buying shares on earnings release dates and holding for 30 days yielded an average gain of 12.5% over 12 transactions. The strategy achieved a 75% win ratio, with a maximum gain of 24.3% and a minimum of 6.1%, highlighting both potential and volatility.

CEO Kevin Cox emphasized Q3 as an inflection point, citing a 292% YoY revenue increase to $18.7 million, driven by Torch Wireless ($5.6 million) and LinkUp Mobile’s 95K subscribers. Strategic priorities include scaling retail distribution, reducing customer acquisition costs, and monetizing data partnerships to achieve 2026 guidance with minimal dilution.

Guidance for 2026 remains at $225 million, supported by Lifeline subscriber growth, prepaid distribution expansion, and ClearLine monetization. CFO Tony Evers noted expected gross margin improvements in the POS/prepaid segment by year-end 2025 and a 32.5% YoY reduction in SG&A expenses.

Additional News within the three-week period from Nov 13, 2025, included SurgePays’ strategic agreement with QorPay to integrate ClearLine into next-generation payments solutions, the launch of a Growth Marketing & Data Partnerships Division to lower subscriber acquisition costs, and the nationwide rollout of ClearLine at Market Basket Stores. These moves aim to accelerate revenue diversification and high-margin SaaS opportunities.