What guidance did Usio's management provide for the next earnings period?

What is the revenue and EPS growth rate for Usio year over year?

What is Usio's gross profit margin?

What is the market's earnings forecast for Usio next quarter?

What does Usio do and what are its main business segments?

Did Usio beat or miss consensus estimates last quarter?

What were the key takeaways from Usio's earnings call?

What factors drove the changes in Usio's revenue and profit?

- **Record Q3 Growth**: 7 processing records set, including 30% YoY ACH revenue increase.
- **Margin Expansion**: ACH business driving 30% YoY revenue growth, offsetting one-time card issuing impacts.
- **Strategic Pipeline**: 16 new Payfac implementations and 1,000 merchants in filtered spin program.
- **Cash Position**: $7.8 million cash on hand, $3 million remaining under share repurchase authorization.

**【Management Opening Remarks】**
- Q3 2025: 7 quarterly processing records set, including 16.2 million transactions (8% YoY growth) and 30% YoY increase in ACH revenue.
- Sequential momentum: $1.2 million revenue increase vs. Q2, positioning for Q4 growth.
- Margins improving: ACH business driving 30% YoY revenue growth, offsetting one-time card issuing impacts.

**【CEO Summary Section】**
- **Processing Volume Records**: 7 Q3 records, including highest ACH volume in 3 years.
- **ACH Growth**: 30% YoY revenue increase, 8% sequential growth.
- **Card Issuing Recovery**: Sequential revenue growth after 2024 challenges.
- **Output Solutions**: 20 million electronic documents processed (500,000 YoY increase).

**【CFO Financial Commentary】**
- **Adjusted EBITDA**: $368,000 (down $132,000 YoY due to one-time 2024 card issuing revenue).
- **Cash Flow**: $1.4 million operating cash flow, $7.8 million cash on hand.
- **Share Repurchases**: $750,000 year-to-date, $3 million remaining under authorization.

**【Q&A Highlights】**
- **Pipeline Momentum**: 16 new Payfac implementations in process, 1,000 merchants in filtered spin program.
- **Government Shutdown Impact**: SNAP payment alternatives being developed for municipalities.
- **M&A Criteria**: Focus on synergies in payment processing, card issuing, or ACH technologies.
- **Sales Cycle**: Implementation delays outside of company control, but 2026 growth expected.

Usio, Inc. (USIO) Q3 2025 Earnings Call Transcript

- **ACH Segment Dominance**: 32% revenue growth, record July volumes, and 19% electronic check dollar growth highlight ACH's profitability.
- **Margin Expansion**: 185 bps gross margin improvement driven by ACH mix, efficiency, and one-time gains.
- **Card Issuing Momentum**: 20 programs in implementation, 15 new agreements, and 20 ISVs targeting $100M+ annual volume.
- **Strategic Initiatives**: Usio 1 platform integration, wearable tech launch, and biometric payment testing position for long-term growth.
- **Risk Management**: 5%-12% revenue guidance reflects delays in large account implementations, with 20%+ growth potential if implementations accelerate.

**【Management Opening Remarks】**
- Total revenues slightly down, but ACH revenues up 30% YoY for the second consecutive quarter.
- Gross margin improved 185 bps to 25.8%, driven by ACH growth, efficiency gains, and one-time items.
- Adjusted EBITDA positive at $500k, with cash flow generation remaining strong.
- Guidance revised to 5%-12% revenue growth due to delays in large national account implementations.

**【CEO (Louis Hoch) Summary】**
- ACH segment: Revenues up 32%, electronic check volume up 33%, PINLess debit volume doubled, and July set new ACH volume record.
- Output Solutions: 5.4M mail pieces processed, transitioning to more profitable electronic documents.
- Card Issuing: 15 new agreements in Q2, 20 in implementation, and 20 ISVs with potential $100M+ annual volume.
- Initiatives: Usio 1 platform integration, wearable prepaid products, payroll product launch, and biometric payment system testing.
- M&A activity: Actively evaluating deals fitting strategic criteria (strategic value, right valuation, self-sustaining).

**【CFO (Michael White) Financial Highlights】**
- Q2 gross profit up $350k to $5.1M, despite elevated SG&A due to one-time costs (insurance, marketing, compensation).
- Non-recurring expenses expected to decline in future quarters, with additional cost reductions planned.
- Cash position strong, with $350k used for share buybacks and $500k+ adjusted EBITDA.

**【Q&A Highlights】**
- **Barry Sine (Litchfield Hills):** 20 card issuing programs in implementation, cross-selling opportunities across ACH, PayFac, and output solutions.
- **Scott Buck (H.C. Wainwright):** Gross margin improvement from ACH growth and efficiency; OpEx savings from automation, renegotiated vendor deals, and reduced hiring.
- **Jon Hickman (Ladenburg Thalmann):** Lost $2M revenue from amusement park account; one-time Q2 expenses of $400k expected to decline 75% in future quarters.
- **M&A & Buybacks:** Active in M&A market, with cash available for both acquisitions and buybacks. Stock buybacks to continue quarterly.

Usio (USIO)-6 Aug 25-2025 Q2 Earnings call transcript

- **Revenue Growth**: 5% YoY with ACH up 36%, PayFac revenue +25%, and $700K EBITDA (40% QoQ improvement). 
- **Usio ONE Momentum**: 1.5M check cross-sell win and 12 reps on unified CRM driving 2025 pipeline expansion. 
- **Margin Targets**: Gross margin stabilizing at mid-20s, EBITDA targeting 8-10%. 
- **Cash Strength**: $8.7M cash with $700K Q1 generation and $350K buybacks. 
- **M&A Focus**: Seeking below-valuation tech/synergy plays with self-sustaining post-merger models.

**【CEO Summary Section】**
- Q1 2025 revenue grew 5% YoY, with ACH processing volume up 36% and PayFac revenue up 25%. 
- Usio ONE initiative launched in April, with cross-selling wins including 1.5M physical check orders from card issuing to output solutions.
- Gross margin stabilized at mid-20s target, with EBITDA margin improving to $700K (up 40% QoQ). 
- 2025 revenue guidance maintained at 14-16% growth, driven by Usio ONE implementation and favorable comps post-NYC COVID program.

**【CFO Financial Commentary】**
- GAAP net income of $420M, with Non-GAAP EPS of $1.08 exceeding expectations. 
- Operating expenses flat YoY due to headcount reduction (below Q1 2024 levels). 
- Cash balance increased to $8.7M, with $700K cash flow generated and $350K shares repurchased.

**【Usio ONE Sales Execution】**
- 12 quota-bearing reps now using unified HubSpot CRM for cross-selling. 
- Early wins include filtered spend terminals at hundreds of retail locations and Consumer Choice product trials. 
- 2025 pipeline includes 17 new ISV implementations and healthcare ISV expansion opportunities.

**【Key Growth Drivers】**
- ACH revenue up 33% YoY, outpacing industry growth. 
- Output Solutions e-docs processed exceed $20.5M, boosting margins. 
- Card issuing to add payroll card offering for SMBs, targeting recurring revenue.

**【M&A Strategy】**
- Seeking synergistic tech or market entries at below 1x Usio's valuation. 
- Post-acquisition companies must be self-sustaining with clear integration paths.


Usio, Inc. (USIO) Q1 2025 Earnings Call Transcript

- **Revenue Growth Accelerates**: Q4 2024 total dollars processed up 36% YoY, with 33% full-year growth.
- **Strategic Integration**: Usio One initiative unifies products, boosting cross-selling (ACH adoption among card clients +150%).
- **Strong Cash Position**: $8M cash at year-end, with $4M share repurchase authorization.
- **PayFac Dominance**: PayFac now 54% of card activity, driving 29% QoQ revenue growth.
- **Government Sales Stable**: No significant impact from federal changes on disbursement opportunities.

**【Paul Manley - Key Financial Highlights】**
- Q4 2024 revenue grew 3% YoY, driven by growth in Card, ACH, and Output Solutions.
- GAAP net income of $0.02 per share, marking the 3rd consecutive quarter of positive GAAP net income.
- Total dollars processed reached $1.9B (36% YoY), with full-year volume at $7.1B (33% YoY growth).
- Generated $2.9M in operating cash flow, ending 2024 with $8M in cash.

**【Louis Hoch - Usio One Strategy】**
- Launched **Usio One**, integrating all products/services under one brand for streamlined sales and cross-selling.
- New client onboarding system with single application for easier product adoption.
- AI initiatives for fraud protection, marketing efficiency, and merchant conversion.
- 2025 revenue growth guidance: 14%-16% YoY, with $4M share repurchase authorization.

**【Greg Carter - Card & PayFac Growth】**
- Card processing volume up 15% QoQ, PayFac revenue up 29% QoQ.
- PayFac now accounts for 54% of total card activity, with 15 new ISV implementations.
- Cross-selling success: ACH adoption among card clients increased from 4% to 10%.
- Full-year prepaid card load volume up 35%, transaction volume up 45%.

**【Q&A Key Takeaways】**
- 2025 growth driven by diversified customer base, not reliant on single clients.
- Stock buybacks and M&A both on agenda, with preference for accretive acquisitions.
- No material impact from federal administration changes on government sales.


Usio (USIO)-26 Mar 25-2024 Q4 Earnings call transcript

Usio (USIO)-6 Nov 24-2024 Q3 Earnings call transcript

Usio (USIO)-14 Aug 24-2024 Q2 Earnings call transcript

Usio (USIO)-15 May 24-2024 Q1 Earnings call transcript

- **Record Growth**: 19% annual revenue growth to $190M, driven by Output Solutions (double-digit growth) and ACH rebound.
- **2024 Guidance**: 10-12% revenue growth, $4-4.5M EBITDA, and positive GAAP EPS.
- **Strategic Wins**: 50% capacity expansion in Output Solutions; 4 'mega deals' in pipeline.
- **Margin Expansion**: SG&A growth at half the rate of revenue; 35% gross margin on NYC breakage program.
- **Risk Mitigation**: $10M NYC breakage tailwind in 2023, with <20% remaining in 2024.

**【Management Opening Remarks】**
- Usio reported 13th consecutive quarter of revenue growth, with annual revenue up 19% to a record high.
- Achieved positive adjusted EBITDA for the year, with cash increasing by $1.5 million and $600,000 spent on share buybacks.
- Highlighted strong performance across all business units, including double-digit growth in Output Solutions and ACH rebound in Q4.

**【CEO (Louis Hoch) Summary】**
- 2024 guidance: Revenue growth of 10-12%, adjusted EBITDA of $4-4.5 million, and positive GAAP EPS.
- Emphasized operational leverage and recurring revenue streams, with 75% of revenue now recurring.
- Output Solutions expanded capacity by 50% with new equipment, enabling real-time payment capabilities.
- Strong pipeline with 4 'mega deals' ($5M+ ARR) expected to close in 2024.

**【CFO (Paul Manley) Financial Commentary】**
- FY23 results: Revenue $190M (19% YoY), adjusted EBITDA $2.4M (up $3M), cash balance +$2M.
- Margins: Gross margin expansion despite NYC breakage decline; SG&A growth at half the rate of revenue.
- 2024 outlook: Focus on EBITDA conversion, with $2M+ interest income from improved cash management.

**【Q&A Highlights】**
- **Capacity Utilization**: Output Solutions ran at 100% capacity in 2023; new equipment reduces processing time by 60%.
- **Breakage Revenue**: NYC program contributed $10M in 2023, with <$2M remaining in 2024.
- **PayFac Growth**: 17% processing volume growth, 35% transaction growth, 25% revenue growth in 2023.
- **Card Loads**: $371M loaded in 2023, with $32M in unallocated funds and $40M on active cards.
- **Regulatory Impact**: Visa/Mastercard settlement may increase margins as interchange rates stabilize.

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