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Highlights

  • Q2 2025 revenue up 8.8% to $63.1 million, surpassing previous year’s performance
  • Net income for Q2 2025 turns positive at $1.1 million, compared to a loss in 2024
  • Adjusted EBITDA grows 12.7% to $17.1 million, reflecting operational efficiency

i3 Verticals, Inc. (Nasdaq: IIIV) announced its fiscal second-quarter results for the period ending March 31, 2025, revealing a solid 8.8% revenue increase to $63.1 million compared to the same period last year. This growth reflects the company’s continued expansion across its core business segments.

The company reported net income from continuing operations of $1.1 million for Q2 2025, a significant improvement over the $2.3 million net loss in the same period last year. For the first half of fiscal 2025, i3 Verticals recorded net income of $4.4 million, compared to a net loss of $6.5 million in the first half of fiscal 2024.

Adjusted EBITDA also saw a significant uptick, rising 12.7% to $17.1 million in Q2 2025, up from $15.2 million in the same quarter of the prior year. The increase in adjusted EBITDA was driven by operational improvements, which led to a higher margin as a percentage of revenue.

On a per-share basis, i3 Verticals posted diluted net income of $0.00 per share for Q2 2025, compared to a loss of $0.07 per share in the same quarter last year. For the six-month period, diluted net income per share was $0.09, reversing the $0.20 per share loss in the first half of fiscal 2024.

The company also reported a 6.5% growth in Annualized Recurring Revenue (ARR) for Q2 2025, reaching $199.1 million. Additionally, i3 Verticals made a strategic acquisition of a utility billing software company for $9.0 million in cash in April 2025, and sold its Healthcare Revenue Cycle Management business for $96.0 million in May 2025.