- Ciscom Corp (OTCQB: CISCF) reported Q1 2025 revenue of $6.678M, a 9.4% decrease from Q1 2024.
- Despite challenges, Ciscom managed to generate positive cash flows of $1.456M, reflecting a significant increase from the previous year.
- The company faced a net loss of $0.783M due to one-time charges, including restructuring and client bankruptcy impacts.
Ciscom Corp (OTCQB: CISCF) has released its financial results for the first quarter of 2025, showcasing a challenging start to the year with a noted decline in revenue. The company posted sales of $6.678 million, which marks a 9.4% drop from the $7.368 million recorded in the first quarter of 2024. Gross profit also witnessed a downturn of 17.1%, settling at $1.174 million compared to $1.416 million the year before, with gross margins decreasing from 19.2% to 17.6%.
Despite these setbacks, Ciscom maintained its EBITDA performance at $0.145 million, leveraging strategic cost reductions. This is notably stable when juxtaposed with the $0.239 million EBITDA from the same period last year. The company succeeded in cutting its cash-based operating expenses by 14.6%, reducing from $1.177 million in Q1 2024 to $1.005 million in Q1 2025, primarily by lowering compensation and professional fees.
However, the quarter was marred by a net loss of $0.783 million, a steep increase from the $0.259 million loss reported in Q1 2024. This was largely attributed to one-time charges amounting to $0.557 million, which included restructuring costs and an account receivable impairment following a major client bankruptcy.
In terms of operational cash flow, Ciscom reported a remarkable improvement, generating positive cash flows of $1.456 million, significantly higher than the $0.675 million achieved in Q1 2024. This increase highlights the company’s effective financial management amid the external challenges which included the ongoing Canada Post labor dispute and the economic impacts of U.S. tariffs.
Ciscom continues to navigate a dynamic market environment while remaining committed to its strategic focus on acquisitions and client-centric services. The company is poised for recovery and growth, bolstered by a strong position with banking partners and a drive towards new client acquisitions.
