Research Solutions Inc (FRA:61I)
€ 1.84 -0.010 (-0.54%) Market Cap: 64.68 Mil Enterprise Value: 54.20 Mil PE Ratio: 14.80 PB Ratio: 3.86 GF Score: 69/100

Q1 2025 Research Solutions Inc Earnings Call Transcript

Nov 14, 2024 / 10:00 PM GMT
Release Date Price: €2.6

Key Points

Positve
  • Research Solutions Inc (RSSS) reported a 20% increase in total revenues and a 67% increase in platform revenue for the quarter.
  • The company achieved a 60% increase in annual recurring revenue (ARR), with B2B contributing $12.2 million and B2C contributing $5.4 million.
  • Adjusted EBITDA improved significantly, with $1.3 million generated in the quarter and $4 million on a trailing twelve-month basis.
  • Gross margin reached a new company record of 47.9%, with platform business contributing almost two-thirds of the gross profit.
  • The company has no long-term debt or liabilities, and cash flow from operations was positive at $843,000 for the quarter.
Negative
  • Deployments and incremental ARR were lower than average due to factors like lower B2C subscription revenue growth during summer and extended sales cycles.
  • Higher than expected non-controllable churn was driven by customer acquisitions and business closures.
  • The company experienced underperformance by the Upsell team and more churn than expected.
  • There is some seasonality negatively affecting the transactions business in Q2 due to the impact of the holidays.
  • Resolute AI, a recent acquisition, is underperforming in terms of new sales compared to expectations.


Refinitiv StreetEvents Event Transcript
E D I T E D V E R S I O N

RSSS.OQ - Research Solutions Inc
Q1 2025 Research Solutions Inc Earnings Call
Nov 14, 2024 / 10:00PM GMT

=====================
Presentation
--------------------------------------------------------------------------------
Unidentified_1 [1]
--------------------------------------------------------------------------------
We stand by. We're about to begin.

Good afternoon, everyone. Welcome to the Research Solutions Incorporated first quarter, fiscal 2025 earnings conference call. At this time, all participants are in a listen-only mode later. You will have the opportunity to ask questions during the question and answer session. You may register to ask a question at any time by pressing star one on your telephone keypad. Also, today's call is being recorded and if you should need any operator assistance during the call today, please press star zero. Now at this time, I'll turn things over to Mr Steven Hooser Investor Relations. Please go ahead, sir.

--------------------------------------------------------------------------------
Already have an account? Log in
Get the full story
Access to All Earning Calls and Stock Analysis
30-Year Financial on one screen
All-in-one Stock Screener with unlimited filters
Customizable Stock Dashboard
Real Time Insider Trading Transactions
8,000+ Institutional investors’ 13F holdings
Powerful Excel Add-in and Google sheets Add-on
All data downloadable
Quick customer support
And much more...
7-Day Free Trial · Cancel Anytime
Subscription fee may be tax deductible.
Excellent
4.6 out of 5 Trustpilot