CTLP Cantaloupe Inc

Second Quarter 2025 Revenue increased 12.8% Year-Over-Year, to $73.7 million, driven by 16% YoY growth in Subscription and Transaction revenue growth

Second Quarter 2025 U.S. GAAP Net Income Applicable to Common Shares of $5.0 million and Adjusted EBITDA[1] of $10.7 million

Reiterates Fiscal Year 2025 Guidance

Cantaloupe, Inc. (Nasdaq: CTLP) (“Cantaloupe” or the “Company”), a global leading provider of end-to-end technology solutions for self-service commerce, today reported results for the second quarter ended December 31, 2024.

“In the second quarter, we saw increased adoption of new products and accelerated growth in subscription and transaction revenue,” said Ravi Venkatesan, chief executive officer, Cantaloupe. “I am pleased with our continued success increasing operating leverage through margin expansion.”

Second Quarter 2025 Key Financial Results:

• Revenue of $73.7 million, an increase of 12.8% compared to second quarter of fiscal year 2024.
  • Transaction fees of $44.4 million, an increase of 17.2%.
  • Subscription fees of $20.7 million, an increase of 14.1%.
  • Equipment sales of $8.6 million, a decrease of 7.4%.
• Net income applicable to common shares of $5.0 million, or $0.07 diluted earnings per share, compared to net income applicable to common shares of $3.1 million, or $0.04 diluted earnings per share, in the prior year quarter.
• Total dollar volumes of transactions were $843.1 million, an increase of 15.5% compared to second quarter of fiscal year 2024.
• Transaction volume totaled 299.8 million, an increase of 4.6%, compared to 286.7 million for second quarter fiscal year 2024.
• Adjusted Gross Margin[1] of 41.7% compared with 37.2% in second quarter fiscal 2024.
  • Subscription fees Adjusted Gross Margin[1] increased to 89.7% compared to 89.0%.
  • Transaction fee gross margins increased to 25.6% compared to 21.1%
  • Equipment sales gross margins increased to 9.1% compared to 1.8%.
• Adjusted EBITDA[1] of $10.7 million compared to $8.5 million in second quarter of fiscal year 2024, an increase of 25.7%.
• Average revenue per unit[2] increased 11.2% to $202.20, compared to $181.91 for second quarter 2024.

Second Quarter 2025 Business Highlights:

• In October 2024, we launched our AdVantage program, which allows brands to engage with consumers through digital advertising on our point-of-sale (POS) touchscreen devices across the U.S. and Canada.
• In December 2024, we launched Smart Store. These are advanced, self-service retail solutions designed to address key issues such as labor shortages, theft and shrinkage, while maintaining a seamless consumer experience. Smart Stores work by unlocking after a customer presents payment at the POS. The customer then grabs the items, which are added to their cart, then completes the purchase by pressing Pay and walking away.
• In December 2024, we signed the San Jose Earthquakes to be the POS technology solution and Cantaloupe’s Suites premium management system for all games and events at the stadium.
• Active Customers totaled 32,909 at the end of the second quarter of 2025 compared to 30,027 at the end of the second quarter of 2024, an increase of 9.6%.
• Active Devices totaled 1.27 million at the end of the second quarter of 2025 compared to 1.23 million at the end of the second quarter of 2024, an increase of 3.5%.
• In January 2025, we amended our debt agreement and repaid the remaining 37.3 million on our previous facilities with a new term loan and increasing our total borrowing capacity to $100 million.

Fiscal Year 2025 Outlook:

For the full fiscal year 2025, the Company reiterates the following:

• Total Revenue to be between $308 million and $322 million.
• The combination of Subscription and Transaction revenue growth to be in the range of 15% - 20%.
• Total US GAAP net income applicable to common shares to be between $22 million and $32 million.
• Adjusted EBITDA[1] to be between $44 million and $52 million.
• Total Operating Cash Flow to be between $24 million and $32 million.

Webcast and Conference Call:

Cantaloupe will host a live webcast at 5:00 p.m. Eastern Time today which may be accessed in the Investor Relations section of the Company’s website at https://cantaloupeinc.gcs-web.com/events-and-presentations. Prior to the call, the Company will post an earnings supplement that will be discussed during the call and live webcast.

To join the live call in order to ask questions, please register here. A dial in and unique PIN will be provided to join the conference call.

A replay of the conference call will also be available in the Investor Relations section of the Company’s website.

About Cantaloupe, Inc.

Cantaloupe, Inc. is a global technology leader powering self-service commerce. With over a million active locations, processing more than a billion transactions every year, Cantaloupe is enabling businesses of all sizes to provide self-service experiences for consumers. The company's vertically integrated solutions fuel growth by offering micro-payments processing, enterprise cloud software, IoT technology, as well as kiosk and POS innovations. Cantaloupe’s end-to-end platform increases consumer engagement and sales revenue through digital payments, consumer promotions and loyalty programs, while providing business owners increased profitability by leveraging software to drive efficiencies across an entire operation. Cantaloupe’s solutions are used by a variety of consumer services in the United States, United Kingdom, Mexico, European Union countries, Australia, and Canada including vending machines, micro markets and smart retail, EV charging stations, laundromats, metered parking terminals, amusement and entertainment venues, IoT services and more. To learn more about Cantaloupe, Inc., visit cantaloupe.com or follow the company on LinkedIn, Twitter (X), Facebook, Instagram or YouTube.

______________

1 Adjusted Gross Margin and Adjusted EBITDA represent non-GAAP financial measures. See Discussion of Non-GAAP Financial Measures and the Reconciliations of Adjusted Gross Profit, Adjusted Gross Margin and Adjusted EBITDA to the most comparable GAAP measures.

 

2 We define average revenue per unit ("ARPU") as our total subscription and transaction fees for the trailing 12 months divided by average total active devices for the trailing 12 months.

Forward-looking Statements:

All statements other than statements of historical fact included in this release, including without limitation Cantaloupe’s future prospects and performance, the business strategy and the plans and objectives of Cantaloupe's management for future operations, are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. When used in this release, words such as “estimate,” “could,” “should,” “would,” “likely,” “may,” “will,” “plan,” “intend,” “believes,” “expects,” “anticipates,” “projected,” and variations of these terms and similar expressions. Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee future results, levels of activity, performance, or achievements. Actual results or business conditions may differ materially from those projected or suggested in forward-looking statements as a result of various factors including, but not limited to, those described below and in Part I, Item 1A, “Risk Factors” of our most recent Annual Report.

Actual results could differ materially from those contemplated by the forward-looking statements as a result of certain factors, including but not limited to general economic, market or business conditions unrelated to our operating performance, including inflation, elevated interest rates, supply chain disruptions, financial institution disruptions, geopolitical conflicts, public health emergencies and declines in consumer confidence and discretionary spending; our ability to compete with our competitors and increase market share; failure to comply with the financial covenants in our debt facilities; our ability to maintain compliance with rules and regulations applicable to our business operations and industry; disruptions in other card payment processors, software and manufacturing partners upon whom we rely; whether our customers continue to utilize our transaction processing and related services, as our customer agreements are generally cancellable by the customer with thirty days’ notice; our ability to acquire and develop relevant technology offerings for current, new and potential customers and partners; risks and uncertainties associated with our expansion into and our operations in Europe, Mexico and other foreign markets, including general economic conditions, policy changes affecting international trade, political instability, inflation rates, recessions, sanctions, foreign currency exchange rates and controls, foreign investment and repatriation restrictions, legal and regulatory constraints, civil unrest, armed conflict, war and other economic and political factors; our ability to satisfy our trade obligations included in accounts payable and accrued expenses; our ability to attract, develop and retain key personnel, or our loss of the services of our key executives; the incurrence by us of any unanticipated or unusual non-operating expenses, which may require us to divert our cash resources from achieving our business plan; our ability to predict or estimate our future quarterly or annual revenue and expenses given the developing and unpredictable market for our products; our ability to successfully integrate acquired companies into our current products and services structure; our ability to add new customers and retain key existing customers from whom a significant portion of our revenue is derived; the ability of a key customer to reduce or delay purchasing products from us; our ability to obtain widespread commercial acceptance of our products and service offerings; whether any patents issued to us will provide any competitive advantages or adequate protection for our products, or would be challenged, invalidated or circumvented by others; the ability of our products and services to avoid disruptions to our systems or unauthorized hacking or credit card fraud; risks associated with cyber-attacks and data breaches; and our ability to maintain effective internal controls and to timely file periodic and current reports with the Securities and Exchange Commission ("SEC").

Readers are cautioned not to place undue reliance on these forward-looking statements. Any forward-looking statement made by us in this release speaks only as of the date of this release. Unless required by law, Cantaloupe does not undertake to release publicly any revisions to these forward-looking statements to reflect future events or circumstances or to reflect the occurrence of unanticipated events. If Cantaloupe updates one or more forward-looking statements, no inference should be drawn that Cantaloupe will make additional updates with respect to those or other forward-looking statements.

Discussion of Non-GAAP Financial Measures:

This press release contains discussion of Adjusted Gross Profit, Adjusted Gross Margin and Adjusted EBITDA, which are non-GAAP financial measures that are not required or defined under U.S. GAAP (Generally Accepted Accounting Principles). Generally, a non-GAAP financial measure is a numerical measure of a company's performance, financial position or cash flows that either excludes or includes amounts that are not normally excluded or included in the most directly comparable measure calculated and presented in accordance with GAAP. Reconciliations between non-GAAP financial measures and the most comparable GAAP financial measures are set forth below. However, we do not provide forward-looking guidance for certain financial measures on a GAAP basis because we are unable to predict certain items contained in the U.S. measures without unreasonable efforts. These items may include acquisition and integration related costs, severance expenses, litigation charges or settlements, and certain other unusual adjustments.

We use Adjusted Gross Profit, Adjusted Gross Margin and Adjusted EBITDA for financial and operational decision-making purposes and as a means to evaluate period-to-period comparisons. We believe that these non-GAAP financial measures provide useful information about our operating results, enhance the overall understanding of past financial performance and future prospects and allows for greater transparency with respect to metrics used by our management in its financial and operational decision making. The presentation of these financial measure is not intended to be considered in isolation or as a substitute for the financial measures prepared and presented in accordance with GAAP, including our net income or net cash provided in operating activities. Management recognizes that non-GAAP financial measures have limitations in that they do not reflect all of the items associated with our net income as determined in accordance with GAAP and are not a substitute for or a measure of our profitability or net earnings. Adjusted Gross Profit, Adjusted Gross Margin and Adjusted EBITDA are presented because we believe they are useful to investors as measures of comparative operating performance. Additionally, we utilize Adjusted EBITDA as a metric in our executive officer and management incentive compensation plans.

We define Adjusted Gross Profit as revenue less cost of sales, exclusive of depreciation of internally-developed software and amortization of intangible assets related to technologies obtained through acquisitions. We believe this non-GAAP measure is useful to view the resulting figures excluding the aforementioned non-cash charges because the amount of such expenses in any specific period may not directly correlate to the underlying performance of our business operations and such amounts vary substantially from company to company depending on their financing and capital structures and the method by which their assets were acquired. We define Adjusted Gross Margin as Adjusted Gross Profit divided by revenue.

We define Adjusted EBITDA as U.S. GAAP net income before (i) interest income, (ii) interest expense, (iii) income tax provision, (iv) depreciation, (v) amortization, (vi) stock-based compensation expense, and (vii) certain other significant infrequent or unusual losses and gains that are not indicative of our core operations such as integration and acquisition expenses and costs as a result of auditor transitions.

Cantaloupe, Inc.

Condensed Consolidated Balance Sheets (unaudited)

 

 

December 31, 2024 (Unaudited)

 

June 30, 2024

($ in thousands, except share data)

 

Assets

 

 

 

Current assets:

 

 

 

Cash and cash equivalents

$

27,679

 

 

$

58,920

 

Accounts receivable, net

 

29,112

 

 

 

43,848

 

Finance receivables, net

 

5,988

 

 

 

6,391

 

Inventory

 

44,716

 

 

 

40,791

 

Prepaid expenses and other current assets

 

9,514

 

 

 

7,844

 

Total current assets

 

117,009

 

 

 

157,794

 

 

 

 

 

Non-current assets:

 

 

 

Finance receivables, net

 

7,700

 

 

 

10,036

 

Property and equipment, net

 

37,694

 

 

 

34,029

 

Operating lease right-of-use assets

 

7,939

 

 

 

7,986

 

Intangibles, net

 

25,016

 

 

 

24,626

 

Goodwill

 

102,292

 

 

 

94,903

 

Other assets

 

5,395

 

 

 

6,194

 

Total non-current assets

 

186,036

 

 

 

177,774

 

 

 

 

 

Total assets

$

303,045

 

 

$

335,568

 

 

 

 

 

Liabilities, convertible preferred stock, and shareholders’ equity

 

 

 

Current liabilities:

 

 

 

Accounts payable

$

41,081

 

 

$

78,895

 

Accrued expenses

 

20,918

 

 

 

24,008

 

Current obligations under long-term debt

 

1,458

 

 

 

1,266

 

Deferred revenue

 

1,356

 

 

 

1,726

 

Total current liabilities

 

64,813

 

 

 

105,895

 

 

 

 

 

Long-term liabilities:

 

 

 

Deferred income taxes

 

545

 

 

 

466

 

Long-term debt, less current portion

 

35,554

 

 

 

36,284

 

Other noncurrent liabilities

 

9,273

 

 

 

8,457

 

Total long-term liabilities

 

45,372

 

 

 

45,207

 

 

 

 

 

Total liabilities

 

110,185

 

 

 

151,102

 

Commitments and contingencies

 

 

 

Convertible preferred stock:

 

 

 

Series A convertible preferred stock, 900,000 shares authorized, 385,782 and 385,782 issued and outstanding, with liquidation preferences of $23,011 and $22,722 at December 31, 2024 and June 30, 2024, respectively

 

2,720

 

 

 

2,720

 

Shareholders’ equity:

 

 

 

Common stock, no par value, 640,000,000 shares authorized, 73,034,575 and 72,935,497 shares issued and outstanding at December 31, 2024 and June 30, 2024, respectively

 

—

 

 

 

—

 

Additional paid-in capital

 

483,806

 

 

 

482,329

 

Accumulated deficit

 

(291,913

)

 

 

(300,459

)

Accumulated other comprehensive loss

 

(1,753

)

 

 

(124

)

Total shareholders’ equity

 

190,140

 

 

 

181,746

 

 

 

 

 

Total liabilities, convertible preferred stock, and shareholders’ equity

$

303,045

 

 

$

335,568

 

 

Cantaloupe, Inc.

Condensed Consolidated Statements of Operations

(Unaudited)

 

 

 

Three months ended

 

Six months ended

 

 

December 31,

 

December 31,

($ in thousands, except share and per share data)

 

2024

 

2023

 

2024

 

2023

Revenues:

 

 

 

 

 

 

 

 

Subscription and transaction fees

 

$

65,086

 

 

$

56,029

 

 

$

128,877

 

 

$

111,164

 

Equipment sales

 

 

8,636

 

 

 

9,330

 

 

 

15,681

 

 

 

16,878

 

Total revenues

 

 

73,722

 

 

 

65,359

 

 

 

144,558

 

 

 

128,042

 

 

 

 

 

 

 

 

 

 

Costs of sales (exclusive of certain depreciation and amortization):

 

 

 

 

 

 

 

 

Cost of subscription and transaction fees

 

 

35,152

 

 

 

31,885

 

 

 

70,896

 

 

 

63,613

 

Cost of equipment sales

 

 

7,850

 

 

 

9,158

 

 

 

14,091

 

 

 

15,785

 

Total costs of sales

 

 

43,002

 

 

 

41,043

 

 

 

84,987

 

 

 

79,398

 

 

 

 

 

 

 

 

 

 

Operating expenses:

 

 

 

 

 

 

 

 

Sales and marketing

 

 

5,385

 

 

 

4,367

 

 

 

10,833

 

 

 

8,509

 

Technology and product development

 

 

4,523

 

 

 

3,030

 

 

 

9,023

 

 

 

7,198

 

General and administrative

 

 

11,239

 

 

 

10,505

 

 

 

23,166

 

 

 

20,943

 

Integration and acquisition expenses

 

 

44

 

 

 

93

 

 

 

241

 

 

 

171

 

Depreciation and amortization

 

 

3,366

 

 

 

2,736

 

 

 

6,038

 

 

 

5,483

 

Total operating expenses

 

 

24,557

 

 

 

20,731

 

 

 

49,301

 

 

 

42,304

 

 

 

 

 

 

 

 

 

 

Operating income

 

 

6,163

 

 

 

3,585

 

 

 

10,270

 

 

 

6,340

 

 

 

 

 

 

 

 

 

 

Other income (expense):

 

 

 

 

 

 

 

 

Interest income

 

 

398

 

 

 

493

 

 

 

845

 

 

 

1,010

 

Interest expense

 

 

(993

)

 

 

(1,002

)

 

 

(1,984

)

 

 

(2,109

)

Other income (expense), net

 

 

(199

)

 

 

129

 

 

 

(12

)

 

 

52

 

Total other expense, net

 

 

(794

)

 

 

(380

)

 

 

(1,151

)

 

 

(1,047

)

 

 

 

 

 

 

 

 

 

Income before income taxes

 

 

5,369

 

 

 

3,205

 

 

 

9,119

 

 

 

5,293

 

Provision for income taxes

 

 

(395

)

 

 

(81

)

 

 

(573

)

 

 

(162

)

 

 

 

 

 

 

 

 

 

Net income

 

 

4,974

 

 

 

3,124

 

 

 

8,546

 

 

 

5,131

 

Preferred dividends

 

 

—

 

 

 

—

 

 

 

(289

)

 

 

(289

)

Net income applicable to common shares

 

$

4,974

 

 

$

3,124

 

 

$

8,257

 

 

$

4,842

 

 

 

 

 

 

 

 

 

 

Net earnings per common share

 

 

 

 

 

 

 

 

Basic

 

$

0.07

 

 

$

0.04

 

 

$

0.11

 

 

$

0.07

 

Diluted

 

$

0.07

 

 

$

0.04

 

 

$

0.11

 

 

$

0.07

 

 

 

 

 

 

 

 

 

 

Weighted average number of common shares outstanding used to compute net earnings per share applicable to common shares

 

 

 

 

 

 

 

 

Basic

 

 

73,114,387

 

 

 

72,743,162

 

 

 

73,091,622

 

 

 

72,730,563

 

Diluted

 

 

74,733,608

 

 

 

73,913,599

 

 

 

74,358,717

 

 

 

73,934,917

 

 

Cantaloupe, Inc.

Condensed Consolidated Statements of Cash Flows

(Unaudited)

 

 

Six months ended

 

December 31,

($ in thousands)

2024

 

2023

Cash flows from operating activities:

 

 

 

Net income

$

8,546

 

 

$

5,131

 

Adjustments to reconcile net income to net cash used in operating activities:

 

 

 

Stock-based compensation

 

1,830

 

 

 

3,043

 

Provision for expected losses

 

2,121

 

 

 

2,384

 

Depreciation and amortization

 

6,920

 

 

 

6,205

 

Non-cash lease expense

 

879

 

 

 

734

 

Other

 

997

 

 

 

433

 

Changes in operating assets and liabilities:

 

 

 

Accounts receivable

 

13,265

 

 

 

(12,278

)

Finance receivables

 

2,264

 

 

 

1,886

 

Inventory

 

(4,845

)

 

 

(2,941

)

Prepaid expenses and other assets

 

(1,402

)

 

 

(2,506

)

Accounts payable and accrued expenses

 

(40,905

)

 

 

(2,915

)

Operating lease liabilities

 

(796

)

 

 

(530

)

Deferred revenue

 

(370

)

 

 

122

 

Net cash used in operating activities

 

(11,496

)

 

 

(1,232

)

 

 

 

 

Cash flows from investing activities:

 

 

 

Capital expenditures

 

(8,081

)

 

 

(5,912

)

Acquisition of business, net of cash acquired

 

(9,761

)

 

 

—

 

Net cash used in investing activities

 

(17,842

)

 

 

(5,912

)

 

 

 

 

Cash flows from financing activities:

 

 

 

Repayment of long-term debt

 

(573

)

 

 

(384

)

Proceeds from exercise of common stock options

 

—

 

 

 

74

 

Payment of employee taxes related to stock-based compensation

 

(353

)

 

 

—

 

Net cash used in financing activities

 

(926

)

 

 

(310

)

 

 

 

 

Effect of currency exchange rate changes on cash and cash equivalents

 

(977

)

 

 

5

 

 

 

 

 

Net decrease in cash and cash equivalents

 

(31,241

)

 

 

(7,449

)

Cash and cash equivalents at beginning of year

 

58,920

 

 

 

50,927

 

Cash and cash equivalents at end of period

$

27,679

 

 

$

43,478

 

 

 

 

 

Supplemental disclosures of cash flow information:

 

 

 

Interest paid in cash

$

1,672

 

 

$

1,931

 

Income taxes paid in cash

$

778

 

 

$

130

 

 

 

 

 

 

Cantaloupe, Inc.

U.S. GAAP Gross Profit (unaudited)

 

 

Three Months Ended December 31,

Change

 

Percent Change

($ in thousands)

2024

 

2023

 

2024 v. 2023

Transaction fees

$

44,392

 

 

$

37,892

 

 

$

6,500

 

 

17.2

%

Cost of transaction fees

 

33,012

 

 

 

29,892

 

 

 

3,120

 

 

10.4

%

Gross profit, transaction(1)

$

11,380

 

 

$

8,000

 

 

 

3,380

 

 

42.3

%

Gross margin, transaction

 

25.6

%

 

 

21.1

%

 

 

4.5

%

 

 

 

 

 

 

 

 

 

 

Subscription fees

$

20,694

 

 

$

18,137

 

 

 

2,557

 

 

14.1

%

Cost of subscription fees

 

2,140

 

 

 

1,993

 

 

 

147

 

 

7.4

%

Amortization(2)

 

2,248

 

 

 

1,673

 

 

 

575

 

 

34.4

%

Gross profit, subscription fees

$

16,306

 

 

$

14,471

 

 

 

1,835

 

 

12.7

%

Gross margin, subscription

 

78.8

%

 

 

79.8

%

 

 

(1.0

)%

 

 

 

 

 

 

 

 

 

 

Equipment sales

$

8,636

 

 

$

9,330

 

 

 

(694

)

 

(7.4

)%

Cost of equipment sales

 

7,850

 

 

 

9,158

 

 

 

(1,308

)

 

(14.3

)%

Gross profit, equipment(1)

$

786

 

 

$

172

 

 

 

614

 

 

357.0

%

Gross margin, equipment

 

9.1

%

 

 

1.8

%

 

 

7.3

%

 

 

 

 

 

 

 

 

 

 

Total gross profit

$

28,472

 

 

$

22,643

 

 

 

5,829

 

 

25.7

%

Total gross margin

 

38.6

%

 

 

34.6

%

 

 

4.0

%

 

 

   

(1) The Company's internal-use software assets and developed technology assets are not associated with transaction fees and equipment revenue.

(2) Amortization of internal-use software assets and developed technology assets.

   

 

Six Months Ended December 31,

Change

 

Percent Change

($ in thousands)

2024

 

2023

 

2024 v. 2023

Transaction fees

$

87,995

 

 

$

74,922

 

 

$

13,073

 

 

17.4

%

Cost of transaction fees(1)

 

66,315

 

 

 

59,809

 

 

 

6,506

 

 

10.9

%

Gross profit, transaction

$

21,680

 

 

$

15,113

 

 

 

6,567

 

 

43.5

%

Gross margin, transaction

 

24.6

%

 

 

20.2

%

 

 

4.4

%

 

 

 

 

 

 

 

 

 

 

Subscription fees

$

40,882

 

 

$

36,242

 

 

4,640

 

 

12.8

%

Cost of subscription fees

 

4,581

 

 

 

3,803

 

 

 

778

 

 

20.5

%

Amortization(2)

 

3,995

 

 

 

3,616

 

 

 

379

 

 

10.5

%

Gross profit, subscription

$

32,306

 

 

$

28,823

 

 

 

3,483

 

 

12.1

%

Gross margin, subscription

 

79.0

%

 

 

79.5

%

 

 

(0.5

)%

 

 

 

 

 

 

 

 

 

 

Equipment sales

$

15,681

 

 

$

16,878

 

 

(1,197

)

 

(7.1

)%

Cost of equipment sales

 

14,091

 

 

 

15,785

 

 

 

(1,694

)

 

(10.7

)%

Gross profit, equipment(1)

$

1,590

 

 

$

1,093

 

 

 

497

 

 

45.5

%

Gross margin, equipment

 

10.1

%

 

 

6.5

%

 

 

3.6

%

 

 

 

 

 

 

 

 

 

 

Total gross profit

$

55,576

 

 

$

45,028

 

 

 

10,547

 

 

23.4

%

Total gross margin

 

38.4

%

 

 

35.2

%

 

 

3.2

%

 

 

   

(1) The Company's internal-use software assets and developed technology assets are not associated with transaction fees and equipment revenue.

(2) Amortization of internal-use software assets and developed technology assets.

 

Cantaloupe, Inc.

Reconciliation of U.S. GAAP Gross Profit to Adjusted Gross Profit (non-GAAP) (unaudited)

 

 

Three Months Ended December 31,

Change

 

Percent Change

($ in thousands)

2024

 

2023

 

2024 v. 2023

Gross profit, transaction (GAAP)

$

11,380

 

 

$

8,000

 

 

$

3,380

 

 

42.3

%

Gross margin, transaction (GAAP)

 

25.6

%

 

 

21.1

%

 

 

4.5

%

 

 

 

 

 

 

 

 

 

 

Gross profit, subscription (GAAP)

 

16,306

 

 

 

14,471

 

 

 

1,835

 

 

12.7

%

Amortization (1)

 

2,248

 

 

 

1,673

 

 

 

575

 

 

34.4

%

Adjusted Gross Profit, subscription (non-GAAP)

$

18,554

 

 

$

16,144

 

 

 

2,410

 

 

14.9

%

Adjusted Gross Margin, subscription (non-GAAP)

 

89.7

%

 

 

89.0

%

 

 

0.7

%

 

 

 

 

 

 

 

 

 

 

Gross profit, equipment (GAAP)

$

786

 

 

$

172

 

 

 

614

 

 

357.0

%

Gross margin, equipment (GAAP)

 

9.1

%

 

 

1.8

%

 

 

7.3

%

 

 

 

 

 

 

 

 

 

 

Total Adjusted Gross Profit (non-GAAP)

$

30,720

 

 

$

24,316

 

 

 

6,404

 

 

26.3

%

Total Adjusted Gross Margin (non-GAAP)

 

41.7

%

 

 

37.2

%

 

 

4.5

%

 

 

(1) Amortization of internal-use software assets and developed technology assets.

   

 

Six Months Ended December 31,

Change

 

Percent Change

($ in thousands)

2024

 

2023

 

2024 v. 2023

Gross profit, transaction (GAAP)

$

21,680

 

 

$

15,113

 

 

6,567

 

 

43.5

%

Gross margin, transaction (GAAP)

 

24.6

%

 

 

20.2

%

 

4.4

%

 

 

 

 

 

 

 

 

 

 

Gross profit, subscription (GAAP)

 

32,306

 

 

 

28,823

 

 

3,483

 

 

12.1

%

Amortization (1)

 

3,995

 

 

 

3,616

 

 

379

 

 

10.5

%

Adjusted Gross Profit, subscription (non-GAAP)

$

36,301

 

 

$

32,439

 

 

3,862

 

 

11.9

%

Adjusted Gross Margin, subscription (non-GAAP)

 

88.8

%

 

 

89.5

%

 

(0.7

)%

 

 

 

 

 

 

 

 

 

 

Gross profit, equipment (GAAP)

$

1,590

 

 

$

1,093

 

 

497

 

 

45.5

%

Gross margin, equipment (GAAP)

 

10.1

%

 

 

6.5

%

 

3.7

%

 

 

 

 

 

 

 

 

 

 

Total Adjusted Gross Profit (non-GAAP)

$

59,571

 

 

$

48,645

 

 

10,926

 

 

22.5

%

Total Adjusted Gross Margin (non-GAAP)

 

41.2

%

 

 

38.0

%

 

3.2

%

 

 

   

(1) Amortization of internal-use software assets and developed technology assets.

 

Cantaloupe, Inc.

Reconciliation of U.S. GAAP Net Income to Adjusted EBITDA (unaudited)

 

 

Three Months Ended December 31,

Six Months Ended December 31,

($ in thousands)

2024

 

2023

2024

 

2023

 

 

 

 

 

 

 

Net income

$

4,974

 

 

$

3,124

 

 

8,546

 

 

$

5,131

 

Less: interest income

 

(398

)

 

 

(493

)

 

(845

)

 

 

(1,010

)

Plus: interest expense

 

993

 

 

 

1,002

 

 

1,984

 

 

 

2,109

 

Plus: income tax provision

 

395

 

 

 

81

 

 

573

 

 

 

162

 

Plus: depreciation expense included in cost of sales for rentals

 

345

 

 

 

380

 

 

879

 

 

 

722

 

Plus: depreciation and amortization expense in operating expenses

 

3,366

 

 

 

2,736

 

 

6,038

 

 

 

5,483

 

EBITDA

 

9,675

 

 

 

6,830

 

 

17,175

 

 

 

12,597

 

Plus: stock-based compensation (a)

 

943

 

 

 

1,111

 

 

1,830

 

 

 

3,043

 

Plus: integration and acquisition expenses (b)

 

44

 

 

 

93

 

 

241

 

 

 

171

 

Plus: auditor transition costs (c)

 

6

 

 

 

—

 

 

369

 

 

 

—

 

Plus: remediation expenses (d)

 

—

 

 

 

453

 

 

—

 

 

 

497

 

Adjustments to EBITDA

 

993

 

 

 

1,657

 

 

2,440

 

 

 

3,711

 

Adjusted EBITDA

$

10,668

 

 

$

8,487

 

$

19,615

 

 

$

16,308

 

   

(a) We have excluded stock-based compensation, as it does not reflect our cash-based operations.

(b) We have excluded expenses incurred in connection with business acquisitions as it does not represent recurring costs or charges related to our core operations.

(c) Costs incurred as a result of former auditor consent procedures. See Item 9. Changes in and Disagreements with Accountants on Accounting and Financial Disclosure of the Company's Annual Report.

(d) Consists of expenses incurred in connection with remediation of previously identified material weaknesses in our internal control over financial reporting which were remediated during fiscal year ended June 30, 2024. See Item 9A Section e - Remediation of Prior Material Weaknesses of the Company's Annual Report.

 

View source version on businesswire.com: https://www.businesswire.com/news/home/20250206233614/en/

Investor Relations: ICR, Inc. CantaloupeIR@icrinc.com Media: Jenifer Howard | 202-273-4246 jhoward@jhowardpr.com media@cantaloupe.com