--- title: "Cantaloupe | 10-Q: FY2026 Q2 Revenue Misses Estimate at USD 78.71 M" type: "News" locale: "en" url: "https://longbridge.com/en/news/275172275.md" datetime: "2026-02-06T21:06:13.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/275172275.md) - [en](https://longbridge.com/en/news/275172275.md) - [zh-HK](https://longbridge.com/zh-HK/news/275172275.md) generator: "portal-rs" --- # Cantaloupe | 10-Q: FY2026 Q2 Revenue Misses Estimate at USD 78.71 M Revenue: As of FY2026 Q2, the actual value is USD 78.71 M, missing the estimate of USD 84.3 M. EPS: As of FY2026 Q2, the actual value is USD 0, missing the estimate of USD 0.1. EBIT: As of FY2026 Q2, the actual value is USD 2.093 M. ### Segment Revenue #### Three Months Ended December 31, 2025 vs. 2024 - Total revenues increased by $5.0 million to $78,712 thousand in 2025 from $73,722 thousand in 2024, representing a 6.8% increase. - Subscription and transaction fees increased by $4.6 million to $69,677 thousand in 2025 from $65,086 thousand in 2024. - Transaction fees rose 8.0% to $47,926 thousand in 2025 from $44,392 thousand in 2024. - Subscription fees increased 5.1% to $21,751 thousand in 2025 from $20,694 thousand in 2024. - Equipment sales increased 4.6% to $9,035 thousand in 2025 from $8,636 thousand in 2024. #### Six Months Ended December 31, 2025 vs. 2024 - Total revenues increased by $15.0 million to $159,565 thousand in 2025 from $144,558 thousand in 2024. - Subscription and transaction fees increased by $11.1 million to $140,002 thousand in 2025 from $128,877 thousand in 2024. - Transaction fees rose 9.1% to $95,986 thousand in 2025 from $87,995 thousand in 2024. - Subscription fees increased 7.7% to $44,016 thousand in 2025 from $40,882 thousand in 2024. - Equipment sales increased by $3.9 million to $19,563 thousand in 2025 from $15,681 thousand in 2024, a 24.8% increase, primarily due to the Smart Stores product launch in December 2024. ### Operational Metrics #### Net (Loss) Income - For the three months ended December 31, 2025, net loss was - $70 thousand, compared to net income of $4,974 thousand for the same period in 2024. - For the six months ended December 31, 2025, net loss was - $989 thousand, compared to net income of $8,546 thousand for the same period in 2024. #### Gross Margin - **Three Months Ended December 31, 2025 vs. 2024** - Total gross margin decreased to 34.8% in 2025 from 38.6% in 2024, primarily due to an increase in cost of transaction fees. - Transaction gross margin was 20.7% in 2025, down from 25.6% in 2024. - Subscription gross margin was 75.9% in 2025, down from 78.8% in 2024. - Equipment gross margin was 10.7% in 2025, up from 9.1% in 2024. - **Six Months Ended December 31, 2025 vs. 2024** - Total gross margin decreased to 36.5% in 2025 from 38.4% in 2024, primarily due to an increase in cost of transaction and subscription fees. - Transaction gross margin was 22.6% in 2025, down from 24.6% in 2024. - Subscription gross margin was 77.5% in 2025, down from 79.0% in 2024. - Equipment gross margin was 12.0% in 2025, up from 10.1% in 2024. #### Operating Income - For the three months ended December 31, 2025, operating income was $1,606 thousand, down from $6,163 thousand for the same period in 2024. - For the six months ended December 31, 2025, operating income was $3,233 thousand, down from $10,270 thousand for the same period in 2024. #### Operating Costs - **Three Months Ended December 31, 2025 vs. 2024** - Total operating expenses increased 17.8% to $28,938 thousand in 2025 from $24,557 thousand in 2024. - Sales and marketing expenses increased by approximately $0.5 million to $5,914 thousand. - Technology and product development expenses increased by $0.1 million to $4,621 thousand. - General and administrative expenses decreased by $0.9 million to $10,308 thousand, primarily due to a decrease in compensation costs. - Merger, acquisition, and integration expenses increased significantly to $3,854 thousand from $44 thousand, primarily due to professional service fees related to the merger with 365 Retail Markets, LLC. - Depreciation and amortization expenses increased by $0.9 million to $4,241 thousand, due to increased capitalization and depreciation of internal-use software. - **Six Months Ended December 31, 2025 vs. 2024** - Total operating expenses increased 23% to $60,825 thousand in 2025 from $49,301 thousand in 2024. - Sales and marketing expenses increased by approximately $1.6 million to $12,438 thousand, driven by compensation expenses and headcount growth. - Technology and product development expenses increased by $0.6 million to $9,636 thousand. - General and administrative expenses decreased by $3.5 million to $19,665 thousand, primarily due to a $2.3 million Employee Retention Tax credit and reduced consulting expenses. - Merger, acquisition, and integration expenses increased significantly to $11,051 thousand from $241 thousand, primarily due to professional service fees related to the merger with 365 Retail Markets, LLC. - Depreciation and amortization expenses increased by $2.0 million to $8,035 thousand, due to increased capitalization and depreciation of internal-use software. #### Adjusted Gross Profit and Margin (non-GAAP) - **Three Months Ended December 31, 2025 vs. 2024** - Total Adjusted Gross Profit was $30,544 thousand in 2025, down from $30,720 thousand in 2024, a decrease of -0.6%. - Total Adjusted Gross Margin was 38.8% in 2025, down from 41.7% in 2024. - Adjusted Gross Profit, subscription, was $19,674 thousand in 2025, up from $18,554 thousand in 2024, a 6.0% increase. - Adjusted Gross Margin, subscription, was 90.5% in 2025, up from 89.7% in 2024. - **Six Months Ended December 31, 2025 vs. 2024** - Total Adjusted Gross Profit was $64,058 thousand in 2025, up from $59,571 thousand in 2024, a 7.5% increase. - Total Adjusted Gross Margin was 40.1% in 2025, down from 41.2% in 2024. - Adjusted Gross Profit, subscription, was $40,010 thousand in 2025, up from $36,301 thousand in 2024, a 10.2% increase. - Adjusted Gross Margin, subscription, was 90.9% in 2025, up from 88.8% in 2024. #### Adjusted EBITDA (non-GAAP) - For the three months ended December 31, 2025, Adjusted EBITDA was $10,782 thousand, up from $10,668 thousand for the same period in 2024. - For the six months ended December 31, 2025, Adjusted EBITDA was $22,535 thousand, up from $19,615 thousand for the same period in 2024. ### Cash Flow #### Six Months Ended December 31, 2025 vs. 2024 - Net cash provided by operating activities was $10,123 thousand in 2025, compared to net cash used in operating activities of - $11,496 thousand in 2024. - The 2025 operating cash flow was driven by a net loss of - $1,000 thousand and - $2,400 thousand utilized by working capital, offset by $13,500 thousand in non-cash operating charges. - The 2024 operating cash flow was driven by $32,800 thousand utilized by working capital, offset by net income of $8,500 thousand and $12,700 thousand in non-cash operating charges. - Net cash used in investing activities was - $7,198 thousand in 2025, compared to - $17,842 thousand in 2024. - In 2025, this included $7,200 thousand in property and equipment investments. - In 2024, this included $8,100 thousand in property and equipment and $9,800 thousand for the SB Software acquisition. - Net cash used in financing activities was - $1,080 thousand in 2025, compared to - $926 thousand in 2024. - In 2025, this was primarily due to repayment of long-term debt and deferred cash consideration for the SB Software acquisition, partially offset by proceeds from stock option exercises. - In 2024, this was primarily driven by debt repayments on the JPMorgan Credit Facility. ### Unique Metrics #### As of and for the Three Months Ended December 31, 2025 vs. 2024 - Active Devices: 1.29 million in 2025, an increase of 1.7% from 1.27 million in 2024. - Active Customers: 36,388 in 2025, an increase of 10.6% from 32,909 in 2024. - Total Number of Transactions: 337.3 million in 2025, compared to 299.8 million in 2024. - Total Dollar Volume of Transactions: $953.2 million in 2025, an increase of 13.1% from $843.1 million in 2024. - Average Revenue Per Unit (ARPU): $214.26 in 2025, up from $202.20 in 2024. ### Future Outlook and Strategy #### Core Business Focus Cantaloupe, Inc. is a global technology leader providing end-to-end technology solutions for self-service commerce, including micro-payment processing, self-checkout kiosks, mobile ordering, connected POS systems, and enterprise cloud software. The company handles over a billion transactions annually and aims to drive advancements in digital payments and business optimization. #### Merger with 365 Retail Markets, LLC Cantaloupe, Inc. expects to complete its merger with 365 Retail Markets, LLC in the first half of calendar year 2026, pending regulatory clearances and other closing conditions. Upon completion, Cantaloupe, Inc. will become a private entity and be delisted from Nasdaq. #### Liquidity and Capital Resources Cantaloupe, Inc. believes its current financial resources, including $53.0 million in cash and cash equivalents as of December 31, 2025, and expected cash from operating activities, will be sufficient to fund its twelve-month operating budget. The company’s strategy to increase operating cash flow includes prioritizing accounts receivable collection, utilizing existing inventory for equipment sales, improving operational efficiencies, and continuing domestic and international business growth. ### Related Stocks - [CTLP.US](https://longbridge.com/en/quote/CTLP.US.md) ## Related News & Research - [Cantaloupe Repays and Terminates JPMorgan-Led Credit Agreement Following Merger Closing](https://longbridge.com/en/news/285774408.md) - [Cantaloupe Redeems Preferred Stock Ahead of 365 Merger](https://longbridge.com/en/news/284942426.md) --- > **Disclaimer: This article is for reference only and does not constitute any investment advice.**