Pivotree (PVT) investor relations material

Executive summary

• Achieved strong bottom-line performance with adjusted EBITDA of $1.7M at a 10% margin, marking the third consecutive quarter of positive EBITDA and a second quarter of positive net income.

• Net income reached $2.5M in Q2 2025, reversing a $4.4M loss from Q2 2024, aided by a $2.3M gain on asset sale and reduced operating expenses.

• Revenue was $17.3M, down 14.7% year-over-year, mainly due to declines in legacy managed services and FX headwinds.

• Focused on new logo acquisition and customer expansion, with one-third of customers increasing annual spend by over 50%.

• Data-driven initiatives and tailored offerings for tech-enabled and tech-light customers are driving deeper engagement.

Financial highlights

• Adjusted EBITDA was $1.7M (10% margin), up from $0.3M in Q2 2024, despite a $600K FX loss.

• Gross margin improved to 46.2%, with gross profit of $8.0M, up from 44.2% last year.

• Net income increased to $2.5M, driven by a $2.3M gain on the sale of the WMS asset.

• Cash at quarter-end was $8.6M, with $1.5M generated from core operations and $1.9M from the WMS sale.

• Operating expenses were significantly reduced across all categories, supporting profitability.

Outlook and guidance

• Continued focus on operational discipline, margin improvement, and driving bookings growth in MIPS and PS.

• Priorities for 2025 include closing new logo pipeline initiatives, investing in Managed & IP Solutions, and generating EBITDA and cash flow.

• Net income expected to benefit from reduced depreciation and amortization in future quarters.

• Forward-looking statements highlight growth strategies, market expansion, and ongoing profitability targets.