Synchronoss (SNCR) investor relations material

Executive summary

• Revenue for Q2 2025 was $42.5M, with 92.6% recurring revenue and 2% year-over-year subscriber growth.

• Net loss was $19.6M, mainly due to $12.5M non-cash FX losses and $6.4M in debt-related expenses.

• Adjusted EBITDA reached $12.8M (30.2% margin), marking the third consecutive quarter above 30%.

• Received $33.9M CARES Act tax refund, using $25.4M to pay down debt, saving $2.9M in annual interest.

• Reaffirmed 2025 guidance and expects at least one new customer contract in 2025.

Financial highlights

• Q2 2025 revenue was $42.5M, down $1.0M year-over-year due to a contract expiration, partially offset by subscriber growth.

• Adjusted gross profit was $33.7M (79.3% margin), up from 77.5% in the prior year.

• Income from operations increased to $6.9M, up 59.6% year-over-year.

• Net loss for Q2 2025 was $19.6M; EPS was $(1.87) basic and diluted.

• Cash and equivalents were $24.6M at quarter end.

Outlook and guidance

• 2025 guidance: revenue of $170M–$180M, adjusted gross margin of 78–80%, recurring revenue at least 90%, adjusted EBITDA of $52M–$56M, and free cash flow of $11M–$16M.

• Guidance excludes federal tax refund proceeds and $4.4M in transaction fees.

• Management expects a stronger second half and at least one new customer contract in 2025.

• Sufficient liquidity is anticipated for at least the next twelve months, supported by cash and positive operating cash flows.

• Ongoing cost control and expense reduction measures are expected to support future profitability.