CoreCard (CCRD) Q2 2025 earnings summary

Executive summary

• Revenue for Q2 2025 rose 28% year-over-year to $17.6M, driven by higher professional services and processing revenue, especially from the largest customer, Goldman Sachs Group, Inc.

• Net income for Q2 2025 was $2.0M, up from $0.9M in Q2 2024; net income for the first half of 2025 was $3.9M, up from $1.3M in the prior year period.

• Adjusted EBITDA rose to $4.2M from $2.5M year-over-year.

• The company entered into a definitive merger agreement with Euronet Worldwide, Inc., valuing the company at $248M ($30/share), with closing expected in late Q4 2025.

• Goldman Sachs accounted for 63% of revenue in the first half of 2025; contract terms were extended through 2030, but Goldman is transitioning a major credit card portfolio.

Financial highlights

• Q2 2025 revenue: $17.6M (+28% YoY); H1 2025 revenue: $34.3M (+28% YoY).

• Q2 2025 net income: $2.0M (EPS $0.25 basic, $0.24 diluted); H1 2025 net income: $3.9M (EPS $0.50 basic, $0.48 diluted).

• Adjusted EPS was $0.31, up from $0.15 in Q2 2024.

• Gross margin improved to 45% in Q2 2025 from 34% in Q2 2024.

• Cash and marketable securities totaled $32.3M as of June 30, 2025.

Outlook and guidance

• Processing services revenue expected to continue growing as customer base expands, though timing of new implementations may be delayed by third-party processes.

• Merger with Euronet Worldwide expected to close in late 2025, pending shareholder and regulatory approvals.

• Anticipates sufficient liquidity to support operations and capital needs; excess cash may be used for business expansion or acquisitions.

• Impact of the One Big Beautiful Bill Act (OBBBA) expected to reduce current year cash tax liability.