Obook (OWLS) Q4 2025 earnings summary

Executive summary

• 2025 marked a foundational year with completion of core infrastructure for stablecoin-enabled cross-border settlement, Nasdaq delisting, and launch of key products like OwlPay Harbor and OutPay Cash with Visa integration.

• Expanded U.S. regulatory coverage to 41 states by early 2026 and 39 by year-end 2025, with further licensing in progress globally.

• Transitioned from pipeline development to onboarding signed enterprise clients, with OwlPay Harbor client base growing to 36 and early commercial traction across diverse geographies and industries.

• Over 99% of shares subject to lock-up were voluntarily extended, signaling strong shareholder confidence and alignment with long-term strategy.

• Secured $10 million convertible investment post-year-end, with access to up to $50 million for global expansion and strategic initiatives.

Financial highlights

• Total revenue reached $7.9 million, up 4% year-over-year, with payment services revenue increasing nearly 10% to $4.4 million and now comprising over half of total revenue.

• Hospitality services revenue rose to $2.9 million, driven by 26.6% growth in OwlNest subscription revenue and 9.5% growth in subscribers.

• Net loss reported at $31.9 million, mainly due to $16.8 million in share-based compensation and $6.9 million in non-recurring listing expenses; underlying loss was $8.2 million, improved from $10.3 million in 2024.

• Gross margin appeared to decline due to share-based compensation, but adjusted gross profit (excluding SBC) grew 11.2% to $1.1 million, with adjusted gross margin improving to 14.2%.

• Cash and restricted cash ended at $9.4 million, up from $8.7 million, with an additional $10 million secured post-year-end via convertible note.

Outlook and guidance

• As of April 2026, 29 contracted enterprise clients and 7 onboarding, with annual payment volume estimates rising from $5 billion to over $6 billion.

• Management maintains a directional framework targeting $500 million in annual revenue from stablecoin infrastructure by 2030, not as formal guidance.

• 2026 is positioned as the year of commercialization, with expectations for operating leverage and structurally favorable margins as transaction volumes scale.