Optiva (OPT) Q2 2025 earnings summary

Executive summary

• Q2 2025 revenue was $10.3M, with a net loss of $4.4M and EPS loss of $0.71.

• Added 13 new customers in the last two years, including two new Tier 1 European customers in Q2, and secured a major customer renewal.

• Recognized for AI and analytics innovation, including being named a finalist for a major industry AI/ML award in 2024 and 2025.

• Bookings TCV in Q2 2025 reached $26.6M, reflecting continued momentum.

• Operates in the telecommunications software market, providing monetization and subscriber management solutions globally.

Financial highlights

• Q2 2025 revenue was $10.3M, down from $11.4M in Q2 2024 and $11.7M in Q1 2025; six-month revenue was $21.8M, down from $23.1M year-over-year.

• Gross margin for Q2 2025 was 49%, down from 65% in Q2 2023 and 56% in Q2 2024.

• Adjusted EBITDA loss for Q2 2025 was $1.6M, with an adjusted EBITDA margin of (16%).

• Net loss for Q2 2025 was $4.4M, improved from $5.6M in Q2 2024.

• Cash balance at Q2 2025 was $12.9M, down from $17.1M a year ago.

Outlook and guidance

• Board formed a special committee to evaluate strategic alternatives, including refinancing or potential transactions, due to upcoming debenture maturity and liquidity concerns.

• The company is negotiating a strategic transaction with a third party, with a binding agreement expected before the end of a 45-day forbearance period.

• Focus on AI-first, cloud-native BSS solutions and hyper-personalization to drive future growth.

• Continued investment in R&D, representing 27% of Q2 2025 revenue.

• Gross margins are expected to fluctuate as cloud-native adoption increases among new and existing customers.