Perfect (PERF) Q1 2025 earnings summary

Executive summary

• Revenue grew 12.1% year-over-year to $16 million in Q1 2025, driven by strong performance in mobile app subscriptions and AI/AR cloud solutions.

• Net income rose 264% year-over-year to $2.3 million, with adjusted net income up 33.3% to $2 million.

• Growth supported by the global launch of YouCam AI Chat app and smooth integration of WANNA, expanding offerings in shoes and bags verticals.

• Active YouCam app and web subscribers increased 7.9% to 973,000; brand clients rose to 801.

• Operating cash flow increased 22.8% to $4.3 million, reflecting strong operational health.

Financial highlights

• Total revenue increased to $16 million from $14.3 million year-over-year.

• AI- and AR-cloud solutions and subscription revenue rose 13.3% to $14.1 million; licensing revenue stable at $1.6 million.

• Gross profit grew 11.4% to $12.5 million, with a gross margin of 77.9%.

• Operating expenses rose 2% to $12.6 million, mainly due to higher R&D costs.

• Operating cash flow was $4.3 million; cash and equivalents stood at $164.6 million as of March 31, 2025.

Outlook and guidance

• 2025 revenue growth guidance maintained at 13%-14.5% year-over-year, based on continued demand for YouCam and enterprise SaaS.

• Focus remains on expanding B2C revenue with new generative AI features and premium subscription plans.

• Forecasts are subject to market and operational changes.