POSaBIT Systems (PBIT) Q3 2026 earnings summary

Executive summary

• Q3 revenue was $2,313,606, down 2% YoY; core revenue excluding License Contract support services and royalty income grew 8%, while net loss narrowed to $118,328 from $596,361.

• Gross margin was 87%, up from 81%; Adjusted EBITDA was $638,776, down from $1,081,265 in Q2 as License Contract cash receipts declined.

• 9M operating cash flow was $2,148,525 and September 30 cash was $2,903,090; statements were unaudited and not reviewed by auditors.

Financial highlights

• Q3 gross profit was $2,020,911, up 5% YoY; cost of goods sold fell to $292,695 from $447,306.

• Operating loss narrowed to $122,692 from $510,857; net loss was $118,328 versus $596,361, including a $48,424 income tax recovery.

• 9M revenue was $6,700,192 versus $7,859,092; 9M net loss was $724,450 versus $1,085,671.

• Adjusted revenue was $3,049,000 and adjusted gross profit was $2,756,000, including $863,871 in licensing cash receipts and deducting $128,750 of licensing support revenue.

Outlook and guidance

• Growth strategy focuses on Point of Sale and recurring SaaS revenue, Washington Brand Portal expansion, and product development including AI capabilities.

• Going-concern assessment indicates sufficient capital to operate for the next 12 months and the foreseeable future, despite reported losses.

• Future results depend on demand, product execution, licensing cash receipts, cash needs and capital requirements; forward-looking statements remain subject to uncertainty.