Route1 (ROI) Q2 2025 earnings summary

Executive summary

• Launched Actionable Business Intelligence (ABI) 3.0 platform for ALPR clients, integrating advanced analytics and real-time operational insights for parking and public safety sectors.

• Closed first ABI software sale to an Arizona university, with additional deals in progress with colleges, parking operators, and local governments.

• Monetized Employee Retention Credits (ERCs) through two discounted sales to a private equity fund, generating immediate and contingent cash inflows.

Financial highlights

• Q2 2025 revenue was CAD $3.69M, up from $2.23M in Q1 2025 and $3.48M in Q2 2024.

• Gross profit for Q2 2025 was $1.35M, compared to $910K in Q1 2025 and $1.22M in Q2 2024.

• Adjusted EBITDA for Q2 2025 was $269K, a significant improvement from $(190)K in Q1 2025 and $2K in Q2 2024.

• Net loss for Q2 2025 was $(61)K, narrowing from $(214)K in Q1 2025 and $(328)K in Q2 2024.

Outlook and guidance

• ABI software enhancements planned, with versions 3.0.2 and 3.5 scheduled for release by September 2025, adding user-requested features and ticketing system integration.

• Management expects continued growth in ABI software adoption and further monetization of ERCs, subject to regulatory and IRS outcomes.