Route1 (ROI) Q3 2025 earnings summary

Executive summary

• Launched Route1 ABI, a new actionable business intelligence platform for parking and public safety sectors.

• Achieved quarterly ALPR support contract revenue exceeding USD $300,000, with annualized recurring revenue of USD $1.2 million.

• Monetized employee retention credits, generating USD $226,000 in Q3 and USD $471,000 year-to-date.

• Improved working capital deficiency by $817,000 over six months and $419,000 in Q3.

• Reduced total bank indebtedness by $202,000 over the last two quarters.

Financial highlights

• Q3 2025 revenue was CAD $2.95 million, down from $3.69 million in Q2 2025 and $3.71 million in Q3 2024.

• Gross profit for Q3 2025 was $1.18 million, compared to $1.35 million in Q2 2025 and $1.33 million in Q3 2024.

• Net income for Q3 2025 was $252,000, a turnaround from a net loss of $61,000 in Q2 2025 and $283,000 in Q3 2024.

• Adjusted EBITDA for Q3 2025 was $220,000, down from $269,000 in Q2 2025 but up from $147,000 in Q3 2024.

Outlook and guidance

• Version 4.0 of Route1's AI co-pilot, designed to optimize parking operations, is set for release in early 2026.

• The company expects continued growth in ALPR support contracts and recurring revenue.