Asure Software Reports 7% Revenue Growth but Wider Net Loss in Q2 2025

Asure Software, Inc. reported its financial results for the second quarter of 2025, revealing a total revenue of $30.1 million, a 7% increase from $28.0 million in the same period last year. For the first half of 2025, revenue reached $65.0 million, up 9% from $59.7 million in the first half of 2024. The growth was primarily driven by a 6% increase in recurring revenue, which amounted to $28.6 million for the quarter and $61.8 million for the six months, alongside a significant 54% rise in professional services, hardware, and other revenue.

Despite the revenue growth, Asure reported a net loss of $6.1 million, or $0.22 per share, for the second quarter, compared to a loss of $4.4 million, or $0.17 per share, in the prior year. The loss for the first half of 2025 was $8.5 million, widening from a loss of $4.7 million in the same period of 2024. The increase in losses was attributed to higher operating expenses, which rose to $24.6 million for the quarter, up from $23.1 million a year earlier, driven by increased sales and marketing costs and general administrative expenses.

In terms of strategic developments, Asure completed four customer relationship asset acquisitions during the first half of 2025, totaling $8.1 million. The company also announced the acquisition of Lathem Time 2025 LLC, a provider of timekeeping solutions, for $39.5 million, which is expected to enhance Asure's HR offerings. The company continues to focus on expanding its product suite and enhancing its market presence through both organic growth and acquisitions.

Operationally, Asure's customer base has grown to over 100,000 clients, with approximately 20% being direct clients and the remainder served through reseller partners. The company reported a significant increase in cash and cash equivalents, which rose to $66.0 million as of June 30, 2025, compared to $21.4 million at the end of 2024. This increase was largely due to proceeds from a new loan agreement with MidCap Financial Trust, which provided $60 million in funding for acquisitions.

Looking ahead, Asure anticipates continued revenue growth driven by the expansion of its client base and the introduction of new applications. The company expects to maintain its focus on enhancing its product offerings and exploring additional acquisition opportunities to complement its existing services. However, management has acknowledged the potential risks associated with market conditions and operational challenges that could impact future performance.