Cantaloupe, Inc. Reports 4.3% Revenue Growth but Net Loss in Q3 Fiscal 2026

Cantaloupe, Inc. reported its financial results for the third quarter of fiscal 2026, revealing total revenues of $78.7 million, a 4.3% increase from $75.4 million in the same period last year. The growth was primarily driven by a $4.0 million rise in transaction fees, which reached $48.1 million, and a $1.5 million increase in subscription fees, totaling $22.7 million. However, equipment sales declined by $2.3 million to $8.0 million. The company recorded a net loss of $2.2 million, compared to a net income of $49.2 million in the prior year, reflecting a significant shift in profitability.

In terms of operational metrics, Cantaloupe reported an increase in active devices to approximately 1.30 million, up from 1.26 million a year earlier, and a rise in active customers to 36,928, an 8.2% increase from 34,115. The total dollar volume of transactions processed also saw a notable increase, reaching $956.8 million, a 12.2% rise compared to the previous year. Despite these positive indicators, the company faced challenges with rising costs, particularly in transaction processing, which contributed to a decrease in gross profit margins.

Cantaloupe's operating expenses surged by 27.6% to $31.2 million, largely due to increased merger, acquisition, and integration expenses related to its pending acquisition by 365 Retail Markets. This acquisition, valued at $11.20 per share, is expected to close around May 8, 2026, following the termination of the waiting period under the Hart-Scott-Rodino Antitrust Improvements Act. The company has also been investing in its technology and product development, which saw a 9.9% increase in expenses.

The company’s balance sheet showed total assets of $389.0 million as of March 31, 2026, up from $381.9 million at the end of the previous fiscal year. Current liabilities increased to $93.4 million, primarily due to higher accrued expenses and deferred revenue. Cantaloupe's cash and cash equivalents rose to $60.4 million, reflecting a net increase of $9.3 million during the quarter. The company continues to focus on improving cash flow from operations and managing its working capital effectively.

Looking ahead, Cantaloupe aims to enhance its market position through the completion of the merger with 365 Retail Markets and continued investment in its technology solutions. The company remains committed to expanding its customer base and increasing transaction volumes, despite the challenges posed by rising operational costs and market conditions.