Leafbuyer Technologies Reports 16% Revenue Growth and Net Income Turnaround in Latest Quarter

Leafbuyer Technologies, Inc. reported significant financial improvements in its latest 10-Q filing for the quarter ending March 31, 2025. The company generated revenues of $1.73 million for the three months, marking a 16% increase from $1.50 million in the same period last year. For the nine months ending March 31, 2025, total revenues reached $5.06 million, a 23% increase compared to $4.10 million for the same period in 2024. The gross profit for the quarter was $810,869, up 44% from $563,051 a year earlier, while the nine-month gross profit increased by 69% to $2.31 million from $1.37 million.

The company also reported a net income of $235,154 for the three months ended March 31, 2025, a turnaround from a net loss of $171,649 in the same quarter of the previous year. For the nine-month period, Leafbuyer recorded a net income of $321,471, compared to a net loss of $790,260 in the prior year. This improvement in profitability is attributed to increased revenues from additional text services and a reduction in operating expenses, which fell to $558,963 for the quarter, down 20% from $702,483 in the previous year.

Operationally, Leafbuyer has focused on expanding its technology platform, which serves medical and recreational cannabis dispensaries. The company has enhanced its offerings with new customer acquisition tools and retention strategies, including a loyalty program and order-ahead technology. As of March 31, 2025, Leafbuyer had approximately 100 million shares outstanding, reflecting a slight increase from 99.9 million shares a year prior. The company continues to explore geographic expansion into new legal cannabis markets, aiming to increase its market share.

Despite the positive financial results, Leafbuyer faces challenges, including a working capital deficit of $1.08 million and an accumulated deficit of $24.82 million. The company has indicated that its ability to continue as a going concern is dependent on generating profitable operations and securing additional financing. Management plans to finance operations through existing cash reserves and potential equity financing, although there are no guarantees regarding the success of these efforts.

Looking ahead, Leafbuyer aims to continue its growth trajectory by enhancing its product offerings and expanding its market presence. The company is optimistic about its strategy to generate additional revenues and achieve positive cash flow, although it acknowledges the inherent risks and uncertainties in the rapidly evolving cannabis industry.