OLB Group Reports 35.6% Revenue Decline in Q2 2025, Plans for Capital Raise

The OLB Group, Inc. reported a significant decline in financial performance for the second quarter of 2025, with total revenue of $2.27 million, down 35.6% from $3.52 million in the same period last year. For the first half of 2025, revenue totaled $4.59 million, a decrease of 34.6% compared to $7.02 million in the first half of 2024. The decline was primarily attributed to reduced revenue from Moola Cloud, LLC, as the company transitions to new vendors to improve pricing and service reliability. Transaction and processing fees, which constitute the bulk of the company's revenue, fell to $2.10 million from $2.48 million year-over-year.

Despite the drop in revenue, OLB Group managed to reduce its operating expenses significantly. Total operating expenses for the second quarter were $3.96 million, down from $6.14 million in the prior year, reflecting a decrease in processing and servicing costs, which fell by 33.9% to $1.96 million. The company reported a net loss of $2.12 million for the quarter, an improvement from a loss of $2.65 million in the same quarter of 2024. For the first half of 2025, the net loss was $3.21 million, compared to $5.05 million in the previous year.

Operationally, OLB Group has made strategic moves, including the acquisition of Moola Cloud, LLC, which now serves over 31,000 convenience stores in New York and New Jersey. The company is also in the process of spinning off its Bitcoin mining segment, DMINT, into a standalone entity, which is expected to occur within the next twelve months. This spin-off aims to allow DMINT to raise capital independently, potentially enhancing its operational focus and financial health.

As of June 30, 2025, OLB Group's total assets were approximately $12.39 million, a decrease from $12.68 million at the end of 2024. The company reported current liabilities of $5.91 million, down from $9.39 million, indicating improved liquidity management. However, the company also noted a negative working capital of $5.04 million, raising concerns about its ability to meet short-term obligations without additional capital. The company has initiated an at-the-market equity program to raise up to $15 million, which could provide necessary funds for ongoing operations.

Looking ahead, OLB Group's management expressed cautious optimism, stating that current resources should suffice for planned expenditures over the next year. However, they acknowledged the need for additional capital to support business plans, emphasizing that without such funding, there is substantial doubt about the company's ability to continue as a going concern through mid-2026. The company is actively exploring options to secure further financing while managing its operational challenges.