Pineapple Financial Reports 11.78% Revenue Growth to $2.26 Million Despite Net Loss

Pineapple Financial Inc. reported its financial results for the nine-month period ending May 31, 2025, revealing a revenue of $2.26 million, an increase of 11.78% from $1.97 million in the same period last year. The company attributed this growth to a rise in mortgage origination volumes, which reached $1.18 billion, up 9.21% from $1.08 billion in the prior year. Despite the increase in revenue, Pineapple Financial recorded a net loss of $1.81 million, an improvement of 23.76% compared to a net loss of $2.38 million for the same period in 2024.

The company’s total expenses for the nine months decreased by 3.48% to $4.25 million, driven primarily by a significant reduction in salaries, wages, and benefits, which fell by 30.14% to $1.22 million. This reduction reflects ongoing cost management initiatives. Additionally, the company experienced a notable increase in interest expenses, which rose to $306,267, primarily due to new financing facilities. The overall decrease in expenses contributed to a smaller operational loss of $1.99 million, compared to $2.45 million in the previous year.

Pineapple Financial has also made strategic moves to enhance its market position, including the issuance of 10 million warrants and a successful follow-up public offering that raised approximately $834,000. The company’s total assets increased to $4.70 million as of May 31, 2025, compared to $4.10 million at the end of the previous fiscal year, largely due to improved cash reserves, which rose to $1.13 million from $580,356. The company’s equity also saw a decline, with total shareholders' equity at $842,565, down from $1.35 million, primarily due to accumulated losses.

Operationally, Pineapple Financial has expanded its broker network to over 600 brokers, leveraging technology to enhance service delivery. The company continues to focus on optimizing its technology platform, MyPineapple, which has seen increased user engagement. However, the company faces challenges, including a notice of delisting from the NYSE American due to non-compliance with listing standards, prompting an appeal process. Management remains optimistic about future growth, emphasizing the importance of macroeconomic stability and interest rate trends in shaping the company’s outlook.