Professional Diversity Network, Inc. (PDN, Inc.) reported a decline in financial performance for the three and nine months ended September 30, 2024, compared to the same periods in 2023. Total revenues for Q3 2024 were $1.694 million, a decrease of 15.6% from $2.008 million in Q3 2023. For the nine-month period, revenues fell to $5.111 million, down 12% from $5.805 million in the prior year. Key factors contributing to this decline included reduced demand for contracted software development, which accounted for a significant portion of the revenue drop.
Membership fees and related services decreased to $100,904 in Q3 2024 from $135,145 in Q3 2023, while recruitment services revenue also saw a decline, falling to $1.191 million from $1.243 million. The RemoteMore segment experienced a notable revenue drop of 35.5%, from $605,000 to $390,000, primarily due to decreased demand for software development services.
Despite the revenue decline, PDN reported a reduced loss from continuing operations of $423,912 in Q3 2024, an improvement from a loss of $1.329 million in Q3 2023. For the nine months ended September 30, 2024, the net loss from continuing operations was $1.815 million, down from $3.861 million in the same period in 2023. This reduction in losses was attributed to a significant decrease in total costs and expenses, which fell to $2.118 million in Q3 2024 from $3.337 million in Q3 2023, and to $6.920 million for the nine months, down from $9.692 million.
The company’s total assets decreased to $5.302 million as of September 30, 2024, from $6.327 million at the end of 2023. Total liabilities also saw a slight reduction, amounting to $3.660 million compared to $3.758 million at year-end 2023. However, stockholders’ equity dropped significantly to $1.642 million from $2.568 million, reflecting an accumulated deficit of $101.653 million.
PDN continues to face liquidity challenges, with cash and cash equivalents decreasing to $133,677 as of September 30, 2024, from $627,641 at the end of 2023. The company’s ability to continue as a going concern is contingent upon increasing revenues and raising capital. In terms of strategic developments, PDN increased its ownership stake in RemoteMore USA, Inc. to 72.62% and integrated Expo Experts into its operations, which specializes in recruiting events. The company is also transitioning management of job boards and website operations in-house to enhance efficiency.