Rimini Street Reports Q2 2025 Revenue Increase and Profitability Turnaround

Rimini Street, Inc. reported its financial results for the second quarter of 2025, revealing a slight increase in revenue and a significant turnaround in profitability compared to the same period last year. The company generated $104.1 million in revenue for the three months ended June 30, 2025, a 1% increase from $103.1 million in the prior year. For the first half of 2025, total revenue was $208.3 million, down 0.7% from $209.9 million in the same period of 2024. The company achieved a net income of $30.3 million for the second quarter, a substantial improvement from a net loss of $1.1 million in the same quarter of 2024.

The financial performance was bolstered by a decrease in operating expenses, which fell to $21.7 million from $61.7 million year-over-year, primarily due to a significant reduction in litigation costs and related recoveries. The company recognized a litigation settlement income of approximately $36.2 million during the quarter, contributing to the overall profitability. Gross profit for the quarter increased to $62.9 million, resulting in a gross profit margin of 60.4%, up from 59.1% in the previous year.

Rimini Street's operational metrics showed a growth in its client base, with approximately 3,060 active clients as of June 30, 2025, compared to 3,007 a year earlier. The company continues to expand its service offerings, including a planned wind-down of support services for Oracle PeopleSoft products, which accounted for about 6% of total revenue in the first half of 2025. The wind-down is expected to be completed by July 31, 2028, as part of a settlement agreement with Oracle.

The company’s balance sheet reflects a working capital deficit of $24.7 million, with total assets amounting to $397.5 million and total liabilities of $426.5 million as of June 30, 2025. Rimini Street had cash, cash equivalents, and restricted cash of $102.5 million, providing a buffer for its operational needs. The company has also refinanced its credit facilities, securing a $75 million term loan and a $35 million revolving line of credit, which enhances its liquidity position.

Looking ahead, Rimini Street anticipates continued challenges due to global economic uncertainties, including inflation and geopolitical tensions. However, the company remains optimistic about its ability to maintain revenue growth and manage costs effectively. The management believes that the current cash reserves, along with future cash flows from operations, will be sufficient to meet its anticipated cash needs over the next year.