SHF Holdings Reports 47.4% Revenue Decline in Q3 2025

SHF Holdings, Inc. reported a significant decline in financial performance for the third quarter of 2025, with revenues totaling $1.83 million, down 47.4% from $3.48 million in the same period of 2024. For the nine months ending September 30, 2025, total revenue was $5.61 million, a decrease of 51.5% compared to $11.57 million for the same period last year. The company recorded a net income of $179,508 for the third quarter, a decrease from $353,817 in the prior year, while the nine-month net loss reached $1.58 million, contrasting sharply with a net income of $3.35 million in 2024.

The financial results reflect a notable shift in the company's operational landscape. Operating expenses for the third quarter were $3.05 million, slightly down from $3.31 million in the previous year, but the company faced increased costs in professional services and general administrative expenses. The decline in revenue was attributed to reduced account fee income and loan interest income, which fell to $963,098 and $510,754, respectively, compared to $1.65 million and $1.34 million in the prior year. The company’s reliance on its major customer, Partner Colorado Credit Union (PCCU), remains significant, with PCCU accounting for approximately 88% of total revenues in the third quarter.

In terms of strategic developments, SHF Holdings issued 31,052 shares of Series B Convertible Preferred Stock, raising gross proceeds of $6.3 million, which were fully collected by early October 2025. This capital infusion is expected to support the company's ongoing operations and strategic initiatives. The company also reported a significant reduction in total liabilities, which decreased from $25.51 million at the end of 2024 to $6.67 million as of September 30, 2025, primarily due to the cancellation of a senior secured promissory note with PCCU.

Operationally, SHF Holdings has seen a decrease in customer engagement metrics, with total accounts receivable dropping to $665,143 from $968,023 at the end of 2024. The company’s cash and cash equivalents also fell to $861,722, down from $2.32 million at the end of the previous fiscal year. The company’s employee headcount remains stable, but the overall market conditions and the concentration of revenue from PCCU pose risks to future performance.

Looking ahead, SHF Holdings has indicated that it will continue to focus on enhancing its service offerings to the cannabis-related business sector while managing its operational costs. The company remains cautious about the potential impacts of market conditions on its financial performance and is committed to monitoring its strategic partnerships closely. The outlook for the remainder of 2025 will depend on the successful execution of its strategic initiatives and the stabilization of its revenue streams.