Usio, Inc. Reports 19% Revenue Growth and Net Income Turnaround in Q2 2026

Usio, Inc. reported a significant increase in financial performance for the second quarter of 2026, with revenues reaching $23.7 million, a 19% increase from $19.96 million in the same period last year. The company also achieved a net income of $280,080, compared to a net loss of $366,654 in the prior year quarter. For the first half of 2026, Usio's revenues totaled $49.1 million, up 17% from $42.0 million in the first half of 2025, driven by strong growth in its ACH and complementary services, credit card processing, and Output Solutions segments.

The company's cost of services increased by 21% to $18.0 million for the quarter, reflecting the growth in revenues. Gross profit for the quarter was $5.7 million, an 11% increase from $5.1 million in the previous year, although the gross profit margin decreased slightly to 24.2% from 25.8%. For the six months ended June 30, 2026, gross profit was $10.9 million, up 9% from $9.9 million in the same period last year. The increase in gross profit was attributed to higher revenues, although the mix of lower-margin business lines impacted overall profitability.

Operationally, Usio has seen a 34% increase in ACH transaction counts and a 19% increase in credit card transactions processed compared to the same quarter last year. The Output Solutions segment also reported a 43% increase in total mail pieces processed, reflecting the successful implementation of new printing technology. However, the prepaid card services segment experienced a 10% decline in revenue, primarily due to the loss of a key customer in the previous year.

Strategically, Usio has focused on expanding its product offerings and enhancing its technology infrastructure. The company has made significant investments in new equipment and technology, including a new printer that has improved operational efficiency. Additionally, Usio's "Usio One" strategy aims to unify its brand and sales approach, facilitating better cross-selling opportunities across its various payment services. The company also completed the acquisition of PostCredit in late 2025, which is expected to enhance its capabilities in expense management.

Looking ahead, Usio anticipates continued growth driven by its diverse product offerings and ongoing investments in technology. The company remains focused on expanding its customer base and enhancing its service capabilities to meet evolving market demands. Despite challenges in certain segments, Usio's overall outlook remains positive, with expectations for further revenue growth and improved profitability in the coming quarters.