Vaso Corporation Reports 4% Revenue Growth and Reduced Net Loss in Q1 2025

Vaso Corporation reported its financial results for the first quarter of 2025, revealing total revenues of $19.462 million, a 4% increase from $18.738 million in the same period of 2024. The growth was driven primarily by a 7% rise in commission revenues from its professional sales service segment, which reached $8.705 million, and a 2% increase in revenues from the IT segment, totaling $10.315 million. However, the equipment segment experienced a slight decline, with revenues decreasing to $442,000 from $458,000 year-over-year. The company's gross profit also improved, rising to $11.358 million, maintaining a consistent gross margin of 58%.

In terms of profitability, Vaso Corporation reported a net loss of $1.075 million for the first quarter of 2025, a reduction from the $1.173 million loss recorded in the same quarter of the previous year. This improvement in net loss was attributed to higher gross profit and a decrease in business combination transaction costs, which were not present in the current quarter. Operating loss also narrowed to $1.218 million from $1.468 million, reflecting better performance in the professional sales service segment, which achieved operating income of $347,000 compared to a loss in the prior year.

Operationally, Vaso Corporation's cash and cash equivalents stood at $25.311 million as of March 31, 2025, down from $26.271 million at the end of 2024. The company reported cash used in operating activities of $566,000, an improvement from the $1.070 million used in the same period last year. The decrease in cash usage was primarily due to a significant reduction in accounts receivable and an increase in deferred revenue. The company also noted a decrease in accrued commissions and expenses, contributing to a more favorable cash flow situation.

Strategically, Vaso Corporation has been focusing on enhancing its operational efficiency and exploring growth opportunities. The company terminated its business combination agreement with Achari Ventures Holdings Corp. in September 2024, indicating a shift in strategy towards internal growth and potential partnerships in the healthcare and IT sectors. The company continues to leverage its three business segments—IT services, professional sales, and medical equipment—to drive revenue and market presence.

Looking ahead, Vaso Corporation remains optimistic about its ability to generate sufficient cash flow from operations to meet its obligations over the next twelve months. The company is committed to pursuing growth through strategic investments and partnerships, particularly in the healthcare technology space, while continuing to manage its operational costs effectively.