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i3 Verticals Reports First Quarter 2024 Financial Results
Company to Explore Sale of Its Merchant Services Business NASHVILLE, Tenn.--(BUSINESS WIRE)-- i3 Verticals, Inc. (Nasdaq: IIIV) (“i3 Verticals” or the
About this update from I3 Verticals, Inc.
[{"type":"text","content":"\nCompany to Explore Sale of Its Merchant Services Business\n\n\n NASHVILLE, Tenn.--(BUSINESS WIRE)--\ni3 Verticals, Inc. (Nasdaq: IIIV) (“i3 Verticals” or the “Company”) today reported its financial results for the fiscal first quarter ended December 31, 2023.\n\n\nHighlights for the three months ended December 31, 2023 vs. 2022\n\n\n\nRevenue was $92.0 million, an increase of 6.9% over the prior year's first quarter.\n\n\n\nNet income was $1.5 million, compared to net income of $0.2 million in the prior year's first quarter.\n\n\n\nNet income attributable to i3 Verticals, Inc. was $1.1 million, compared to net loss attributable to i3 Verticals, Inc. of $0.2 million in the prior year's first quarter.\n\n\n\nAdjusted EBITDA1 was $25.2 million, an increase of 6.6% over the prior year's first quarter.\n\n\n\nAdjusted EBITDA1 as a percentage of revenue was 27.4%, unchanged from the prior year's first quarter.\n\n\n\nDiluted net income per share available to Class A common stock was $0.04, compared to diluted net loss per share available to Class A common stock of $0.01 in the prior year's first quarter.\n\n\n\nPro forma adjusted diluted earnings per share1, which gives pro forma effect to the Company's tax rate, was $0.36 compared to $0.37 for the prior year's first quarter.\n\n\n\nAnnualized Recurring Revenue (\"ARR\")2 for the three months ended December 31, 2023 and 2022 was $316.9 million and $290.2 million, respectively, representing a period-to-period growth rate of 9.2%.\n\n\n\nSoftware and related services revenue3 as a percentage of total revenue was 47.4% for the three months ended December 31, 2023.\n\n\n\nAs of December 31, 2023, consolidated interest coverage ratio was 4.40x and total leverage ratio was 3.60x. These ratios are defined in the Company's 2023 Credit Agreement.\n\n\n\n\n\n1.\n\n\n\n\n\n\nRepresents a non-GAAP financial measure. For additional information (including reconciliation information), see the attached schedules to this release.\n\n\n\n\n\n\n\n\n2.\n\n\n\n\n\n\nAnnualized Recurring Revenue (ARR) is the annualized revenue derived from software-as-a-service (“SaaS”) arrangements, transaction-based software-revenue, software maintenance, recurring software-based services, payments revenue and other recurring revenue sources within the quarter. This excludes contracts that are not recurring or are one-...