NYSE$PSQH

Psq Holdings Inc · Q3 2024 earnings

Q3 2024 earnings · · Investor relations

Briefing

Increased net revenue by 222% year-over-year and achieved a gross margin of 64%.

PublicSquare reported a 222% increase in net revenue year-over-year and a gross margin of 64% for the third quarter of 2024. The company is prioritizing its Fintech opportunity, having signed contracts for over $1.0 billion in potential annualized gross merchandise value for payments.

  • Net revenue increased by 222% year-over-year.
  • Gross margin reached 64%.
  • Signed contracts for over $1.0 billion in potential annualized gross merchandise value for payments.
  • Prioritizing Fintech segment for future growth.

Headline financials

Total Revenue

$6.54M

Previous: $2.03M+222.0%
EPS

-$0.41

Previous: -$0.77+46.8%
Capital Expenditures

$0.00

Previous: -$113K+100.0%
Free Cash Flow

-$13.1M

Previous: -$20.4M+35.4%
Net Income

-$13.1M

Previous: -$20.2M+35.1%
Operating Income

-$14.7M

Previous: -$13M-13.2%
Gross Profit

$4.16M

Previous: $558K+645.8%
Cash & Equivalents

$4.71M

Previous: $25.3M-81.4%
Total Assets

$44.2M

Previous: $33.2M+33.1%
R&D Expense

$974K

Previous: $1.49M-34.5%
Stock-Based Comp

$5.8M

Previous: $2.1M+176.6%

Revenue & EPS history

PSQ · Revenue · Quarterly

$6.54M

Q3 2024+222%vs Q3 2023
Beat estimate in 2 of 8 quarters(25%)
ActualEstimate

Forward guidance

PublicSquare anticipates all segments, including the PublicSquare marketplace, will achieve positive cash flows on a standalone basis during 2025 while maintaining strong growth and expects to become cash flow positive as an organization by the latter half of 2025.

Tailwinds

  • All segments, including the PublicSquare marketplace, will achieve positive cash flows on a standalone basis during 2025 while maintaining strong growth.
  • Company expects to become cash flow positive as an organization by the latter half of 2025.
  • Strategic reorganization expected to save approximately $11.0 million on an annualized basis.
  • Reorganization is expected to meaningfully lower the Company’s cash needs.
  • Cost savings associated with the organizational changes to be realized beginning in November 2024 and for the full year 2025.

Headwinds

  • Strategic reorganization resulted in the elimination of ~35% of the company’s workforce.
  • Payment processing and credit agreements are terminable at will without notice.
  • Merchants may terminate services or fail to utilize the services at the expected volume.
  • Risk of economic downturn.
  • Increased competition in the consumer marketplace.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 14 quarterly earnings reports · overlaid with Q3 2024

Historical avgQ3 2024

-1.7%

Avg return

Earnings day

-3.6%

Avg return

5 days after

-3.5%

Avg return

30 days after

53%

8 / 15 earnings

Positive

+12.3%

Q4 2024

Best reaction

-12.7%

Q3 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-10.5%-13.3%-32.4%
Q4 2025+0.5%-17.2%-5.6%
Q3 2025-9.9%-7.2%-24.7%
Q1 2025+8.4%+2.6%+28.9%
Q4 2024+12.3%+16.1%-23.3%
Q3 2024-12.4%-20.3%+41.9%
Q2 2024+2.2%+5.6%+3.0%
Q1 2024-1.3%-5.8%-15.9%
Q4 2023-3.9%+1.0%-6.4%
Q3 2023-12.7%-14.6%-21.8%
Q2 2023+1.5%-1.1%+2.0%
Q1 2023-0.3%-0.4%+0.6%
Q4 2022+0.1%-0.0%+0.4%
Q3 2022+0.1%+0.4%+0.2%
Q2 2021+0.1%+0.0%+0.0%

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