ACCESS Newswire (NYSEAMERICAN:ACCS) Announces Quarterly Earnings Results

ACCESS Newswire (NYSEAMERICAN:ACCS) released its earnings results on Tuesday. The company reported $0.08 EPS for the quarter, FiscalAI reports. ACCESS Newswire had a negative net margin of 7.60% and a positive return on equity of 5.57%. The firm had revenue of $5.62 million during the quarter.

Here are the key takeaways from ACCESS Newswire’s conference call:

• Q2 revenue was $5.6 million, up 5% sequentially but essentially flat year over year, as 2% growth in core press-release revenue was offset by weaker webcasting and ProPlan revenue.
• Gross margin declined to 73% from 76% a year earlier, while adjusted EBITDA fell to $0.6 million from $0.8 million and the GAAP net loss widened to $354,000. Higher distribution costs, including partner pricing and variable usage, pressured profitability.
• Subscription metrics continued to improve: average ARR per customer rose 15% year over year to $12,718, subscriptions increased 4% to 1,162, retention reached 94%, and net revenue retention rose to 124%. Subscriber revenue was up 23% year over year.
• Management plans approximately $150,000 in cost-of-revenue savings during the second half, targeting a return to gross margins in the higher 70% range while reallocating savings toward sales and marketing and new-customer acquisition.
• The company reported encouraging early adoption of Social Monitoring and Insight & Analytics and outlined additional products, including ACCESS Verified for Financials, an upgraded ACCESS Events platform, and Content Studio. Management expects these add-ons to support higher pricing, subscription growth, and a potential 10%–15% subscription uplift for Content Studio.

ACCESS Newswire Trading Down 0.4%

ACCS stock opened at $5.35 on Wednesday. The company has a market cap of $20.76 million, a price-to-earnings ratio of -12.27 and a beta of 0.40. The company has a quick ratio of 0.88, a current ratio of 0.88 and a debt-to-equity ratio of 0.05. The business has a fifty day simple moving average of $6.57 and a 200-day simple moving average of $7.27. ACCESS Newswire has a 52 week low of $4.91 and a 52 week high of $12.00.

Insiders Place Their Bets

In other ACCESS Newswire news, CEO Brian R. Balbirnie acquired 10,000 shares of the firm’s stock in a transaction on Wednesday, May 27th. The stock was bought at an average cost of $6.46 per share, for a total transaction of $64,600.00. Following the completion of the purchase, the chief executive officer directly owned 632,917 shares in the company, valued at $4,088,643.82. This represents a 1.61% increase in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Insiders have purchased 13,750 shares of company stock worth $89,575 over the last 90 days. Insiders own 25.03% of the company’s stock.

Institutional Investors Weigh In On ACCESS Newswire

Several institutional investors and hedge funds have recently modified their holdings of the stock. Topline Capital Management LLC purchased a new stake in shares of ACCESS Newswire during the second quarter valued at approximately $8,724,000. Geode Capital Management LLC purchased a new position in shares of ACCESS Newswire in the second quarter valued at $362,000. Nano Cap New Millennium Growth Fund L P acquired a new stake in ACCESS Newswire during the 4th quarter valued at $140,000. Bridgeway Capital Management LLC acquired a new stake in ACCESS Newswire during the 2nd quarter valued at $163,000. Finally, DRW Securities LLC purchased a new stake in ACCESS Newswire during the 4th quarter worth $117,000. Hedge funds and other institutional investors own 50.02% of the company’s stock.

Wall Street Analyst Weigh In

Separately, Lake Street Capital lowered their price objective on ACCESS Newswire from $14.00 to $12.00 and set a “buy” rating for the company in a research report on Wednesday, May 13th. One research analyst has rated the stock with a Buy rating, According to MarketBeat.com, ACCESS Newswire presently has an average rating of “Buy” and an average target price of $12.00.

About ACCESS Newswire

Issuer Direct Corporation operates as a communications and compliance company, provides solutions for both public relations and investor relations professionals in the United States and internationally. The company provides press release distribution, media databases, media monitoring, and newsrooms through media advantage platform; ACCESSWIRE, a news dissemination and media outreach service; and Webcaster Platform, a cloud-based webcast, webinar, and virtual meeting platform that delivers live and on-demand streaming of events to audiences of various sizes, as well as allows customers to create, produce, and deliver events.