i3 Verticals beats Q4 revenue estimates

Overview

• I3 Verticals Q4 revenue grows 7% yr/yr, beating analysts' expectations

• Net income from continuing operations falls significantly from last year

• Adjusted EBITDA decreases 1.5% yr/yr

Outlook

• Company projects 2026 revenue between $217 mln and $232 mln

• i3 Verticals expects 2026 adjusted EBITDA of $58.5 mln to $65 mln

• Company anticipates 2026 adjusted EPS between $1.06 and $1.16

Result Drivers

• SAAS REVENUE GROWTH - Co reported 23% increase in SaaS revenue, contributing to overall revenue growth

• NEW CONTRACT - Co secured a contract with the Supreme Court of Appeals of West Virginia for case management software

• NET INCOME - Co set aside $1.99 mln as provision for income taxes, impacting net income from continuing operations

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 5 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the financial technology (fintech) peer group is "buy"

• Wall Street's median 12-month price target for I3 Verticals Inc is $39.00, about 26% above its November 14 closing price of $28.85

• The stock recently traded at 24 times the next 12-month earnings vs. a P/E of 24 three months ago

Press Release: ID:nBwbDDrCfa

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