Quorum Information Technologies Reports Strong Q1 Results
Quorum Information Technologies Shares Q1 2025 Financial Highlights
Quorum Information Technologies Inc. (TSX-V: QIS), based in Canada, has released its results for the first quarter of 2025, demonstrating resilience and strategic growth. As an influential SaaS Software and Services provider, Quorum's solutions support automotive dealerships and Original Equipment Manufacturers (OEMs) heavily reliant on technology for operational efficiency.
Key Financial Performance Insights
During the first quarter of 2025, Quorum achieved notable revenue stability, with a year-on-year increase of 1%, totaling $10.15 million. This consistent financial performance is particularly commendable given the rising tariffs affecting the North American automotive sector. Maury Marks, President and CEO, emphasized the company’s commitment to profitable growth, reinforcing an impressive Adjusted EBITDA margin of 15% and a Cash EBITDA margin of 10%.
Operational Efficiency and Strategic Growth
Quorum's management successfully implemented measures that resulted in annual savings of $1.3 million, which are expected to be fully realized by the third quarter of 2025. This initiative includes enhancements in gross margins, reductions in office lease expenses, and cost-saving measures from third-party service providers. On top of this, Quorum has made strides in reducing its debt, paying down $0.3 million on its BDC Capital Cash Flow Loan and another $0.5 million shortly thereafter.
Q1 2025 Financial Breakdown
- Total Revenue: $10.15 million, up 1% from Q1 2024.
- SaaS Revenue: Contributed $7.23 million, also reflecting a 1% increase.
- BDC Revenue: Saw a growth of 4%, reaching $2.61 million.
- Gross Margin: Recorded at $4.83 million, down 5% from the previous year.
- Adjusted EBITDA: $1.52 million, indicating a 29% decrease.
- Cash EBITDA: Hit $1.02 million, reflecting a 27% decline compared to Q1 2024.
Changes in the Board of Directors
In leadership news, Quorum has announced the appointment of Steve Hammond to its Board of Directors, succeeding Scot Eisenfelder, who is stepping down after a remarkable tenure of 16 years. Steve brings extensive experience from his previous roles in enterprise software, particularly within the utilities and healthcare sectors. Maury Marks expressed gratitude for Scot's long-standing service, highlighting his strategic insights and mentorship that have significantly contributed to Quorum's success.
Upcoming Conference Call and Investor Presentation
Quorum is scheduled to host a conference call where Maury Marks and Chief Financial Officer Marilyn Bown will discuss the company's Q1 2025 results. This event promises to provide further insights into the company’s strategy and outlook, set for May 29, 2025, at 11:00 AM MT.
About Quorum Information Technologies
Quorum Information Technologies Inc. stands as a critical player in the SaaS market, offering automotive dealerships and OEMs a comprehensive suite of solutions that drive operational efficiency and enhance customer engagement. From dealership management systems to CRM solutions, Quorum is dedicated to transforming the automotive industry with innovative technology.
Key Contact Information
For further inquiries, connect with:
Maury Marks
President and Chief Executive Officer
403-777-0036
Maury.Marks@QuorumInfoTech.com
Marilyn Bown
Chief Financial Officer
403-777-0036
Marilyn.Bown@QuorumInfoTech.com
Frequently Asked Questions
What were Quorum's total revenues in Q1 2025?
Quorum reported total revenues of $10.15 million for Q1 2025, a 1% increase compared to the previous year.
What is Quorum's Adjusted EBITDA margin?
The Adjusted EBITDA margin for Q1 2025 was 15%, reflecting strong operational performance despite market challenges.
Will there be any leadership changes at Quorum?
Yes, Steve Hammond has been appointed to the Board of Directors, replacing Scot Eisenfelder, who is stepping down after 16 years.
When is the Q1 2025 results conference call?
The conference call is scheduled for May 29, 2025, at 11:00 AM MT.
How can I learn more about Quorum's offerings?
For in-depth insights into Quorum's products and services, visit their official website or contact their management team.
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