Usio (NASDAQ:USIO) Posts Quarterly Earnings Results, Misses Expectations By $0.06 EPS

Usio (NASDAQ:USIO) released its earnings results on Wednesday. The company reported ($0.05) EPS for the quarter, missing analysts’ consensus estimates of $0.01 by ($0.06), Zacks reports. The company had revenue of $22.24 million during the quarter, compared to analysts’ expectations of $23.06 million. Usio had a negative return on equity of 2.05% and a negative net margin of 0.46%.

Here are the key takeaways from Usio’s conference call:

• Record 2025 processing — revenues rose sequentially and year-over-year (Q4 growth accelerated to 8%), full-year revenue +3%, total dollars processed +19% and transactions +30%, led by ACH and Card.
• ACH outperformance — ACH revenue grew >30% in Q4 and 33% for the year, with pinless debit volume up ~81% and management expecting Q1 to set new ACH/pinless records.
• Card/PayFac momentum and Usio One — Card processing hit all-time volume and transaction highs, PayFac and cross-selling initiatives (Usio One) are producing a growing implementation pipeline of recurring revenue opportunities.
• Card Issuing weakness — Card Issuing was down (management cited a ~22% decline in the division) primarily from an indirect reseller acquisition of an amusement-park card program in 2025 that depressed results, though this should create easier 2026 comps.
• Financials and liquidity — the company has delivered positive adjusted EBITDA for three consecutive years and forecasts positive adjusted EBITDA in 2026, but operating cash flow was only $1.5M for the year and cash on hand is roughly $7.5M after buybacks and a $500k stock-funded acquisition.

Usio Stock Performance

Shares of NASDAQ:USIO traded down $0.10 during trading on Thursday, hitting $1.12. The company’s stock had a trading volume of 130,919 shares, compared to its average volume of 45,246. The company has a 50-day moving average of $1.34 and a 200-day moving average of $1.40. Usio has a 12 month low of $1.03 and a 12 month high of $2.02. The company has a debt-to-equity ratio of 0.03, a current ratio of 1.13 and a quick ratio of 1.12. The firm has a market cap of $30.45 million, a price-to-earnings ratio of -55.75 and a beta of 1.28.

Analysts Set New Price Targets

USIO has been the topic of a number of recent analyst reports. Zacks Research upgraded shares of Usio from a “strong sell” rating to a “hold” rating in a report on Tuesday, January 13th. Weiss Ratings reaffirmed a “sell (d)” rating on shares of Usio in a report on Monday, December 29th. One analyst has rated the stock with a Buy rating, one has given a Hold rating and two have given a Sell rating to the company’s stock. According to MarketBeat.com, the company currently has a consensus rating of “Reduce” and an average price target of $4.00.

Institutional Trading of Usio

Hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Osaic Holdings Inc. increased its stake in shares of Usio by 246.1% in the second quarter. Osaic Holdings Inc. now owns 28,353 shares of the company’s stock worth $43,000 after purchasing an additional 20,161 shares in the last quarter. Goldman Sachs Group Inc. boosted its holdings in Usio by 34.6% in the 1st quarter. Goldman Sachs Group Inc. now owns 59,692 shares of the company’s stock worth $87,000 after buying an additional 15,334 shares during the period. Citadel Advisors LLC boosted its holdings in Usio by 103.7% in the 3rd quarter. Citadel Advisors LLC now owns 78,493 shares of the company’s stock worth $111,000 after buying an additional 39,959 shares during the period. Scoggin Management LP purchased a new stake in Usio in the 3rd quarter worth $114,000. Finally, Rothschild Wealth LLC purchased a new stake in Usio in the 4th quarter worth $563,000. 20.23% of the stock is owned by hedge funds and other institutional investors.

About Usio

Usio, Inc (NASDAQ: USIO) is a financial technology company that delivers integrated payment, transaction processing, and money services solutions. The company’s platform combines merchant acquiring, multi‐rail payment enablement and business management tools to support merchants, financial institutions and business partners in automating and securing electronic and cash‐based transactions.

Through its subsidiaries, Usio provides a broad range of products and services, including point-of-sale terminals, payment gateway services, automated teller machine (ATM) processing, bill payment, money order issuance, domestic and international money transfer and remittance solutions.