Company achieves gross profit increase of 18.3% to $3.9 million
Strategic initiatives including TakeOut7 acquisition and AI implementation driving operational improvements
SCHAUMBURG, IL, Aug. 13, 2025 (GLOBE NEWSWIRE) — Giftify, Inc. (NASDAQ: GIFT) (the “Company”), the owner and operator of CardCash.com, Restaurant.com, and Takeout7.com, and a leader in the incentives and rewards industry, today announced financial and operational results for the second quarter ended June 30, 2025.
Key Highlights for the Three Months Ended June 30, 2025, Compared to Prior Year Period
- Net sales increased 4.4% to $20.9 million
- Gross billings increased 23.2% to $36.1 million
- Gross profit increased 18.3% to $3.9 million
- Gross margin improved to 18.4% from 16.3%
- Modified EBITDA loss improved to $0.15 million from $0.36 million
- Net loss of $2.6 million (Of note, net loss for the three months ended June 30, 2025 included $2.4 million in non-cash expenses, including $1.6 million in stock options and other non-cash compensation, $0.6 million in amortization of intangible assets, and $0.16 million in amortization of capitalized software costs)
- Strong balance sheet with total assets of $31.5 million and stockholders’ equity of $21.6 million
Strategic Growth Initiatives
The Company’s strategic execution against previously outlined growth priorities continued to generate positive momentum across multiple fronts during the second quarter:
- Completed strategic acquisition of TakeOut7 in June 2025, expanding technology offerings to include end-to-end solutions for independent restaurants
- Launched Buy Now, Pay Later (BNPL) flexible payment option through partnership with Zip Co., enhancing CardCash.com customer accessibility and payment flexibility
- Expanded strategic offerings through CardCash.com in high-revenue, high-growth verticals including travel, sports merchandise, and pharmacy savings
- Continued deployment of enterprise-wide AI solutions driving measurable operational efficiencies
- Enhanced synergies between CardCash.com and Restaurant.com platforms
- Continued expansion of the At-the-Market offering program to strengthen the Company’s cash position and provide financial flexibility
Subsequent Events
- Launch of Restaurant Management Center (RMC) in July 2025, creating new subscription revenue opportunities for Restaurant.com’s 184,000+ restaurant partners
- Introduction of uChoose corporate rewards platform in July 2025, targeting the $46 billion corporate rewards market
Management Commentary
Ketan Thakker, Chief Executive Officer of Giftify, Inc., commented, “Our second quarter performance reflects the strength of our strategic vision and operational discipline. We delivered revenue of $20.9 million while achieving an impressive 18.3% increase in gross profit and expanding our gross margin to 18.4%. This margin improvement underscores our team’s focus on driving profitability and creating sustainable value in today’s dynamic market environment.”
Second Quarter 2025 Financial Results
For the three months ended June 30, 2025, net sales increased 4.4% to $20.9 million compared to $20.0 million in the prior year period. The growth was driven by continued strength in both business-to-consumer and business-to-business channels across the CardCash.com and Restaurant.com platforms.
Gross profit for the second quarter increased 18.3% to $3.9 million compared to $3.3 million in the prior year period. Gross margin improved to 18.4% from 16.3%, reflecting the Company’s continued focus on optimizing pricing strategies and operational efficiencies.
Operating expenses decreased to $6.4 million from $10.7 million in the prior year period, primarily due to a $4.6 million reduction in stock-based compensation expense, partially offset by increased operational costs to support business growth.
The Company reported a net loss of $2.6 million, or $0.09 per share, compared to a net loss of $7.7 million, or $0.30 per share, in the prior year period. The improvement was driven by increased gross profit, reduced stock-based compensation expense, and lower interest expense.
Modified EBITDA loss improved to $0.15 million compared to $0.36 million in the prior year period, reflecting the Company’s progress toward operational efficiency.
Six Months 2025 Financial Results
For the six months ended June 30, 2025, net sales increased 3.9% to $43.2 million compared to $41.5 million in the prior year period.
Gross profit for the six months increased 14.1% to $7.4 million compared to $6.5 million in the prior year period. Gross margin improved to 17.2% from 15.7%
The Company reported a net loss of $5.8 million, or $0.20 per share, compared to a net loss of $10.9 million, or $0.43 per share, in the prior year period.
Modified EBITDA loss improved to $0.8 million compared to $1.0 million in the prior year period.
About Giftify, Inc.
Giftify, Inc. is a pioneer in the incentive and rewards industry with a focus on retail, dining & entertainment experiences, as the owner and operator of leading digital platforms, CardCash.com, Restaurant.com, and Takeout7.com. CardCash.com is a leading secondary gift card exchange platform, allowing consumers and retailers to realize value by buying and selling gift cards at various scales. Restaurant.com is the nation’s largest restaurant-focused digital deals brand, connecting digital consumers, businesses and communities by offering thousands of dining, retail and entertainment deal options nationwide at over 184,000 restaurants and retailers. Restaurant.com prides itself on offering the best deal, every meal. Our gift cards and restaurant certificates allow customers to save at thousands of restaurants across the country with just a few clicks. Takeout7 is a restaurant technology company offering comprehensive online ordering solutions through its TakeOut7 platform and AI-powered digital marketing services through its Platr platform.