Investment Thesis
Despite exceptional revenue growth of 2,871% YoY and a robust gross margin of 93.7%, the company is operationally unprofitable with negative operating income of -8.4M and net losses of -13.1M. The massive revenue spike suggests a major acquisition or business combination rather than organic growth, raising questions about integration quality and sustainable profitability.
ASUR Strengths
- Exceptional gross margin of 93.7% indicates strong pricing power and efficient cost of goods sold
- Positive free cash flow of 21.4M (21.2% FCF margin) demonstrates cash generation capability despite losses
- Moderate leverage with debt-to-equity of 0.34x provides balance sheet flexibility
ASUR Risks
- Operating margin of -8.3% and net margin of -13.0% indicate the company is not yet profitable at scale
- Extraordinary revenue growth (2,871% YoY) likely driven by acquisition rather than organic growth, creating integration and execution risk
- Negative interest coverage ratio of -3.8x shows the company cannot cover debt service from operating income; profitability dependent on asset sales or equity raises
- Deteriorating net income YoY despite massive revenue growth suggests margin compression and operational challenges
Key Metrics to Watch
- Operating income trajectory and path to breakeven
- Organic revenue growth rate excluding acquisition impacts
- Cash burn rate and runway relative to positive FCF generation
ASUR Financial Metrics
ASUR Profitability Ratios
ASUR Balance Sheet & Liquidity
ASUR 5-Year Financial Trend
5-Year Trend Summary: ASURE SOFTWARE INC's revenue has grown significantly by 63% over the 5-year period, indicating strong business expansion. The most recent EPS of $-0.45 indicates the company is currently unprofitable.
ASUR Growth Metrics (YoY)
ASUR Quarterly Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $29.3M | -$308.0K | $-0.15 |
| Q2 2025 | $28.0M | -$308.0K | $-0.17 |
| Q1 2025 | $31.7M | -$308.0K | $-0.01 |
| Q3 2024 | $29.3M | -$308.0K | $-0.10 |
| Q2 2024 | $28.0M | -$308.0K | $-0.17 |
| Q1 2024 | $31.7M | -$308.0K | $-0.01 |
| Q3 2023 | $21.9M | $339.0K | $-0.10 |
| Q2 2023 | $20.3M | $339.0K | $-0.17 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
ASUR Capital Allocation
ASUR SEC Filings
Access official SEC EDGAR filings for ASURE SOFTWARE INC (CIK: 0000884144)