Intellinetics(INLX) - 2024 Q3 - Quarterly Results

Revenue Performance - Total revenue for Q3 2024 was $4,589,625, an increase of 8.0$4,248,429 in Q3 2023[6] - SaaS revenue increased by 8.5% year-over-year, contributing significantly to the overall revenue growth[2] - Professional services revenue rose by 11.5% compared to the same period in 2023, reflecting strong demand[4] - Year-to-date revenue for 2024 reached $13,738,302, an increase of 8.2$12,693,692 for the same period in 2023[9] - Total revenues for the three months ended September 30, 2024, were $4,589,625, an increase of 8.0$4,248,429 for the same period in 2023[20] - Software as a service revenue for the three months ended September 30, 2024, was $1,403,942, up 8.5$1,293,745 in 2023[20] - Professional services revenue increased to $2,600,230 for the three months ended September 30, 2024, compared to$2,333,090 in 2023, reflecting an increase of 11.5%[20] - Recurring revenue grew by 2.6%, representing 58.6% of total revenue, highlighting the stability of income streams[6] Profitability and Loss - Net loss for Q3 2024 was $392,850, or$(0.09) per share, compared to a net income of $209,331, or$0.05 per share in Q3 2023[8] - Adjusted EBITDA for Q3 2024 was $479,537, down from$708,749 in Q3 2023, indicating a decline in operational profitability[8] - Net loss for the nine months ended September 30, 2024, was $492,514 compared to a net income of$457,628 in 2023[24] Operating Expenses - Total operating expenses increased by 37.3% to $3,104,065, driven by higher share-based compensation and increased sales and marketing investments[7] - Share-based compensation rose significantly to$1,185,330 from $349,073 in 2023, indicating increased employee compensation costs[24] Cash Flow and Assets - Net cash provided by operating activities increased to$3,652,417 from $1,128,314 in the previous year, representing a growth of approximately 224$2,501,729 from $1,689,125 in 2023, showing a positive cash flow trend[24] - Total current assets increased to$5,514,625 as of September 30, 2024, from $5,004,375 as of December 31, 2023[21] - Cash balance increased to$2,501,729 as of September 30, 2024, compared to $1,215,248 as of December 31, 2023[21] Liabilities and Equity - Total liabilities decreased to$8,590,848 as of September 30, 2024, from $9,275,539 as of December 31, 2023[22] - Total stockholders' equity increased to$10,443,537 as of September 30, 2024, from $9,750,721 as of December 31, 2023[23] Future Outlook - Management expects revenue growth to continue year-over-year for the fiscal year 2024, despite anticipated declines in Adjusted EBITDA due to increased investments[10] - The company plans to continue investing in sales and marketing to drive future growth, particularly through the IPAS solution[3] Deferred Revenues - Deferred revenues increased to$3,468,109 as of September 30, 2024, compared to $2,927,808 as of December 31, 2023, indicating growth in future revenue recognition[22] - Deferred revenues increased to$540,301 from $378,061 in 2023, suggesting growth in future revenue recognition[24]