Financial Performance - Total revenue for Q1 2025 was 8.1million,reflectinga14497,000, demonstrating the company's commitment to operational efficiency and margin discipline[4] - Gross profit totaled 2.86million,maintainingconsistentmarginlevelscomparedtopreviousperiods[4]−NetincomeattributabletocommonstockholdersforQ12025was24,078, compared to 357,102inQ12024[18]−NetincomeforthethreemonthsendedMarch31,2025,was26,388, a decrease of 92.4% compared to 345,904inthesameperiodof2024[20]−AdjustedEBITDAforthetotalcompanywas497,135 for the three months ended March 31, 2025, compared to 680,318forthesameperiodin2024,reflectingadeclineof26.911.1 million, with no long-term debt reported[4] - Cash used in operating activities was (1,099,807)forQ12025,significantlyhigherthan(318,624) in Q1 2024, indicating increased cash outflow[20] - Total cash at the end of the period was 705,557,upfrom640,742 at the end of Q1 2024, showing a year-over-year increase of 10.5%[20] - The company reported a total asset value of 26.93millionasofMarch31,2025,anincreasefrom25.28 million at the end of 2024[16] - The company experienced a net decrease in cash of (364,540)inQ12025,comparedtoanetdecreaseof(787,988) in Q1 2024, showing improved cash management[20] Expenditures and Liabilities - Capital expenditures for Q1 2025 were (67,519),adecreaseof81.2(358,637) in Q1 2024, indicating reduced investment in capital assets[20] - The company reported a significant increase in accounts payable and accrued expenses, totaling 1,373,552inQ12025,comparedto2,226,932 in Q1 2024, reflecting a decrease of 38.3%[20] - Cash paid for interest in Q1 2025 was 489,asubstantialdecreasefrom8,855 in Q1 2024, indicating lower interest expenses[20] Operational Highlights - The company experienced a modest decline in total revenue due to reduced equipment sales, aligning with its strategic focus on building a stable high-margin, recurring revenue client base[3] - CloudFirst Technologies continues to operate profitably on a standalone basis, serving as a scalable, recurring revenue engine[3] - The partnership with Pulsant enables the company to extend its IBM Power-based cloud offerings across the U.K. and Europe, enhancing its market presence[3] Depreciation and Credit Quality - The company recorded depreciation and amortization of 363,379inQ12025,anincreaseof22.9295,198 in Q1 2024, reflecting higher asset depreciation[20] - The company reported a change in expected credit losses of $(6,995) in Q1 2025, indicating a potential improvement in credit quality compared to no losses reported in Q1 2024[20]
