Exhibit 99.1

 

 

Intellinetics Reports Fourth Quarter and Full Year 2025 Financial Results

 

COLUMBUS, OH – March 30, 2026 – Intellinetics, Inc. (NYSE American: INLX), a digital transformation solutions provider, announced financial results for the three and 12 months ended December 31, 2025.

 

2025 Fourth Quarter Financial Highlights

 

Software as a Service (SaaS) revenue increased 8.4% year over year to $1.6 million.
Professional services revenue decreased 1.8% year over year.
Total revenue increased 1.0% year over year to $4.3 million, as SaaS growth more than offset a modest decline in professional services revenue.
Gross profit increased 3.9% year over year, with gross profit margin increasing 184 basis points due to a favorable revenue mix.
Net loss of $207,975, or ($0.05) per basic and fully diluted share, compared to net loss of $53,701, or ($0.01) per basic and fully diluted share, for the same period in 2024.
Adjusted EBITDA of $260,749, compared to $531,241 from the same period in 2024.
Cash at quarter end was approximately $2.5 million.

 

2025 Full-Year Financial Highlights

 

SaaS revenue increased 11.3% year over year to $6.3 million.
Professional services revenue decreased 18.7% year over year.
Total revenue was $16.6 million, reflecting lower professional services activity.
Gross profit decreased 3.7% year over year, a function of volume, and gross profit margin increased 295 basis points due to a favorable revenue mix.
Net loss of $1,872,895, or ($0.44) per basic and fully diluted share, compared to net loss of $546,215, or ($0.13) per basic and fully diluted share, for the same period in 2024.
Adjusted EBITDA was $469,694, compared to $2,382,357 in the prior year.

 

Fiscal year 2025 reflected continued progress in Intellinetics’ software-led business, with SaaS revenue continuing to grow and representing an increasing share of overall revenue. Total revenue declined compared to 2024, driven primarily by variability in professional services activity. During the year, the Company also strengthened its document management business, including securing a significant contractual win with its largest customer.

 

The Company continued to build its foundation for long-term growth by expanding its SaaS footprint, investing in go-to-market capabilities, and refining its focus on vertical markets where demand for secure document and workflow automation solutions remains strong.

 

Management believes these efforts position Intellinetics to improve revenue predictability, expand margins over time, and accelerate sustainable growth.

 

Alison Forsythe, President & CEO of Intellinetics, stated: “In 2025, under the leadership of my predecessor, Intellinetics continued to grow SaaS revenue while also strengthening our document management business, including a critical contractual win with our largest customer.

 

“I did my homework before accepting the role as CEO, and after spending my first weeks closely evaluating the business, it is even clearer that we have strong foundational assets—an established SaaS customer base, differentiated technology, and attractive vertical market opportunities. At the same time, there is a clear opportunity to improve execution, sharpen our go-to-market approach, and operate with greater discipline across both our software and document management businesses.

 

“Our software platform is the core of our business and the primary driver of our long-term growth. Looking ahead to 2026, our focus is on accelerating SaaS revenue and increasing recurring software revenue. We are aligning our organization, investments, and operating priorities around that objective while bringing greater consistency to our document management business. Together, these efforts position Intellinetics for more consistent performance and long-term value creation.”

 

 

 

 

Summary – 2025 Fourth Quarter Results

 

Revenues for the three months ended December 31, 2025 were $4,323,843, an increase of 1.0%, as compared with $4,280,071 for the same period in 2024. This increase was primarily due to an 8.4% increase in SaaS revenue, partially offset by a 1.8% decrease in professional services fees.

 

Total operating expenses increased 11.2% to $3,096,090, compared to $2,784,991 for the same period in 2024, driven by increases in sales and marketing expense of 14.4% and general and administrative expense of 11.2%. Loss from operations was $216,308 compared to loss from operations of 12,920 in the fourth quarter last year, primarily due to the sales and marketing increase and other security and infrastructure investments.

 

Intellinetics reported net loss of $207,975 compared to net loss of $53,701 for the same period in 2024. Basic and diluted net loss per share for the three months ended December 31, 2025 was $0.05, compared to $0.01 net loss per basic and diluted share for the period ended December 31, 2024. Adjusted EBITDA was $260,749 compared to $531,241 in 2024.

 

   For the quarters ended
December 31,
 
   2025   2024 
         
Revenues:          
Software as a service  $1,603,641   $1,479,250 
Software maintenance services   307,538    346,372 
Professional services   2,201,246    2,241,662 
Storage and retrieval services   211,418    212,787 
Total revenues   4,323,843    4,280,071 

 

Summary – 2025 Full-Year Results

 

Revenues for the year ended December 31, 2025 were $16,583,446, a decrease of 8.0% as compared with $18,018,373 for the same period in 2024. Total operating expenses increased 10.4% to $12,741,153, compared to $11,541,889 for the same period in 2024. Our increased structural investments for growth and scale, particularly sales and marketing expansion, more than offset reductions in variable compensation and share-based compensation expense decreases. Loss from operations was $1,788,569, compared to loss from operations of $173,505 for last year. Intellinetics reported net loss of $1,872,895, or $0.44 per basic and diluted share, compared to net loss of $546,215, or $0.13 per basic and diluted share, for the same period in 2024.

 

   For the years ended
December 31,
 
   2025   2024 
         
Revenues:          
Software as a service  $6,331,167   $5,688,936 
Software maintenance services   1,283,332    1,410,387 
Professional services   8,141,155    10,017,974 
Storage and retrieval services   827,792    901,076 
Total revenues   16,583,446    18,018,373 

 

2026 Outlook

 

Based on management’s current plans and assumptions, the Company expects that it will grow SaaS on a year-over-year basis for the fiscal year 2026.

 

Conference Call

 

Intellinetics is holding a conference call to discuss these results on a live webcast at 4:30 p.m. ET today. Interested parties can access the webcast through the Intellinetics website at https://ir.intellinetics.com/. Investors can also dial in to the webcast by calling (877) 407-8133 (toll-free) or (201) 689-8040. A replay of the call can also be accessed via phone through April 30, 2026 by dialing (877) 660-6853 (toll-free) or (201) 612-7415 and using replay access code 13759543.

 

About Intellinetics, Inc.

 

Intellinetics, Inc. (NYSE American: INLX) is enabling the digital transformation. Intellinetics empowers organizations to manage, store and protect their important documents and data. The Company’s flagship solution, the IntelliCloud content management platform, delivers advanced security, compliance, workflow and collaboration features critical for highly regulated, risk-intensive markets. IntelliCloud connects documents to users and the processes they support anytime, anywhere to accelerate innovation and empower organizations to think and work in new ways. In addition, Intellinetics offers business process outsourcing (BPO), document and micrographics scanning services, and records storage. From highly regulated industries like Healthcare/Human Service Providers, K-12, Public Safety, and State and Local Governments, to businesses looking to move away from paper-based processes, Intellinetics is the all-in-one, compliant, document management solution. Intellinetics is headquartered in Columbus, Ohio. For additional information, please visit www.intellinetics.com.

 

 

 

 

Cautionary Statement

 

Statements in this press release which are not purely historical, including statements regarding future business; improved revenue predictability; expanded margins; predictable and sustainable growth, including the growth of SaaS business; future revenues, including the “2026 Outlook” for revenues; improved business execution and go-to-market approach; execution of our business plan, strategy, direction and focus; and other intentions, beliefs, expectations, representations, projections, plans or strategies regarding future growth, financial results, and other future events are forward-looking statements. The forward-looking statements involve risks and uncertainties including, but not limited to, the risks associated with the effect of changing economic conditions including inflationary pressures, challenges with hiring and maintaining a stable workforce, our ability to execute on our business plan and strategy including our transition to a SaaS-based company, customary risks attendant to trends in the products markets, variations in Intellinetics’ cash flow or adequacy of capital resources, market acceptance risks, the success of Intellinetics’ solutions providers, including human services, health care, and education, technical development risks, and other risks, uncertainties and other factors discussed from time to time in its reports filed with or furnished to the Securities and Exchange Commission, including in Intellinetics’ most recent annual report on Form 10-K as well as subsequently filed reports on Form 8-K. Intellinetics cautions investors not to place undue reliance on the forward-looking statements contained in this press release. Intellinetics disclaims any obligation and does not undertake to update or revise any forward-looking statements in this press release. Expanded and historical information is made available to the public by Intellinetics on its website at www.intellinetics.com or at www.sec.gov.

 

CONTACT:

 

Joe Spain, CFO

Intellinetics, Inc.

614.921.8170 investors@intellinetics.com

 

Non-GAAP Financial Measures

 

Intellinetics uses non-GAAP Adjusted EBITDA as supplemental measures of our performance that are not required by, or presented in accordance with, accounting principles generally accepted in the United States (GAAP). A non-GAAP financial measure is a numerical measure of a company’s financial performance that excludes or includes amounts so as to be different from the most directly comparable measure calculated and presented in accordance with GAAP in the statement of income, balance sheet or statement of cash flows of a company.

 

Adjusted EBITDA: Adjusted EBITDA is not a measurement of financial performance under GAAP and should not be considered as an alternative to net income, operating income, or any other performance measure derived in accordance with GAAP, or as an alternative to cash flow from operating activities or a measure of our liquidity. Intellinetics urges investors to review the reconciliation of non-GAAP Adjusted EBITDA to the comparable GAAP Net Income, which is included in this press release, and not to rely on any single financial measure to evaluate Intellinetics’ financial performance.

 

We believe that Adjusted EBITDA is a useful performance measure and is used by us to facilitate a comparison of our operating performance on a consistent basis from period-to-period and to provide for a more complete understanding of factors and trends affecting our business than measures under GAAP can provide alone. We define “Adjusted EBITDA” as earnings before interest expense, any income taxes, depreciation and amortization expense, non-cash share-based compensation, note conversion and note or equity offer warrant or stock expense, gain or loss on debt extinguishment, change in fair value of contingent consideration, and transaction costs.

 

Reconciliation of Net Income to Adjusted EBITDA

 

  

For the Three Months Ended

December 31,

 
   2025   2024 
Net loss – GAAP  $(207,975)  $(53,701)
Interest (income) expense, net   (8,333)   40,781 
Depreciation and amortization   315,067    302,242 
Share-based compensation   155,351    241,919*
Transaction costs   6,639    - 
Adjusted EBITDA  $260,749   $531,241 

 

   For the Twelve Months Ended
December 31,
 
   2025   2024 
Net loss - GAAP  $(1,872,895)  $(546,215)
Interest expense, net   84,326    372,710 
Depreciation and amortization   1,245,640    1,128,613 
Share-based compensation   1,003,843    1,429,247*
Transaction costs   8,780    - 
Adjusted EBITDA  $469,694   $2,382,357 

 

* 2024 balances have been updated to align with management’s revised 2025 definition, which clarifies the classification of “non-cash” share-based compensation.

 

 

 

 

INTELLINETICS, INC. and SUBSIDIARIES

Consolidated Balance Sheets

 

   December 31,   December 31, 
   2025   2024 
         
ASSETS          
           
Current assets:          
Cash  $2,528,281   $2,489,236 
Accounts receivable, net   1,239,802    1,111,504 
Accounts receivable, unbilled   909,574    1,296,524 
Parts and supplies, net   173,295    100,561 
Prepaid expenses and other current assets   378,305    476,731 
Total current assets   5,229,257    5,474,556 
           
Property and equipment, net   1,092,694    1,093,867 
Right of use assets, operating   1,394,806    1,894,866 
Right of use assets, finance   164,998    237,741 
Intangible assets, net   2,906,188    3,399,029 
Goodwill   5,789,821    5,789,821 
Other assets   727,808    685,076 
Total assets  $17,305,572   $18,574,956 
           
LIABILITIES AND STOCKHOLDERS’ EQUITY          
           
Current liabilities:          
Accounts payable  $284,680   $310,623 
Accrued compensation   410,368    493,700 
Accrued expenses   199,995    172,421 
Lease liabilities, operating - current   721,879    842,468 
Lease liabilities, finance - current   67,935    69,261 
Deferred revenues   3,371,263    3,411,852 
Notes payable - current   -    781,936 
Notes payable - related party - current   -    515,512 
Total current liabilities   5,056,120    6,597,773 
           
Long-term liabilities:          
Lease liabilities, operating - net of current portion   749,346    1,161,404 
Lease liabilities, finance - net of current portion   116,090    184,024 
Total long-term liabilities   865,436    1,345,428 
Total liabilities   5,921,556    7,943,201 
           
Stockholders’ equity:          
Common stock, $0.001 par value, 25,000,000 shares authorized; 4,479,123 and 4,249,735 shares issued and outstanding at December 31, 2025 and 2024, respectively   4,479    4,250 
Additional paid-in capital   34,893,670    32,268,743 
Accumulated deficit   (23,514,133)   (21,641,238)
Total stockholders’ equity   11,384,016    10,631,755 
Total liabilities and stockholders’ equity  $17,305,572   $18,574,956 

 

 

 

 

INTELLINETICS, INC. and SUBSIDIARIES

Consolidated Statements of Income

 

   For the Twelve Months Ended December 31, 
   2025   2024 
         
Revenues:          
Software as a service  $6,331,167    5,688,936 
Software maintenance services   1,283,332    1,410,387 
Professional services   8,141,155    10,017,974 
Storage and retrieval services   827,792    901,076 
Total revenues   16,583,446    18,018,373 
           
Cost of revenues:          
Software as a service   942,885    856,774 
Software maintenance services   54,838    57,667 
Professional services   4,356,066    5,387,545 
Storage and retrieval services   277,073    348,003 
Total cost of revenues   5,630,862    6,649,989 
           
Gross profit   10,952,584    11,368,384 
           
Operating expenses:          
General and administrative   8,690,615    8,010,025 
Sales and marketing   2,804,898    2,403,251 
Depreciation and amortization   1,245,640    1,128,613 
           
Total operating expenses   12,741,153    11,541,889 
           
Loss from operations   (1,788,569)   (173,505)
           
Interest income (expense), net   (84,326)   (372,710)
           
Net loss  $(1,872,895)  $(546,215)
           
Basic net loss per share:  $(0.44)  $(0.13)
Diluted net loss per share:  $(0.44)  $(0.13)
           
Weighted average number of common shares outstanding - basic   4,301,131    4,201,401 
Weighted average number of common shares outstanding - diluted   4,301,131    4,201,401 

 

 

 

 

INTELLINETICS, INC. and SUBSIDIARIES

Consolidated Statements of Cash Flows

 

   For the Twelve Months Ended December 31, 
   2025   2024 
         
Cash flows from operating activities:          
Net loss  $(1,872,895)  $(546,215)
Adjustments to reconcile net loss to net cash provided by operating activities:          
Depreciation and amortization   1,245,640    1,128,613 
Bad debt expense (recovery)   81,087    (9,117)
Loss on disposal of fixed assets   29,622    547 
Amortization of deferred financing costs   42,052    152,604 
Amortization of right of use assets, financing   72,743    71,326 
Share-based compensation   1,287,242    1,496,774 
Changes in operating assets and liabilities:          
Accounts receivable   (209,385)   747,988 
Accounts receivable, unbilled   386,950    24,313 
Parts and supplies   (72,734)   9,711 
Prepaid expenses and other current assets   98,426    30,912 
Accounts payable and accrued expenses   (81,701)   280,303 
Operating lease assets and liabilities, net   (32,587)   (13,643)
Deferred revenues   (40,589)   484,044 
Total adjustments   2,806,766    4,404,375 
Net cash provided by operating activities   933,871    3,858,160 
           
Cash flows from investing activities:          
Capitalization of internal use software   (469,602)   (388,570)
Purchases of property and equipment   (354,378)   (439,203)
Net cash used in investing activities   (823,980)   (827,773)
           
Cash flows from financing activities:          
Proceeds from issuance of common stock   1,797,106    - 
Offering costs paid on issuance of common stock   (175,781)   - 
Principal payments on financing lease liability   (69,260)   (61,874)
Payments to taxing authorities in connection with shares directly withheld from employees   (283,399)   (69,525)
Exercise of stock warrants   (12)   - 
Repayment of notes payable   (807,331)   (1,307,169)
Repayment of notes payable - related parties   (532,169)   (317,831)
Net cash (used in) financing activities   (70,846)   (1,756,399)
           
Net increase in cash   39,045    1,273,988 
Cash - beginning of period   2,489,236    1,215,248 
Cash - end of period  $2,528,281   $2,489,236 
           
Supplemental disclosure of cash flow information:          
Cash paid during the period for interest  $74,425   $258,646 
Cash paid during the period for income taxes  $28,027   $20,259 
           
Supplemental disclosure of non-cash financing activities:          
Right-of-use asset obtained in exchange for operating lease liability  $311,368   $- 
Right-of-use asset obtained in exchange for finance lease liability  $-   $89,289