{"id":962396,"date":"2026-05-13T16:32:24","date_gmt":"2026-05-13T20:32:24","guid":{"rendered":"https:\/\/www.marketnewsdesk.com\/index.php\/usio-announces-first-quarter-2026-financial-results\/"},"modified":"2026-05-13T16:32:24","modified_gmt":"2026-05-13T20:32:24","slug":"usio-announces-first-quarter-2026-financial-results","status":"publish","type":"post","link":"https:\/\/www.marketnewsdesk.com\/index.php\/usio-announces-first-quarter-2026-financial-results\/","title":{"rendered":"Usio Announces First Quarter 2026 Financial Results"},"content":{"rendered":"
\n

Revenue Up 16%, Beats Consensus by 9%<\/p>\n

Adjusted EBITDA1<\/sup> of\u00a0$0.8\u00a0Million Beats Consensus by 12%<\/p>\n

\n All-time Record Quarterly Revenue, Processing Volume and Transactions<\/em>\n <\/p>\n

\n Total payment dollars processed through all payment channels up 28% versus the prior year period<\/p>\n

<\/em>\n <\/p>\n

SAN ANTONIO, May 13, 2026 (GLOBE NEWSWIRE) — Usio, Inc., “Usio” or the “Company” (Nasdaq: USIO), a leading FinTech company that operates a full stack of integrated, cloud-based electronic payment and embedded financial solutions<\/a>, today announced financial results for the first\u00a0quarter\u00a0ended March 31, 2026.<\/p>\n

Louis Hoch, President and Chief Executive Officer of Usio, said,\u00a0\u201cIt was a record start to the new year, affirming our belief that the momentum coming out of our record 2025 would provide a strong tailwind for continued growth and profitability.\u00a0All of our key performance metrics were at record levels in the first quarter, with revenues up\u00a016%, the fastest rate of revenue growth in nine quarters.\u00a0Total processing volume and transactions also set new records, which is an impressive encore to the prior quarter where we set many of the previous all-time records.\u00a0The strength of our business is broad based, with better than 20% growth in ACH and\u00a0credit card, and nearly the same in Output Solutions, which was up 19%.\u00a0This strong growth, coupled with our fiscal discipline, led to a significant year-over-year improvement in the bottom line as well as positive operating cash flow, and a further improvement in our balance sheet and liquidity.\u00a0The implementation of our Usio One strategy, our growing reputation in the payments industry, and the innovative technologies integrated into our diversified businesses are increasingly taking hold, providing us with confidence in our expectation of achieving another year of profitable, double-digit growth in fiscal 2026.\u201d<\/p>\n

Results in the first quarter were led by a\u00a0$1.8 million, or\u00a023%, increase in credit card revenues.\u00a0Volumes were up strongly, with dollars processed up\u00a016% and transactions processed\u00a0up 22% from a year ago. Credit card results increasingly reflect the strength of our PayFac business, which now accounts for nearly 80% of total credit card segment revenues, and has consistently grown revenues at double digit rates.\u00a0We expect this to be the new growth trajectory of our credit card business.\u00a0ACH, our highest margin business, had another record quarter with strong volumes driving revenues up 25%. ACH revenue growth was primarily attributable to an increase in ACH and PINLess debit volume from net, new business and organic growth.\u00a0ACH set new processing volume records with electronic check dollar\u00a0volume increasing\u00a031%, transactions growing\u00a034% and returned check transactions up\u00a054%, all as compared to the same period last year. PINless debit also set quarterly all-time records as transactions and dollars processed were up 23% and 36%, respectively, from the same period a year ago,\u00a0driven by growth in the mortgage servicing and fintech industries.<\/p>\n

Output Solutions generated accelerating revenue growth, with revenues up\u00a019% in the quarter, a strong sequential improvement from the previous quarter\u2019s 8% growth. Volumes were at record levels with highly profitable electronic documents processed and delivered up 41% for the first quarter of 2026 compared to the same quarter of 2025.<\/p>\n

For the quarter, gross profits were up over 6%, although gross margins were somewhat softer in the quarter, primarily attributable to a decrease in interest revenue (which has a 100% margin) and revenue mix.\u00a0Margins are expected to improve over the balance of the year.\u00a0Total selling, general and administrative expenses,\u00a0inclusive of depreciation and amortization and stock-based compensation (“Total SG&A Expenses”),\u00a0were down over $130,000 from the year ago period, although the line item “SG&A,” consisting of selling, general and administrative expenses only,\u00a0was up modestly from the year ago quarter.\u00a0On a sequential basis, SG&A was reduced by $700,000 and is now at a level that is not expected to materially increase this year.\u00a0For the quarter ended March 31, 2026, the Company reported net income of approximately\u00a0$0.1 million, or\u00a0$0.00\u00a0per share, compared to a net loss of ($0.2) million, or ($0.01) per share, for the first quarter of 2025. Note that there were no extraordinary items that contributed to the first quarter 2026\u00a0net income as calculated in accordance with the United States generally accepted accounting principles (“GAAP”).\u00a0Adjusted EBITDA1<\/sup>\u00a0was\u00a0$0.8 million for the first quarter of 2026, up compared to\u00a0$0.7 million in the same quarter a year ago. Operating cash flow for the quarter was $0.9\u00a0million, representing the continued strength of our business.\u00a0The Company used approximately $235,000 to repurchase 182,000 shares of its common stock.\u00a0Cash increased $0.3\u00a0million over the quarter and was in excess of\u00a0$7.7 million at March 31, 2026.<\/p>\n

\n 1\u00a0<\/sup>Please see reconciliation of GAAP to Non-GAAP Financial Measures below<\/p>\n

\n
\n Quarterly Processing and Transaction Volumes<\/u>
\n <\/strong>\n <\/p>\n

Total payment dollars processed through all payment channels in the first quarter of 2026 were\u00a0$2.50 billion, an improvement of\u00a028% over the\u00a0$1.96 billion processed in last year’s first quarter.\u00a0Total payment transactions processed in the\u00a0first quarter of 2026\u00a0were 16.8 million, an increase\u00a0of\u00a022% over the same quarter of last year.\u00a0<\/p>\n

Our credit card segment continues to grow, where dollars processed were up\u00a016% and transactions processed were up\u00a022% from a year ago. In the first quarter of 2026, ACH electronic check transaction volume was\u00a0up\u00a034%, electronic check dollars processed were up\u00a031% and return check transactions processed were up\u00a054%, in each case, compared to the same quarter of 2025. In our\u00a0prepaid card services business unit,\u00a0card load volume was down\u00a019%, transactions processed\u00a0down\u00a016% and purchase volume\u00a0down\u00a07%\u00a0for the first quarter of 2026, in each case, compared to the same quarter of 2025.\u00a0Output Solutions pieces processed and mailed were up 31% while electronic documents processed and delivered were up 41% for the first quarter of 2026, in each case, compared to the same quarter of 2025.<\/p>\n

\n
\n First\u00a0Quarter\u00a02026\u00a0Revenue Detail<\/u>
\n <\/strong>\n <\/p>\n

Revenues for the quarter ended\u00a0March 31, 2026\u00a0were\u00a0$25.5\u00a0million, up\u00a016% from\u00a0$22.0\u00a0million in the prior year quarter, due primarily to increases in all of our business lines, excluding prepaid card services and interest revenues.<\/p>\n\n\n\n\n\n\n\n\n\n\n\n\n
\u00a0<\/td>\n\n Three Months Ended March 31,<\/strong>\n <\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n<\/tr>\n
\u00a0<\/td>\n\n 2026<\/strong>\n <\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n\n 2025<\/strong>\n <\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n\n $ Change<\/strong>\n <\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n\n % Change<\/strong>\n <\/td>\n\u00a0<\/td>\n<\/tr>\n
\u00a0<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n<\/tr>\n
ACH and complementary services<\/td>\n$<\/td>\n6,293,066<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n$<\/td>\n5,044,517<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n$<\/td>\n1,248,549<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n25<\/td>\n%<\/td>\n<\/tr>\n
Credit card<\/td>\n\u00a0<\/td>\n9,710,324<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n7,878,694<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n1,831,630<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n23<\/td>\n%<\/td>\n<\/tr>\n
Prepaid card services<\/td>\n\u00a0<\/td>\n2,373,201<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n2,907,451<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n(534,250<\/td>\n)<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n(18<\/td>\n)%<\/td>\n<\/tr>\n
Output Solutions<\/td>\n\u00a0<\/td>\n6,805,314<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n5,732,867<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n1,072,447<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n19<\/td>\n%<\/td>\n<\/tr>\n
Interest – ACH and complementary services<\/td>\n\u00a0<\/td>\n122,201<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n224,129<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n(101,928<\/td>\n)<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n(45<\/td>\n)%<\/td>\n<\/tr>\n
Interest – Prepaid card services<\/td>\n\u00a0<\/td>\n118,029<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n182,661<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n(64,632<\/td>\n)<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n(35<\/td>\n)%<\/td>\n<\/tr>\n
Interest – Output Solutions<\/td>\n\u00a0<\/td>\n43,639<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n38,731<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n4,908<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n13<\/td>\n%<\/td>\n<\/tr>\n
Total Revenue<\/td>\n$<\/td>\n25,465,774<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n$<\/td>\n22,009,050<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n$<\/td>\n3,456,724<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n16<\/td>\n%<\/td>\n<\/tr>\n<\/table>\n

\n
Gross profit\u00a0for the first quarter of 2026 was\u00a0$5.1\u00a0million, up versus\u00a0$4.8 million in the\u00a0first quarter of 2025. Gross margins (defined as gross profit as a percentage of revenues)\u00a0were\u00a020.2%\u00a0in\u00a0the\u00a0first quarter of\u00a02026, down versus\u00a021.9%\u00a0in 2025. This was\u00a0primarily due to lower interest revenues, a high margin revenue source, and revenue mix.<\/p>\n

Total SG&A Expenses for the first quarter of 2026, were\u00a0$4.9 million, down from over $5.0 million in the year ago quarter primarily due to lower depreciation\u00a0and amortization\u00a0and stock-based\u00a0compensation expense.\u00a0SG&A was\u00a0$4.4 million for the quarter ended March 31, 2026,\u00a0compared to\u00a0$4.1 million in the prior year period. This increase was primarily related to increases in salary\u00a0alongside\u00a0increases in network infrastructure\u00a0and\u00a0professional fees.<\/p>\n

For the\u00a0first quarter of 2026, we reported\u00a0operating income of\u00a0$0.2\u00a0million\u00a0compared to an operating loss of ($0.2) million for the same quarter a year ago primarily due to increased revenues and gross profits, alongside a decrease in Total SG&A Expenses. Adjusted EBITDA1<\/sup>\u00a0was\u00a0$0.8\u00a0million for the first quarter of 2026, compared to\u00a0Adjusted EBITDA1<\/sup>\u00a0of\u00a0$0.7\u00a0million for the same quarter a year ago. Net income in\u00a0the quarter ended\u00a0March 31, 2026\u00a0was approximately $0.1\u00a0million, or $0.00\u00a0per share, compared to a net loss of ($0.2) million, or ($0.01) per share,\u00a0for the same period in the prior year.<\/p>\n

Operating Cash Flows\u00a0declined to\u00a0$0.9\u00a0million for the\u00a0three months ended March 31, 2026, as compared to $1.4\u00a0million in the same period a year ago. The year ago period benefited from an approximately $1.5 million tax refund. Additionally,\u00a0prepaid expenses and accounts receivable March 31, 2026 were up as compared to December 31, 2025.<\/p>\n

We believe we continue\u00a0to be in solid financial condition.\u00a0Cash and cash equivalents as of\u00a0March 31, 2026\u00a0were $7.7 million, a\u00a0$0.3 million increase over cash and cash equivalents as of\u00a0December 31, 2025, even after the use of over $230,000\u00a0to repurchase 182,000 shares of our common stock during the\u00a0first quarter of 2026.<\/p>\n

\n 1\u00a0<\/sup>Please see reconciliation of GAAP to Non-GAAP Financial Measures below <\/p>\n

\n
\n Conference Call and Webcast<\/u>
\n <\/strong>\n <\/p>\n

Usio’s management will host a conference call on Wednesday, May 13, 2026, at 4:30 pm Eastern time\u00a0to review financial results and provide a business update.\u00a0To listen to the conference call, interested parties within the\u00a0U.S.\u00a0should call +1-844-833-3890. International callers should call\u00a0+\u00a01-412-317-9246. All callers should ask for the Usio conference call. The conference call will also be available through a live webcast, which can be accessed via the Company\u2019s website at\u00a0www.usio.com\/investors.<\/p>\n

A replay of the call will be available approximately one hour after the end of the call through June 13, 2026. The replay can be accessed via the Company\u2019s website or by dialing 1-855-669-9658 (U.S.) or 1-412-317-0088 (international). The replay conference playback code is 4785914.<\/p>\n

\n
\n About Usio, Inc.<\/u>
\n <\/strong>\n <\/p>\n

Usio, Inc.\u00a0(Nasdaq:\u00a0USIO), a leading, cloud-based, integrated FinTech electronic payment solutions provider, offers a wide range of payment solutions to merchants, billers, banks, service bureaus, integrated software vendors and card issuers. The Company operates credit, debit\/prepaid, and ACH payment processing platforms to deliver convenient, world-class payment solutions and services to clients through its unique payment facilitation platform as a service. The Company, through its Usio Output Solutions division, offers services relating to electronic bill presentment, document composition, document decomposition and printing and mailing services. The strength of the Company lies in its ability to provide tailored solutions for card issuance, payment acceptance, and bill payments as well as its unique technology in the card issuing sector.<\/p>\n

Usio\u00a0is headquartered in\u00a0San Antonio, Texas, and has offices in\u00a0Austin, Texas. Websites:\u00a0www.usio.com\u00a0and\u00a0www.akimbocard.com.\u00a0<\/p>\n

Find us on LinkedIn, Facebook\u00ae and Twitter.<\/p>\n

\n
\n Comparisons<\/u>
\n <\/strong>\n <\/p>\n

Unless otherwise indicated, all comparisons and growth rates represent year-over-year comparisons, with the quarterly period of this year compared to the corresponding quarter of the prior year.<\/p>\n

\n
\n About Non-GAAP Financial Measures<\/u>
\n <\/strong>\n <\/p>\n

This press release\u00a0includes the non-GAAP financial measures, as defined in Regulation G adopted by the Securities and Exchange Commission, of EBITDA, Adjusted EBITDA, and Adjusted EBITDA margins. The Company reports its financial results in compliance with GAAP, but believes that also discussing non-GAAP financial measures is useful to investors because it provides them with financial measures the Company uses in the management of its business.<\/p>\n