Deluxe Corporation announced its first quarter 2025 financial results on April 30, 2025. Consolidated revenue totaled $536.5 million, a modest increase of 0.3% compared to Q1 2024, despite a $6 million headwind from business exits.
Net income increased to $14.0 million in Q1 2025 from $10.8 million in Q1 2024. Adjusted EBITDA remained nearly unchanged at $100.2 million, compared to $100.5 million in the prior year quarter, with business exits accounting for a $4 million impact.
The Adjusted EBITDA margin was 18.7%, virtually flat year-over-year. Selling, General and Administrative (SGA) expenses decreased by 3.8%, or $8.8 million, reflecting cost management initiatives.
Segment performance showed strong growth in Data Solutions, with revenue surging 29.3% to $77.2 million, and Adjusted EBITDA increasing 32.4% to $19.7 million. Merchant Services revenue grew 1.3% to $97.8 million, and B2B Payments revenue increased 1.1% to $70.2 million.
The Print segment revenue declined 4.0% to $291.3 million, consistent with expectations. Net cash provided by operating activities increased significantly to $50.3 million from $26.6 million in Q1 2024, and free cash flow rose by $18.1 million to $24.3 million.
Net debt stood at $1.46 billion, down $7 million from year-end 2024. The company maintained its full-year 2025 guidance, projecting comparable adjusted revenue growth of -1% to +2%, Adjusted EBITDA growth of 2% to 7%, Adjusted EPS growth of flat to 9%, and Free Cash Flow growth of 20% to 40%.
The content on BeyondSPX is for informational purposes only and should not be construed as financial or investment advice. We are not financial advisors. Consult with a qualified professional before making any investment decisions. Any actions you take based on information from this site are solely at your own risk.