Liquidity Services, Inc. reported fiscal fourth‑quarter 2025 results that surpassed analyst expectations on both revenue and earnings. Total revenue rose 10% to $118.1 million, driven by a 20% increase in the Capital Assets Group (CAG) and a 17% rise in the GovDeals segment, reflecting robust demand for high‑value industrial and government assets. Gross merchandise value (GMV) climbed 12% to $404.5 million, a growth rate that matches the company’s record‑setting $1.57 billion annual GMV milestone.
GAAP net income for the quarter was $7.8 million, up 23% from $6.3 million in the same period a year earlier. Non‑GAAP adjusted net income reached $11.9 million, or $0.37 per share, beating the consensus estimate of $0.29–$0.31 by $0.06–$0.08. The earnings beat was largely driven by disciplined cost management and a favorable mix shift toward higher‑margin CAG and GovDeals transactions, which offset modest increases in operating expenses.
The company’s guidance for fiscal first quarter 2026 projects GMV between $370 million and $405 million and adjusted earnings per share between $0.25 and $0.35. Management highlighted that the guidance reflects continued demand for its marketplace platform and confidence in maintaining profitability, even as it navigates a slightly lower EPS range than analyst expectations. The guidance also signals a cautious outlook for the next quarter, acknowledging potential macro‑economic headwinds while emphasizing operational discipline.
Bill Angrick, Chairman and CEO, said the results “reflect the depth, scale, and liquidity of our proprietary marketplace platform and our team’s customer‑focused culture.” He added that the company is expanding its capabilities, including new payment solutions, to enhance buyer experience and operational efficiency. Angrick also noted that margin improvement in the Retail segment was driven by multi‑channel buyer development and a more agile operating footprint.
Liquidity Services’ strong performance underscores its position as a leader in the circular‑economy marketplace space. Zero debt and a cash balance of $185.8 million provide a solid financial foundation, while the company’s focus on high‑margin segments and strategic platform enhancements positions it for sustained growth in a market that increasingly values sustainability and asset reuse.
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