Stran & Company, Inc. reported third‑quarter 2025 revenue of $26.0 million, a 29.0 percent increase from the $20.2 million earned in the same period last year. The jump was driven largely by the integration of the Gander Group acquisition, which has become a high‑growth component of the Stran Loyalty Solutions (SLS) segment.
Despite the revenue rise, the company posted a net loss of $1.2 million, an improvement from the $2.0 million loss recorded in Q3 2024. Gross profit margin contracted to 27.2 percent from 29.5 percent year‑over‑year, largely because the lower‑margin Gander Group business and a $1 million unrecoverable tariff‑related expense weighed on profitability.
Revenue growth was uneven across segments. The core Stran segment grew 5.9 percent, while the newly acquired SLS segment surged 139 percent, reflecting strong demand for loyalty‑management solutions among enterprise customers. The disparity in growth rates underscores the company’s strategy of leveraging high‑margin core services while expanding into lower‑margin, high‑volume markets.
Capital allocation remained a priority, with the company repurchasing 267,000 shares for $408,000 during the quarter. Cash on hand at quarter‑end was $11.8 million, giving the company a solid liquidity cushion to fund ongoing investments and share‑buyback activity.
CEO Andy Shape said the quarter “reflected another period of disciplined execution and consistent progress” and highlighted the scalability of the platform and steady demand from both new and long‑standing customers. He added that the company is entering a new phase focused on driving consistent profitability and margin expansion.
The results illustrate a company in transition: revenue growth is accelerating, but margin compression and ongoing net losses signal that profitability will require continued cost discipline and the successful integration of lower‑margin acquisitions. Management’s emphasis on disciplined capital allocation and a focus on profitability suggests confidence that the company can convert growth into sustainable earnings over the next few quarters.
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