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Research Solutions Inc (RSSS-1.03%) has submitted its 10-Q filing for the quarterly period ended September 30, 2024.
The filing details the company's financial performance, with total revenue increasing by 19.7% to $12,044,482 compared to the same period last year. This growth was driven by a 66.5% increase in platform revenue and a 3.4% increase in transaction revenue.
Cost of revenue increased by 4.1% to $6,278,606, with platform costs rising by 43.0% and transaction costs by 1.5%. Despite this, gross profit improved by 43.0% to $5,765,876, reflecting a higher gross margin.
Operating expenses remained relatively stable at $5,119,185, with notable increases in sales and marketing expenses by 73.8% and technology and product development costs by 10.3%. General and administrative expenses decreased by 24.1%.
The company reported a net income of $669,004, a significant improvement from a net loss of $988,043 in the previous year, attributed to increased revenue and controlled operating expenses.
Cash provided by operating activities was $843,119, compared to cash used of $755,571 in the prior year, reflecting improved cash flow management.
The company had cash and cash equivalents of $6,924,773 as of September 30, 2024, up from $6,100,031 at the end of the previous quarter.
Research Solutions continues to focus on its SaaS platforms, which include Discovery Tools, Access, and Manage, leveraging AI technologies to enhance research processes for its clients.
The filing also notes the company's acquisition activities, including the integration of Scite, Inc., which contributed to the increase in platform revenue.
The company maintains a $500,000 secured revolving line of credit with PNC Bank (PNC-1.17%), with no outstanding borrowings as of the end of the reporting period.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Research Solutions Inc quarterly 10-Q report dated November 14, 2024. To report an error, please email earnings@qz.com.