Netcapital Inc. Reports Q3 Fiscal 2025 Results

Netcapital Inc ( (NCPL) ) has released its Q3 earnings. Here is a breakdown of the information Netcapital Inc presented to its investors.

Netcapital Inc. is a fintech company that operates a digital private capital markets ecosystem, enabling private companies to raise capital online and offering private equity investment opportunities to investors. The company also provides marketing and strategic advice through its consulting group, Netcapital Advisors, and operates a registered funding portal and broker-dealer.

In its third quarter fiscal 2025 financial results, Netcapital Inc. reported a significant decrease in revenue, down approximately 85% year-over-year, reflecting the challenging market conditions. Despite the downturn, the company achieved a notable milestone with the approval of its wholly-owned broker-dealer subsidiary, Netcapital Securities Inc., by FINRA, which is expected to open new revenue streams.

The financial results showed a revenue of $152,682, a stark contrast to the $1,042,793 million reported in the same quarter of the previous year. The company faced an operating loss of $1,687,692 and a net loss of $3,006,537, with a loss per share of $1.57. These figures highlight the financial pressures Netcapital is currently facing, although the loss per share improved from $13.60 in the prior year. The company ended the quarter with cash and cash equivalents of $614,304.

Looking ahead, Netcapital Inc. remains optimistic about its future prospects, particularly with the recent engagement of Netcapital Securities by Algernon NeuroScience Inc. for a planned Regulation A offering. The company is focused on leveraging its new broker-dealer capabilities to enhance its market position and drive future growth.