Asure Software, Inc. (ASUR) reported first‑quarter 2026 revenue of $42.8 million, a 23% year‑over‑year increase from $34.9 million in Q1 2025 and the highest quarterly top line in the company’s history. The growth was driven by a 7% rise in organic revenue, up from 3% in Q1 2025, and a 4% increase in cross‑sell revenue, reflecting stronger demand for the company’s unified platform, AsureCentral, which was launched in October 2025 and is now adopted by the majority of its 30,000 direct clients.
The company posted a net income of $0.6 million, a turnaround from a $2.4 million loss in the same quarter a year earlier. Adjusted EBITDA reached $12.3 million, up 69% from $7.3 million in Q1 2025, and the adjusted EBITDA margin expanded to 29% from 21% year‑over‑year. The margin lift is attributable to cost discipline, operational leverage, and a higher mix of higher‑margin professional services and hardware revenue, which rose to $5.0 million from $1.7 million in Q1 2025, largely driven by the Lathem acquisition and enterprise tax implementations.
Management highlighted the results as evidence of an inflection point. CEO Pat Goepel said, "We are very pleased to report a strong start in 2026," adding, "Our organic growth rate for Q1 2026 was 7%, up from 3% in Q1 2025 and 3.5% in Q1 2024, calling it a 'significant acceleration' for a quarter that has historically shown seasonality." He further noted, "We believe this quarter demonstrates that our business is reaching an inflection point where growth and profitability are advancing together." CFO John Pence added, "It's important to keep in mind that the first quarters are seasonally strong due to year‑end W‑2 and ACA revenue recognized in the period," and that the company is taking a conservative stance amid global uncertainty.
For the full year, ASUR has guided revenue of $159 million to $163 million and an adjusted EBITDA margin of 23% to 25%. Guidance for Q2 2026 is revenue of $36 million to $38 million and adjusted EBITDA of $6 million to $8 million, reflecting confidence in continued demand for the AsureCentral platform and the integration of Lathem’s services. The company’s guidance remains unchanged from prior estimates, indicating steady expectations for growth and margin expansion.
The results are a clear sign that ASUR’s focus on organic growth, cross‑sell initiatives, and cost discipline is paying off. The company’s ability to convert higher revenue into profitability, coupled with a strong platform adoption trajectory, positions it well for the remainder of 2026. However, management remains cautious, citing global uncertainty as a potential headwind and emphasizing a conservative operating stance.
The earnings announcement did not include an earnings‑per‑share figure, and no EPS data was disclosed in the release.
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