This article first appeared on GuruFocus.
Release Date: November 13, 2025
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
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WidePoint Corp (WYY) reported a 4% increase in revenues for the third quarter, reaching $36.1 million.
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The company achieved its 33rd consecutive quarter of positive adjusted EBITDA and 8th consecutive quarter of positive free cash flow.
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WidePoint Corp (WYY) secured a significant multi-year SaaS contract with a major U.S. telecommunications carrier, expected to generate $40 to $45 million in revenue over three years.
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The company has a strong federal contract backlog of approximately $269 million, providing solid revenue visibility for the coming year.
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WidePoint Corp (WYY) is strategically positioned with its FedRAMP authorized ITMS platform, which opens doors to large-scale margin accretive opportunities.
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WidePoint Corp (WYY) expects full-year revenue to be slightly below its previously issued guidance due to delays in certain contracts.
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The company reported a net loss of $559,000 for the third quarter, compared to a net loss of $425,000 in the same period last year.
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Adjusted EBITDA and free cash flow for the third quarter were lower compared to the same period last year.
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There are concerns about potential delays in government-related activities due to the government shutdown.
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WidePoint Corp (WYY) faces challenges in timing and execution of key opportunities, impacting its financial performance.
Q: How much of the $40 to $45 million contract is included in the $269 million backlog, and when is the revenue expected to start? A: The $269 million backlog only includes federal government contracts, so the $40 to $45 million contract is not included in that figure. We anticipate the revenue from this contract to begin in the third quarter of next year, although the exact timing is still being finalized with the customer. – Respondent: Unidentified_3
Q: Does the contract with one of the major US wireless carriers preclude WidePoint from engaging with the other two carriers? A: No, there is no exclusivity with this carrier. We are hopeful to start conversations with the other two major carriers, as they may also face pressure from federal government customers to use a FedRAMP authorized platform. Our current agreement does not prevent us from pursuing similar opportunities with the other carriers. – Respondent: Unidentified_3