Cimpress plc, a company specializing in print mass customization, has recently released its 10-Q report, providing a detailed overview of its financial condition and results of operations for the quarter ended March 31, 2025. The company operates through five segments: Vista, PrintBrothers, The Print Group, National Pen, and All Other Businesses, and offers a wide range of printed and digital marketing products, promotional products, logo apparel, packaging, and design services. The report includes a discussion on the impact of U.S. tariffs, financial summary, and consolidated results of operations.
In the third quarter of fiscal year 2025, Cimpress reported a 1% increase in revenue to $789.5 million, with organic constant-currency revenue growth of 3%. However, the company experienced a net loss increase of $2.8 million to $8.0 million. For the year-to-date fiscal year 2025, revenue increased by 3% to $2,533.6 million, with organic constant-currency revenue growth of 4%. The company reported a net income decrease of $18.4 million to $41.2 million for the same period.
The increase in reported revenue was primarily driven by external revenue growth in the Vista and PrintBrothers reportable segments, led by strong revenue performance in Vista product categories like promotional products, signage, and packaging and labels. However, revenue growth was dampened by lower revenue for certain products in the U.S., mainly from weaker demand for business cards in the Vista business and home decor products in the BuildASign business, as well as lower revenue in the direct mail channel of the National Pen business, particularly in North America. Additionally, currency exchange fluctuations had a negative year-over-year effect on revenue.
Cimpress also discussed the impact of U.S. tariffs on its operations, particularly from raw materials sourcing, especially from China, and the potential for increased supplier costs connected to reciprocal tariffs on other countries. The company has been working to mitigate the impact of tariffs by identifying alternate, lower-tariff sources of raw materials and expects to raise prices to offset tariff costs.
The company's primary financial metric is adjusted free cash flow before net cash interest payments. For the three and nine months ended March 31, 2025, adjusted EBITDA decreased by $3.5 million to $90.7 million and $38.6 million to $310.7 million, respectively. Cash provided by operating activities decreased by $35.0 million to $190.6 million for the year-to-date fiscal year 2025, and adjusted free cash flow decreased by $67.1 million to $77.2 million.
Cimpress' consolidated revenue for the three and nine months ended March 31, 2025, showed growth primarily in the Vista, PrintBrothers, and The Print Group segments, driven by strong revenue performance in various product categories. However, the company experienced a decrease in revenue for certain products in the U.S. and negative year-over-year effects from currency exchange fluctuations.
Today the company's shares have moved 0.2% to a price of $39.29. Check out the company's full 10-Q submission here.
