Onespan ( (OSPN) ) has released its Q3 earnings. Here is a breakdown of the information Onespan presented to its investors.
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OneSpan Inc. is a company specializing in security authentication, identity, electronic signature, and digital workflow solutions, primarily serving the financial sector by protecting and facilitating digital transactions and agreements. In its third-quarter 2025 financial report, OneSpan reported a modest 1% increase in total revenue to $57.1 million, with subscription revenue showing a significant 12% year-over-year growth. However, operating income saw a decline of 27% to $8.2 million, while adjusted EBITDA rose by 3% to $17.5 million.
Key financial highlights include a 10% increase in Annual Recurring Revenue (ARR) to $180.2 million and a Net Retention Rate (NRR) of 103%. Despite a slight decrease in Security Solutions revenue, Digital Agreements revenue grew by 9%. The company also completed the acquisition of Nok Nok Labs, contributing to its financial results. OneSpan’s cash and cash equivalents increased to $85.6 million, and the company repurchased approximately 450,000 shares of its common stock for $6.3 million.
Strategically, OneSpan invested in ThreatFabric to enhance its cyber fraud prevention capabilities. The company declared a quarterly cash dividend of $0.12 per share, reflecting its commitment to returning capital to shareholders. The financial outlook for 2025 has been updated, with expected revenue ranging from $239 million to $241 million, and ARR projected between $183 million and $187 million.
Looking ahead, OneSpan’s management remains focused on driving efficient revenue growth while maintaining strong profitability and cash generation. The company is well-positioned for further growth in its software business, which now constitutes over 80% of its overall operations, and aims to capitalize on its strategic investments and partnerships to enhance its market position in 2026.