Professional Diversity Network, Inc. Announces Financial Results for the Quarter Ended March 31, 2025
Professional Diversity Network, Inc. (NASDAQ: IPDN), (“IPDN” or the “Company”), a global developer and operator of online and in-person networks that provides access to networking, training, educational and employment opportunities for diverse individuals, today announced its financial results for the quarter ended March 31, 2025.
“Despite ongoing market challenges, we have attracted increased investor interest, driven by enhanced operational efficiency and stronger cost control measures. Since December, our new investor, Aurous Vertex Limited, has committed approximately $1.8 million to the company,” said Adam He, CEO of Professional Diversity Network, Inc. “At the same time, we are advancing the transformation of our platform’s technological infrastructure through AI integration and strategic revenue diversification. To support this initiative, we invested $1.3 million in AI Geometric Ltd., securing a 13% equity stake to further strengthen our AI-driven recruitment ecosystem.”
First Quarter Financial Highlights:
The consolidated net loss from continuing operations for the three months ended March 31, 2025 decreased approximately $66,000 or 8.2%, as compared to the same period in the prior year. Net cash used in operating activities from continuing operations for the three months ended March 31, 2025, was approximately $284,000, a reduction of approximately $259,000 compared to the same period in the prior year.
Financial Results for the Three Months Ended March 31, 2025
Revenues
Total revenues for the three months ended March 31, 2025 decreased approximately $222,000, or 12.9%, to approximately $1,505,000 from approximately $1,727,000 during the same period in the prior year. The decrease was predominantly attributable to an approximate $188,000 decrease in recruitment services due to the Executive Orders targeting diversity, equity, and inclusion programs in the public and private sectors and an approximate $31,000 decrease in membership and related services.
During the three months ended March 31, 2025, our TalentAlly network generated approximately $921,000 in comparable revenues compared to approximately $1,115,000 in revenues during the three months ended March 31, 2024, a decrease of approximately $194,000 or 17.4%.
During the three months ended March 31, 2025, NAPW network revenues were approximately $96,000, compared to revenues of approximately $127,000 during the same period in the prior year, a decrease of approximately $31,000 or 24.4%.
During the three months ended March 31, 2025, RemoteMore revenue was approximately $488,000, compared to revenues of approximately $485,000 during the same period in the prior year, an increase of approximately $3,000, or 0.6%.
Costs and Expenses
Cost of revenues during the three months ended March 31, 2025 was approximately $719,000, an increase of approximately $66,000, or 10.1%, from approximately $653,000 during the same period of the prior year.
Sales and marketing expense during the three months ended March 31, 2025 was approximately $571,000, a decrease of approximately $259,000, or 31.2%, from $830,000 during the same period in the prior year.
General and administrative expenses during the three months ended March 31, 2025 decreased by approximately $116,000, or 11.7%, to approximately $879,000, as compared to approximately $995,000 the same period in the prior year.
Net Loss from Continuing Operations, Net of Tax
As a result of the factors discussed above, during the three months ended March 31, 2025, we incurred a net loss from continuing operations of approximately $741,000, a decrease in the net loss of approximately $66,000, compared to a net loss of approximately $807,000 during the three months ended March 31, 2024.
Summary of the Quarter’s Financial Information
Amounts in following tables are in thousands except for per share amounts and outstanding shares.