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CMPOW

CompoSecure, Inc.

CMPOW

CompoSecure, Inc. • NASDAQ
$11.80 ▲ 0.68% (+0.08)
Market Cap $2.02 B
52w High $12.16
52w Low $11.80
Dividend Yield 0%
P/E 0
Volume 2.13K
Outstanding Shares 171.27M

Income Statement

Period Revenue Operating Expense Net Income Net Profit Margin Earnings Per Share EBITDA
Q3-2025 $0 $9.939M ▲ $-174.696M ▼ 0% $-1.58 ▼ $-144.892M ▼
Q2-2025 $0 ▼ $2.656M ▼ $-26.125M ▼ 0% ▼ $-0.26 ▼ $-66.796M ▼
Q1-2025 $59.824M ▼ $22.705M ▼ $21.492M ▲ 35.925% ▲ $0.21 ▲ $36.963M ▲
Q4-2024 $100.859M ▼ $36.932M ▲ $-37.329M ▲ -37.011% ▲ $-0.91 ▲ $-39.675M ▲
Q3-2024 $107.135M $26.316M $-42.06M -39.259% $-1.1 $-77.378M

Balance Statement

Period Cash & Short-term Total Assets Total Liabilities Total Equity
Q3-2025 $127.362M ▲ $505.475M ▲ $353.006M ▼ $152.469M ▲
Q2-2025 $4.808M ▼ $317.296M ▲ $423.672M ▲ $-106.376M ▼
Q1-2025 $9.506M ▼ $292.323M ▼ $379.63M ▼ $-87.307M ▲
Q4-2024 $77.461M ▲ $473.918M ▲ $617.364M ▼ $-143.446M ▲
Q3-2024 $52.674M $435.441M $720.45M $-285.009M

Cash Flow Statement

Period Net Income Cash From Operations Cash From Investing Cash From Financing Net Change Free Cash Flow
Q3-2025 $-174.696M ▼ $-11.941M ▼ $0 $134.495M ▲ $122.554M ▲ $-11.941M ▼
Q2-2025 $-26.125M ▼ $37K ▼ $0 ▲ $-4.735M ▲ $-4.698M ▲ $37K ▼
Q1-2025 $21.492M ▲ $3.011M ▼ $-60.69M ▼ $-10.276M ▼ $-67.955M ▼ $2.624M ▼
Q4-2024 $-48.358M ▲ $35.417M ▲ $-4.434M ▼ $-6.196M ▲ $24.787M ▲ $32.483M ▲
Q3-2024 $-49.928M $28.136M $-1.984M $-8.869M $17.283M $26.152M

Revenue by Products

Product Q1-2025
Intersegment Eliminations
Intersegment Eliminations
 $-40.00M ▲
Operating Segments
Operating Segments
 $40.00M ▲

Five-Year Company Overview

Income Statement

Income Statement Revenue has grown steadily over the last five years, showing that the core business of premium cards and security products continues to gain traction. Profitability at the operating level has been fairly consistent, which suggests the underlying business model is sound. However, bottom‑line results have been volatile. After several years of modest profits, the most recent year slipped into a net loss, even though revenue was at its highest in the period. This points to rising costs, investments, or special charges weighing on reported earnings. The swing from positive to negative earnings also shows that results can move around quite a bit from year to year, which adds uncertainty when projecting future profitability. Overall, the income statement tells a story of growing sales and reasonable operating performance, but with choppy net income and earnings per share that investors would want to understand in more detail (for example, the mix of ongoing versus one‑time items).

Balance Sheet

Balance Sheet The company has grown its asset base meaningfully over the period, and cash on hand has increased, which is a positive sign for financial flexibility. Debt, however, remains substantial. While it has eased from earlier peak levels, leverage is still high relative to the size of the business. Most notable, shareholders’ equity has been negative throughout the entire five‑year window, though it has improved from its worst point. Persistent negative equity typically reflects a history of heavy leverage, accumulated losses, or past financial structuring decisions, and it is a clear balance‑sheet risk. In short, CompoSecure has more resources and more cash than it did a few years ago, but it is still operating with a highly leveraged capital structure and a thin margin for error if business conditions weaken.

Cash Flow

Cash Flow Cash generation is a relative bright spot. Operating cash flow has been consistently positive and has gradually increased over time. Even when accounting profits have been modest or negative, the business has continued to throw off cash. Free cash flow has also been positive each year, helped by moderate spending on capital projects. This suggests that the company does not need heavy ongoing investment just to maintain its operations, leaving more room to service debt, fund innovation, or build cash reserves. The contrast between steady, healthy cash flow and more volatile accounting earnings indicates that non‑cash items or one‑off charges may be playing a notable role in reported profits. From a sustainability perspective, continued strong cash generation will be critical, especially given the leverage on the balance sheet.

Competitive Edge

Competitive Edge CompoSecure operates in a focused niche: high‑end metal and advanced payment cards, combined with security and authentication solutions. Within this niche it appears to hold a strong position, with deep relationships with major card issuers and a reputation for premium, complex card products that are difficult for standard manufacturers to match. Its competitive moat is reinforced by a meaningful patent portfolio, specialized manufacturing know‑how, and high switching costs for financial institutions that have integrated its products into their premium offerings. The Arculus platform extends its reach beyond traditional cards into digital security and crypto‑related use cases, positioning the company at the intersection of payments and cybersecurity. The flip side of this strength is concentration risk: much of the business depends on remaining the preferred partner for a relatively small group of large financial and fintech clients, and on the continued appeal of premium card programs. Competitive pressure from both other card manufacturers and broader security technology firms remains an ongoing strategic challenge.

Innovation and R&D

Innovation and R&D Innovation is clearly central to CompoSecure’s identity. The company has moved well beyond simply producing metal cards, embedding technology into the card itself through offerings like Arculus, which combines hardware security, passwordless authentication, and digital asset storage. Its Innovation Lab and design studio regularly launch distinctive concepts such as illuminated cards, glass and mirror‑finish cards, and dynamic security features. This constant product evolution helps keep its offerings fresh and hard to copy, and supports premium pricing and brand differentiation for its clients. Strategically, initiatives like the Arculus ecosystem, the planned MetaMask metal card, and the business combination with Husky, along with the Resolute spin‑off, signal an ambition to diversify and scale beyond the current niche. The opportunity is to leverage its security and materials expertise into broader markets; the risk is execution—integrating new businesses, delivering on partnerships, and navigating the inherently volatile digital asset and security landscape.

Summary

CompoSecure shows a mix of solid business momentum and financial complexity. On the positive side, revenue has grown steadily, operating performance is generally sound, and cash flow generation is consistently strong. The company has carved out a defensible niche in premium, technologically advanced payment cards and security products, backed by patents, specialized manufacturing, and strong client relationships. On the more cautious side, earnings have been volatile, the most recent year slipped into a loss, and the balance sheet is heavily leveraged with negative equity, despite some improvement. This structure increases sensitivity to downturns and makes ongoing strong cash flow especially important. Looking ahead, the company’s future will hinge on three things: maintaining its leadership in premium cards, successfully scaling newer platforms like Arculus and crypto‑related partnerships, and carefully managing leverage while integrating strategic moves such as the Husky combination and Resolute spin‑off. The business has meaningful strengths and clear opportunities, but also notable financial and execution risks that introduce uncertainty into long‑term outcomes.