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SMSI

Smith Micro Software, Inc.

SMSI

Smith Micro Software, Inc. • NASDAQ
$0.61 ▲ 0.65% (+0.00)
Market Cap $13.00 M
52w High $1.95
52w Low $0.57
Dividend Yield 0%
P/E -0.57
Volume 34.47K
Outstanding Shares 21.45M

Income Statement

Period Revenue Operating Expense Net Income Net Profit Margin Earnings Per Share EBITDA
Q3-2025 $4.347M ▼ $7.696M ▼ $-4.535M ▲ -104.325% ▲ $-0.25 ▲ $-3.121M ▲
Q2-2025 $4.42M ▼ $18.202M ▲ $-15.062M ▼ -340.769% ▼ $-0.78 ▼ $-3.839M ▲
Q1-2025 $4.621M ▼ $8.573M ▲ $-5.178M ▼ -112.054% ▼ $-0.28 ▼ $-3.86M ▼
Q4-2024 $4.97M ▲ $8.215M ▼ $-4.391M ▲ -88.35% ▲ $-0.25 ▲ $-3.042M ▲
Q3-2024 $4.648M $9.834M $-6.369M -137.027% $-0.54 $-4.931M

Balance Statement

Period Cash & Short-term Total Assets Total Liabilities Total Equity
Q3-2025 $1.394M ▼ $27.129M ▼ $7.238M ▲ $19.891M ▼
Q2-2025 $1.401M ▼ $29.582M ▼ $7.168M ▲ $22.414M ▼
Q1-2025 $2.288M ▼ $43.364M ▼ $6.802M ▼ $36.562M ▼
Q4-2024 $2.808M ▲ $48.046M ▲ $7.29M ▼ $40.756M ▲
Q3-2024 $1.509M $46.179M $8.433M $37.746M

Cash Flow Statement

Period Net Income Cash From Operations Cash From Investing Cash From Financing Net Change Free Cash Flow
Q3-2025 $-4.535M ▲ $-2.137M ▲ $279K ▼ $1.851M ▲ $-7K ▲ $-2.158M ▲
Q2-2025 $-15.062M ▼ $-2.268M ▼ $960K ▲ $421K ▲ $-887K ▼ $-2.268M ▼
Q1-2025 $-5.178M ▼ $-602K ▲ $-4K ▼ $86K ▼ $-520K ▼ $-606K ▲
Q4-2024 $-4.391M ▲ $-4.927M ▼ $-3K ▲ $6.229M ▲ $1.299M ▲ $-4.93M ▼
Q3-2024 $-6.37M $-3.815M $-6K $-298K $-4.119M $-3.821M

Revenue by Products

Product Q4-2024Q1-2025Q2-2025Q3-2025
License and Service
License and Service
 $0 ▲$0 ▲$0 ▲$0 ▲
Wireless Business Segment
Wireless Business Segment
 $10.00M ▲$0 ▼$0 ▲$0 ▲

Five-Year Company Overview

Income Statement

Income Statement Revenue has been small and drifting slightly lower over the last few years after a better period around 2021. The core business still generates healthy gross profit, but not enough to cover operating costs, so losses have persisted. Profitability slipped from roughly breakeven earlier in the period to steady red ink more recently, suggesting either higher spending, weaker sales, or both. Earnings per share have been deeply negative, and the history of reverse stock splits underlines how much the equity value has been compressed over time. Overall, this is a company still in a turnaround phase rather than one with stable, growing profits.

Balance Sheet

Balance Sheet The balance sheet has gradually shrunk, with both total assets and shareholders’ equity lower than a few years ago. Cash has come down from earlier levels, which limits financial flexibility, although outright debt is very modest, so leverage risk appears contained for now. The picture is of a small software company that has been drawing on its resources to fund operating losses and repositioning efforts. That keeps financial risk manageable from a debt standpoint, but raises questions about how long current resources can support the strategy if profitability does not improve.

Cash Flow

Cash Flow Operating cash flow has been negative for several years after a brief period of positive generation, and free cash flow closely tracks that pattern, as capital spending is minimal. This means the business is not yet self‑funding; it is consuming cash rather than building it. The lean capex profile is typical for software, but it also means that most cash use is directly tied to running and restructuring the business, not to heavy investment in physical assets. Sustained improvement in subscription uptake and margins will be needed to flip cash flow back to consistently positive territory.

Competitive Edge

Competitive Edge Smith Micro operates in a narrow but important niche: digital family safety and lifestyle services delivered through wireless carriers. Its strongest advantage is deep, long-standing integration with major carriers and a white‑label, carrier‑grade platform that can be hard for new entrants to dislodge. Using carriers as the distribution channel lowers marketing costs and can create sticky relationships when families rely on these services. On the other hand, this also concentrates power in a small number of carrier customers, creating dependence on their decisions and rollout priorities. The company also faces competition from direct‑to‑consumer apps and native controls from smartphone platforms, so maintaining relevance and strong carrier partnerships is critical.

Innovation and R&D

Innovation and R&D The company is clearly leaning into innovation as its main lever. The SafePath platform is evolving toward AI‑driven safety, including social media risk detection and controls on newer technologies like AI chatbots. SafePath Global aims to make deployments easier for smaller carriers, while SafePath OS embeds protection directly into devices for kids and seniors, opening additional segments. Recent moves to divest non‑core products and focus on this family safety suite suggest a more disciplined R&D agenda. The upside is a more differentiated offering with broader use cases; the risk is that sustained development spending must eventually translate into carrier wins and user adoption to justify the ongoing cash burn.

Summary

Smith Micro is in the midst of a strategic refocus: shrinking, unprofitable, and cash‑consuming today, but concentrating its efforts on a clearer niche built around family and lifestyle safety services for mobile carriers. The financial statements show a company that has moved away from breakeven into consistent losses, with a smaller balance sheet and limited cash cushion, though with little debt to magnify that strain. The operating story, however, is about deep carrier relationships, a white‑label B2B2C model that can be defensible if maintained, and a product roadmap centered on AI‑enhanced safety and new device categories. Future performance will hinge on execution: winning and expanding carrier deals, proving that SafePath 8 and SafePath OS solve real problems for families and seniors, and doing so fast enough to restore positive cash flow before financial flexibility becomes a constraint.

NEWS

November 5, 2025 · 4:02 PM UTC

Smith Micro Founder and CEO Bill Smith to Invest $1.5 Million in Financing

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November 5, 2025 · 4:00 PM UTC

Smith Micro Reports Third Quarter 2025 Financial Results

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October 15, 2025 · 4:01 PM UTC

Smith Micro Announces Strategic Cost Reductions and Leadership Changes

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