Synchronoss Technologies Reports Second Quarter 2025 Results

Synchronoss Technologies Inc., a global leader in Personal Cloud platforms, has released its financial results for the second quarter ended June 30, 2025. The company reported a total revenue of $42.5 million, driven by a 2.0% year-over-year growth in cloud subscribers. Despite a net loss of $19.6 million, the company achieved $6.9 million in income from operations and $12.8 million in adjusted EBITDA.

Financial Highlights

For the second quarter of 2025, Synchronoss reported:

• Total revenue of $42.5 million, a slight decrease from $43.5 million in the same period last year.
• Net loss of $19.6 million, significantly impacted by $12.5 million in non-cash foreign exchange losses.
• Income from operations of $6.9 million, up from $4.3 million in the prior year period.
• Adjusted EBITDA of $12.8 million, representing a 30.2% adjusted EBITDA margin.
• Gross profit of $29.4 million, with a gross margin of 69.3%.
• Cash and cash equivalents of $24.6 million as of June 30, 2025.

Business and Operational Highlights

Key operational achievements for the quarter include:

• Closed a $200 million, four-year term loan, which allowed the company to retire $73.6 million from the prior term loan and $121.4 million in senior notes.
• Signed an agreement to integrate their personal cloud storage solution into the native SoftBank customer account application, expected to boost subscriber uptake rates in 2026.
• Received the entirety of the outstanding CARES Act tax refund, amounting to $33.9 million, with $25.4 million used to pay down existing term loans.

Strategic Initiatives and Corporate Developments

Synchronoss has made significant strides in strengthening its capital structure and operational flexibility. The company has reduced its debt by $25.4 million, saving $2.9 million in annual interest, and has achieved over $100 million in total debt reduction over the past four years.

Management's Perspective

Jeff Miller, President and CEO of Synchronoss, stated, "Synchronoss delivered another quarter of solid financial performance with revenue of $42.5 million driven by 2.0% year-over-year subscriber growth. We also achieved a major milestone, receiving our $33.9 million CARES Act tax refund, which enabled us to reduce debt by $25.4 million, saving the company $2.9 million in annual interest."

Future Outlook

Looking ahead, Synchronoss has reaffirmed its full-year guidance metrics, projecting:

• Revenue range of between $170 and $180 million.
• Recurring revenue of at least 90% of total revenue.
• Adjusted gross margin of between 78%-80%.
• Adjusted EBITDA of between $52 million and $56 million, equating to at least a 30% adjusted EBITDA margin.
• Free Cash Flow of between $11 and $16 million.

SEC Filing: SYNCHRONOSS TECHNOLOGIES INC [ SNCR ] - 8-K - Aug. 11, 2025