Veritone Reports First Quarter 2025 Results

Veritone, Inc., a leader in building human-centered enterprise AI solutions, has released its financial results for the first quarter of 2025. The company reported a total revenue of $22.5 million, which aligns with the preliminary outlook. Despite a 7% decrease compared to Q1 2024, the company has shown significant progress in other areas.

Financial Highlights

For the first quarter of 2025, Veritone reported:

• Revenue of $22.5 million, a decrease of 7% compared to Q1 2024.
• Software Products and Services revenues of $14.5 million, down 4.8% year over year.
• Managed Services revenue of $8.0 million, down 10.7% year over year.
• GAAP gross profit of $13.7 million, a decrease of 16% year over year.
• Non-GAAP gross profit of $14.6 million, a decrease of 15% year over year.
• Loss from operations of $21.6 million, an improvement from a loss of $24.4 million in Q1 2024.
• Net loss of $19.9 million, compared to a loss of $25.2 million in Q1 2024.
• Non-GAAP net loss from continuing operations of $11.1 million, an increase of 7.6% compared to Q1 2024.

Business and Operational Highlights

Veritone's Veritone Data Refinery (VDR) solution has shown strong early traction, with a qualified and near-term pipeline of over $10 million, up from $5 million in March 2025. The company secured over 100 new business and renewal software agreements in the quarter, including partnerships with notable companies such as Freemantle, Audacy, and World Athletics.

In the public sector, Veritone added 8 new State, Local, and Educational (SLED) customers and 40 expansion sales transactions. The company's public sector solutions have gained meaningful traction domestically and globally, with a growing pipeline that now exceeds $110 million.

Strategic Initiatives and Corporate Developments

During the quarter, Veritone completed a registered direct offering for the definitive purchase and sale of 4,414,878 shares of common stock and pre-funded warrants to purchase up to 3,608,838 shares of common stock for aggregate gross proceeds of approximately $20.3 million. These funds are intended for the repayment of debt and general corporate purposes.

Management's Perspective

President and Chief Executive Officer Ryan Steelberg commented, "Veritone delivered solid topline performance in the first quarter of 2025, and continues with strong momentum into Q2, highlighting the stabilization of our business, our improved financial condition following the completion of previously announced strategic transactions, and acceleration in the adoption of our Veritone Data Refinery offering."

Future Outlook

For the second quarter of 2025, Veritone expects revenue to be in the range of $23.0 million to $25.0 million, compared to $24.1 million for the second quarter of 2024. The company also anticipates a non-GAAP net loss in the range of $9.0 million to $8.0 million, compared to a non-GAAP net loss of $9.7 million for the second quarter of 2024.

For the full year 2025, Veritone projects revenue to be in the range of $104 million to $115 million, an 18% implied annual increase at the midpoint compared to $92.6 million for fiscal 2024. The non-GAAP net loss is expected to be in the range of $30.0 million to $20.0 million, a 39% implied annual increase at the midpoint compared to a non-GAAP net loss of $40.8 million for fiscal 2024.

SEC Filing: Veritone, Inc. [ VERI ] - 8-K - May. 08, 2025