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WM Technology, Inc. Reports Financial Results for Third Quarter 2025

businesswire.com

IRVINE, Calif.--( BUSINESS WIRE)--WM Technology, Inc. (“WM Technology” or the “Company”) (Nasdaq: MAPS), a leading marketplace and technology solutions provider to the cannabis industry, today announced its financial results for the third quarter ended September 30, 2025.

“Our third-quarter results reflect disciplined execution in a challenging market. While conditions across our core states remain pressured, we continue to focus on delivering value to our clients and strengthening our marketplace for the long term,” said Doug Francis, CEO of WM Technology. “We’re mindful of the challenges ahead and are taking a disciplined approach to position the company as the industry continues to evolve.”

“Industry pressures continue to affect our clients’ operating margins and ability to spend on our platform, but our ongoing cost discipline and operational focus have allowed us to remain profitable and maintain a strong balance sheet,” said Susan Echard, CFO of WM Technology.

Third Quarter 2025 Financial Highlights

Reconciliations of GAAP to non-GAAP financial measures have been provided in the tables below.

Average monthly paying clients are defined as the average of the number of paying clients billed in a month across a particular period (and for which services were provided).

Average monthly revenues per paying client is defined as the average monthly revenues for any particular period divided by the average monthly paying clients in the same respective period. Average monthly revenues per paying client is calculated in the same manner as our previously-reported “Average monthly net revenue per paying client,” and the description of the metric is being updated solely because we changed the reporting line item from “Net revenues” to “Revenue”. For additional information, see “Basis of Presentation” and “Revenue Recognition” of Note 2. “Summary of Significant Accounting Policies,” of our consolidated financial statements included in our Annual Report on Form 10-K for the year ended December 31, 2024 filed with the SEC on March 13, 2025.

For further information about how we calculate EBITDA and Adjusted EBITDA as well as limitations of their use and a reconciliation of EBITDA and Adjusted EBITDA to net income, see “Reconciliation of Net Income to EBITDA and Adjusted EBITDA” below.

Business Outlook

Based on information available as of November 6, 2025, WM Technology is issuing guidance for the fourth quarter of 2025 as follows:

The guidance provided above is only an estimate of what we believe is realizable as of the date of this release. We are not readily able to provide a reconciliation of projected Non-GAAP Adjusted EBITDA to projected net income without unreasonable effort. This guidance assumes that no business acquisitions, investments, restructurings, or legal settlements are concluded in the period. Our results are based on assumptions that we believe to be reasonable as of this date, but may be materially affected by many factors, as discussed below in “Forward-Looking Statements.” Actual results may vary from the guidance and the variations may be material. We undertake no intent or obligation to publicly update or revise any of these projections, whether as a result of new information, future events or otherwise, except as required by law.

Investor Conference Call and Webcasts

We will host a conference call and webcast today, Thursday, November 6, 2025, at 2:00 p.m. Pacific Time (5:00 p.m. Eastern Time) at https://edge.media-server.com/mmc/p/phq5qkg2. A webcast replay will also be archived at ir.weedmaps.com.

We have used, and intend to continue to use, the investor relations portion of its website as a means of disclosing material non-public information and for complying with disclosure obligations under Regulation FD.

About WM Technology

Founded in 2008, WM Technology operates Weedmaps, a leading cannabis marketplace for consumers, as well as a broad set of eCommerce and compliance software solutions for cannabis businesses and brands in U.S. state-legal markets. WM Technology holds a strong belief in the power of cannabis and the importance of enabling safe, legal access to consumers worldwide.

Over the past 17 years, the Weedmaps marketplace has become a premier destination for cannabis consumers to discover and browse cannabis-related products, access daily dispensary deals, order ahead for pick-up and delivery by participating retailers (where applicable) and learn about the plant. The Company also offers eCommerce-enablement tools designed to help cannabis retailers and brands reach consumers, create business efficiency, and manage industry-specific compliance needs.

The Company is committed to advocating for full U.S. legalization, industry-wide social equity, and continued education about the plant through key partnerships and cannabis subject matter experts.

Headquartered in Irvine, California, WM Technology supports remote and hybrid work for eligible employees. Visit us at www.weedmaps.com.

Forward-Looking Statements

This press release includes “forward-looking statements” regarding the Company’s future business expectations which involve risks and uncertainties. Forward looking statements may be identified by the use of words such as “estimate,” “plan,” “project,” “forecast,” “intend,” “will,” “expect,” “anticipate,” “believe,” “seek,” “target” or other similar expressions that predict or indicate future events or trends or that are not statements of historical matters. These forward-looking statements include, but are not limited to, statements regarding estimates and forecasts of financial and performance metrics. These statements are based on various assumptions, whether or not identified in this press release, and on the current expectations of the Company’s management and are not predictions of actual performance. These forward-looking statements are provided for illustrative purposes only and are not intended to serve as, and must not be relied on by any investor as, a guarantee, an assurance, a prediction or a definitive statement of fact or probability. Actual events and circumstances are difficult or impossible to predict and will differ from assumptions. Many actual events and circumstances are beyond the control of the Company. These forward-looking statements are subject to a number of risks and uncertainties, including the Company’s financial and business performance, including key business metrics and any underlying assumptions thereunder; market opportunity and the Company’s ability to acquire new clients and retain existing clients; expectations and timing related to commercial product launches; success of the Company’s go-to-market strategy; the Company’s ability to scale its business and expand its offerings; the Company’s competitive advantages and growth strategies; the Company’s future capital requirements and sources and uses of cash; the Company’s ability to obtain funding for its future operations; the impact of the material weaknesses in the Company’s internal controls and ability to remediate these material weaknesses in the timing the Company anticipates, or at all; the Company’s ability to maintain its listing on the Nasdaq Stock Market LLC; the impact of the restatement on our reputation and investor confidence in us and the increased possibility of legal proceedings and regulatory inquiries; the outcome of any known and unknown litigation and regulatory proceedings; changes in domestic and foreign business, market, financial, political and legal conditions; the effect of macroeconomic conditions, including but not limited to inflation, tariffs, public health crises, uncertain credit and global financial markets, past and potential future disruptions in access to bank deposits or lending commitments due to bank failures, current and potential future geopolitical events, including the military conflicts between Russia and Ukraine and in the Middle East, and the occurrence of a catastrophic event, including but not limited to severe weather, war, or terrorist attack; future global, regional or local economic and market conditions affecting the cannabis industry; the development, effects and enforcement of and changes to laws and regulations, including with respect to the cannabis and hemp industries; the Company’s ability to successfully capitalize on new and existing cannabis markets, including its ability to successfully monetize its solutions in those markets; the Company’s ability to manage future growth; the Company’s ability to effectively anticipate and address changes in the end-user market in the cannabis industry; the Company’s ability to develop new products and solutions, bring them to market in a timely manner, and make enhancements to its platform; the Company’s ability to maintain and grow its two-sided marketplace, including its ability to acquire and retain paying clients; the Company’s ability to continue to collect on outstanding receivables; the Company’s ability to realize the expected benefits of any strategic acquisitions; the effects of competition on the Company’s future business; the Company’s success in retaining or recruiting, or changes required in, officers, key employees or directors; cyber-attacks and security vulnerabilities; the possibility that the Company may be adversely affected by other economic, business or competitive and those factors discussed in the Company’s Annual Reports on Form 10-K, Quarterly Reports on Form 10-Q and Current Reports on Form 8-Ks filed with the SEC. If any of these risks materialize or these assumptions prove incorrect, actual results could differ materially from the results implied by these forward-looking statements. There may be additional risks that the Company does not presently know or that the Company currently believes are immaterial that could also cause actual results to differ from those contained in the forward-looking statements. In addition, forward-looking statements reflect the Company’s expectations, plans or forecasts of future events and views as of the date of this press release. The Company anticipates that subsequent events and developments will cause the Company’s assessments to change. However, while the Company may elect to update these forward-looking statements at some point in the future, the Company specifically disclaims any obligation to do so, except as required by law. These forward-looking statements should not be relied upon as representing the Company’s assessments as of any date subsequent to the date of this press release. Accordingly, undue reliance should not be placed upon the forward-looking statements.

Use of Non-GAAP Financial Measures

Our financial statements, including net income, are prepared in accordance with principles generally accepted in the United States of America (“GAAP”).

To provide investors with additional information regarding our financial results, we have disclosed EBITDA and Adjusted EBITDA, both of which are non-GAAP financial measures that we calculate as net income before interest, taxes and depreciation and amortization expense in the case of EBITDA and further adjusted to exclude stock-based compensation, change in fair value of warrant liability, legal costs and other non-recurring charges, asset impairment charges, change in the TRA liability and other non-cash, unusual and/or infrequent costs in the case of Adjusted EBITDA. Below we have provided a reconciliation of net income (the most directly comparable GAAP financial measure) to EBITDA; and from EBITDA to Adjusted EBITDA.

We present EBITDA and Adjusted EBITDA because these metrics are a key measure used by our management to evaluate our operating performance, generate future operating plans and make strategic decisions regarding the allocation of investment capacity. Accordingly, we believe that EBITDA and Adjusted EBITDA provide useful information to investors and others in understanding and evaluating our operating results in the same manner as our management.

Each of EBITDA and Adjusted EBITDA has limitations as an analytical tool, and you should not consider any of these non-GAAP financial measures in isolation or as a substitute for analysis of our results as reported under GAAP. Some of these limitations are as follows:

Because of these limitations, you should consider EBITDA and Adjusted EBITDA alongside other financial performance measures, including net income and our other GAAP results.

WM TECHNOLOGY, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED BALANCE SHEETS

(Unaudited)

(In thousands, except for share data)

September 30, 2025

December 31, 2024

Assets

Current assets

Cash

$

62,591

$

51,966

Accounts receivable, net

10,710

10,060

Prepaid expenses and other current assets

8,284

7,486

Total current assets

81,585

69,512

Property and equipment, net

24,658

24,075

Goodwill

68,368

68,368

Intangible assets, net

1,650

1,952

Right-of-use assets

12,802

14,695

Other assets

3,848

3,264

Total assets

$

192,911

$

181,866

Liabilities and Stockholders’ Equity

Current liabilities

Accounts payable and accrued expenses

$

20,083

$

20,102

Deferred revenue

5,114

5,433

Operating lease liabilities, current

3,778

3,492

Tax receivable agreement liability, current

2,531

1,406

Warrant liability, current

585

Total current liabilities

32,091

30,433

Operating lease liabilities, non-current

23,660

26,601

Tax receivable agreement liability, non-current

3,006

Warrant liability, non-current

585

Other long-term liabilities

1,802

1,174

Total liabilities

57,553

61,799

Commitments and contingencies

Stockholders’ equity

Preferred Stock - $0.0001 par value; 75,000,000 shares authorized; no shares issued and outstanding at September 30, 2025 and December 31, 2024

Class A Common Stock - $0.0001 par value; 1,500,000,000 shares authorized; 107,897,133 shares issued and outstanding at September 30, 2025 and 99,033,110 shares issued and outstanding at December 31, 2024

11

10

Class V Common Stock - $0.0001 par value; 500,000,000 shares authorized, 49,319,542 shares issued and outstanding at September 30, 2025 and 54,319,542 shares issued and outstanding at December 31, 2024

5

5

Additional paid-in capital

108,237

92,941

Accumulated deficit

(51,345

)

(56,879

)

Total WM Technology, Inc. stockholders’ equity

56,908

36,077

Non-controlling interests

78,450

83,990

Total stockholders’ equity

135,358

120,067

Total liabilities and stockholders’ equity

$

192,911

$

181,866

WM TECHNOLOGY, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(Unaudited)

(In thousands, except for share data)

Three Months Ended

September 30,

Nine Months Ended

September 30,

2025

2024

2025

2024

Revenues

$

42,176

$

46,552

$

131,635

$

136,844

Costs and expenses

Cost of revenues (exclusive of depreciation and amortization shown separately below)

2,118

2,182

6,639

6,729

Sales and marketing

10,779

9,671

28,639

30,374

Product development

6,412

9,484

21,945

28,355

General and administrative

17,840

16,494

57,990

51,549

Depreciation and amortization

3,068

3,517

9,847

9,641

Total costs and expenses

40,217

41,348

125,060

126,648

Operating income

1,959

5,204

6,575

10,196

Other income (expenses), net

Change in fair value of warrant liability

(390

)

585

195

Change in tax receivable agreement liability

1,550

(548

)

460

(1,486

)

Other income (expense)

535

98

1,281

(362

)

Income before income taxes

3,654

5,339

8,316

8,543

Provision for income taxes

13

21

22

72

Net income

3,641

5,318

8,294

8,471

Net income attributable to non-controlling interests

1,181

1,986

2,760

3,183

Net income attributable to WM Technology, Inc.

$

2,460

$

3,332

$

5,534

$

5,288

Class A Common Stock:

Basic income per share

$

0.02

$

0.03

$

0.05

$

0.06

Diluted income per share

$

0.02

$

0.03

$

0.05

$

0.05

Class A Common Stock:

Weighted average basic shares outstanding

107,569,086

97,166,788

105,797,793

95,743,064

Weighted average diluted shares outstanding

109,112,744

97,811,251

108,144,795

96,761,731

WM TECHNOLOGY, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited)

(In thousands)

Nine Months Ended

September 30,

2025

2024

Cash flows from operating activities

Net income

$

8,294

$

8,471

Adjustments to reconcile net income to net cash provided by operating activities:

Depreciation and amortization

9,847

9,641

Change in fair value of warrant liability

(195

)

Change in tax receivable agreement liability

(460

)

1,486

Amortization of right-of-use lease assets

1,894

3,284

Stock-based compensation

6,369

7,172

Loss contingency

2,324

Provision (recovery) for credit losses

2,618

(295

)

Gain on lease termination

(109

)

Changes in operating assets and liabilities:

Accounts receivable

(3,268

)

3,546

Prepaid expenses and other current assets

(798

)

(439

)

Other assets

450

1,029

Accounts payable and accrued expenses

(1,154

)

(1,169

)

Deferred revenue

(319

)

(153

)

Operating lease liabilities

(2,655

)

(4,994

)

Net cash provided by operating activities

23,142

27,275

Cash flows from investing activities

Capitalized software and expenditures

(9,359

)

(9,499

)

Net cash used in investing activities

(9,359

)

(9,499

)

Cash flows from financing activities

Distributions to non-controlling interests

(1,916

)

(7,250

)

Proceeds from repayment of related party note

183

286

Tax receivable agreement payment

(1,422

)

(116

)

Taxes paid related to net share settlement of equity awards

(3

)

(3

)

Net cash used in financing activities

(3,158

)

(7,083

)

Net increase in cash

10,625

10,693

Cash – beginning of period

51,966

34,350

Cash – end of period

$

62,591

$

45,043

WM TECHNOLOGY, INC. AND SUBSIDIARIES

RECONCILIATION OF NET INCOME TO EBITDA AND ADJUSTED EBITDA

(Unaudited)

(In thousands)

Three Months Ended

September 30,

Nine Months Ended

September 30,

2025

2024

2025

2024

(in thousands)

Net income

$

3,641

$

5,318

$

8,294

$

8,471

Provision for income taxes

13

21

22

72

Depreciation and amortization expenses

3,068

3,517

9,847

9,641

Interest income

(472

)

(280

)

(1,312

)

(331

)

EBITDA

6,250

8,576

16,851

17,853

Stock-based compensation

1,551

1,601

6,369

7,172

Change in fair value of warrant liability

390

(585

)

(195

)

Legal costs and other non-recurring charges (1)

918

1,172

3,458

4,685

Reduction in force (recovery) expense (2)

879

Loss contingency (3)

2,324

Change in tax receivable agreement liability

(1,550

)

548

(460

)

1,486

Adjusted EBITDA

$

7,559

$

11,312

$

29,421

$

31,001

1

As of September 30, 2025, includes legal and advisory fees related to among other things, ongoing litigation related to shareholder class action and derivative actions, and as of September 30, 2024, includes legal and advisory fees related to the SEC enforcement matter and SEC settlement. See Note 5, “Commitments and Contingencies” to the condensed consolidated financial statements included in our Quarterly Report on Form 10-Q for the period ended September 30, 2025 filed with the SEC for additional information

2

Represents severance charges included in general and administrative expense in the condensed consolidated statement of operations, related to certain reduction in force actions taken by our management. These reduction in force actions are designed to enhance operational efficiency and align resources with strategic priorities in its corporate technology and marketing divisions.

3

Represents loss contingency related to the shortfall under the AWS minimum commitment obligation. See Note 5, “Commitments and Contingencies” to the condensed consolidated financial statements included in our Quarterly Report on Form 10-Q for the period ended September 30, 2025 filed with the SEC for additional information