GigaMedia Announces Third-Quarter 2025 Financial Results

Rhea-AI Summary

GigaMedia (NASDAQ: GIGM) reported unaudited results for 3Q25: revenues $0.92M, gross profit $0.46M, operating loss $1.00M and net loss $0.97M. Revenue rose 5.5% QoQ and 19.1% YoY; gross profit rose 23.1% YoY but declined 4.0% QoQ. EBITDA was a negative $1.37M. Cash and restricted cash totaled $29.4M at September 30, 2025, down 5.8% QoQ and 16.8% YoY. Management reiterated focus on product development, marketing, and selective M&A while cautioning on macro and industry risks.

Positive

• Revenue +19.1% year-over-year to $0.92M
• Revenue +5.5% quarter-on-quarter
• Gross profit +23.1% year-over-year to $0.46M
• Cash balance of $29.4M as of Sep 30, 2025

Negative

• Net loss of $0.97M in 3Q25 versus net income $0.84M in 2Q25
• Operating loss of $1.00M in 3Q25
• EBITDA negative $1.37M
• Cash declined 5.8% QoQ and 16.8% YoY

Insights

Financial Results Analyst

Mixed quarter: revenue growth but recurring operating losses keep results negative.

GigaMedia reported third-quarter revenue of $0.92 million, up 5.5% sequentially and 19.1% year‑over‑year, driven by marketing execution, while gross profit rose year‑over‑year to $0.46 million.

Despite revenue gains, the company recorded an operating loss of $1.00 million and a net loss of $0.97 million, with EBITDA shown as a large negative $(1.371) million. These items indicate operating costs and non‑cash adjustments still outweigh top‑line improvement.

Watch near term changes to operating leverage and quarterly EBITDA trends over the next 2–4 quarters. Key monitorables: sequential revenue growth, margin recovery, and whether operating losses shrink toward breakeven.

Cash & Liquidity Analyst

Cash position remains sizable but is declining; liquidity appears adequate for now.

Cash, cash equivalents and restricted cash totaled $29.4 million at quarter end, down 5.8% sequentially and 16.8% year‑over‑year, equivalent to about $2.66 per share on the stated basis.

The balance provides a runway buffer while losses persist, but the cash decline plus continued negative EBITDA mean liquidity use should be tracked closely. Monitor cash trend and any disclosures about financing or cost reductions over the next 3–6 months.

TAIPEI, Oct. 30, 2025 /PRNewswire/ -- GigaMedia Limited (NASDAQ: GIGM) today announced its third-quarter 2025 unaudited financial results.

Comments from Management

In the third quarter of 2025, GigaMedia reported revenues of $0.92 million, with a gross profit of $0.46 million, an operating loss of $1.00 million and the net loss of $0.97 million.

The total revenues increased by 5.5% from $0.87 million last quarter, and increased 19.1% year-over-year from $0.77 million the same quarter last year, mainly due to effectively executed marketing strategies.

In the following quarter, we will be dedicating ourselves to developing products and services to address customers' needs and preferences more closely.

Third Quarter Overview

• Revenues increased by 5.5% quarter-on-quarter to approximately $0.92 million from $0.87 million last quarter.
  
  
• Consolidated loss from operations for the third quarter of 2025 amounted to $1.00 million, slightly increased from a loss of $0.92 million last quarter.
  
  
• The net asset value was around $3.51 per share.

Unaudited Consolidated Financial Results

GigaMedia Limited is a diversified provider of digital entertainment services. GigaMedia's digital entertainment service business FunTown develops and operates a suite of digital entertainments in Taiwan and Hong Kong, with focus on mobile games and casual games.

Unaudited consolidated results of GigaMedia are summarized in the table below.

For the Third Quarter

GIGAMEDIA 3Q25 UNAUDITED CONSOLIDATED FINANCIAL RESULTS
(unaudited, all figures in US$ thousands, except per share amounts)		3Q25				2Q25				Change (%)				3Q25				3Q24				Change (%)
Revenues			916				868				5.5	%			916				769				19.1	%
Gross Profit			458				477				(4.0)	%			458				372				23.1	%
Loss from Operations			(998)				(918)			NM					(998)				(1,008)			NM
Net Income (Loss) Attributable to GigaMedia			(971)				844			NM					(971)				(320)			NM
Earnings (Loss) Per Share Attributable to GigaMedia, Diluted			(0.09)				0.08			NM					(0.09)				(0.03)			NM
EBITDA (A)			(1,371)				423			NM					(1,371)				(810)			NM
Cash, Cash Equivalents and Restricted Cash			29,386				31,186				(5.8)	%			29,386				35,328				(16.8)	%

NM= Not Meaningful

^(A)       EBITDA (earnings before interest, taxes, depreciation, and amortization) is provided as a supplement to results provided in accordance with U.S. generally accepted accounting principles ("GAAP"). (See, "Use of Non-GAAP Measures," for more details.) 

• Consolidated revenues for the third quarter of 2025 were $0.92 million, representing an increase of 5.5% compared to $0.87 million in the prior quarter, and 19.1% year-over-year from $0.77 million the same quarter last year.
  
  
• Consolidated gross profit decreased by 4.0% quarter-on-quarter to $0.46 million from $0.48 million last quarter, but increased by 23.1% year-over-year from $0.37 million in the third quarter last year.
  
  
• Consolidated loss from operation of the third quarter of 2025 was $1.00 million, representing a slight increase in loss from $0.92 million from last quarter.
  
  
• Consolidated net loss of the third quarter of 2025 was $0.97 million compared to net income of $0.84 million in last quarter.
  
  
• Cash, cash equivalents and restricted cash at the end of the third quarter of 2025 was $29.4 million.

Financial Position

GigaMedia maintained its solid financial position, with cash, cash equivalents and restricted cash amounting to $29.4 million as of September 30, 2025, or $2.66 per share.

Business Outlook

The following forward-looking statements reflect GigaMedia's expectations as of October 30, 2025. Given potential changes in economic conditions and consumer spending, the evolving nature of online games, and various other risk factors, including those discussed in the Company's 2024 Annual Report on Form 20-F filed with the U.S. Securities and Exchange Commission as referenced below, actual results may differ materially.

"For the following quarter, GigaMedia will continue the strategies of internally-driven growth by improving productivity of the existing games, executing effective marketing, and pursuing a steady expansion of customer base," stated GigaMedia CEO James Huang.

In the meantime, we will continue reviewing suitable prospects for strategic investment and acquisition targets to increase corporate growth and maximize shareholder value.

Use of Non-GAAP Measures

To supplement GigaMedia's consolidated financial statements presented in accordance with US GAAP, the Company uses the following measure defined as non-GAAP by the SEC: EBITDA. Management believes that EBITDA (earnings before interest, taxes, depreciation, and amortization) is a useful supplemental measure of performance because it excludes certain non-cash items such as depreciation and amortization and that EBITDA is a measure of performance used by some investors, equity analysts and others to make informed investment decisions. EBITDA is not a recognized earnings measure under GAAP and does not have a standardized meaning. Non-GAAP measures such as EBITDA should be considered in addition to results prepared in accordance with GAAP, but should not be considered a substitute for, or superior to, other financial measures prepared in accordance with GAAP. A limitation of using EBITDA is that it does not include all items that impact the company's net income for the period. Reconciliations to the GAAP equivalents of the non-GAAP financial measures are provided on the attached unaudited financial statements.

About the Numbers in This Release

Quarterly results

All quarterly results referred to in the text, tables and attachments to this release are unaudited. The financial statements from which the financial results reported in this press release are derived have been prepared in accordance with U.S. GAAP, unless otherwise noted as "non-GAAP," and are presented in U.S. dollars.

Q&A

For Q&A regarding the third quarter 2025 performance upon the release, investors may send the questions via email to IR@gigamedia.com.tw, and the responses will be replied individually.

About GigaMedia

Headquartered in Taipei, Taiwan, GigaMedia Limited (Singapore registration number: 199905474H) is a diversified provider of digital entertainment services in Taiwan and Hong Kong. GigaMedia's digital entertainment service business is an innovative leader in Asia with growing capabilities of development, distribution and operation of digital entertainments, as well as platform services for games with a focus on mobile games and casual games. More information on GigaMedia can be obtained from www.gigamedia.com.tw.

The statements included above and elsewhere in this press release that are not historical in nature are "forward-looking statements" within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements include statements regarding expected financial performance (as described without limitation in the "Business Outlook" section and in quotations from management in this press release) and GigaMedia's strategic and operational plans. These statements are based on management's current expectations and are subject to risks and uncertainties and changes in circumstances. There are important factors that could cause actual results to differ materially from those anticipated in the forward looking statements, including but not limited to, our ability to license, develop or acquire additional online games that are appealing to users, our ability to retain existing online game players and attract new players, and our ability to launch online games in a timely manner and pursuant to our anticipated schedule. Further information on risks or other factors that could cause results to differ is detailed in GigaMedia's Annual Report on Form 20-F filed in April 2025 and its other filings with the United States Securities and Exchange Commission.

GIGAMEDIA LIMITED
CONSOLIDATED STATEMENTS OF OPERATIONS

		Three months ended												Nine months ended
		9/30/2025				6/30/2025				9/30/2024				9/30/2025				9/30/2024
(in US$ thousands)		unaudited				unaudited				unaudited				unaudited				unaudited
Operating revenues
Digital entertainment service revenues			916				868				769				2,642				2,214
			916				868				769				2,642				2,214
Operating costs
Cost of digital entertainment service revenues			458				391				397				1,248				1,137
			458				391				397				1,248				1,137
Gross profit			458				477				372				1,394				1,077
Operating expenses
Product development and engineering expenses			165				157				170				518				530
Selling and marketing expenses			413				360				375				1,166				1,101
General and administrative expenses			878				877				835				2,595				2,615
Other			—				1				—				1				1
			1,456				1,395				1,380				4,280				4,247
Loss from operations			(998)				(918)				(1,008)				(2,886)				(3,170)
Non-operating income (expense)
Interest income			420				436				504				1,279				1,492
Foreign exchange gain (loss) - net			(381)				1,330				182				816				(180)
Changes in the fair value of an instrument recognized at fair value			2				(9)				(6)				(4)				7
Other-net			(14)				5				8				(9)				18
			27				1,762				688				2,082				1,337
Income (loss) from continuing operations before income taxes			(971)				844				(320)				(804)				(1,833)
Income tax expense			—				—				—				—				—
Net income (loss) attributable to shareholders of GigaMedia			(971)				844				(320)				(804)				(1,833)
Earnings (loss) per share attributable to GigaMedia:
Basic			(0.09)				0.08				(0.03)				(0.07)				(0.17)
Diluted			(0.09)				0.08				(0.03)				(0.07)				(0.17)
Weighted average shares outstanding:
Basic			11,052				11,052				11,052				11,052				11,052
Diluted			11,052				11,052				11,052				11,052				11,052

 

GIGAMEDIA LIMITED
CONSOLIDATED BALANCE SHEETS

		9/30/2025				6/30/2025				9/30/2024
(in US$ thousands)		unaudited				unaudited				unaudited
Assets
Current assets
Cash and cash equivalents			29,073				30,873				35,015
Accounts receivable - net			140				167				157
Prepaid expenses			148				235				123
Restricted cash			313				313				313
Other receivables			241				259				392
Other current assets			142				140				144
Total current assets			30,057				31,987				36,144
Investment in securities - noncurrent			9,620				8,120				6,840
Property, plant & equipment - net			97				98				102
Intangible assets - net			2				4				5
Prepaid licensing and royalty fees			56				86				179
Other assets			1,401				1,403				1,244
Total assets			41,233				41,698				44,514
Liabilities and equity
Accounts payable			44				30				27
Accrued compensation			419				314				350
Accrued expenses			873				702				912
Unearned revenue			570				614				608
Other current liabilities			323				332				691
Total current liabilities			2,229				1,992				2,588
Other liabilities			182				286				154
Total liabilities			2,411				2,278				2,742
Total equity			38,822				39,420				41,772
Total liabilities and equity			41,233				41,698				44,514

 

GIGAMEDIA LIMITED
RECONCILIATIONS OF NON-GAAP RESULTS OF OPERATIONS

		Three months ended												Nine months ended
		9/30/2025				6/30/2025				9/30/2024				9/30/2025				9/30/2024
(In US$ thousands)		unaudited				unaudited				unaudited				unaudited				unaudited
Reconciliation of Net Income (Loss) to EBITDA
Net income (loss) attributable to GigaMedia			(971)				844				(320)				(804)				(1,833)
Depreciation			18				13				12				44				36
Amortization			2				2				2				7				7
Interest income			(420)				(436)				(504)				(1,279)				(1,492)
Interest expense			—				—				—				—				—
Income tax expense			—				—				—				—				—
EBITDA			(1,371)				423				(810)				(2,032)				(3,282)

 

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SOURCE GigaMedia

FAQ

What were GIGM third-quarter 2025 revenues and growth rates?

GigaMedia reported $0.92M in 3Q25 revenue, up 5.5% QoQ and 19.1% YoY.

How much did GIGM lose in 3Q25 and how did that compare to 2Q25?

GigaMedia recorded a $0.97M net loss in 3Q25 versus net income of $0.84M in 2Q25.

What was GIGM's cash position at September 30, 2025?

Cash, cash equivalents and restricted cash totaled $29.4M, or about $2.66 per share.

What happened to GIGM's EBITDA in 3Q25?

EBITDA was negative $1.37M for the third quarter of 2025.

How did GIGM's gross profit change in 3Q25?

Gross profit was $0.46M, down 4.0% QoQ but up 23.1% YoY.

What guidance or strategic actions did GIGM announce after 3Q25?

Management plans to prioritize product development, marketing, customer expansion, and to review strategic investment and acquisition opportunities.