Research Solutions Reports Second Quarter Fiscal Year 2026 Results

Rhea-AI Summary

Research Solutions (NASDAQ: RSSS) reported fiscal Q2 2026 results for the quarter ended December 31, 2025: ARR rose 14% to $21.8M, platform revenue increased 14% to $5.2M, and total gross margin improved 350 bps to 52.4%. The company posted net income of $547,000 and Adjusted EBITDA of $1.3M (up 36%).

The quarter included 47 net new deployments, strong B2B ARR organic growth, and a decline in transactions revenue to $6.6M that has not yet been fully offset by platform gains.

Positive

• ARR +14% to $21.8M
• Net income of $546,920 vs. prior-year loss
• Adjusted EBITDA +36% to $1.3M
• Platform revenue +14% to $5.2M and gross margin +350 bps to 52.4%
• 47 net new deployments in the quarter; best organic B2B Q2 ARR growth of $560,482

Negative

• Transaction revenue -10.2% to $6.6M
• Transaction active customers declined to 1,321 from 1,384 (prior-year quarter)

Key Figures

Total ARR: $21.8M Net income: $547,000 Adjusted EBITDA: $1.3M +5 more

8 metrics

Total ARR $21.8M Fiscal Q2 2026; up 14% year-over-year

Net income $547,000 Fiscal Q2 2026; $0.02 per diluted share

Adjusted EBITDA $1.3M Fiscal Q2 2026; 36% year-over-year growth

Total revenue $11.8M Fiscal Q2 2026; down from $11.9M prior-year quarter

Gross margin 52.4% Fiscal Q2 2026; improved 350 basis points year-over-year

Platform revenue $5.2M Fiscal Q2 2026; 14% year-over-year increase

Transactions revenue $6.6M Fiscal Q2 2026; down from $7.3M in fiscal Q2 2025

B2B ARR $15.3M End of fiscal Q2 2026; best organic Q2 B2B ARR growth

Market Reality Check

Price: $2.50 Vol: Volume 70,649 is modestly...

normal vol

$2.50 Last Close

Volume Volume 70,649 is modestly above the 20-day average of 60,072, indicating slightly elevated trading interest ahead of the results. normal

Technical Shares at $2.51 are trading below the 200-day MA of $2.99 and about 39% under the 52-week high of $4.12.

Peers on Argus

RSSS was down 0.79% with slightly elevated volume. Peers showed mixed moves: ILL...

RSSS was down 0.79% with slightly elevated volume. Peers showed mixed moves: ILLR rose 58.81%, while IDN, LPSN, PSQH, and RDZN declined between about 3–7%, suggesting company-specific trading rather than a unified sector move.

Previous Earnings Reports

5 past events · Latest: Nov 13 (Positive)

Same Type Pattern 5 events

Date	Event	Sentiment	Move	Catalyst
Nov 13	Quarterly earnings	Positive	+1.3%	Q1 FY26 results with higher ARR, margins, and positive net income.
Sep 18	Annual results	Positive	+6.2%	FY25 results with strong platform growth, record ARR and EBITDA.
Aug 19	Prelim earnings	Positive	-1.1%	Preliminary Q4/FY25 results showing ARR and platform revenue growth.
May 08	Quarterly earnings	Positive	+9.6%	Q3 FY25 with higher revenue, ARR, margins, and record EBITDA.
Feb 13	Quarterly earnings	Positive	-7.4%	Q2 FY25 with strong growth but a net loss from earnout charge.

Pattern Detected

Earnings releases have generally been received positively, but there is a mixed pattern, with three positive and two negative next-day reactions.

Recent Company History

Over the past year, earnings updates for Research Solutions have highlighted steady SaaS and AI-driven platform expansion, rising ARR, and improving profitability. Prior reports showed record ARR around $20.4–20.9M, platform revenue growth, and increasing gross margins, with net income and Adjusted EBITDA turning consistently positive. Price reactions to these earnings have been mixed, with both strong gains (up to 9.61%) and notable declines (down to -7.42%). Today’s fiscal Q2 2026 results continue the focus on ARR, margin expansion, and profitability within that established trajectory.

Historical Comparison

+1.7% avg move · Across the last five earnings-related releases, RSSS showed an average next-day move of 1.73%, with ...

earnings

+1.7%

Average Historical Move earnings

Across the last five earnings-related releases, RSSS showed an average next-day move of 1.73%, with reactions ranging from -7.42% to +9.61%, indicating varied responses to similar updates.

Earnings releases over the last year trace a steady progression: ARR increased from about $19.1M to records near $20.9M, platform revenue and mix expanded, and profitability shifted from losses to consistent net income and record Adjusted EBITDA, reinforcing the SaaS and AI transition.

Market Pulse Summary

This announcement highlights solid fiscal Q2 2026 execution: ARR reached $21.8M, gross margin improv...

Analysis

This announcement highlights solid fiscal Q2 2026 execution: ARR reached $21.8M, gross margin improved to 52.4%, and net income was $547,000 with Adjusted EBITDA of $1.3M. Platform revenue continued to grow while transactions revenue declined, underscoring the ongoing business mix shift. Historically, earnings updates have emphasized ARR growth, margin expansion, and cash generation. Investors may watch future quarters for consistency in ARR growth, stability in transactions revenue, and further progress in platform penetration and profitability.

Key Terms

annual recurring revenue ("arr"), adjusted ebitda, basis points, stock-based compensation, +1 more

5 terms

annual recurring revenue ("arr") financial

"Annual Recurring Revenue ("ARR") up 14% to $21.8 million..."

Annual recurring revenue (ARR) is the predictable amount of money a company expects to earn each year from ongoing customer subscriptions or contracts. It helps businesses see how steady their income will be over time, much like knowing how much money you can count on receiving regularly from a subscription service.

adjusted ebitda financial

"Adjusted EBITDA increased 36% to $1.3 million."

Adjusted EBITDA is a way companies measure how much money they make from their core operations, like running a business, by removing certain costs or income that aren’t part of regular business activities. It helps investors see how well a company is doing without distractions from unusual expenses or gains, making it easier to compare companies or track performance over time.

basis points financial

"Total gross margin improved 350 basis points to 52.4%."

Basis points are a way to measure small changes in interest rates or percentages, where one basis point equals 0.01%. For example, if a loan's interest rate increases by 50 basis points, it's gone up by 0.50%. They help people understand tiny differences in rates that can add up over time, making financial comparisons clearer.

stock-based compensation financial

"The decrease was primarily related to reduced general and administrative and stock-based compensation expenses..."

Stock-based compensation is when a company pays employees, directors or consultants with shares or the right to buy shares instead of or in addition to cash. It matters to investors because issuing stock or options spreads ownership thinner (like cutting a pie into more slices), which can reduce each existing share’s claim on profits and can also change reported earnings; investors watch it to assess true cost of running the business and how management is incentivized.

non-gaap financial

"Use of Non-GAAP Measure – Adjusted EBITDA"

Non-GAAP refers to financial measures that companies use to show their earnings or performance without including certain expenses or income that are often added back to give a different picture. It matters because it can make a company's results look better or more favorable, but it may also hide important costs, so investors need to look at both GAAP (official rules) and non-GAAP numbers to get a full understanding.

AI-generated analysis. Not financial advice.

Reports 14% Increase in ARR to $21.8 Million, Net Income of $547,000 and 36% Year-over-Year Growth in Adjusted EBITDA

HENDERSON, Nev., Feb. 12, 2026 /PRNewswire/ -- Research Solutions, Inc. (NASDAQ: RSSS), the leading AI-powered research workflow platform, reported financial results for its fiscal second quarter ended December 31, 2025.

Fiscal Second Quarter 2026 Summary (compared to prior-year quarter)

• Annual Recurring Revenue ("ARR") up 14% to $21.8 million, which includes approximately $15.3 million of B2B ARR and $6.4 million of B2C ARR.
• Forty-seven net new deployments in the quarter reflect one of our best results and sustained momentum in new B2B customer acquisition.
• Net income of $547,000, or $0.02 per diluted share, compared to net loss of $2.0 million or ($0.07) per share.
• Adjusted EBITDA increased 36% to $1.3 million. On a trailing twelve-month ("TTM") basis, the Company has now generated Adjusted EBITDA of $5.8 million or 11.8% of revenue for the same period.
• Net B2B ARR growth of $560,000 represents the best organic second quarter performance in Company history.
• Gross profit up 6% to $6.2 million. Total gross margin improved 350 basis points to 52.4%.
• Platform revenue up 14% to $5.2 million. Platform revenue accounted for 44% of total revenue as compared to 39% in the prior-year quarter.
• Total revenue was $11.8 million compared to $11.9 million in the prior year, as strong B2B revenue growth has not yet fully offset softness in transactions revenue.

"Our second quarter results reflect strong growth within our B2B Platforms business through forty-seven net new deployments in the quarter and Platforms continues to represent a larger portion of our total revenue mix. In addition, the average sales price for our Platform increased more than six percent year-over-year as we signed larger deals and as existing customers adopt more of our SaaS and AI solutions," said Roy W. Olivier, President and CEO of Research Solutions. "Our business continues to generate strong operating cash flow and Adjusted EBITDA, allowing us to reinvest in sales and marketing to accelerate growth while maintaining financial flexibility. We continue to manage the business with a long-term focus to drive value for our shareholders."

Fiscal Second Quarter 2026 Results

Total revenue was $11.8 million, compared to $11.9 million in the year-ago quarter. Platform revenue growth was offset by a decline in transactions revenue.

Platform subscription revenue for the quarter was $5.2 million, a 14% year-over-year increase from the prior-year period. The increase was primarily due to organic growth in the core B2B platform, due to a mix of new logo generation as well as upsells and cross-selling into existing customers. The quarter ended with annual recurring revenue of $21.8 million, up 14% year-over-year (see the Company's definition of annual recurring revenue below).

Transaction revenue was $6.6 million, compared to $7.3 million in the second quarter of fiscal 2025. The decrease was due to the impact of a known customer that churned earlier and a few larger customers that saw significant declines in volume. The transaction active customer count for the quarter was 1,321, compared to 1,384 customers in the prior-year quarter (see the Company's definition of active customer accounts and transactions below).

Total gross margin improved 350 basis points from the prior-year quarter to 52.4%. The increase was primarily driven by the continued revenue mix shift to the higher-margin Platforms business, including the expansion of the gross margin for that business.

Total operating expenses were $5.4 million, compared to $5.7 million in the second quarter of fiscal 2025. The decrease was primarily related to reduced general and administrative and stock-based compensation expenses offset in part by increased sales and marketing expenses. 

Net income in the fiscal second quarter was $547,000, or $0.02 per diluted share, compared to a net loss of $2 million, or ($0.07) per share, in the prior-year quarter. Adjusted EBITDA was $1.3 million, compared to $963,000 in the year-ago quarter (see definition and further discussion about the presentation of Adjusted EBITDA, a non-GAAP term, below).

Conference Call
Management will host the conference call, followed by a question-and-answer period.

Date: Thursday, February 12, 2026
Time: 5:00 p.m. ET (2:00 p.m. PT)
Dial-in number: 1-203-518-9708
Conference ID: RESEARCH

The conference call will be broadcast live and available for replay until March 12, 2026 by dialing 1-412-317-6671 and using the replay ID 11160799, and via the investor relations section of the Company's website at http://researchsolutions.investorroom.com/.

Fiscal Second Quarter Financial and Operational Summary Tables vs. Prior-Year Quarter

			Quarter Ended December 31,					Six Months Ended December 31,
			2025	2024	Change	% Change		2025	2024	Change	% Change
	Revenue:
		Platforms	$     5,224,845	$     4,601,257	$      623,588	13.6 %		$   10,345,685	$     8,930,902	$     1,414,783	15.8 %
		Transactions	6,567,806	7,312,962	(745,156)	-10.2 %		13,759,151	15,027,799	(1,268,648)	-8.4 %
	Total Revenue		11,792,651	11,914,219	(121,568)	-1.0 %		24,104,836	23,958,701	146,135	0.6 %
	Gross Profit:
		Platforms	4,602,184	3,981,415	620,769	15.6 %		9,112,649	7,763,893	1,348,756	17.4 %
		Transactions	1,574,766	1,839,678	(264,912)	-14.4 %		3,289,599	3,823,076	(533,477)	-14.0 %
	Total Gross Profit		6,176,950	5,821,093	355,857	6.1 %		12,402,248	11,586,969	815,279	7.0 %
	Gross profit as a % of revenue:
		Platforms	88.1 %	86.5 %	1.6 %			88.1 %	86.9 %	1.1 %
		Transactions	24.0 %	25.2 %	-1.2 %			23.9 %	25.4 %	-1.5 %
	Total Gross Profit		52.4 %	48.9 %	3.5 %			51.5 %	48.4 %	3.1 %
	Operating Expenses:
		Sales and marketing	1,648,597	1,343,087	305,510	22.7 %		3,315,422	2,533,494	781,928	30.9 %
		Technology and product development	1,602,421	1,506,849	95,572	6.3 %		3,012,572	2,879,607	132,965	4.6 %
		General and administrative	1,620,595	2,008,201	(387,606)	-19.3 %		3,295,954	3,938,377	(642,423)	-16.3 %
		Depreciation and amortization	316,425	306,233	10,192	3.3 %		632,491	618,328	14,163	2.3 %
		Stock-based compensation	213,449	534,322	(320,873)	-60.1 %		425,931	952,311	(526,380)	-55.3 %
		Foreign currency translation loss (gain)	36,112	29,554	6,558	22.2 %		18,856	(74,686)	93,542	-125.2 %
	Total Operating Expenses		5,437,599	5,728,246	(290,647)	-5.1 %		10,701,226	10,847,431	(146,205)	-1.3 %
	Income from operations		739,351	92,847	646,504	696.3 %		1,701,022	739,538	961,484	-130.0 %
	Other expense:
		Other expense	(183,572)	(2,057,887)	1,874,315	-91.1 %		(374,625)	(1,989,362)	1,614,737	-81.2 %
		Provision for income taxes	(8,859)	(15,194)	6,335	-41.7 %		(30,090)	(61,406)	31,316	-51.0 %
	Total Other Expense:		(192,431)	(2,073,081)	1,880,650	-90.7 %		(404,715)	(2,050,768)	1,646,053	-80.3 %
	Net income (loss)		$        546,920	$    (1,980,234)	2,527,154	-127.6 %		$     1,296,307	$    (1,311,230)	2,607,537	-198.9 %
	Adjusted EBITDA		$     1,305,337	$        962,956	$      342,381	35.6 %		$     2,778,300	$     2,235,491	$        542,809	24.3 %
			Quarter Ended December 31,					Six Months Ended December 31,
			2025	2024	Change	% Change		2025	2024	Change	% Change
	Platforms:
		B2B ARR (Annual recurring revenue*):
		Beginning of Period	$   14,758,472	$   12,187,834	$   2,570,637	21.1 %		$   14,197,598	$   12,060,201	$     2,137,397	17.7 %
		Incremental ARR	560,482	550,422	10,060	1.8 %		1,121,356	678,055	443,301	65.4 %
		End of Period	$   15,318,954	$   12,738,256	$   2,580,697	20.3 %		$   15,318,954	$   12,738,256	$     2,580,698	20.3 %
		Deployments:
		Beginning of Period	1,185	1,029	156	15.2 %		1,171	1,021	150	14.7 %
		Incremental Deployments	47	61	(14)	-23.0 %		61	69	(8)	-11.6 %
		End of Period	1,232	1,090	142	13.0 %		1,232	1,090	142	13.0 %
		ASP (Average sales price):
		Beginning of Period	$          12,454	$          11,844	$             610	5.2 %		$          12,124	$          11,812	$               312	2.6 %
		End of Period	$          12,434	$          11,686	$             748	6.4 %		$          12,434	$          11,686	$               748	6.4 %
		B2C ARR (Annual recurring revenue*):
		Beginning of Period	$     6,535,197	$     5,430,795	$   1,104,402	20.3 %		$     6,721,356	$     5,363,129	$     1,358,227	25.3 %
		Incremental ARR	(93,781)	940,586	(1,034,367)	-110.0 %		(279,940)	1,008,252	(1,288,192)	-127.8 %
		End of Period	$     6,441,416	$     6,371,381	$        70,035	1.1 %		$     6,441,416	$     6,371,381	$          70,035	1.1 %
		Total ARR (Annualized recurring revenue):	$   21,760,370	$   19,109,637	$   2,650,732	13.9 %		$   21,760,370	$   19,109,637	$     2,650,733	13.9 %
	Transaction Customers:
		Corporate customers	1,326	1,051	275	26.2 %		1,200	1,063	137	12.9 %
		Academic customers	324	333	(9)	-2.7 %		320	325	(5)	-1.5 %
		Total customers	1,650	1,384	266	19.2 %		1,520	1,388	132	9.5 %

	*	Annual Recurring Revenue (Non-GAAP Measure) - the value of contracted platform subscription recurring revenue normalized to a one year period.
		For B2C, this includes the annualized value of monthly subscriptions, meaning their monthly value multiplied by 12.

Active Customer Accounts, Transactions and Annual Recurring Revenue

The Company defines active customer accounts as the sum of the total quantity of customers per month for each month in the period divided by the respective number of months in the period. The quantity of customers per month is defined as customers with at least one transaction during the month.

A transaction is an order for a unit of copyrighted content fulfilled or managed in the Platform.

The Company defines annual recurring revenue ("ARR") as the value of contracted Platform subscription recurring revenue normalized to a one-year period. For B2C ARR, this includes the annualized value of monthly subscriptions, meaning their monthly value multiplied by twelve.

Use of Non-GAAP Measure – Adjusted EBITDA

Research Solutions' management evaluates and makes operating decisions using various financial metrics. In addition to the Company's GAAP results, management also considers the non-GAAP measure of Adjusted EBITDA. Management believes that this non-GAAP measure provides useful information about the Company's operating results.

The tables below provide a reconciliation of this non-GAAP financial measure with the most directly comparable GAAP financial measure. Adjusted EBITDA is defined as net income (loss), plus interest expense, other expense, foreign currency transaction (gain) loss, provision for income taxes, depreciation and amortization, stock-based compensation, and other potential adjustments that may arise. Set forth below is a reconciliation of Adjusted EBITDA to net income (loss):

			Quarter Ended December 31,					Six Months Ended December 31,
			2025	2024	Change	% Change		2025	2024	Change	% Change
	Net Income (loss)		$        546,920	$    (1,980,234)	$   2,527,154	-127.6 %		$     1,296,307	$    (1,311,230)	$     2,607,537	-198.9 %
	Add (deduct):									-
		Other expense	183,572	2,057,887	(1,874,315)	-91.1 %		374,625	1,989,362	(1,614,737)	-81.2 %
		Foreign currency translation loss (gain)	36,112	29,554	6,558	22.2 %		18,856	(74,686)	93,542	-125.2 %
		Provision for income taxes	8,859	15,194	(6,335)	-41.7 %		30,090	61,406	(31,316)	-51.0 %
		Depreciation and amortization	316,425	306,233	10,192	3.3 %		632,491	618,328	14,163	2.3 %
		Stock-based compensation	213,449	534,322	(320,873)	-60.1 %		425,931	952,311	(526,380)	-55.3 %
	Adjusted EBITDA		$     1,305,337	$        962,956	$      342,381	35.6 %		$     2,778,300	$     2,235,491	$        542,809	-24.3 %

About Research Solutions
Research Solutions, Inc. (NASDAQ: RSSS) is a vertical SaaS and AI Company that simplifies research workflow for academic institutions, life science companies, and research organizations worldwide. As one of the only publisher-independent marketplaces for scientific, technical, and medical (STM) content, the Company uniquely combines AI-powered tools—including an intelligent research assistant and full-text search capabilities—with seamless access to both open access and paywalled research. The platform enables organizations to discover, access, manage and analyze scientific literature more efficiently, accelerating the pace of scientific discovery. For more information and details, please visit www.researchsolutions.com 

Important Cautions Regarding Forward-Looking Statements
Certain statements in this press release may contain "forward-looking statements" regarding future events and our future results. All statements other than statements of historical facts are statements that could be deemed to be forward-looking statements. These statements are based on current expectations, estimates, forecasts, and projections about the markets in which we operate and the beliefs and assumptions of our management. Words such as "expects," "anticipates," "targets," "goals," "projects", "intends," "plans," "believes," "seeks," "estimates," "endeavors," "strives," "may," or variations of such words, and similar expressions are intended to identify such forward-looking statements. Readers are cautioned that these forward-looking statements are subject to a number of risks, uncertainties and assumptions that are difficult to predict, estimate or verify. Therefore, actual results may differ materially and adversely from those expressed in any forward-looking statements. Such risks and uncertainties include those factors described in the Company's most recent annual report on Form 10-K, as such may be amended or supplemented by subsequent quarterly reports on Form 10-Q, or other reports filed with the Securities and Exchange Commission. Examples of forward-looking statements in this release include statements regarding enhanced product offerings, additional customers, creating long-term value for shareholders and the Company's prospects for growth. Readers are cautioned not to place undue reliance on these forward-looking statements. The forward-looking statements are made only as of the date hereof, and the Company undertakes no obligation to officially release the result of any revisions to these forward-looking statements. For more information, please refer to the Company's filings with the Securities and Exchange Commission. 

Research Solutions, Inc. and Subsidiaries Condensed Consolidated Balance Sheets (Unaudited)
		December 31,			June 30,
		2025			2025
Assets
Current assets:
Cash and cash equivalents		$	12,262,780		$	12,227,312
Accounts receivable, net of allowance of $79,869 and $182,324, respectively			5,661,171			7,191,234
Prepaid expenses and other current assets			708,075			580,257
Prepaid royalties			42,155			925
Total current assets			18,674,181			19,999,728
Non-current assets:
Property and equipment, net of accumulated depreciation of $992,832 and $964,883, respectively			65,236			60,769
Intangible assets, net of accumulated amortization of $3,347,683 and $2,736,773, respectively			9,130,484			9,686,241
Goodwill			16,372,979			16,372,979
Deposits and other assets			1,000			957
Total assets		$	44,243,880		$	46,120,674
Liabilities and Stockholders' Equity
Current liabilities:
Accounts payable and accrued expenses		$	6,397,476		$	7,443,757
Deferred revenue			9,916,853			10,702,120
Contingent earnout liability, current portion			7,295,596			7,363,152
Total current liabilities			23,609,925			25,509,029
Non-current liabilities:
Contingent earnout liability, long-term portion			3,405,356			6,683,488
Total liabilities			27,015,281			32,192,517
Commitments and contingencies
Stockholders' equity:
Preferred stock; $0.001 par value; 20,000,000 shares authorized; no shares issued and outstanding			—			—
Common stock; $0.001 par value; 100,000,000 shares authorized; 32,875,476 and 32,479,993 shares issued and outstanding, respectively			32,875			32,480
Additional paid-in capital			41,056,472			39,059,557
Accumulated deficit			(23,747,387)			(25,043,693)
Accumulated other comprehensive loss			(113,361)			(120,187)
Total stockholders' equity			17,228,599			13,928,157
Total liabilities and stockholders' equity		$	44,243,880		$	46,120,674

 

Research Solutions, Inc. and Subsidiaries Condensed Consolidated Statements of Operations and Other Comprehensive Income (Loss) (Unaudited)
		Three Months Ended						Six Months Ended
		December 31,						December 31,
		2025			2024			2025			2024
Revenue:
Platforms		$	5,224,845		$	4,601,257		$	10,345,685		$	8,930,902
Transactions			6,567,806			7,312,962			13,759,151			15,027,799
Total revenue			11,792,651			11,914,219			24,104,836			23,958,701
Cost of revenue:
Platforms			622,661			619,842			1,233,036			1,167,009
Transactions			4,993,040			5,473,284			10,469,552			11,204,723
Total cost of revenue			5,615,701			6,093,126			11,702,588			12,371,732
Gross profit			6,176,950			5,821,093			12,402,248			11,586,969
Operating expenses:
Selling, general and administrative			5,121,175			5,422,013			10,068,736			10,229,103
Depreciation and amortization			316,425			306,233			632,491			618,328
Total operating expenses			5,437,600			5,728,246			10,701,227			10,847,431
Income from operations			739,350			92,847			1,701,021			739,538
Other income			95,065			348,999			221,978			417,524
Change in fair value of contingent earnout liability			(278,637)			(2,406,886)			(596,603)			(2,406,886)
Income (loss) before provision for income taxes			555,778			(1,965,040)			1,326,396			(1,249,824)
Provision for income taxes			(8,859)			(15,194)			(30,090)			(61,406)
Net income (loss)			546,919			(1,980,234)			1,296,306			(1,311,230)
Other comprehensive income (loss):
Foreign currency translation			5,859			2,637			6,826			(3,531)
Comprehensive income (loss)		$	552,778		$	(1,977,597)		$	1,303,132		$	(1,314,761)
Basic income (loss) per common share:
Net income (loss) per share		$	0.02		$	(0.07)		$	0.04		$	(0.04)
Weighted average common shares outstanding			31,634,575			30,421,808			31,434,725			30,384,339
Diluted income (loss) per common share:
Net income (loss) per share		$	0.02		$	(0.07)		$	0.04		$	(0.04)
Weighted average common shares outstanding			32,333,657			30,421,808			32,113,408			30,384,339

 

Research Solutions, Inc. and Subsidiaries Condensed Consolidated Statements of Cash Flows (Unaudited)
		Six Months Ended
		December 31,
		2025			2024
Cash flow from operating activities:
Net income (loss)		$	1,296,306		$	(1,311,230)
Adjustment to reconcile net income (loss) to net cash provided by operating activities:
Depreciation and amortization			632,491			618,328
Stock options expense			149,262			88,045
Restricted common stock expense			276,669			864,266
Adjustment to contingent earnout liability			596,603			2,406,886
Changes in operating assets and liabilities:
Accounts receivable			1,530,063			(266,255)
Prepaid expenses and other current assets			(127,818)			(98,613)
Prepaid royalties			(41,230)			478,169
Accounts payable and accrued expenses			(1,035,903)			(737,670)
Deferred revenue			(785,267)			(170,433)
Net cash provided by operating activities			2,491,176			1,871,493
Cash flow from investing activities:
Purchase of property and equipment			(24,561)			(5,404)
Net cash used in investing activities			(24,561)			(5,404)
Cash flow from financing activities:
Proceeds from the exercise of stock options			157,500			—
Common stock repurchases			(39,549)			(205,278)
Payment of contingent acquisition consideration - Scite and FIZ			(2,554,394)			(62,560)
Net cash used in financing activities			(2,436,443)			(267,838)
Effect of exchange rate changes			5,296			2,873
Net increase in cash and cash equivalents			35,468			1,601,124
Cash and cash equivalents, beginning of period			12,227,312			6,100,031
Cash and cash equivalents, end of period		$	12,262,780		$	7,701,155
Supplemental disclosures of cash flow information:
Cash paid for income taxes		$	30,090		$	61,406
Non-cash investing and financing activities:
Contingent consideration accrual on asset acquisition		$	20,981		$	30,198
Common stock issued for Scite earnout payment		$	1,453,428		$	—

 

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SOURCE Research Solutions, Inc.

FAQ

What were Research Solutions (RSSS) Q2 2026 headline financials on February 12, 2026?

Research Solutions reported ARR $21.8M, net income $547k, and Adjusted EBITDA $1.3M for Q2 2026. According to the company, platform revenue rose 14% to $5.2M while transactions revenue declined to $6.6M.

How did Research Solutions (RSSS) ARR change in fiscal Q2 2026?

ARR increased 14% to $21.8 million year-over-year in Q2 2026. According to the company, this includes approximately $15.3M of B2B ARR and $6.4M of B2C ARR.

What drove Research Solutions (RSSS) platform revenue growth in Q2 2026?

Platform revenue grew 14% to $5.2M, driven by new B2B logos, upsells, and cross-sells. According to the company, average sales price rose over 6% year-over-year as larger deals and AI adoption expanded.

Why did Research Solutions (RSSS) report a net income in Q2 2026 after a prior-year loss?

Net income was $547,000 in Q2 2026 versus a prior-year loss of $2.0M, helped by higher platform margins and lower other expense. According to the company, operating improvements and revenue mix drove the turnaround.

What weakness did Research Solutions (RSSS) report in Q2 2026 that investors should note?

Transactions revenue fell 10.2% to $6.6M and transaction active customers decreased to 1,321. According to the company, declines from a churned customer and lower volumes at some large buyers drove the weakness.

How many new deployments did Research Solutions (RSSS) add in fiscal Q2 2026 and why it matters?

The company added 47 net new deployments in Q2 2026, reflecting sustained B2B momentum. According to the company, these deployments support higher recurring platform ARR and expanded average sales price.