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Bitcoin Depot Inc. (BTM)·Q2 2025 Earnings Summary

Executive Summary

  • Bitcoin Depot delivered a solid Q2: revenue rose 6% year over year to $172.1M and 5% sequentially, gross margin expanded ~360 bps to 17.9%, and net income nearly tripled to $12.3M .
  • Adjusted EBITDA increased 46% to $18.5M with a 10.8% margin; management underscored operating leverage from kiosk optimization and disciplined OpEx control .
  • Versus S&P Global consensus, BTM posted a broad-based beat: Revenue $172.1M vs $168.0M*, EPS $0.16 vs $0.14*, and EBITDA $17.6M vs $16.3M*; sequentially, gross margin dipped from Q1 due to normal seasonality, but remained well above last year’s level .
  • Outlook: Q3 2025 revenue growth targeted at high-single digits y/y and Adjusted EBITDA up 20–30% y/y; catalysts include sustained kiosk maturation, international expansion (Australia ramp), and structural tailwinds from Up‑C elimination (effective cash tax rate reduced ~12%) .

Values retrieved from S&P Global for consensus figures marked with an asterisk (*).

What Went Well and What Went Wrong

  • What Went Well

    • Strong profitability and leverage: “Adjusted EBITDA was up 46% to $18.5 million… operating leverage… kiosk expansion, higher transaction volumes, and disciplined cost management.”
    • Structural simplification and tax improvement: “We … eliminated the Up‑C corporate structure… reduced our effective cash tax rate by roughly 12%.”
    • Compliance and growth foundations: “Appointed Philip Brown as Chief Compliance Officer… actively engaged with regulators… strong compliance infrastructure… KYC/AML a competitive advantage.”

  • What Went Wrong

    • Seasonality tempered sequential margins: Management expects gross margin percentage to “hold steady or decline slightly” into year-end due to normal seasonality after a typically strong Q2 .
    • California headwinds persist: Fleet reduced by ~80% since legislation; under 200 kiosks remain, with capped spreads and limited visibility on legislative relief .
    • Profit share program pause: Expansion of profit-share franchise arrangements inflated GAAP debt; management does not anticipate further expansion, limiting that funding lever near term .

Financial Results

Overall P&L and margins (chronological left→right)

MetricQ2 2024Q1 2025Q2 2025
Revenue ($M)163.1 164.2 172.1
Gross Profit ($M)23.4 31.2 30.9
Gross Margin (%)14.3% 19.0% 17.9%
Adjusted EBITDA ($M)12.7 20.3 18.5
Adjusted EBITDA Margin (%)7.8% 12.4% 10.8%
Net Income ($M)4.4 12.2 12.3
EPS (basic & diluted) ($)(0.13) 0.20 0.16

Q2 2025 vs S&P Global consensus

MetricQ2 2025 ActualQ2 2025 Consensus
Revenue ($M)172.1 168.0*
Primary EPS ($)0.16 0.14*
EBITDA ($M)17.6 (S&P actual) / 18.5 Adjusted EBITDA (company) 16.3*

Notes: Company reports Adjusted EBITDA $18.5M. S&P Global’s EBITDA actual/consensus may reflect a different definition than company Adjusted EBITDA. Values retrieved from S&P Global for consensus figures marked with an asterisk (*).

KPIs and balance sheet (chronological left→right)

KPIQ4 2024Q1 2025Q2 2025
Active Kiosks (approx)8,457 8,483 ~9,000
Kiosk Locations (Press)—8,400+ (as of Feb 25) 8,800+ (as of June)
Median Transaction Size ($)—300 300
Total Transaction Volume ($M)—163.8 172.1
Kiosks in Inventory (units)—~2,000 (commentary) 1,700
Cash + Crypto ($M)31.0 43.3 59.6
BTC Held (Investment)94 BTC (recently increased; FY context) 94.35 BTC 100.35 BTC
Cash from Operations$22.5M FY24 $16.25M Q1’25 $26.4M 1H’25 (YTD)
Debt ($M)60.9 60.0 69.7 (incl. profit-share)

Segment breakdown: Not disclosed; company reports as a single operating segment in earnings materials.

Guidance Changes

MetricPeriodPrevious GuidanceCurrent GuidanceChange
Revenue growth (y/y)Q2 2025Low-to-mid-single digits y/y (issued May 15, 2025) Actual +6% y/y Beat prior guide
Revenue growth (y/y)Q3 2025—High-single digits y/y New
Adjusted EBITDA growth (y/y)Q3 2025—+20% to +30% y/y New
Profit Share Program2H 2025Expanded in prior quarters Do not anticipate further expansion Halted
Effective Cash Tax RateOngoing—Up‑C eliminated; ~12% reduction in effective cash tax rate Structural tailwind

Earnings Call Themes & Trends

TopicPrevious Mentions (Q4’24, Q1’25)Current Period (Q2’25)Trend
Kiosk optimization & relocationsAggressive relocations; quick 4–5 month payback Rate generally steady; may slow slightly into fall Stable/slowing modestly
Seasonality (tax refund)Expect higher Q2 than Q1/Q4 Q3 step-down typical post tax season; margins hold or dip slightly Normal seasonal pattern
International expansionAustralia launch shipping 300+ kiosks; evaluating 2 more countries >200 deployed; ~330–340 in-country; holding count while ramping; evaluating 2 more countries Building; cautious pacing
Regulatory/compliancePro-crypto administration; state-by-state variability; lobbying New CCO appointed; active engagement with regulators; KYC/AML edge Strengthening
Capital allocationConsider debt paydown; potential dividends; limited CapEx $5M voluntary term loan paydown; more possible; ATM equity raised opportunistically Delever + optionality
CaliforniaMaterial 2024 impact; 80% reduction in kiosks <200 kiosks remain; potential share gains as others exit; capped spreads Stabilizing off smaller base
Profit-share financingExpanded in Q1’25 Not anticipating further expansion Pausing

Management Commentary

  • “Bitcoin Depot delivered another strong quarter, with 6% revenue growth and a 46% increase in Adjusted EBITDA to $18.5 million… significantly improved profitability… With nearly $60 million in cash and digital assets, we are well-positioned for growth.” — Brandon Mintz, CEO .
  • “We appointed Philip Brown as our new Chief Compliance Officer… Our strong compliance infrastructure including rigorous KYC and AML protocols continues to serve as a competitive advantage.” — Brandon Mintz .
  • “Gross margin… increased ~360 basis points to 17.9%… driven by revenue outperformance and pricing optimization. Total operating expenses declined 9%… due to lower depreciation, insurance and share-based compensation.” — David Gray, CFO .
  • “We currently do not anticipate further expansion of the profit share program going forward.” — David Gray .

Q&A Highlights

  • Fleet and deployment: ~1,700 kiosks in inventory; ~9,000 active; no 2025 purchases anticipated, focus on deploying inventory and maturation of new units .
  • Margin and seasonality: Gross margin likely to hold or dip slightly into year-end due to seasonality; historically Q2 is peak revenue quarter .
  • California: Sub‑200 kiosks remain; fleet rationalization may support better unit economics as competitors exit, despite capped spreads .
  • Capital structure/policy: $25M term loan remaining after $5M paydown; further accelerated payments under evaluation before year‑end, contingent on M&A opportunities .
  • International: Australia at 200+ deployed and ~330–340 in-country; management will pause adding more until current units mature; evaluating two additional countries .

Estimates Context

  • BTM beat S&P Global consensus on all three tracked items for Q2 2025: Revenue $172.1M vs $168.0M*, EPS $0.16 vs $0.14*, EBITDA $17.6M vs $16.3M* .
  • Street likely raises forward EBITDA and EPS on sustained cost control, pricing optimization, and mix uplift from maturing kiosks; management’s Q3 y/y growth targets anchor revisions .

Values retrieved from S&P Global for consensus figures marked with an asterisk (*).

Key Takeaways for Investors

  • Operational leverage is playing through: strong y/y EBITDA and margin expansion on modest top-line growth, supported by pricing and OpEx discipline .
  • Seasonality remains the main sequential headwind; management set Q3 expectations appropriately (high‑single‑digit revenue growth, +20–30% y/y Adjusted EBITDA) .
  • Capital allocation optionality improved: Up‑C removal lowers effective cash tax rate (~12% benefit), net cash from operations is robust (1H’25 $26.4M), and term loan prepayments continue .
  • International is a measured upside lever: Australia ramp underway with disciplined pacing; two new countries under evaluation .
  • Regulatory posture is a differentiator: Expanded compliance leadership and active engagement may support durable access and retailer relationships amid fragmented competition .
  • California exposure is now small; potential share gains as smaller operators exit could partially offset capped-spread constraints .
  • Near-term trading lens: Focus on sustained margin execution versus seasonal revenue normalization, monitoring kiosk maturation cohorts and the pace of inventory deployment for EBITDA trajectory .

Appendix: Additional Data

Non‑GAAP reconciliation context: Company provides detailed reconciliations and definitions for Adjusted EBITDA and Adjusted Gross Profit, and notes that forward-looking reconciliations are not provided due to variability and lack of access to certain components .

Cross-reference consistency: Press release and call align on revenue ($172.1M), gross margin (17.9%), Adjusted EBITDA ($18.5M), net income ($12.3M), and guidance framing for Q3; minor fleet framing differs by source (“over 8,800 kiosk locations” vs “~9,000 active machines”), reflecting approximate and timing differences .