Zoned Properties, Inc. (ZDPY)·Q2 2025 Earnings Summary

Executive Summary

• Q2 2025 delivered profitable results with GAAP revenue of $937,774 (+35% YoY), income from operations of $272,188 (+164% YoY), and net income of $26,326 versus a net loss in Q2 2024; sequentially, revenue declined ~4% and net income fell versus Q1 as operating expenses rose .
• Operating cash flow remained positive; Q2 2025 CFO was $239,158 (+>100% YoY per investor deck) and H1 2025 CFO reached $569,790 (+131% YoY), underscoring cash generative operations despite industry headwinds .
• Management emphasized shareholder value realization via continued execution and the share repurchase program (170,687 shares in treasury) and highlighted strategic expansion of its REZONE AI PropTech platform as a growth vector .
• No formal quantitative guidance or Wall Street consensus estimates were available; near‑term stock catalysts hinge on portfolio growth, PropTech commercialization milestones, and liquidity from the buyback program .

What Went Well and What Went Wrong

What Went Well

• Double‑digit growth and profitability: Revenue +35% YoY to $937,774; income from operations +164% YoY to $272,188; net income turned positive to $26,326 .
• Strong cash generation: Q2 operating cash flow of $239,158 and H1 operating cash flow of $569,790 (+131% YoY) support continued investment and shareholder returns .
• Strategic focus and shareholder orientation: “We must identify solutions for how shareholders can benefit directly from the Company’s growth and value creation… This is the primary objective for our leadership team.” — Bryan McLaren, CEO .

What Went Wrong

• Sequential softness vs Q1: Revenue fell from $974,552 to $937,774, operating expenses rose from $545,781 to $665,586, compressing operating income and net income QoQ .
• Limited external coverage and absence of guidance: No Wall Street consensus estimates or formal numerical guidance provided, constraining visibility for investors .
• Continued opex pressure YoY: Operating expenses increased 13% YoY to $665,586, partially offsetting revenue growth and limiting EPS (reported $0.00 fully diluted in Q2) .

Financial Results

Segment breakdown (where disclosed):

KPIs:

Guidance Changes

Note: No formal quantitative guidance was provided in the Q2 2025 press release or 8‑K Reg FD materials .

Earnings Call Themes & Trends

Note: A Q2 2025 earnings call video exists, but a transcript was not found; themes are derived from press releases and investor materials .

Management Commentary

• “Zoned Properties has delivered another strong quarter of financial results with positive net income, double‑digit revenue growth, and positive cash flow from operations… I believe the value we are creating has yet to be realized by the market. As such, it is imperative that we identify solutions for how shareholders can benefit directly from the Company’s growth and value creation.” — Bryan McLaren, CEO .
• Investor presentation reinforced a tech‑driven growth model: first‑mover advantage in regulated real estate, proprietary PropTech streamlining site selection and compliance, and AI‑powered REZONE enabling faster, de‑risked expansion .

Q&A Highlights

• No official Q2 2025 call transcript was available; therefore, no verified Q&A content could be extracted. If a transcript becomes available, we will update guidance clarifications and tone assessment .

Estimates Context

• Wall Street consensus estimates via S&P Global were not available for Q2 2025 (no data returned). As a result, we cannot quantify beats/misses versus consensus for revenue, EPS, or EBITDA. Values retrieved from S&P Global.*

*Values retrieved from S&P Global.

Where estimates may need to adjust: With ongoing profitability and positive operating cash flow, any initiation of coverage would likely incorporate a more constructive operating cash generation trajectory and PropTech monetization potential; however, sequential softness and opex variability should temper near‑term expectations .

Key Takeaways for Investors

• Despite industry pressures, Zoned Properties maintains profitability and positive operating cash flow, indicating resilient unit economics and prudent cost controls .
• Sequential declines in revenue and net income vs Q1 reflect higher operating expenses; watch for opex normalization and services mix to re‑accelerate operating income .
• Share repurchase program execution (170,687 shares in treasury) can provide incremental support to per‑share metrics and trading liquidity in an OTC context .
• REZONE PropTech and standardized investment processes are strategic differentiators; commercialization progress and customer adoption could be meaningful stock catalysts .
• Absence of formal guidance and consensus estimates increases volatility around prints; investors should focus on cash flow, lease occupancy, and pipeline conversion as core performance indicators .
• Near‑term trading: Expect sentiment to hinge on updates to M&A pipeline, PropTech monetization news, and continued buyback activity; medium‑term thesis depends on scaling DTC dispensary assets and recurring services revenue .