Quantum Corporation reported financial results for Q2 FY2025 ended September 30, 2024. Total revenue decreased 7% YoY to $70.5 million, with product revenue down 14% to $36.8 million. Service and subscription revenue increased 3% to $31.3 million. Gross profit declined to $29.3 million from $32.7 million a year ago, with gross margin contracting to 41.5% from 43.3%.The company reported a net loss of $13.5 million, compared to a $3.3 million loss in Q2 FY2024. The wider loss was primarily due to lower revenue, increased interest expense, and a $2.3 million loss on debt extinguishment. Operating expenses decreased slightly to $36.2 million from $36.4 million last year, with reductions in sales and marketing offset by higher general and administrative costs.Quantum noted longer sales cycles for enterprise and commercial customers amid the uncertain macroeconomic environment. The company continues to transition towards subscription-based offerings, which is impacting product revenue in the near-term. Management is focused on improving operational efficiency and leveraging channel partnerships to navigate the challenging market conditions.

Quantum Corporation reported financial results for Q2 FY2025 ended September 30, 2024. Total revenue decreased 7% YoY to $70.5 million, with product revenue down 14% to $36.8 million. Service and subscription revenue increased 3% to $31.3 million. Gross profit declined to $29.3 million from $32.7 million a year ago, with gross margin contracting to 41.5% from 43.3%.The company reported a net loss of $13.5 million, compared to a $3.3 million loss in Q2 FY2024. The wider loss was primarily due to lower revenue, increased interest expense, and a $2.3 million loss on debt extinguishment. Operating expenses decreased slightly to $36.2 million from $36.4 million last year, with reductions in sales and marketing offset by higher general and administrative costs.Quantum noted longer sales cycles for enterprise and commercial customers amid the uncertain macroeconomic environment. The company continues to transition towards subscription-based offerings, which is impacting product revenue in the near-term. Management is focused on improving operational efficiency and leveraging channel partnerships to navigate the challenging market conditions.