Quantum Corporation reported Q3 FY2025 revenue of $72.6 million, a slight increase of 1% from $71.9 million in Q3 FY2024. Product revenue grew 4% to $38.6 million, while service and subscription revenue declined 4% to $31.6 million. Gross margin improved to 43.8% from 40.6% year-over-year, driven by a more favorable product mix and operational efficiencies.The company continued its cost optimization initiatives, with operating expenses remaining flat at $35.6 million despite increased restructuring charges. Sales and marketing expenses decreased 13% to $12.4 million, while research and development costs declined 12% to $7.7 million. However, general and administrative expenses rose 19% to $14.1 million due to higher compliance-related costs.Quantum faces significant liquidity challenges, expecting to violate its net leverage covenant by Q1 FY2026. The company entered into a Standby Equity Purchase Agreement in January 2025, providing access to up to $200 million in potential equity funding. Management is actively pursuing additional funding options and implementing operational improvements to address the going concern issues.

Quantum Corporation reported Q3 FY2025 revenue of $72.6 million, a slight increase of 1% from $71.9 million in Q3 FY2024. Product revenue grew 4% to $38.6 million, while service and subscription revenue declined 4% to $31.6 million. Gross margin improved to 43.8% from 40.6% year-over-year, driven by a more favorable product mix and operational efficiencies.The company continued its cost optimization initiatives, with operating expenses remaining flat at $35.6 million despite increased restructuring charges. Sales and marketing expenses decreased 13% to $12.4 million, while research and development costs declined 12% to $7.7 million. However, general and administrative expenses rose 19% to $14.1 million due to higher compliance-related costs.Quantum faces significant liquidity challenges, expecting to violate its net leverage covenant by Q1 FY2026. The company entered into a Standby Equity Purchase Agreement in January 2025, providing access to up to $200 million in potential equity funding. Management is actively pursuing additional funding options and implementing operational improvements to address the going concern issues.