08:49 AM EDT, 06/11/2025 (MT Newswires) -- Blackline Safety ( BLKLF ) , a global player in connected safety technology, trading shy of 52 week highs, on Wednesday said its net loss narrowed, albeit not by as much as expected in the second quarter, as total revenues increased, but also came in lower than forecast for the period. The company flagged "potential negative impacts on revenue and earnings" from tariffs.

Second-quarter net loss narrowed by 13% to $3.7 million, compared to a net loss of around $4.27 million in the year-ago quarter, reflecting higher gross profit and improved operational leverage, said the company.

Loss per common share basic and diluted was reported at $0.04 per share in the quarter, compared to a loss per common share basic and diluted of $0.06 per share last year. The FactSet forecast was for a loss of $0.03.

BLN's second-quarter total revenue rose to $35.9 million, up from around $31.6 million in the corresponding year-ago quarter. But the FactSet forecast was $37.7 million.

The company said that the revenue growth was driven by a 31% increase in service revenue to about $21.9 million, reflecting "robust demand for its connected software services," which increased 32% to $19.2 million, along with rentals, which grew 20% to $2.7 million.

It had record annual recurring revenue of $75.2 million, up 33% year-over-year.

On outlook, BLN said it remains "well-positioned to expand its business with its comprehensive suite of connected safety wearables and area monitors," as most of its products are United States-Mexico-Canada Agreement compliant and exempt from tariffs currently in place on goods shipped to the United States from Canada.

But the company added uncertainty surrounding tariffs "may slow the global investment environment and impose additional costs on the business, with potential negative impacts on revenue and earnings."