Overview

* OneSpan ( OSPN ) Q3 revenue grows 1% yr/yr but misses analysts' expectations

* Adjusted EPS for Q3 beats analyst expectations

* Company repurchased 450,000 shares for $6.3 mln

Outlook

* OneSpan ( OSPN ) lowers full-year 2025 revenue to between $239 mln-$241 mln from $245 mln-$251 mln

* Company cuts 2025 ARR guidance to between $183 mln-$187 mln from $186 mln-$192 mln

* OneSpan ( OSPN ) forecasts 2025 adjusted EBITDA between $72 mln and $76 mln

Result Drivers

* SUBSCRIPTION GROWTH - Subscription revenue increased 12% yr/yr to $37.8 mln, driving overall revenue growth

* ACQUISITION IMPACT - Financial results include contributions from Nok Nok Labs acquisition, completed in June 2025

* OPERATING COSTS - Operating income decreased 27% yr/yr due to higher operating costs

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q3 Miss $57.06 $58.18

Revenue mln mln (5

Analysts

)

Q3 Beat $0.33 $0.28 (5

Adjusted Analysts

EPS )

Q3 Beat $12.89 $11.36

Adjusted mln mln (4

Net Analysts

Income )

Q3 Beat $17.54 $14.91

Adjusted mln mln (5

EBITDA Analysts

)

Q3 $180.27

Annual mln

Recurrin

g

Revenue

Q3 Gross $42 mln

Profit

Q3 $8.19

Operatin mln

g Income

Q3 $37.80

Subscrip mln

tion

Revenue

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 3 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"

* The average consensus recommendation for the software peer group is "buy"

* Wall Street's median 12-month price target for OneSpan Inc ( OSPN ) is $20.00, about 24.2% above its October 29 closing price of $15.16

Press Release:

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)