SurgePays, Inc. Q3 FY2025 earnings call

• Third quarter was an inflection point with execution across multichannel growth platform yielding strong growth. • Torch Wireless under Lifeline program has over 125,000 subscribers and growing, still below current capacity with many sales channels yet to be opened. • LinkUp Mobile prepaid offering saw significant growth with over 95,000 recurring active subscribers driven by expanded retail distribution, targeted marketing, and competitive pricing. • Clearline announced strategic partnership with CorePay to integrate marketing platform into payment processing solution, creating new recurring revenue streams. • Launched new growth marketing and data partnerships division, transforming DigitizeIQ platform into intake engine for underserved subprime consumer marketing and data collection to generate high-margin recurring revenue.

Third quarter 2025 revenue totaled approximately $18.7 million, an increase of 292% year over year and over 62% sequentially. Revenue growth was driven by Torch Wireless under the Lifeline program, which saw revenue increase from virtually zero in 2024 to $5.6 million in 2025. Point of sale and prepaid services revenue also increased significantly year over year to $13.1 million, a 177% increase. MVNE platform Hero is a growing revenue engine with a robust pipeline. Clearline SaaS point of sale has strategic partnerships and is active in 17 market basket convenience store locations.

• Management provides revenue guidance of $225 million for 2026. • Expect continued growth with other revenue streams scaling quickly in 2026, including point of sale and prepaid services, MVNE platform, etc.

Q: What are you hearing from convenience store owners regarding receptivity to new products?

A: Feedback is positive as store owners are looking for ways to make extra money, and our platform offers benefits like commissions on activations, payment processing, and offering services like free wireless with SNAP EBT cards creating win-win-win situations.

Q: Will consolidation of major convenience store brands impact your business?

A: No, as we focus on building relationships with individual store owners who have autonomy in decision-making, and our integrated business model creates trust and openness to our offerings.