Harte Hanks reported a mixed third quarter with declining revenue and net loss, primarily due to timing and program transitions. However, the company highlighted strong pipeline replenishment, a new partnership with Samsung, and continued cost improvements, suggesting a focus on strategic realignment and future growth.
Customer Care segment remains profitable and well-positioned with expanding opportunities and new programs in development.
positiveFulfillment & Logistics Services segment remains resilient, supported by ongoing operational efficiencies, disciplined pricing strategies, and a pipeline of new and expanding customer opportunities.
positiveCredit facility amended to extend maturity to June 30, 2028, and add an accordion feature for up to $10 million in increased capacity.
positiveCompany has no outstanding debt and $24 million available under its credit facility, indicating strong liquidity.
positiveRevenue declined to $39.5 million in Q3 2025 from $47.6 million in Q3 2024, reflecting timing and program transitions across legacy customer contracts.
negativeNet loss of $2.3 million ($0.31 per diluted share) in Q3 2025 compared to a net income of $0.1 million ($0.02 per diluted share) in Q3 2024.
negativeCustomer Care segment revenue declined 11.6% year-over-year to $11.6 million from $13.1 million in Q3 2024.
negativeMarketing Services segment revenue declined 33.4% year-over-year to $8.8 million from $13.3 million in Q3 2024, affected by industry-wide marketing budget discipline.
negativeFulfillment & Logistics Services segment revenue decreased 10.2% year-over-year to $19.1 million from $21.3 million in Q3 2024.
negativeEBITDA decreased to $1.7 million in Q3 2025 from $2.9 million in Q3 2024, and Adjusted EBITDA decreased to $2.4 million from $4.1 million.
negativeMargin expansion indicates improving profitability and operational efficiency. Measured in basis points (bps): 100 bps = 1.0%.
| Segment | Current | Prior Yr | YoY | % Total |
|---|---|---|---|---|
Marketing Services | N/A | — | — | — |
Customer Care | N/A | — | — | — |
Fulfillment & Logistics Services | N/A | — | — | — |
| Total Revenue | $0.00M | — | — | 100.0% |
Segment performance shows business unit health and growth drivers.
Special items are non-recurring events that may distort period-over-period comparisons. Analysts typically adjust for these when calculating normalized earnings.
Encouraged by the momentum of our Customer Care segment, where the opening of our new Greenville, South Carolina facility with Samsung Electronics America marks a significant step forward in replenishing our pipeline with blue-chip, scalable programs.
This engagement exemplifies the higher-value partnerships we’re targeting combining technology-enabled service delivery with a ‘more human’ approach to customer experience.
With additional late-stage opportunities nearing conversion, we expect these wins to contribute to sequential improvement in Q4 and beyond.
Commentary excerpts from earnings call transcripts provide management's perspective on performance, strategy, and outlook. Always review full transcripts for complete context.
Operational metrics provide insight into business drivers and customer engagement beyond traditional financial measures.