Research Solutions, Inc. reported significant financial improvements for the three months ended September 30, 2024, compared to the same period in 2023. Total revenue reached $12.0 million, marking a 19.7% increase from $10.1 million in the prior year. This growth was driven primarily by a substantial rise in platforms revenue, which surged 66.5% to $4.3 million from $2.6 million. Gross profit also saw a notable increase of 43.0%, rising to $5.8 million from $4.0 million.

The company achieved a turnaround in profitability, reporting net income of $669,004, a significant improvement from a net loss of $988,043 in the previous year. This change reflects a $1.7 million increase in net income, or 167.7%. The income from operations also turned positive, amounting to $646,691 compared to a loss of $1.1 million in the same quarter of 2023.

Operating expenses remained relatively stable, decreasing slightly by 0.2% to $5.1 million. However, sales and marketing expenses increased by 73.8% to $1.2 million, indicating a strategic push to enhance market presence. General and administrative expenses decreased by 24.1% to $1.9 million, contributing to the overall improvement in profitability.

Cash flow from operating activities turned positive, generating $843,119 compared to a cash outflow of $755,571 in the prior year. The company ended the quarter with cash and cash equivalents of $6.9 million, up from $9.9 million a year earlier.

Research Solutions has also been active in strategic acquisitions, having acquired Resolute Innovation, Inc. for approximately $4.7 million in July 2023 and Scite, Inc. for about $21.1 million in December 2023. These acquisitions are expected to enhance the company's offerings in the research software market.

As of September 30, 2024, total assets were reported at $41.4 million, while total liabilities decreased to $28.6 million, resulting in total stockholders' equity of $12.8 million, up from $11.7 million at the end of the previous quarter. The company continues to focus on expanding its cloud-based software platforms and enhancing its AI capabilities to support research-intensive organizations.