Brian Cox, President and CEO of SurgePays, stated, "2025 was a year where we demonstrated the scalability of our platform and repositioned the business for more disciplined growth. We delivered steady sequential revenue growth through the first three quarters, increasing from approximately $10.6 million in Q1 to $11.5 million in Q2, and reaching $18.7 million in Q3. That third quarter demonstrated how quickly we can scale when capital is deployed into subscriber growth."
Mr. Cox continued, "In Q3, we deployed capital into subscriber acquisition and saw a clear step-function increase in revenue. In Q4, we reduced that level of spend to prioritize capital efficiency. While revenue declined sequentially from Q3, it remained significantly higher than the fourth quarter of 2024. The key takeaway is that we have demonstrated both the ability to scale and discipline to manage that growth."
"Equally important, we materially improved our cost structure. Total general and administrative expenses declined to approximately $20.1 million in 2025 from $27.5 million in 2024. Q4 included items that are not indicative of our current operating run rate, including legal and certain non-cash expenses. Since year end, we have taken additional actions to reduce operating expenses. Based on those actions, we estimate our current monthly cash burn at the end of the first quarter of 2026 to be approximately $250,000 to $300,000."
Mr. Cox added, "Today, SurgePays is operating with multiple revenue channels, including government-subsidized wireless, LinkUp Mobile prepaid, wholesale MVNE relationships, and our point-of-sale fintech and data platforms. We are no longer dependent on a single program. With an established retail footprint of more than 9,000 locations, a customer acquisition engine through ProgramBenefits.com, and additional monetization initiatives such as our Managed Marketing Services platform, we are positioned to grow in a more controlled and capital efficient way."
Full Year 2025 Operational Highlights:
Repositioned the business following the conclusion of the Affordable Connectivity Program, expanding across multiple revenue channels, including wireless, wholesale, and fintech solutions.
Generated $13.5 million in MVNO revenue, representing approximately 24% of total revenue for the year.
Completed integration with the AT&T best-in-class network, strengthening network performance and service quality.
Launched LinkUp Mobile nationwide, expanding prepaid wireless offerings and contributing to growth in the Point-of-Sale and Prepaid Services segment, which generated approximately $43.5 million, or approximately 76% of total revenue.
Continued expansion of the Company's retail distribution network, supporting wireless activations and fintech transactions across more than 9,000 locations.
Advanced MVNE platform capabilities, supporting wholesale wireless enablement opportunities.
Launched ProgramBenefits.com, establishing a scalable digital channel for customer acquisition and monetization beyond wireless services.
Executed cost optimization initiatives, reducing general and administrative expenses by approximately 28% year over year.
Subsequent Operational Highlights:
LinkUp Mobile surpassed 100,000 subscriber lines, reflecting continued momentum in the Company's prepaid wireless business.
Expanded digital acquisition initiatives through ProgramBenefits.com.
Deployed the Company's Managed Marketing Services platform, enabling in-store digital advertising and introducing an additional monetization layer.
Initiated buy-one-get-one promotional campaign to drive subscriber growth and increase market penetration.
Entered into a strategic partnership with Alpha Modus to expand distribution of fintech and consumer engagement solutions.
Launched a fully integrated stored value and loyalty platform, enabling merchants to offer branded gift cards, store credit, and loyalty programs through the SurgePays point-of-sale system.
Full Year 2025 Financial Highlights:
Revenue totaled approximately $57.0 million, compared to $60.9 million in 2024, reflecting the expected impact from the conclusion of the Affordable Connectivity Program in mid-2024 and the Company's transition to a more diversified revenue model.
Gross loss improved to approximately $(10.6) million, compared to $(14.3) million in 2024.
Total general and administrative expenses declined to approximately $20.1 million, compared to $27.5 million in 2024.
Operating loss improved to approximately $(30.7) million, compared to $(41.8) million in 2024.
Fourth Quarter and Full Year 2025 Financial Results Conference CallDate: Tuesday, April 14, 2026Time: 5:00 p.m. ETDial-in Number: 1-888-506-0062Access Code: 395490Webcast: https://ir.surgepays.com/company-events
Replay of the webcast will be available for a one year period.
About SurgePays, Inc.SurgePays, Inc. (NASDAQ:SURG) is a wireless and fintech technology company focused on expanding access to essential mobile and financial services for subprime and underserved consumers. The Company operates a nationwide ecosystem that includes its own wireless brands and a proprietary point of sale platform inside thousands of retail locations. This infrastructure supports SIM activations, top-ups, financial transactions, and other digital services used daily by prepaid and underbanked customers.
SurgePays is building on this foundation by expanding into data driven marketing and digital partnerships that monetize verified consumer engagement and increase revenue per retail location. The Company's strategy is to build an integrated platform that serves as the operating system for independent retailers while creating recurring revenue streams across wireless, fintech, digital marketing, and stored value programs.
Visit www.SurgePays.com for more information.
SurgePays Cautionary Note Regarding Forward-Looking StatementsThis press release includes express or implied statements that are not historical facts and are considered forward-looking within the meaning of Section 27A of the Securities Act and Section 21E of the Securities Exchange Act. Forward-looking statements involve substantial risks and uncertainties and generally relate to future events or our future financial or operating performance. These statements may include projections, guidance, or other estimates regarding revenue, cash flow, business growth, market expansion, or customer acquisition, and statements regarding subscriber growth, distribution expansion, and operating scale.
In some cases, you can identify forward-looking statements by words such as "may," "will," "could," "would," "should," "expect," "intend," "plan," "anticipate," "believe," "estimate," "predict," "project," "potential," "continue," or similar terminology.
Although we believe the expectations reflected in these forward-looking statements are reasonable, they involve known and unknown risks and uncertainties that may cause actual results to differ materially from those described in the forward-looking statements. These risks include, but are not limited to, our ability to scale our prepaid wireless business, maintain retail distribution relationships, expand our merchant platform, and achieve anticipated subscriber growth.
Additional information regarding these and other risks can be found in our filings with the Securities and Exchange Commission, including our Annual Report on Form 10-K for the fiscal year ended December 31, 2024. The forward-looking statements in this press release speak only as of the date they are made, and the Company undertakes no obligation to update them except as required by law.
Investor Contact:Valter PintoManaging DirectorKCSA Strategic Communications212.896.1254[email protected]
SurgePays, Inc. and Subsidiaries
Consolidated Balance Sheets
December 31,2025
December 31, 2024
Assets
Current Assets
Cash and cash equivalents
$
1,731,400
$
11,790,389
Restricted cash - line of credit reserve
281,811
-
Restricted cash - held in escrow
-
1,000,000
Accounts receivable - net
4,045,162
3,000,209
Inventory
339,570
1,781,365
Prepaids and other
581,823
298,360
Total Current Assets
6,979,766
17,870,323
Property and equipment - net
403,517
591,088
Other Assets
Note receivable
-
176,851
Intangibles - net
819,153
1,472,962
Goodwill
-
3,300,000
Operating lease - right of use asset - net
313,410
564,781
Total Other Assets
1,132,563
5,514,594
Total Assets
$
8,515,846
$
23,976,005
Liabilities and Stockholders' Equity (Deficit)
Current Liabilities
Accounts payable and accrued expenses
$
10,219,011
$
3,929,195
Accounts payable and accrued expenses - related party
117,546
192,845
Operating lease liability
219,997
248,069
Notes payable
1,834,008
-
Note payable - related party
2,730,796
1,689,367
Convertible notes payable - net
3,068,878
-
Total Current Liabilities
18,190,236
6,059,476
Long Term Liabilities
Note payable - related party
-
1,866,288
Notes payable - SBA government
458,334
469,396
Operating lease liability
99,235
319,232
Convertible notes payable - net
5,170,860
-
Total Long Term Liabilities
5,728,429
2,654,916
Total Liabilities
23,918,665
8,714,392
