Stran & Company Reports 29.0% Increase in Sales to $26.0 Million for the Third Quarter of 2025
Achieves 56.7% Increase in Sales to $87.3 Million for the Nine Months Ended September 30, 2025
Continues Share Repurchase Activity and Ends Quarter with $11.8 Million Strong Cash Position
Conference Call Scheduled for Thursday, November 13th at 10:00 A.M. ET
QUINCY, Mass., Nov. 12, 2025 (GLOBE NEWSWIRE) — Stran & Company, Inc. (“Stran” or the “Company”) (NASDAQ: SWAG) (NASDAQ: SWAGW), a leading provider of outsourced marketing solutions specializing in promotional products and loyalty incentives, today announced its financial results for the three and nine months ended September 30, 2025, and provided a business update. Management will host a conference call at 10:00 a.m. Eastern Time on Thursday, November 13, 2025.
“The third quarter reflected another period of disciplined execution and consistent progress,” commented Andy Shape, Chief Executive Officer of Stran. “As a result, sales increased 29.0% year-over-year to $26.0 million, and for the first nine months of 2025, sales increased 56.7% to $87.3 million. These results demonstrate the scalability of our platform and the steady demand we continue to see from both new and long-standing customers.”
“Specifically, for the Stran segment, revenue grew to $60.3 million for the nine-month period, up from $52.2 million last year, reflecting higher spend from existing enterprise customers and new account wins. Stran Loyalty Solutions (“SLS”) revenue increased sharply to $26.9 million from $3.5 million for the nine months ended September 30, 2025 and 2024, respectively, highlighting the continued strength of the Gander Group acquisition completed in August 2024. That business has integrated smoothly and is now an important growth engine, expanding our presence in the casino, gaming, and hospitality sectors. Importantly, for the nine-month period, gross profit increased 49.3% to $25.4 million, net loss for the nine months ended September 30, 2025 was reduced by $2.6 million to $(1.0) million compared to the nine months ended September 30, 2024, while EBITDA for the nine months ended September 30, 2025 improved by $2.8 million to $(0.4) million compared to the nine months ended September 30, 2024 – reflecting our ability to reduce expenses and improve margins. We believe this trajectory confirms that our strategy is taking hold and that we are moving toward sustainable profitability.”
“During the quarter, we also repurchased approximately 267,000 shares of common stock at prices between $1.45 and $1.81 per share, for a total of $408,000, under our ongoing share repurchase program. We continue to view this as a disciplined and opportunistic use of capital that reflects our confidence in Stran’s long-term outlook. With a strong balance sheet of $11.8 million in cash, cash equivalents and investments, we remain well-positioned to fund growth initiatives, pursue strategic opportunities, and continue to opportunistically execute our share repurchase program, enhancing value for our shareholders.”
“We were also honored to be recognized by the Promotional Products Association International (PPAI) as one of the ‘Greatest Companies to Work For’ in 2025. At Stran, we believe that an engaged workforce directly translates into stronger execution, better client outcomes, and consistent financial performance. Being recognized by one of the industry’s leading associations validates that approach and reinforces that our people and culture are key competitive advantages. We’re proud of the environment we’ve created, one that encourages accountability, collaboration, and creativity, and we remain committed to investing in our team as we continue to scale.”
“As we move into our historically strongest quarter of the year, our focus remains consistent — deepening client relationships, improving operational efficiency through automation and data, and maintaining financial discipline as we strengthen our foundation for long-term growth. As we approach 2026, we intend to continue our momentum via continued organic growth as well as acquisitions. We’re executing with focus, managing the business responsibly, and positioning Stran to deliver sustainable value for years to come,” concluded Mr. Shape.
Financial Highlights for the Three Months ended September 30, 2025
- Sales increased $5.8 million, or 29.0%, to $26.0 million in the third quarter of 2025 compared to the prior year period driven by increased spending from new and existing customers along with the acquisition of the Gander Group assets in August 2024. Sales by our Stran segment increased 5.9%, or $1.0 million, to $17.6 million and sales of our SLS segment (which consists of the former Gander Group business) increased 139.0%, or $4.9 million, to $8.3 million.
- Gross profit increased $1.1 million, or 18.8%, to $7.1 million in the third quarter of 2025 compared to the prior year period. Gross profit margin decreased to 27.2% in the third quarter of 2025 from 29.5% in the prior year period, primarily due to the acquisition of the Gander Group business in August 2024, which operates at a lower gross margin than the Stran segment.
- Operating expenses increased $0.7 million, or 8.8%, to $8.9 million in the third quarter of 2025 compared to the prior year period. As a percentage of sales, operating expenses decreased to 34.1% in the third quarter of 2025 from 40.4% in the prior year period, primarily due to reduced legal and accounting expenses related to the acquisition of the Gander Group Assets and the re-audit of historical financial statements.
- Net loss was $1.2 million in the third quarter of 2025 compared to $2.0 million in the prior year period.
- EBITDA was $(1.1) million in the third quarter of 2025 compared to $(1.9) million in the prior year period.
Financial Highlights for the Nine Months ended September 30, 2025
- Sales increased $31.6 million, or 56.7%, to $87.3 million in the nine months ended September 30, 2025 compared to the prior year period driven by increased spending from new and existing customers along with the acquisition of the Gander Group Assets in August 2024. Sales by our Stran segment increased 15.7%, or $8.2 million, to $60.3 million and sales of our SLS segment (which consists of the former Gander Group business) increased 671.5%, or $23.4 million, to $26.9 million.
- Gross profit increased $8.4 million, or 49.3%, to $25.4 million in the nine months ended September 30, 2025 compared to the prior year period. Gross profit margin decreased to 29.1% in the third quarter of 2025 from 30.6% in the prior year period, primarily due to the acquisition of the Gander Group business in August 2024, which operates at a lower gross margin than the Stran segment.
- Operating expenses increased $6.4 million, or 30.3%, to $27.3 million in the nine months ended September 30, 2025 compared to the prior year period. As a percentage of sales, operating expenses decreased to 31.3% in the nine months ended September 30, 2025 from 37.7% in the prior year period, primarily due to reduced legal and accounting expenses related to the acquisition of the Gander Group assets and the re-audit of historical financial statements.
- Net loss was $1.0 million in the nine months ended September 30, 2025 compared to $3.6 million in the prior year period.
- EBITDA was $(0.4) million in the nine months ended September 30, 2025 compared to $(3.2) million in the prior year period.
Webcast and Conference Call
Management will host a webcast and conference call at 10:00 A.M. Eastern Time on Thursday, November 13, 2025, to discuss the Company’s financial results for the third quarter of 2025 ended September 30, 2025, as well as the Company’s corporate progress and other developments.
The conference call will be available via telephone by dialing toll free 877-545-0523 for U.S. callers or +1 973-528-0016 for international callers and using entry code: 823571. A webcast of the call may be accessed at https://www.webcaster5.com/Webcast/Page/2855/53186 or on the Company’s Investor Relations section of the Company’s website at ir.stran.com/news-events/ir-calendar.
A webcast replay will be available on the Investor Relations section of the Company’s website (ir.stran.com/news-events/ir-calendar) through November 13, 2026. A telephone replay of the call will be available approximately one hour following the call, through November 27, 2025, and can be accessed by dialing 877-481-4010 for U.S. callers or +1 919-882-2331 for international callers and entering conference ID: 53186.
About Stran
For over 30 years, Stran has grown to become a leader in the promotional products industry, specializing in complex marketing programs to help recognize the value of promotional products, branded merchandise, and loyalty incentive programs as a tool to drive awareness, build brands and impact sales. Stran is the chosen promotional programs manager of many Fortune 500 companies, across a variety of industries, to execute their promotional marketing, loyalty and incentive, sponsorship activation, recruitment, retention, and wellness campaigns. Stran provides world-class customer service and utilizes cutting-edge technology, including efficient ordering and logistics technology to provide order processing, warehousing and fulfillment functions. The Company’s mission is to develop long-term relationships with its clients, enabling them to connect with both their customers and employees in order to build lasting brand loyalty. Additional information about the Company is available at: www.stran.com.
Forward Looking Statements
This press release contains “forward-looking statements” that are subject to substantial risks and uncertainties. All statements, other than statements of historical fact, contained in this press release are forward-looking statements. Forward-looking statements contained in this press release may be identified by the use of words such as “anticipate,” “believe,” “contemplate,” “could,” “estimate,” “expect,” “intend,” “seek,” “may,” “might,” “plan,” “potential,” “predict,” “project,” “target,” “aim,” “should,” “will” “would,” or the negative of these words or other similar expressions, although not all forward-looking statements contain these words. Forward-looking statements include, but are not limited to, the Company’s expectations regarding synergies from its acquired businesses, its financial position and operating performance, its expectations regarding its business initiatives, the Company’s expectations about its operating performance, trends in its business, the effectiveness of its growth strategies, its market opportunities, and demand for its products and services in general. Forward-looking statements are based on the Company’s current expectations and are subject to inherent uncertainties, risks and assumptions that are difficult to predict. Further, certain forward-looking statements are based on assumptions as to future events that may not prove to be accurate. These and other risks and uncertainties are described more fully in the section titled “Risk Factors” in the Company’s periodic reports which are filed with the Securities and Exchange Commission. Forward-looking statements contained in this announcement are made as of this date, and the Company undertakes no duty to update such information except as required under applicable law.
Contacts:
Investor Relations Contact:
Crescendo Communications, LLC
Tel: (212) 671-1021
SWAG@crescendo-ir.com
Press Contact:
Howie Turkenkopf
press@stran.com
| CONSOLIDATED BALANCE SHEETS (in thousands, except share and per share amounts) | ||||||||
| September 30, 2025 | December 31, 2024 | |||||||
| (Unaudited) | ||||||||
| ASSETS | ||||||||
| CURRENT ASSETS: | ||||||||
| Cash and cash equivalents | $ | 6,697 | $ | 9,358 | ||||
| Investments | 5,058 | 8,856 | ||||||
| Accounts receivable, net | 16,626 | 18,092 | ||||||
| Accounts receivable – related parties, net | 402 | 573 | ||||||
| Inventory | 7,740 | 5,389 | ||||||
| Prepaid corporate taxes | 63 | 28 | ||||||
| Prepaid expenses | 2,163 | 2,308 | ||||||
| Deposits | 580 | 423 | ||||||
| Other current assets | 2 | 455 | ||||||
| Total current assets | 39,331 | 45,482 | ||||||
| Property and equipment, net | 1,952 | 1,701 | ||||||
| OTHER ASSETS: | ||||||||
| Intangible assets – customer lists, net | 3,812 | 4,170 | ||||||
| Intangible assets – trade name | 654 | 654 | ||||||
| Goodwill | 2,321 | 2,321 | ||||||
| Other assets | — | 23 | ||||||
| Right of use assets | 2,192 | 797 | ||||||
| Total other assets | 8,979 | 7,965 | ||||||
| Total assets | $ | 50,262 | $ | 55,148 | ||||
| LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||||
| CURRENT LIABILITIES: | ||||||||
| Accounts payable and accrued expenses | $ | 7,462 | $ | 8,919 | ||||
| Accrued payroll and related | 1,605 | 1,513 | ||||||
| Unearned revenue | 4,159 | 4,423 | ||||||
| Rewards program liability | 2,951 | 6,000 | ||||||
| Sales tax payable | 251 | 353 | ||||||
| Current portion of contingent earn-out liabilities | 105 | 256 | ||||||
| Current portion of installment payment liabilities | 170 | 365 | ||||||
| Current portion of lease liabilities | 615 | 366 | ||||||
| Total current liabilities | 17,318 | 22,195 | ||||||
| LONG-TERM LIABILITIES: | ||||||||
| Long-term contingent earn-out liabilities | 455 | 455 | ||||||
| Long-term installment payment liabilities | 400 | 425 | ||||||
| Long-term lease liabilities | 1,861 | 432 | ||||||
| Other liabilities | 32 | — | ||||||
| Total long-term liabilities | 2,748 | 1,312 | ||||||
| Total liabilities | 20,066 | 23,507 | ||||||
| Commitments and contingencies | ||||||||
| STOCKHOLDERS’ EQUITY: | ||||||||
| Preferred stock, $0.0001 par value; 50,000,000 shares authorized, 0 shares issued and outstanding as of September 30, 2025 and December 31, 2024, respectively | — | — | ||||||
| Common stock, $0.0001 par value; 300,000,000 shares authorized, 18,288,158 and 18,598,574 shares issued and outstanding as of September 30, 2025 and December 31, 2024, respectively | 2 | 2 | ||||||
| Additional paid-in capital | 37,902 | 38,391 | ||||||
| Accumulated deficit | (7,732 | ) | (6,742 | ) | ||||
| Accumulated other comprehensive income (loss) | 24 | (10 | ) | |||||
| Total stockholders’ equity | 30,196 | 31,641 | ||||||
| Total liabilities and stockholders’ equity | $ | 50,262 | $ | 55,148 | ||||
| CONSOLIDATED STATEMENTS OF OPERATIONS THREE AND NINE MONTHS ENDED SEPTEMBER 30, 2025 AND 2024 (in thousands, except share and per share amounts) (unaudited) | ||||||||||||||||
| For the Three Months Ended September 30, | For the Nine Months Ended September 30, | |||||||||||||||
| 2025 | 2024 | 2025 | 2024 | |||||||||||||
| SALES | ||||||||||||||||
| Sales | $ | 25,981 | $ | 19,730 | $ | 87,252 | $ | 55,204 | ||||||||
| Sales – related parties | — | 414 | — | 460 | ||||||||||||
| Total sales | 25,981 | 20,144 | 87,252 | 55,664 | ||||||||||||
| COST OF SALES: | ||||||||||||||||
| Cost of sales | 18,909 | 13,873 | 61,829 | 38,278 | ||||||||||||
| Cost of sales – related parties | — | 319 | — | 354 | ||||||||||||
| Total cost of sales | 18,909 | 14,192 | 61,829 | 38,632 | ||||||||||||
| GROSS PROFIT | 7,072 | 5,952 | 25,423 | 17,032 | ||||||||||||
| OPERATING EXPENSES: | ||||||||||||||||
| General and administrative expenses | 8,854 | 8,136 | 27,345 | 20,993 | ||||||||||||
| Total operating expenses | 8,854 | 8,136 | 27,345 | 20,993 | ||||||||||||
| LOSS FROM OPERATIONS | (1,782 | ) | (2,184 | ) | (1,922 | ) | (3,961 | ) | ||||||||
| OTHER INCOME: | ||||||||||||||||
| Other income (expense) | 304 | (22 | ) | 584 | (6 | ) | ||||||||||
| Interest income | 87 | 64 | 206 | 239 | ||||||||||||
| Realized gain on investments | 79 | 103 | 146 | 176 | ||||||||||||
| Total other income | 470 | 145 | 936 | 409 | ||||||||||||
| LOSS BEFORE INCOME TAXES | (1,312 | ) | (2,039 | ) | (986 | ) | (3,552 | ) | ||||||||
| (Benefit from) provision for income taxes | (72 | ) | (1 | ) | 4 | 2 | ||||||||||
| NET LOSS | $ | (1,240 | ) | $ | (2,038 | ) | $ | (990 | ) | $ | (3,554 | ) | ||||
| NET LOSS PER COMMON SHARE | ||||||||||||||||
| Basic and diluted | $ | (0.07 | ) | $ | (0.11 | ) | $ | (0.05 | ) | $ | (0.19 | ) | ||||
| WEIGHTED-AVERAGE COMMON SHARES OUTSTANDING | ||||||||||||||||
| Basic and diluted | 18,384,904 | 18,589,086 | 18,526,004 | 18,584,359 | ||||||||||||
| CONSOLIDATED STATEMENTS OF CASH FLOWS NINE MONTHS ENDED SEPTEMBER 30, 2025 AND 2024 (in thousands) (unaudited) | ||||||||
| 2025 | 2024 | |||||||
| CASH FLOWS FROM OPERATING ACTIVITIES: | ||||||||
| Net loss | $ | (990 | ) | $ | (3,554 | ) | ||
| Adjustments to reconcile net loss to net cash (used in) provided by operating activities: | ||||||||
| Depreciation and amortization | 808 | 574 | ||||||
| Noncash operating lease expense | 682 | 406 | ||||||
| Provision for credit losses | 536 | 100 | ||||||
| Noncash interest accretion | 35 | 84 | ||||||
| Stock-based compensation | 65 | 173 | ||||||
| Changes in operating assets and liabilities: | ||||||||
| Accounts receivable, net | 931 | 4,092 | ||||||
| Accounts receivable – related parties, net | 172 | (239 | ) | |||||
| Inventory | (2,352 | ) | 954 | |||||
| Prepaid corporate taxes | (34 | ) | 28 | |||||
| Prepaid expenses | 146 | 574 | ||||||
| Deposits | (157 | ) | 1,139 | |||||
| Other assets | 507 | (63 | ) | |||||
| Accounts payable and accrued expenses | (1,460 | ) | (2,888 | ) | ||||
| Accrued payroll and related | 92 | (1,267 | ) | |||||
| Unearned revenue | (264 | ) | (262 | ) | ||||
| Rewards program liability | (3,049 | ) | 2,125 | |||||
| Sales tax payable | (103 | ) | (158 | ) | ||||
| Operating lease liabilities | (399 | ) | (391 | ) | ||||
| Net cash (used in) provided by operating activities | (4,834 | ) | 1,427 | |||||
| CASH FLOWS FROM INVESTING ACTIVITIES: | ||||||||
| Business acquisitions, net of cash acquired | — | (1,469 | ) | |||||
| Additions to property and equipment | (700 | ) | (508 | ) | ||||
| Proceeds from sale of investments | 9,043 | 9,161 | ||||||
| Purchase of investments | (5,210 | ) | (5,668 | ) | ||||
| Net cash provided by investing activities | 3,133 | 1,516 | ||||||
| CASH FLOWS FROM FINANCING ACTIVITIES: | ||||||||
| Payment of contingent earn-out liabilities | (151 | ) | (68 | ) | ||||
| Payment of installment payment liabilities | (255 | ) | (798 | ) | ||||
| Payment of notes payable | — | (100 | ) | |||||
| Payment for stock repurchase | (554 | ) | — | |||||
| Net cash used in financing activities | (960 | ) | (966 | ) | ||||
| NET CHANGE IN CASH AND CASH EQUIVALENTS | (2,661 | ) | 1,977 | |||||
| CASH AND CASH EQUIVALENTS – BEGINNING | 9,358 | 8,059 | ||||||
| CASH AND CASH EQUIVALENTS – ENDING | $ | 6,697 | $ | 10,036 | ||||
Non-GAAP Financial Measures
EBITDA is a non-GAAP financial measure that the Company believes helps investors to compare its operating performance to that of other companies. “EBITDA” is defined as net income (loss) excluding interest income, income tax expense and depreciation and amortization expense. The Company believes EBITDA is an important measure of operating performance because it allows management, investors and others to evaluate and compare the Company’s core operating results from period to period by removing (i) the impact of the Company’s capital structure (interest expense from outstanding debt), (ii) tax consequences and (iii) asset base (depreciation and amortization). EBITDA is not a measure of financial performance under GAAP. EBITDA should not be considered in isolation or as an alternative to net income, cash flows from operating activities or any other measure determined in accordance with GAAP. The items excluded to calculate EBITDA are significant components in understanding and assessing the Company’s results of operations. The Company’s EBITDA may not be comparable to a similarly titled measure of another company because other entities may not calculate EBITDA in the same manner.
The following table presents the reconciliation of EBITDA to its most comparable GAAP measure, net loss, as reported (unaudited):
| RECONCILIATION OF NET LOSS TO EBITDA THREE AND NINE MONTHS ENDED SEPTEMBER 30, 2025 AND 2024 (in thousands) (unaudited) | ||||||||||||||||
| For the Three Months Ended September 30, | For the Nine Months Ended September 30, | |||||||||||||||
| 2025 | 2024 | 2025 | 2024 | |||||||||||||
| Net loss (GAAP) | $ | (1,240 | ) | $ | (2,038 | ) | $ | (990 | ) | $ | (3,554 | ) | ||||
| Interest income | (87 | ) | (64 | ) | (206 | ) | (239 | ) | ||||||||
| (Benefit from) provision for income taxes | (72 | ) | (1 | ) | 4 | 2 | ||||||||||
| Depreciation and Amortization | 287 | 233 | 808 | 574 | ||||||||||||
| EBITDA | $ | (1,112 | ) | $ | (1,870 | ) | $ | (384 | ) | $ | (3,217 | ) | ||||
