Asure Software (NASDAQ:ASUR) Releases Earnings Results, Misses Estimates By $0.27 EPS

Key Points

• Asure Software missed quarterly EPS estimates, reporting a loss of $0.15 per share versus analysts’ expected profit of $0.12, although revenue of $37.11 million slightly exceeded forecasts.
• Operational performance remained strong: Q2 revenue increased 23% year over year to $37.1 million, adjusted EBITDA rose 48% to $7.7 million, and management raised full-year 2026 revenue guidance to $159 million–$163 million.
• Management cited growth opportunities from broader AsureCentral adoption, 2 million employees live on its enterprise payroll tax platform, and an approximately $80 million contracted backlog, while warning that second-half comparisons will be affected by lower non-recurring revenue.

Asure Software (NASDAQ:ASUR - Get Free Report) issued its quarterly earnings results on Thursday. The technology company reported ($0.15) earnings per share for the quarter, missing analysts' consensus estimates of $0.12 by ($0.27), FiscalAI reports. Asure Software had a negative net margin of 6.81% and a positive return on equity of 8.12%. The company had revenue of $37.11 million during the quarter, compared to analyst estimates of $36.96 million.

Here are the key takeaways from Asure Software's conference call:

• Q2 revenue rose 23% year over year to $37.1 million, while adjusted EBITDA increased 48% to $7.7 million and adjusted EBITDA margin expanded to 21% from 17%.
• Management raised full-year 2026 guidance to $159 million–$163 million of revenue and 24%–25% adjusted EBITDA margins, with Q3 revenue expected at $38 million–$40 million and adjusted EBITDA of $8 million–$10 million.
• AsureCentral now supports a majority of the company’s roughly 30,000 direct clients, contributing to a 6% year-over-year increase in multi-product customers and creating opportunities to expand average products per client from two toward four or more.
• The enterprise payroll tax platform reached an important milestone with 2 million Vensure-supported employees live; management also cited a robust pipeline, approximately $80 million of contracted backlog, and expectations for double-digit organic growth in the second half.
• Second-half reported growth will face comparisons against approximately $10 million of prior-year non-recurring revenue, including large tax-related professional services projects; the company currently expects only $5 million–$6 million of non-recurring revenue in the second half, while carrying $68.9 million of debt against $19.7 million of cash.

Asure Software Trading Down 0.8%

ASUR stock traded down $0.07 during midday trading on Thursday, reaching $8.37. The company's stock had a trading volume of 135,193 shares, compared to its average volume of 105,662. The business's 50-day simple moving average is $8.35 and its 200-day simple moving average is $8.64. The company has a quick ratio of 1.04, a current ratio of 1.05 and a debt-to-equity ratio of 0.31. Asure Software has a 52 week low of $6.80 and a 52 week high of $10.25. The stock has a market cap of $240.05 million, a PE ratio of -23.25, a price-to-earnings-growth ratio of 1.01 and a beta of 0.50.

Institutional Inflows and Outflows

A number of large investors have recently made changes to their positions in ASUR. American Century Companies Inc. boosted its position in shares of Asure Software by 3.9% in the 2nd quarter. American Century Companies Inc. now owns 50,462 shares of the technology company's stock worth $493,000 after purchasing an additional 1,900 shares during the last quarter. Deutsche Bank AG increased its stake in Asure Software by 13.8% during the 4th quarter. Deutsche Bank AG now owns 17,905 shares of the technology company's stock worth $169,000 after purchasing an additional 2,176 shares in the last quarter. BNP Paribas Financial Markets increased its stake in Asure Software by 107.7% during the 3rd quarter. BNP Paribas Financial Markets now owns 4,986 shares of the technology company's stock worth $41,000 after purchasing an additional 2,586 shares in the last quarter. Barclays PLC raised its holdings in Asure Software by 8.3% during the 4th quarter. Barclays PLC now owns 39,357 shares of the technology company's stock worth $371,000 after buying an additional 3,033 shares during the period. Finally, Price T Rowe Associates Inc. MD lifted its stake in Asure Software by 10.6% in the fourth quarter. Price T Rowe Associates Inc. MD now owns 36,992 shares of the technology company's stock valued at $349,000 after buying an additional 3,536 shares in the last quarter. Institutional investors and hedge funds own 71.58% of the company's stock.

Wall Street Analysts Forecast Growth

Several research firms have issued reports on ASUR. Wall Street Zen raised Asure Software from a "hold" rating to a "buy" rating in a report on Saturday, July 4th. Zacks Research downgraded Asure Software from a "strong-buy" rating to a "hold" rating in a research report on Wednesday, May 20th. Weiss Ratings raised Asure Software from a "sell (e+)" rating to a "sell (d-)" rating in a research note on Thursday, July 2nd. Barrington Research reiterated an "outperform" rating and issued a $15.00 price target on shares of Asure Software in a report on Friday, April 24th. Finally, TD Cowen upgraded Asure Software to a "strong-buy" rating in a research report on Monday, May 18th. One research analyst has rated the stock with a Strong Buy rating, two have issued a Buy rating, one has issued a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat, the company currently has a consensus rating of "Moderate Buy" and a consensus target price of $15.00.

About Asure Software

Asure Software, Inc NASDAQ: ASUR is a Texas‐based technology company specializing in cloud‐based workforce and workspace management solutions. The company develops software that streamlines human capital management (HCM), payroll processing, time and attendance tracking, and workspace reservation for businesses seeking to optimize employee experience and operational efficiency.

The Asure platform includes modules for payroll administration, benefits enrollment, performance management, applicant tracking and onboarding, as well as mobile and web‐based timekeeping.

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