TransAct Technologies (NASDAQ:TACT) Announces Earnings Results

TransAct Technologies (NASDAQ:TACT) posted its quarterly earnings results on Tuesday. The technology company reported $0.07 EPS for the quarter, beating analysts’ consensus estimates of ($0.04) by $0.11, FiscalAI reports. TransAct Technologies had a negative return on equity of 1.57% and a negative net margin of 0.93%.The business had revenue of $14.42 million for the quarter, compared to analysts’ expectations of $12.60 million.

Here are the key takeaways from TransAct Technologies’ conference call:

• TransAct reported a solid first quarter with net sales of $14.4 million, up 10% year over year, and adjusted EBITDA of $1.4 million, putting the company on track for full-year profitability goals.
• The company’s Food Service Technology recurring revenue is becoming a bigger driver, with software revenue up 23% and recurring FST revenue up 26% to $3.3 million, as management pushes to monetize its nearly 20,000 online terminals.
• Management said the software platform migration is progressing faster than expected, with the go-live date pulled forward from Q1 2027 to late Q2 or early Q3 2026, which should support the recurring revenue model.
• Casino and gaming sales surged 24% year over year to $8.3 million, helped by strong domestic and international demand and early traction for the Epic TR80 printer in roll-fed gaming applications.
• The company reaffirmed full-year 2026 net sales guidance of $55 million to $57 million and raised adjusted EBITDA guidance to $1.0 million to $1.75 million, while noting ARPU declined in the quarter as it transitions hardware customers to recurring contracts.

TransAct Technologies Stock Up 2.0%

NASDAQ TACT traded up $0.07 during trading on Thursday, hitting $3.49. 30,501 shares of the stock traded hands, compared to its average volume of 46,395. TransAct Technologies has a 12-month low of $3.06 and a 12-month high of $5.70. The firm has a 50-day simple moving average of $3.36 and a 200-day simple moving average of $3.81. The company has a market capitalization of $35.86 million, a P/E ratio of -69.80 and a beta of 1.16.

Wall Street Analyst Weigh In

Several analysts recently issued reports on TACT shares. Weiss Ratings reissued a “sell (d-)” rating on shares of TransAct Technologies in a research note on Thursday, January 22nd. Zacks Research downgraded TransAct Technologies from a “strong-buy” rating to a “hold” rating in a research note on Friday, February 6th. One analyst has rated the stock with a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat, the stock presently has a consensus rating of “Reduce”.

Insider Activity

In other news, CEO John Dillon bought 70,902 shares of the stock in a transaction dated Monday, March 16th. The stock was purchased at an average cost of $3.49 per share, for a total transaction of $247,447.98. Following the transaction, the chief executive officer owned 100,000 shares of the company’s stock, valued at $349,000. The trade was a 243.67% increase in their ownership of the stock. The purchase was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. 19.24% of the stock is owned by company insiders.

Institutional Investors Weigh In On TransAct Technologies

Hedge funds have recently bought and sold shares of the business. Renaissance Technologies LLC lifted its position in TransAct Technologies by 4.5% during the fourth quarter. Renaissance Technologies LLC now owns 417,437 shares of the technology company’s stock valued at $1,670,000 after purchasing an additional 18,122 shares during the last quarter. Geode Capital Management LLC raised its position in shares of TransAct Technologies by 4.3% during the 4th quarter. Geode Capital Management LLC now owns 115,552 shares of the technology company’s stock valued at $462,000 after buying an additional 4,742 shares in the last quarter. NewEdge Advisors LLC lifted its holdings in shares of TransAct Technologies by 66.1% in the 4th quarter. NewEdge Advisors LLC now owns 88,782 shares of the technology company’s stock valued at $355,000 after acquiring an additional 35,322 shares during the last quarter. Heron Bay Capital Management bought a new position in shares of TransAct Technologies in the 4th quarter valued at about $236,000. Finally, Susquehanna International Group LLP purchased a new position in TransAct Technologies in the third quarter worth about $225,000. Hedge funds and other institutional investors own 74.46% of the company’s stock.

TransAct Technologies announced that its board has approved a share repurchase program on Wednesday, May 13th that permits the company to repurchase $3.00 million in outstanding shares. This repurchase authorization permits the technology company to repurchase up to 8.7% of its stock through open market purchases. Stock repurchase programs are usually a sign that the company’s management believes its shares are undervalued.

About TransAct Technologies

TransAct Technologies Inc designs, manufactures and distributes secure card issuance systems and embedded transactional printing solutions for a variety of industries. The company’s portfolio includes high-speed card printers, card personalization and issuance software, as well as embedded printers used in kiosks, point-of-sale terminals, lottery machines and gaming applications. TransAct’s products are built to deliver reliable, on-demand printing and secure card encoding for markets that require rapid, accurate issuance of payment cards, identification badges and tickets.

Within its secure card solutions segment, TransAct offers turnkey systems that integrate card printing, magnetic stripe encoding, smart card personalization and instant card issuance software.