TRAK

SALT LAKE CITY, June 18, 2026--(BUSINESS WIRE)--ReposiTrak, Inc. (NYSE: TRAK), the world's largest food traceability and regulatory compliance network, built upon its proven inventory management and out-of-stock reduction SaaS platform, today declared a quarterly dividend of $0.02 per quarter ($0.08 per share annually) to shareholders of record on June 30, 2026. The cash dividends will be paid to shareholders of record on or about August 14, 2026. Subsequent dividends will be paid within 45 days of each fiscal quarter end. About ReposiTrak: ReposiTrak (NYSE: TRAK) provides retailers, suppliers, food manufacturers and wholesalers with a robust solution suite to help reduce risk and remain in compliance with regulatory requirements, enhance operational controls and increase sales with unrivaled brand protection. Consisting of three product families - food traceability, compliance and risk management and supply chain solutions - ReposiTrak's integrated, cloud-based applications are supported by an unparalleled team of experts. For more information, please visit https://repositrak.com. Forward-Looking Statements: Any statements contained in this press release that are not historical facts are forward-looking statements as defined in the U.S. Private Securities Litigation Reform Act of 1995. Words such as "anticipate," "believe," "estimate," "expect," "forecast," "intend," "may," "plan," "project," "predict," "if," "should" and "will" and similar expressions as they relate to ReposiTrak Inc. are intended to identify such forward-looking statements. ReposiTrak may from time-to-time update these publicly announced projections, but it is not obligated to do so. Any projections of future results of operations should not be construed in any manner as a guarantee that such results will in fact occur. These projections are subject to change and could differ materially from final reported results. For a discussion of such risks and uncertainties, see "Risk Factors" in our annual report on Form 10-K, our quarterly report on Form 10-Q, and our other reports filed with the Securities and Exchange Commission under the Securities Exchange Act of 1934, as amended. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the dates on which they are made. View source version on businesswire.com: https://www.businesswire.com/news/home/20260619337963/en/ Contacts Investor Relations:John Merrill, [email protected] or FNK IRRob [email protected]

Interested in ReposiTrak Inc.? Here are five stocks we like better. ReposiTrak’s third-quarter revenue was flat at $5.9 million, but profitability improved as operating expenses fell 12% and operating income rose 24% year over year. For the first nine months, revenue increased 5% and operating income climbed 28%. The company said its shift to a recurring SaaS model remains on track, with recurring revenue now above 98% of total revenue and net margins expanding to more than 30%. ReposiTrak also ended the quarter with $26.4 million in cash, no bank debt, and strong year-to-date operating cash flow. Management highlighted new growth initiatives in AI-driven traceability and in-store execution, including Touchless Traceability, additional patent filings, and a collaboration with SPAR Group. ReposiTrak also continues returning capital through buybacks, preferred redemptions and dividends. ReposiTrak (NYSE:TRAK) reported essentially flat fiscal third-quarter revenue while highlighting stronger profitability, continued cash generation and new strategic initiatives tied to food traceability, artificial intelligence and in-store execution. On the company’s fiscal third-quarter 2026 conference call, Chief Financial Officer John Merrill said revenue was $5.9 million, unchanged from the prior-year quarter. He said the year-ago period benefited from elevated traceability onboarding activity ahead of the original FDA compliance deadlines, which contributed to approximately 16% revenue growth at that time. Following the FDA’s extension of the FSMA 204 compliance deadline, that level of accelerated onboarding did not recur in the latest quarter. → Micron Investors Face a High-Stakes Moment After the Latest Rally Despite the revenue comparison, profitability improved. Merrill said total operating expenses declined 12% year over year to $3.6 million from $4.1 million. Income from operations rose 24% to approximately $2.3 million from $1.8 million. GAAP net income increased 1% to approximately $2 million, while net income attributable to common shareholders rose 4% to approximately $2 million. Basic earnings per share were $0.11, and diluted earnings per share were $0.10. → How Bad Could Tesla’s Cybertruck Recall Be for Shares? Merrill framed the quarter within ReposiTrak’s longer-term transition toward a recurring software-as-a-service model. He said the company has converted more than $7 million of historical one-time revenue streams into recurring SaaS revenue since fiscal 2020. Over the same period, recurring revenue increased from about 62% of total revenue to more than 98% today. He also said ReposiTrak eliminated approximately $2 million of “high-touch, low-margin” revenue opportunities that no longer aligned with its long-term strategy. While those decisions reduced near-term revenue opportunities at the time, Merrill said they created capacity for higher-value recurring revenue and helped position the company for margin expansion. → How Berkshire’s New York Times Bet Looks Today Since fiscal 2020, annual operating expenses have declined from approximately $19 million to roughly $16 million, and the company has eliminated $6.4 million of bank debt, Merrill said. Net margins have expanded from approximately 8% several years ago to “north of 30% today,” which he said demonstrates the operating leverage of the SaaS model. For the first nine months of fiscal 2026, ReposiTrak reported revenue of $17.7 million, up 5% from $16.8 million in the prior-year period. Total operating expenses declined 4% to $11.7 million. Income from operations increased 28% to $6 million from $4.6 million. GAAP net income for the nine-month period rose 6% to $5.5 million, and net income attributable to common shareholders increased 9% to $5.4 million. Diluted earnings per share rose 9% to $0.28 from $0.26. Merrill noted that the company no longer benefits from significant net operating loss carryforwards to offset taxable income. In the third quarter, tax expense increased approximately 200% from the prior-year period, representing roughly a $300,000 increase. The company’s effective tax rate was approximately 18% for the quarter, and Merrill said ReposiTrak continues to model an effective tax rate of about 20% going forward. ReposiTrak ended the quarter with approximately $26.4 million in cash and no bank debt. The company generated $6 million in cash from operations during the first nine months of fiscal 2026. Merrill said ReposiTrak returned roughly $5 million to shareholders during the current fiscal year-to-date period through common share repurchases, preferred share redemptions and dividends. During fiscal 2026, the company repurchased 144,000 common shares for approximately $1.8 million at an average price of about $12.50 per share. Since the inception of the buyback program, ReposiTrak has repurchased approximately 2.3 million shares for approximately $15 million at an average cost of roughly $6.60 per common share. Merrill said $6 million remains under the existing board authorization. He added that the company does not hold treasury shares; repurchased shares are immediately retired. ReposiTrak also redeemed 175,000 preferred shares during fiscal 2026, with approximately 161,000 preferred shares remaining outstanding. On March 20, 2026, the board declared a quarterly cash dividend of $0.02 per share payable to shareholders of record as of March 31, 2026. Merrill said this marked the third consecutive annual 10% dividend increase since the program was initiated in September 2022. Chairman and Chief Executive Officer Randy Fields said the quarter was “strategically important” as the company added differentiation through intellectual property protection and a new relationship. He said ReposiTrak’s business lines are converging into a single platform of applications for customers, giving the company and its customers operational and financial advantages. Fields emphasized the company’s Touchless Traceability initiative, which he described as an AI-powered, self-learning automated solution for traceability. He said ReposiTrak waited until related patent filings were made before selling the solution, but selling is now beginning. Merrill said ReposiTrak filed two additional patent applications during the quarter. One relates directly to Touchless Traceability, and the other covers methods for identifying and automatically correcting data integrity issues in integrated supply chain environments. The company now maintains a portfolio of nine U.S. patents, he said. Fields said a leading grocery retailer and a leading wholesale grocery cooperative in the southern U.S. achieved full end-to-end traceability using ReposiTrak’s Touchless Traceability solution in the last 45 days. He said those customers can track products from suppliers to distribution centers and then to retail stores without touching the product or investing heavily in manual processes. Fields also said the accuracy of supplier data remains a major traceability issue. He said the initial error rate in supplier data the company receives is at least 50% and can be as high as 70%, adding that the problem is often incorrect data rather than missing data. He said ReposiTrak has developed an AI-based system to identify and correct such errors in near real time. Fields also discussed ReposiTrak’s collaboration with SPAR Group, saying it could extend the company’s capabilities from identifying supply chain and retail issues to helping resolve them. He said ReposiTrak can identify problems such as out-of-stock situations, products that need to be removed from shelves or recall-related issues, while SPAR can provide teams to address those issues in stores. “The bottleneck in retail isn’t intelligence, it’s hands,” Fields said. “SPAR brings the hands.” In response to a question from Maxim Group analyst Thomas Forte, Fields said investors may begin to see the financial impact of the SPAR relationship in six to nine months. He said ReposiTrak and SPAR had already presented the concept to a large consumer products and drug company, and he characterized the potential opportunity as meaningful if it develops. Looking ahead, Merrill said ReposiTrak’s priorities remain disciplined execution, sustainable recurring revenue growth, profitability expansion, prudent capital allocation, balance sheet strength and long-term shareholder value creation. Fields said the company is seeing “excellent expansion” in its supply chain business and the earliest stages of acceleration in traceability work, while noting that both services have lags between activity and revenue recognition. ReposiTrak, trading on the New York Stock Exchange under the symbol TRAK, is a provider of cloud-based supply chain compliance and transparency solutions. The company's platform enables retailers, suppliers and manufacturers to manage, share and validate product data throughout the supply chain. Through its Software-as-a-Service (SaaS) offering, ReposiTrak helps organizations ensure adherence to regulatory requirements, industry standards and retailer-specific guidelines for food safety, sustainability, labeling and quality assurance. At the core of ReposiTrak's offerings is its DataHub, a centralized repository that captures critical information such as product specifications, certifications, catch-weight data, temperature logs and recall notifications. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "ReposiTrak Q3 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for May 2026.

Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Successfully transitioned the business model from one-time revenue streams to a 98% recurring SaaS revenue profile since fiscal 2020. Converged disparate business lines into a single source-code platform, reducing development costs and eliminating data synchronization errors for customers. Launched 'touchless traceability' as a proprietary, AI-powered solution to meet FDA FSMA 204 mandates without requiring manual scanning or distribution center workflow changes. Identified a critical industry bottleneck where identifying supply chain problems is no longer sufficient; the focus must shift to physical remediation. Formed a strategic collaboration with Spar Group to provide 'hands' for in-store execution, such as restocking and recall management, which AI cannot perform. Maintained strict operational discipline, reducing annual operating expenses from $19 million to $16 million while expanding net margins to over 30%. Expects the Spar Group collaboration to begin impacting financial results within approximately 6 to 9 months as joint presentations move toward large-scale deals. Anticipates an acceleration in traceability inquiries and new starts throughout the year as FDA compliance deadlines approach. Models a consistent effective tax rate of approximately 20% following the exhaustion of net operating loss carryforwards. Plans to continue a balanced capital allocation strategy involving common share repurchases, preferred share redemptions, and annual dividend increases. Intends to leverage a portfolio of 9 US patents to protect against potential threats from AI-developed software and unsecure one-off solutions. Revenue was essentially flat year-over-year due to a difficult comparison against the prior year's elevated traceability onboarding ahead of original FDA deadlines. Management highlighted a 50% to 70% error rate in initial supplier data, which the company addresses through a patent-pending AI detection system. The company eliminated approximately $2 million of high-touch, low-margin revenue to prioritize capacity for higher-value recurring SaaS streams. Tax expense increased approximately 200% year-over-year as the company no longer benefits from significant net operating loss carryforwards. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. Management argues that while AI is a hot topic, its impact on grocery retail is limited because the industry is fundamentally people and truck intensive. The bottleneck in retail is not intelligence but physical execution; AI can identify a shelf gap but cannot restock the product. Success will be measured by the conversion of large-scale CPG and drug company prospects into revenue-generating contracts. Management expects the first financial impacts to be visible in 6 to 9 months, noting that early interest from a 'household name' CPG company was immediate.

This article first appeared on GuruFocus. Release Date: May 14, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. ReposiTrak Inc (NYSE:TRAK) successfully transitioned to a recurring SaaS revenue model, increasing recurring revenue from 62% to over 98% of total revenue. The company has significantly improved its profitability, with net margins expanding from 8% to over 30%. ReposiTrak Inc (NYSE:TRAK) has reduced annual operating expenses from $19 million to $16 million while eliminating $6.4 million of bank debt. The company has a strong cash position with $26.4 million in cash and zero bank debt, providing flexibility for future investments. ReposiTrak Inc (NYSE:TRAK) has filed two additional patent applications, strengthening its intellectual property portfolio and competitive positioning. Third quarter fiscal 2026 revenue was flat year-over-year at $5.9 million, indicating a lack of revenue growth. The company faced a 200% increase in tax expense, impacting net income growth. There is a lag time between traceability revenue and customer implementation, which may delay revenue recognition. The error rate in supplier data remains high, with initial data from suppliers having an error rate of 50% to 70%. The collaboration with SPAR Group is still in early stages, and its financial impact will not be visible for another six to nine months. Warning! GuruFocus has detected 3 Warning Signs with SDST. Is TRAK fairly valued? Test your thesis with our free DCF calculator. Q: Randy, agentic commerce is a hot topic this quarter. What are your thoughts on agentic commerce and its impact on the food retail category? A: Randy Fields, Chairman and CEO: The grocery business is people-intensive, and while AI can provide insights, it doesn't significantly impact the core operations like ordering and distribution. The real challenge is fixing issues, which is why our partnership with SPAR Group focuses on providing human solutions to identified problems. Q: How can investors measure the success of the SPAR Group partnership? What are the KPIs? A: Randy Fields, Chairman and CEO: It's early, but we expect to see financial impacts in about six months. We've already presented to a major CPG company, and the response was positive. The success will be measured by the scale of deals and revenue growth in six to nine months. Q: Can you elaborate on the touchless traceability solution and its market impact? A: Randy Fields, Chairman and CEO: Our touchless traceability is an AI-powered solution that complies with FDA mandates without significant costs. It uses electronic data instead of manual scanning, and we've filed patents to protect this innovation. The market interest is growing, and we expect more inquiries and implementations as deadlines approach. Q: What are the strategic initiatives for ReposiTrak moving forward? A: Randy Fields, Chairman and CEO: We are focusing on intellectual property protection, enhancing our platform capabilities, and expanding our supply chain solutions. Our collaboration with SPAR Group is a key initiative to provide end-to-end solutions from problem identification to execution. Q: How is ReposiTrak addressing the challenges of data accuracy in traceability? A: Randy Fields, Chairman and CEO: We have developed an AI-based system to identify and correct data errors, which are often not just missing but incorrect. This system is unique in the market and helps ensure accurate data throughout the supply chain. For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Quarterly Operating Income Increases 24%, 28% Fiscal Year-to-Date, and Company Generates $0.10 in Quarterly Diluted EPS;Demand for Touchless Traceability Accelerates After Key Patents Filed SALT LAKE CITY, May 14, 2026--(BUSINESS WIRE)--ReposiTrak (NYSE: TRAK), an AI-powered, integrated supply chain platform, today announced financial results for the third fiscal quarter ended March 31, 2026. Third Fiscal Quarter Financial Highlights (three months ended March 31, 2026 vs. three months ended March 31, 2025): Third quarter total revenue of $5.9 million, essentially flat year-over-year. Operating expense decreased 12% to $3.6 million. Operating income increased 24% to $2.3 million. GAAP net income increased 1% to $2.0 million. Net income to common shareholders was $2.0 million, up 4%. EPS of $0.11 per basic and $0.10 per diluted share. During the quarter, the Company redeemed 35,047 preferred shares for the stated redemption price of $10.70 per share for a total of $375,000. During the quarter, the Company repurchased and cancelled 55,262 common shares for an average price of $9.95 per share for a total of $550,000. On March 20, 2026, the Board declared a quarterly dividend of $0.02 per quarter ($0.08 per share annually) to shareholders of record on March 31, 2026. The cash dividends will be paid to shareholders of record on or about May 15, 2026. Subsequent dividends will be paid within 45 days of each fiscal quarter end. Fiscal Year-to-Date Financial Highlights (nine months ended March 31, 2026 vs. nine months ended March 31, 2025): Fiscal year-to-date revenue of $17.7 million, up 5% year-over-year. Operating expense decreased 4% to $11.7 million. Operating income increased 28% to $6.0 million. GAAP net income increased 6% to $5.5 million. Net income to common shareholders was $5.4 million, up 9%. EPS of $0.29 per basic and $0.28 per diluted share. The Company finished the period with $26.4 million in cash and no bank debt. The Company generated $5.9 million in cash from operations for the first nine months of fiscal 2026. Randall K. Fields, Chairman and Chief Executive Officer of ReposiTrak, commented: "The FDA's traceability initiative has effectively erased the lines between our disparate product offerings. What were once distinct business lines increasingly operate as a single, comprehensive food safety platform, a solution that is unrivaled in the industry. That convergence is a meaningful strategic advantage, because no one else delivers all of these capabilities in a single platform. This creates advantages in cross-selling across all layers of the industry, from growers to suppliers, wholesalers and retailers." "During the quarter, we filed two patent applications covering our Touchless Traceability™ solution, creating a durable competitive moat around the only approach that delivers FDA-compliant traceability at scale," added Mr. Fields. "With deployments already in production at a leading grocer and a major Southern wholesaler, Touchless Traceability is establishing a new standard for accuracy and efficiency. These two customers are the only two companies in the world we are aware of that can track products from the supplier to their distribution center to their retail stores without ever having to touch or scan the product." "Our collaboration with SPAR Group pairs our ability to identify supply chain and merchandising issues with SPAR's field execution, giving retailers a true end-to-end solution from problem identification to in-store resolution," concluded Mr. Fields. "This is the next evolution of our platform: from insight to action. We believe this collaboration has the potential to be significant not only to our respective businesses, but to the industry as a whole." Third Fiscal Quarter Financial Results (three months ended March 31, 2026, vs. three months ended March 31, 2025): Revenue was flat at $5.9 million as compared to $5.9 million in the prior-year third quarter due to a 16% increase in traceability onboardings in the third fiscal quarter of 2025, that did not occur in the same period of 2026 as a result of the FSMA 204 deadline extension. Total operating expense was $3.6 million, down 12% compared to $4.1 million last year. SG&A expense was $2.7 million, down 5% from $2.9 million last year. GAAP net income was $2.0 million compared to $2.0 million, an increase of 1%. Net income to common shareholders was $2.0 million, or $0.11 per basic and $0.10 per diluted share, compared to $1.9 million, or $0.10 per basic and diluted share, representing an increase of 4%. Fiscal Year-to-Date Financial Results (nine months ended March 31, 2026, vs. nine months ended March 31, 2025): Revenue increased 5% to $17.7 million as compared to $16.8 million in the prior-year period. Total operating expense was $11.7 million, down 4% compared to $12.2 million last year. SG&A expense was $8.7 million, up 2% from $8.5 million last year. GAAP net income was $5.5 million compared to $5.2 million, an increase of 6%. Net income to common shareholders was $5.4 million, or $0.29 per basic and $0.28 per diluted share, compared to $4.9 million, or $0.27 per basic and $0.26 per diluted share, representing an increase of 9%. Return of Capital: In the third quarter of fiscal 2026, the Company redeemed 35,047 preferred shares at the stated redemption price of $10.70 per share for a total of $375,003. As of March 31, 2026, a total of 160,865 shares of Series B preferred remained issued and outstanding. Since inception, a total of preferred shares, including Series B and Series B-1 preferred, at the redemption price of $10.70 per share have been redeemed for a total of $7.3 million. All Series B-1 preferred shares have been redeemed. The remaining amount available for future preferred redemptions is $1.7 million. At the current rate of redemption, the Company anticipates redeeming all of its preferred shares issued and outstanding on or before December of 2026. During the third quarter of fiscal 2026, the Company repurchased 55,262 common shares for a total of $550,000 at an average of $9.95 per share. The Company has approximately $6.0 million remaining on the $21.0 million total common share buyback authorization. On March 20, 2026, the Board declared a quarterly dividend of $0.02 per quarter ($0.08 per share annually) to shareholders of record on March 31, 2026. The cash dividends will be paid to shareholders of record on or about May 15, 2026. Subsequent dividends will be paid within 45 days of each fiscal quarter end. Balance Sheet: The Company had $26.4 million in cash and cash equivalents at March 31, 2026, compared to $28.6 million at June 30, 2025 due to the investment in the SPAR Group. As of December 31, 2025, the Company had no bank debt. During the quarter, the Company recorded an unrealized loss on short-term investments of $128,697, reflecting lower interest rates and the expected impact on interest income. Conference Call: The Company will host a conference call at 4:15 p.m. Eastern today to discuss the Company’s results. The conference call will also be webcast and will be available via the investor relations section of the Company’s website, www.repositrak.com. Participant Dial-In Numbers:Date: Thursday, May 14, 2026Time: 4:15 p.m. ET (1:15 p.m. PT)Toll-Free: 1-877-407-9716Toll/International 1-201-493-6779Conference ID: 13760307 Replay Dial-In Numbers:Toll Free: 1-844-512-2921Toll/International: 1-412-317-6671Conference ID: 13760307Replay Start: Thursday, May 14, 2026, 7:15 p.m. ETReplay Expiry: Sunday, June 14, 2026 at 11:59 p.m. ET About ReposiTrak ReposiTrak, Inc. (NYSE: TRAK) is an AI-powered, integrated platform that connects retailers, wholesalers, suppliers, and food manufacturers through a suite of applications designed to reduce risk, support regulatory compliance, strengthen operational controls, and protect brand integrity. The ReposiTrak platform serves as a shared system of record across its solution areas, maintaining and synchronizing complex supplier and customer data to enable secure, accurate, and scalable information exchange. ReposiTrak’s solutions are organized into three core product families: traceability, compliance and risk management, and supply chain solutions. Through its scalable, cloud-based platform and U.S.-based team of experts, the Company helps organizations streamline operations, improve data transparency, and meet evolving regulatory requirements across the food supply chain. For more information, visit www.repositrak.com. Forward-Looking Statement Any statements contained in this document that are not historical facts are forward-looking statements as defined in the U.S. Private Securities Litigation Reform Act of 1995. Words such as "anticipate," "believe," "estimate," "expect," "forecast," "intend," "may," "plan," "project," "predict," "if," "should" and "will" and similar expressions as they relate to ReposiTrak Inc., ("ReposiTrak") are intended to identify such forward-looking statements. ReposiTrak may from time-to-time update these publicly announced projections, but it is not obligated to do so. Any projections of future results of operations should not be construed in any manner as a guarantee that such results will in fact occur. These projections are subject to change and could differ materially from final reported results. For a discussion of such risks and uncertainties, see "Risk Factors" in ReposiTrak annual report on Form 10-K, its quarterly report on Form 10-Q, and its other reports filed with the Securities and Exchange Commission under the Securities Exchange Act of 1934, as amended. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the dates on which they are made. View source version on businesswire.com: https://www.businesswire.com/news/home/20260514165359/en/ Contacts Investor Relations Contact: John Merrill, [email protected] OrFNK IRRob [email protected]

SALT LAKE CITY, March 20, 2026--(BUSINESS WIRE)--ReposiTrak, Inc. (NYSE: TRAK), the world's largest food traceability and regulatory compliance network, built upon its proven inventory management and out-of-stock reduction SaaS platform, today declared a quarterly dividend of $0.02 per quarter ($0.08 per share annually) to shareholders of record on March 31, 2026. The cash dividends will be paid to shareholders of record on or about May 15, 2026. Subsequent dividends will be paid within 45 days of each fiscal quarter end. About ReposiTrak: ReposiTrak (NYSE: TRAK) provides retailers, suppliers, food manufacturers and wholesalers with a robust solution suite to help reduce risk and remain in compliance with regulatory requirements, enhance operational controls and increase sales with unrivaled brand protection. Consisting of three product families - food traceability, compliance and risk management and supply chain solutions - ReposiTrak's integrated, cloud-based applications are supported by an unparalleled team of experts. For more information, please visit https://repositrak.com. Forward-Looking Statements: Any statements contained in this press release that are not historical facts are forward-looking statements as defined in the U.S. Private Securities Litigation Reform Act of 1995. Words such as "anticipate," "believe," "estimate," "expect," "forecast," "intend," "may," "plan," "project," "predict," "if," "should" and "will" and similar expressions as they relate to ReposiTrak Inc. are intended to identify such forward-looking statements. ReposiTrak may from time-to-time update these publicly announced projections, but it is not obligated to do so. Any projections of future results of operations should not be construed in any manner as a guarantee that such results will in fact occur. These projections are subject to change and could differ materially from final reported results. For a discussion of such risks and uncertainties, see "Risk Factors" in our annual report on Form 10-K, our quarterly report on Form 10-Q, and our other reports filed with the Securities and Exchange Commission under the Securities Exchange Act of 1934, as amended. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the dates on which they are made. View source version on businesswire.com: https://www.businesswire.com/news/home/20260320005630/en/ Contacts Investor Relations: John Merrill, CFO [email protected] or FNK IR Rob Fink 646-809-4048

This article first appeared on GuruFocus. Release Date: February 17, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. ReposiTrak Inc (NYSE:TRAK) has successfully converted over $7 million in one-time revenue to recurring SaaS revenue, increasing recurring revenue from 62% to over 98% of total revenue. The company has paid off over $6 million in bank debt and reduced annual operating expenses from $19 million to $16 million since 2020. Net margin has grown from 8% to over 30% during the same period, indicating improved profitability. ReposiTrak Inc (NYSE:TRAK) has increased net cash by a 16% compounded annual growth rate, growing from $13.7 million in 2020 to almost $29 million in 2025. The company has invested in new product solutions and filed for two patents, enhancing its competitive edge and creating a moat around its business. The traceability process is challenging due to a high error rate in supplier data, with initial error rates between 50% and 70%. The transition to traceability is taking longer than expected, impacting the speed of onboarding new suppliers. There is a potential risk from AI advancements, as some companies may believe they can develop their own solutions, posing a competitive threat. Food inflation and margin squeezes in the supermarket industry could indirectly impact ReposiTrak Inc (NYSE:TRAK)'s business. The company faces a short-term headwind from the need to patent its innovations before initiating sales, delaying potential revenue from new solutions. Warning! GuruFocus has detected 4 Warning Sign with BOM:540774. Is TRAK fairly valued? Test your thesis with our free DCF calculator. Q: In fiscal '25, traceability was only 8% of total revenue. Is there a more recent data point on how much total revenue is coming from traceability? A: It's between 8 and 10%, but it's hard to specify due to cross-selling. (John Merrill, CFO) Q: Can AI improve the accuracy of traceability data? A: Yes, AI helps detect and correct errors in traceability data. Our system uses AI to identify and autocorrect errors, which is crucial as many errors are not detectable by traditional methods. (Randy Fields, CEO) Q: Is there any impact on ReposiTrak from the concept of Maha? A: Yes, indirectly. Maha increases awareness of food safety, which benefits us as it highlights the importance of traceability and safety in food supply chains. (Randy Fields, CEO) Q: Does food inflation have a direct or indirect impact on your business? A: Indirectly, yes. Inflation without the ability to pass costs to consumers can lead to margin squeezes for supermarkets, potentially affecting all cost elements, including ours. (Randy Fields, CEO) Q: What are your current thoughts on strategic M&A? A: While we are open to opportunities, our current focus is on our existing initiatives, particularly traceability, as the FDA deadline approaches. (John Merrill, CFO and Randy Fields, CEO) For the complete transcript of the earnings call, please refer to the full earnings call transcript.

ReposiTrak reported continued SaaS-driven progress with Q2 revenue up 7% year‑over‑year to $5.9 million and income from operations rising 34% to $1.8 million, ending the quarter with $28.7 million in cash and a projected ~20% effective tax rate going forward. Management is prioritizing shareholder returns and balance‑sheet cleanup—repurchasing about 80,000 shares for $1.1 million this quarter, retaining ~$6.7 million under the buyback authorization, redeeming preferred stock with a goal to retire all remaining by Dec 2026, and raising the quarterly dividend to $0.02 while targeting to return 50% of annual cash from operations to shareholders. On traceability, the company flagged a major data‑quality issue—an estimated initial supplier error rate of 50%–70%—and is rolling out AI-driven "Touchless Traceability" (500+ error‑detection algorithms) to detect and auto‑correct data errors in near real time; ReposiTrak has filed two patents covering this technology. Interested in ReposiTrak Inc.? Here are five stocks we like better. ReposiTrak (NYSE:TRAK) executives emphasized continued progress toward a predominantly recurring SaaS model and improving profitability as the company reported fiscal second-quarter 2026 results. Management also spent much of the call discussing the operational challenges of food traceability—particularly data accuracy—and the company’s approach, which it is seeking to protect with new patents. Chief Financial Officer John Merrill said second fiscal quarter revenue rose 7% year over year to $5.9 million, up from $5.5 million. Total operating expenses declined 2% compared with the prior-year quarter, which Merrill attributed to the company reaching “the point where an incremental revenue does not require significant incremental expenses to support our growth,” even while investing in its ReposiTrak Traceability Network (RTN). → Whale Watching: BlackRock’s Massive Bet on Nebius Group Income from operations increased 34% to $1.8 million from $1.4 million. GAAP net income for the quarter was $1.7 million, up 9% from $1.6 million a year earlier, while GAAP net income to common shareholders increased 13% to $1.6 million from $1.5 million. Earnings per share were $0.09 basic and diluted, based on 18.2 million basic shares and 19.1 million diluted shares. For the first half of fiscal 2026, Merrill reported revenue increased 8% year over year to $11.8 million from $10.9 million. Operating expenses were essentially flat at $8.1 million. Income from operations rose 31% to $3.7 million from $2.8 million, and GAAP net income increased 9% to $3.5 million from $3.2 million. GAAP net income to common shareholders rose 13% to $3.4 million from $3.0 million. Year-to-date EPS was $0.19 basic and $0.18 diluted, compared with $0.17 basic and $0.16 diluted in the prior-year period. → Meta's Platfroms' New Bull: Why Billionaire Bill Ackman Is Buying Merrill also noted the company is reaching the end of the benefit period from utilized and expiring net operating losses at the federal and state level and said it is “reasonable to assume a 20% effective tax rate going forward.” ReposiTrak ended the quarter with total cash of $28.7 million, up slightly from $28.6 million at June 30, and Merrill said the company continues to have zero bank debt. → Is This Quantum Outperformer a New Threat to D-Wave? On capital allocation, Merrill detailed activity across buybacks, preferred redemptions, and dividends: Share repurchases: The company repurchased about 80,000 common shares for $1.1 million at an average of $13.75 per share during the quarter. Since inception, it has repurchased and canceled 2.22 million shares for $14.5 million at an average price of $6.52. As of December 31, 2025, approximately $6.7 million remained under the $21 million buyback authorization. Preferred redemption: ReposiTrak redeemed 70,000 preferred shares for $750,000 at the stated redemption price of $10.70 per share. Since inception, it has redeemed about 642,000 preferred shares for $6.9 million. Merrill said 196,000 preferred shares remain outstanding, representing $2.1 million to redeem, and he reiterated a goal to redeem all remaining preferred shares on or before December 2026, “if not earlier.” Dividend: The board declared a quarterly dividend of $0.02 per share on December 19, 2025, payable on or about February 14, 2026, to shareholders of record as of December 31, 2025. Merrill said this was the third 10% dividend increase since the dividend began in September 2022 and that future dividends will be paid within 45 days of each fiscal quarter end. Merrill said the company’s stated objective is to return 50% of annual cash from operations to shareholders while placing the other half “in the bank.” Chairman and CEO Randy Fields said the RTN is “already the industry leader” and described a queue to join the network that is “much larger than our current installed base,” citing network effects as additional suppliers, distributors, and retailers join. However, Fields said traceability onboarding is taking longer than hoped because it can be difficult to help suppliers consistently provide the information needed. He described supplier data accuracy as a central issue, estimating the initial error rate from suppliers—especially smaller suppliers—at “somewhere between 50% and 70%.” Fields argued that inaccuracies propagate through the supply chain, making errors difficult and costly to fix manually across multiple systems. Fields said many approaches to traceability rely on Electronic Data Interchange (EDI) and assume the data received is valid. He contended EDI checks formatting and structure but not the underlying accuracy of the data. He also said another approach—scanning each case in addition to using electronic data—would be economically impractical. ReposiTrak’s strategy, according to Fields, is to use artificial intelligence tools to detect errors and automatically correct most of them in near real-time without “bothering the supplier that created the data in the first place.” He said the company has “over 500 error detection algorithms” and is expanding detection parameters over time. Fields positioned this detect-and-correct capability as a cost saver for supply chain participants and as a way to enable compliance with FDA regulations while reducing costs. Merrill said the company recently filed for two patents: one for Touchless Traceability and another for a method to identify and automatically correct errors in integrated customer data. He said ReposiTrak has nine U.S. patents and expects to ultimately secure both patents now in process. Fields said the company needed to begin patent protection before initiating sales of Touchless Traceability, describing this as “a bit of a short-term headwind.” On broader AI trends, Fields said ReposiTrak’s AI approach does not rely on large language models, and he argued that companies without proprietary data or proprietary process improvements could be at risk as AI advances. He said the AI “craze” could be a modest near-term headwind if it leads some companies to believe they can build solutions internally, but he maintained that, over the long term, AI cannot solve the problems ReposiTrak addresses for customers. During the question-and-answer session, management was asked about the share of revenue coming from traceability. Merrill said it is “between 8% and 10%,” adding it is difficult to isolate precisely due to cross-selling. Asked about “MAHA,” Fields said it could help indirectly over time by increasing public attention on food health and safety. He referenced a Gallup-cited decline in public belief in U.S. food safety and said increased awareness raises the economic and brand cost to retailers of food safety mistakes. Fields also discussed ingredient-level capabilities, saying customers can use the company’s system to search for items containing specific ingredients (he used “red dye number three” as an example). He said retailers generally do not maintain ingredient lists in a way that enables those searches and cited nut butter as an example of a category tied to the FDA’s Food Traceability List. On food inflation, Fields said the impact is indirect: if supermarkets face rising input costs they cannot pass on, margin pressure can lead them to examine all costs, “potentially including us.” He said the company has not seen near-term effects but acknowledged it could emerge. Regarding investment spending, Merrill said the effects are not necessarily visible in specific P&L line items because the company has shifted resources (for example, less marketing while using some personnel in development), and investors should evaluate expenses “in the totality.” He added that capitalization related to the new patents is “a de minimis number.” Finally, on strategic M&A, Merrill said management reviews opportunities but views acquisitions as a distraction given current priorities around its technology stack and traceability preparations. Fields added that, as the FDA traceability deadline approaches, he expects growing urgency across the industry and said the company is focused on preparing for what he described as an impending acceleration in demand. ReposiTrak, trading on the New York Stock Exchange under the symbol TRAK, is a provider of cloud-based supply chain compliance and transparency solutions. The company's platform enables retailers, suppliers and manufacturers to manage, share and validate product data throughout the supply chain. Through its Software-as-a-Service (SaaS) offering, ReposiTrak helps organizations ensure adherence to regulatory requirements, industry standards and retailer-specific guidelines for food safety, sustainability, labeling and quality assurance. At the core of ReposiTrak's offerings is its DataHub, a centralized repository that captures critical information such as product specifications, certifications, catch-weight data, temperature logs and recall notifications. The article "ReposiTrak Q2 Earnings Call Highlights" was originally published by MarketBeat.

Q2 Operating Income Increases 34% to $1.8 Million, or 31% Operating Margin; Net Income to Common Shareholders Increases 13% to $1.6 Million SALT LAKE CITY, February 17, 2026--(BUSINESS WIRE)--ReposiTrak (NYSE: TRAK), the world's largest food traceability and regulatory compliance network, built upon its proven inventory management and out-of-stock reduction SaaS platform, today announced financial results for the second fiscal quarter ended December 31, 2025. Second Fiscal Quarter Financial Highlights: Second quarter total revenue increased 7% to $5.9 million from $5.5 million. Quarterly operating expense decreased 2% to $4.0 million from $4.1 million. Quarterly operating income increased 34% to $1.8 million from $1.4 million last year. Quarterly GAAP net income increased 9% to $1.7 million from $1.6 million last year. Quarterly net income to common shareholders was $1.6 million, up 13% from $1.5 million last year. Quarterly EPS of $0.09 per basic and diluted share, compared to $0.08 per basic and diluted share in the prior year second fiscal quarter. The Company finished the quarter with $28.7 million in cash and no bank debt. The Company generated $3.8 million in cash from operations for the first six months of fiscal 2026. On December 19, 2025, the Board declared a quarterly dividend of $0.02 per quarter ($0.08 per share annually) to shareholders of record on December 31, 2025. The cash dividends will be paid to shareholders of record on or about December 31, 2025. This dividend represents the third 10% increase in ReposiTrak’s dividend since the dividend was established. Subsequent dividends will be paid within 45 days of each fiscal quarter end. During the quarter, the Company redeemed 70,093 preferred shares for the stated redemption price of $10.70 per share for a total of $749,995. During the quarter, the Company repurchased and cancelled 79,927 common shares for an average price of $13.75 per share for a total of $1,098,608. Randall K. Fields, Chairman and CEO of ReposiTrak commented, "Building upon our industry-leading ReposiTrak Traceability Network (RTN), the leading solution for automating the exchange of traceability data between trading partners, and leveraging more than two decades of expertise in the food safety industry, we have developed and filed for multiple patents on Touchless Traceability™. This is an advanced solution, augmenting the RTN, which enables retailers, wholesalers and distributors to produce accurate, compliant Key Data Element (KDE) records at scale while reducing operational costs. This patent protection for this unique innovation is expected to not only create a durable competitive advantage for data error correction and related processes, but also establish yet another moat around our business." "Demand for our solutions continues to grow, and our growing presence with smaller ingredient providers for traceability solutions is facilitating deeper cross-selling opportunities across all business lines," continued Mr. Fields. "We are now driving cross-selling across all solutions. Our structural profitability continues to enable us to invest in our business, develop additional innovative solutions like Touchless Traceability™, and pursue patents for our innovations to build a moat around our business. We are making these investments while continuing to expand our cash balance, streamlining our capital structure and returning meaningful capital to shareholders." Second Fiscal Quarter Financial Results (three months ended December 31, 2025, vs. three months ended December 31, 2024): Total revenue was up 7% to $5.9 million as compared to $5.5 million in the prior-year second quarter. Total operating expense was $4.0 million, down 2% compared to $4.1 million last year. SG&A expense was $3.0 million, up 5% from $2.8 million last year. GAAP net income was $1.7 million compared to $1.6 million. Net income to common shareholders was $1.6 million, or $0.09 per diluted share, compared to $1.5 million, or $0.08 per diluted share, an increase of 13%. Return of Capital: In the second quarter of fiscal 2026, the Company redeemed 70,093 preferred shares at the stated redemption price of $10.70 per share for a total of $749,995. As of December 31, 2025, a total of 195,912 shares of Series B preferred were issued and outstanding. Since inception, a total of 641,865 preferred shares, including Series B and Series B-1 preferred, at the redemption price of $10.70 per share have been redeemed for a total of $6.9 million. All Series B-1 preferred shares have been redeemed. The remaining amount available for future preferred redemptions is $2.1 million, At the current rate of redemption, the Company anticipates redeeming all of its preferred shares issued and outstanding on or before September of 2026. During the second quarter of fiscal 2026, the Company repurchased 79,927 common shares for a total of $1,098,608 or an average of $13.75 per share. The Company has approximately $6.5 million remaining on the $21 million total common share buyback authorization. On December 19, 2025 the Board declared a quarterly dividend of $0.02 per share to shareholders of record as of December 31, 2025, payable on or about February 14, 2026. This represents the third 10% increase in the Company’s dividend since the dividend was established in September 2022. Subsequent dividends will be paid within 45 days of each fiscal quarter end. Balance Sheet: The Company had $28.7 million in cash and cash equivalents at December 31, 2025, compared to $28.6 million at June 30, 2025. As of December 31, 2025, the Company had no bank debt. Conference Call: The Company will host a conference call at 4:15 p.m. Eastern today to discuss the Company’s results. The conference call will also be webcast and will be available via the investor relations section of the Company’s website, www.parkcitygroup.com. Participant Dial-In Numbers: Date: Tuesday, February 17, 2026 Time: 4:15 p.m. ET (1:15 p.m. PT) Toll-Free: 1-877-407-9716 Toll/International 1-201-493-6779 Conference ID: 13757946 Replay Dial-In Numbers: Toll Free: 1-844-512-2921 Toll/International: 1-412-317-6671 Conference ID: 13757946 Replay Start: Tuesday, February 17, 2026, 7:15 p.m. ET Replay Expiry: Tuesday, March 17, 2026 at 11:59 p.m. ET About ReposiTrak ReposiTrak (NYSE: TRAK) provides retailers, suppliers, food manufacturers and wholesalers with a robust solution suite to help reduce risk and remain in compliance with regulatory requirements, enhance operational controls and increase sales with unrivaled brand protection. Consisting of three product families – food traceability, compliance and risk management and supply chain solutions – ReposiTrak’s integrated, cloud-based applications are supported by an unparalleled team of experts. For more information, please visit https://repositrak.com Forward-Looking Statement Any statements contained in this document that are not historical facts are forward-looking statements as defined in the U.S. Private Securities Litigation Reform Act of 1995. Words such as "anticipate," "believe," "estimate," "expect," "forecast," "intend," "may," "plan," "project," "predict," "if", "should" and "will" and similar expressions as they relate to ReposiTrak Inc., Park City Group d/b/a ReposiTrak, or Park City Group, Inc. ("ReposiTrak") are intended to identify such forward-looking statements. ReposiTrak may from time-to-time update these publicly announced projections, but it is not obligated to do so. Any projections of future results of operations should not be construed in any manner as a guarantee that such results will in fact occur. These projections are subject to change and could differ materially from final reported results. For a discussion of such risks and uncertainties, see "Risk Factors" in ReposiTrak annual report on Form 10-K, its quarterly report on Form 10-Q, and its other reports filed with the Securities and Exchange Commission under the Securities Exchange Act of 1934, as amended. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the dates on which they are made. View source version on businesswire.com: https://www.businesswire.com/news/home/20260217186279/en/ Contacts Investor Relations Contact: John Merrill, CFO [email protected] Or FNK IR Rob Fink 646.809.4048 [email protected]

Management identifies inaccurate supplier data as the primary obstacle to industry-wide traceability, noting initial error rates between 50% and 70% among small suppliers. The company has transitioned from a high-touch, low-margin model to a 98% recurring SaaS revenue base, eliminating $2 million in legacy business to prioritize traceability growth. Performance attribution is driven by a 'network effect' where each new supplier or retailer added to the ReposiTrak Traceability Network (RTN) increases the platform's value proposition. Operational efficiency has reached a point where incremental revenue disproportionately impacts the bottom line, as the core software stack no longer requires aggressive infrastructure investment. Management distinguishes their approach from competitors by focusing on 'content validation' rather than just 'format checking' via Electronic Data Interchange (EDI). Strategic positioning is reinforced by a portfolio of 9 U.S. patents, including two recent filings for 'Touchless Traceability' and automated error correction tools. The company maintains a high revenue-per-employee ratio, allowing for reduced operating expenses even as total revenue grew by 7% year-over-year. Management anticipates a significant acceleration in onboarding and interest as the January 2026 FDA traceability deadline approaches the 18-month 'cliff' later this year. The company assumes a 20% effective tax rate going forward as it exhausts its utilized and expiring net operating losses (NOLs). Capital allocation strategy remains focused on returning 50% of annual cash from operations to shareholders through dividends and buybacks while retaining the other half. Management expects to redeem all remaining preferred shares, totaling approximately $2.1 million, on or before December 2026. Strategic initiatives include a focus on cross-selling supply chain and compliance solutions to existing traceability customers to drive further margin expansion. The company filed for two critical patents before initiating broad sales for 'Touchless Traceability,' which management acknowledged acted as a modest short-term headwind. Management warns that the 'AI craze' may create a false impression among large companies that they can build internal solutions, potentially delaying third-party adoption. Food inflation is identified as an indirect risk factor that could lead to margin squeezes for retail customers, potentially impacting their spending on external services. The complexity of traceability is described as a 'new activity' requiring fundamental process changes, which currently makes supplier onboarding take longer than initially hoped. Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Management estimated that traceability currently accounts for approximately 8% to 10% of total revenue. Precise tracking is complicated by successful cross-selling initiatives where customers utilize multiple platform solutions simultaneously. Management clarified that while they use AI for error detection and 'autocorrection,' their system does not rely on Large Language Models (LLMs). The proprietary system uses over 500 algorithms to detect and fix errors in real-time without requiring manual intervention from the supplier. Management believes trends like MAHA (Make America Healthy Again) and organic movements increase public awareness of food safety, which benefits ReposiTrak. Increased consumer scrutiny raises the 'brand equity cost' for retailers, driving them toward more robust traceability solutions. Management is currently deprioritizing M&A to avoid distraction from the looming FDA traceability deadline. The focus remains on preparing for the expected 'flood' of demand in late 2024 and 2025 as the industry realizes it cannot meet compliance requirements in under 18 months. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here.