Revenue growth remains essentially flat at 1.1% in 2026Q2, while gross margins have compressed to 59.4% from historical levels closer to 67%.
| Metric | TTM | Sep'25 | Sep'24 | Sep'23 | Sep'22 | Sep'21 | Sep'20 | Sep'19 | Sep'18 | Sep'17 | Sep'16 | Sep'15 | Sep'14 | Sep'13 | Sep'12 | Sep'11 | Sep'10 | Sep'09 | Sep'08 | Sep'07 | Sep'06 | Sep'05 | Sep'04 |
|---|
| Sales/Revenue | 15.55M | 15.38M | 15.36M | 15.88M | 16.82M | 13.26M | 10.91M | 9.95M | 13.57M | 16.29M | 15.89M | 19.22M | 23.74M | 24.51M | 26.3M | 26.27M | 23.56M | 23.9M | 21.3M | 11.15M | 8.23M | 5.77M | 4.89M |
| Revenue Growth % | 0.53% | 0.16% | -3.32% | -5.55% | 26.85% | 21.56% | 9.6% | -26.65% | -16.73% | 2.5% | -17.32% | -19.01% | -3.14% | -6.81% | 0.11% | 11.5% | -1.44% | 12.24% | 90.97% | 35.41% | 42.75% | 18.02% | - |
| Cost of Goods Sold | 5.54M | 5.14M | 4.92M | 5.01M | 5.12M | 4.53M | 4.51M | 5.36M | 6.75M | 7.16M | 7.28M | 11.04M | 12.21M | 11.54M | 11.77M | 12.99M | 11.21M | 10.53M | 10.3M | 5.02M | 3.81M | 3.11M | 2.29M |
| COGS % of Revenue | - | 33.43% | 32.06% | 31.56% | 30.42% | 34.19% | 41.32% | 53.86% | 49.73% | 43.95% | 45.81% | 57.42% | 51.42% | 47.08% | 44.76% | 49.47% | 47.57% | 44.07% | 48.39% | 45.02% | 46.25% | 53.96% | 46.85% |
| Gross Profit | 10.01M | 10.24M | 10.43M | 10.87M | 11.7M | 8.73M | 6.4M | 4.59M | 6.82M | 9.13M | 8.61M | 8.19M | 11.53M | 12.97M | 14.53M | 13.27M | 12.35M | 13.37M | 10.99M | 6.13M | 4.43M | 2.66M | 2.6M |
| Gross Margin % | 64.36% | 66.57% | 67.94% | 68.44% | 69.58% | 65.81% | 58.68% | 46.14% | 50.27% | 56.05% | 54.19% | 42.58% | 48.58% | 52.92% | 55.24% | 50.53% | 52.43% | 55.93% | 51.61% | 54.98% | 53.75% | 46.04% | 53.15% |
| Gross Profit Growth % | - | -1.85% | -4.02% | -7.1% | 34.11% | 36.34% | 39.37% | -32.67% | -25.33% | 6.04% | 5.23% | -29.02% | -11.07% | -10.72% | 9.44% | 7.46% | -7.61% | 21.64% | 79.25% | 38.52% | 66.64% | 2.23% | - |
| Operating Expenses | 11.71M | 12.67M | 12.45M | 20.79M | 13.6M | 9.91M | 8.04M | 15.66M | 13.81M | 10.52M | 12.16M | 24.29M | 16.77M | 16.12M | 15.13M | 13.82M | 12.59M | 12.54M | 21.32M | 7.14M | 5.24M | 3.12M | 2.73M |
| OpEx % of Revenue | - | 82.35% | 81.08% | 130.85% | 80.86% | 74.73% | 73.75% | 157.36% | 101.78% | 64.56% | 76.48% | 126.34% | 70.63% | 65.79% | 57.53% | 52.61% | 53.44% | 52.46% | 100.13% | 64% | 63.58% | 54.03% | 55.85% |
| Selling, General & Admin | 7.57M | 7.62M | 7M | 7.93M | 8.62M | 5.08M | 5.07M | 8.07M | 6.8M | 8.06M | 8.39M | 9.7M | 12.38M | 13.07M | 11.66M | 10.61M | 10.38M | 10.19M | 9.82M | 5.98M | 5.06M | 3.07M | 2.7M |
| SG&A % of Revenue | - | 49.55% | 45.56% | 49.92% | 51.25% | 38.35% | 46.47% | 81.09% | 50.14% | 49.49% | 52.78% | 50.43% | 52.15% | 53.32% | 44.35% | 40.4% | 44.05% | 42.65% | 46.14% | 53.6% | 61.45% | 53.28% | 55.32% |
| Research & Development | 3.51M | 4.02M | 4.16M | 3.68M | 3.22M | 2.39M | 1.64M | 2.19M | 1.6M | 1.59M | 1.58M | 1.9M | 2.39M | 1.36M | 1.46M | 1.87M | 926K | 1.12M | 619K | 791K | 176K | 43K | 26K |
| R&D % of Revenue | - | 26.16% | 27.09% | 23.16% | 19.13% | 18% | 15.05% | 21.96% | 11.82% | 9.74% | 9.93% | 9.89% | 10.05% | 5.57% | 5.54% | 7.1% | 3.93% | 4.7% | 2.91% | 7.09% | 2.14% | 0.75% | 0.53% |
| Other Operating Expenses | 639K | 1.02M | 1.3M | 9.18M | 1.76M | 2.44M | 1.33M | 5.41M | 5.4M | 868K | 2.19M | 12.69M | 2M | 1.69M | 2.01M | 1.34M | 1.29M | 1.22M | 10.88M | 369K | 0 | 0 | 0 |
| Operating Income | -1.71M | -2.43M | -2.02M | -9.91M | -1.9M | -1.18M | -1.64M | -11.07M | -6.99M | -1.39M | -3.54M | -16.1M | -5.23M | -3.15M | -602K | -547K | -239K | 829K | -10.33M | -1.01M | -810K | -461K | -132K |
| Operating Margin % | -10.99% | -15.78% | -13.15% | -62.42% | -11.28% | -8.92% | -15.07% | -111.21% | -51.51% | -8.5% | -22.29% | -83.76% | -22.05% | -12.87% | -2.29% | -2.08% | -1.01% | 3.47% | -48.52% | -9.02% | -9.84% | -7.99% | -2.7% |
| Operating Income Growth % | - | -20.21% | 79.64% | -422.67% | -60.36% | 28.04% | 85.15% | -58.36% | -404.62% | 60.91% | 78% | -207.7% | -65.92% | -423.92% | -10.05% | -128.87% | -128.83% | 108.02% | -927.14% | -24.2% | -75.7% | -249.24% | - |
| EBITDA | -934K | -1.63M | -907K | -8.36M | -289K | 19K | -676K | -10.42M | -6.58M | -744K | -1.83M | -13.78M | -2.75M | -1.15M | 1.3M | 1.17M | 1.41M | 2.32M | -9.08M | -28K | -69K | -254K | -23K |
| EBITDA Margin % | -6.01% | -10.62% | -5.91% | -52.63% | -1.72% | 0.14% | -6.2% | -104.69% | -48.47% | -4.57% | -11.49% | -71.7% | -11.57% | -4.69% | 4.93% | 4.46% | 5.99% | 9.71% | -42.65% | -0.25% | -0.84% | -4.4% | -0.47% |
| EBITDA Growth % | 28.37% | -80.04% | 89.15% | -2792.73% | -1621.05% | 102.81% | 93.51% | -58.44% | -783.87% | 59.26% | 86.75% | -401.75% | -138.87% | -188.67% | 10.76% | -16.95% | -39.25% | 125.55% | -32339.29% | 59.42% | 72.83% | -1004.35% | - |
| D&A (Non-Cash Add-back) | 775K | 794K | 1.11M | 1.55M | 1.61M | 1.2M | 968K | 649K | 413K | 641K | 1.72M | 2.32M | 2.49M | 2M | 1.9M | 1.72M | 1.65M | 1.49M | 1.25M | 978K | 741K | 207K | 109K |
| EBIT | -1.83M | -2.43M | -1.94M | -9.34M | -1.73M | 140K | 344K | -8.94M | -6.83M | -1.39M | -2.66M | -5.11M | -5.23M | -3.15M | -321K | -547K | -239K | 829K | -10.33M | -1.01M | -810K | -461K | -132K |
| Net Interest Income | 6K | -126K | -61K | -189K | 0 | -883K | -7K | -534K | -394K | -201K | -914K | -892K | -739K | -273K | -276K | -211K | -65K | -40K | 0 | 0 | 0 | 0 | 0 |
| Interest Income | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Expense | -6K | 126K | 61K | 189K | 0 | 883K | 7K | 534K | 394K | 201K | 914K | 892K | 712K | 0 | 276K | 211K | 65K | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Income/Expense | -2K | -130K | 15K | 386K | 4.07M | -6.68M | 1.98M | 1.6M | -233K | -201K | -4.33M | -892K | -739K | -273K | -276K | -211K | -65K | -40K | 24K | -891K | -638K | -56K | -46K |
| Pretax Income | -1.71M | -2.56M | -2M | -9.53M | 2.17M | -7.86M | 337K | -9.47M | -7.22M | -1.59M | -7.87M | -16.99M | -5.97M | -3.43M | -878K | -758K | -304K | 789K | -10.31M | -1.9M | -1.45M | -517K | -178K |
| Pretax Margin % | -11.01% | -16.62% | -13.05% | -59.99% | 12.93% | -59.3% | 3.09% | -95.16% | -53.23% | -9.73% | -49.52% | -88.4% | -25.16% | -13.98% | -3.34% | -2.89% | -1.29% | 3.3% | -48.41% | -17.01% | -17.58% | -8.96% | -3.64% |
| Income Tax | -39K | -39K | -43K | -94K | 30K | -1.17M | 11K | 4K | -3K | 16K | -47K | -226K | 243K | 171K | 68K | 24K | 73K | 31K | 0 | 0 | 0 | 0 | 0 |
| Effective Tax Rate % | 2.28% | 1.53% | 2.15% | 0.99% | 1.38% | 14.93% | 3.26% | -0.04% | 0.04% | -1.01% | 0.6% | 1.33% | -4.07% | -4.99% | -7.74% | -3.17% | -24.01% | 3.93% | 0% | 0% | 0% | 0% | 0% |
| Net Income | -1.67M | -2.52M | -1.96M | -9.44M | 2.15M | -6.69M | 326K | -9.47M | -7.22M | -1.6M | -7.82M | -16.77M | -6.21M | -3.6M | -946K | -782K | -377K | 758K | -10.31M | -1.9M | -1.45M | -517K | -178K |
| Net Margin % | -10.75% | -16.37% | -12.77% | -59.4% | 12.75% | -50.45% | 2.99% | -95.2% | -53.21% | -9.83% | -49.22% | -87.22% | -26.18% | -14.68% | -3.6% | -2.98% | -1.6% | 3.17% | -48.41% | -17.01% | -17.58% | -8.96% | -3.64% |
| Net Income Growth % | 20.42% | -28.4% | 79.22% | -539.86% | 132.07% | -2151.84% | 103.44% | -31.24% | -350.62% | 79.52% | 53.34% | -169.8% | -72.73% | -280.34% | -20.97% | -107.43% | -149.74% | 107.35% | -443.44% | -31.01% | -180.08% | -190.45% | - |
| Net Income (Continuing) | -1.67M | -2.52M | -1.96M | -9.44M | 2.15M | -6.69M | 326K | -9.47M | -7.22M | -1.6M | -7.82M | -16.77M | -6.21M | -3.6M | -946K | -782K | -377K | 758K | -10.31M | -1.9M | -1.45M | -517K | -178K |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | -0.14 | -0.25 | -0.19 | -0.91 | 0.21 | -1.13 | 0.09 | -7.90 | -85.38 | -19.31 | -206.66 | -963.57 | -394.58 | -289.09 | -90.38 | -80.21 | -42.13 | 87.50 | -1360.39 | -448.68 | -447.33 | -169.90 | -73.55 |
| EPS Growth % | 40.03% | -31.58% | 79.12% | -533.33% | 118.58% | -1332.28% | 101.16% | 90.75% | -342.15% | 90.66% | 78.55% | -144.2% | -36.49% | -219.86% | -12.68% | -90.39% | -148.15% | 106.43% | -203.2% | -0.3% | -163.29% | -131% | - |
| EPS (Basic) | - | -0.25 | -0.19 | -0.91 | 0.21 | -1.13 | 0.09 | -7.90 | -85.38 | -19.31 | -206.66 | -963.57 | -394.58 | -289.09 | -90.38 | -80.21 | -42.13 | 87.50 | -1360.39 | -448.68 | -447.33 | -169.90 | -73.55 |
| Diluted Shares Outstanding | 12.08M | 11.23M | 10.42M | 10.42M | 10.37M | 5.94M | 3.56M | 1.2M | 84.55K | 82.94K | 37.86K | 17.4K | 15.75K | 12.45K | 10.47K | 9.75K | 8.95K | 9.02K | 7.58K | 4.23K | 3.24K | 3.04K | 2.42K |
| Basic Shares Outstanding | 12.08M | 11.23M | 10.42M | 10.42M | 10.23M | 5.94M | 3.56M | 1.2M | 84.55K | 82.94K | 37.86K | 17.4K | 15.75K | 12.45K | 10.47K | 9.75K | 8.95K | 8.81K | 7.58K | 4.23K | 3.24K | 3.04K | 2.42K |
| Dividend Payout Ratio | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
Liquidity and going concern risk
As reported in recent financial filings, Bridgeline Digital's revenue has remained essentially flat, with the most recent quarter showing a marginal 1.1% growth, suggesting that new customer acquisitions are barely offsetting the churn within its mid-market install base, leaving the top-line trajectory largely stagnant.
The lack of meaningful revenue expansion indicates that the company's Unbound suite is struggling to capture incremental market share in a competitive digital experience landscape. Investors should monitor whether the current revenue plateau reflects a structural limitation in the company's go-to-market strategy or a broader cyclical weakness in its core e-commerce client base.
Based on the provided income statement data, gross margins have exhibited notable volatility, dropping to 59.4% in 2026Q2 from a historical range closer to 67%, which may indicate rising service delivery costs or a shift in the mix toward lower-margin professional services engagements.
The erosion of gross margin suggests that the company's subscription-based SaaS model is not yet achieving the scale required to offset the labor-intensive nature of its implementation services. This trend warrants further investigation into whether the company is sacrificing pricing power to retain existing customers in an increasingly crowded software infrastructure market.
According to the quarterly income statements, Bridgeline continues to report persistent operating losses, with operating margins fluctuating between -4.4% and -19.2%, demonstrating a failure to achieve the necessary operating leverage to cover its fixed R&D and SG&A expenses at the current revenue scale.
The inability to scale operating income faster than gross profit implies that the company's cost structure is overly rigid for its current revenue level. Without a significant inflection in top-line growth or a drastic reduction in overhead, the company appears likely to remain dependent on external financing to fund its ongoing operations.
Analysis of the company's cost structure reveals that R&D and SG&A expenses consistently consume the entirety of gross profit, as evidenced by the recurring quarterly operating losses that have persisted throughout the last ten reporting periods despite various efforts to manage the expense base.
The company's reliance on high R&D spending to maintain its AI-search capabilities appears to be a defensive necessity rather than a growth-oriented investment. This cost discipline, or lack thereof, suggests that the firm is trapped in a cycle of spending to maintain product relevance while failing to generate the cash flow required for self-sustainability.
While some may argue that the company's proprietary search and commerce IP holds significant strategic value, the financial reality, as shown by the $1.6M cash balance against a $2.5M TTM net loss, suggests that the firm faces a high probability of dilutive financing in the near term.
Short-term investors should be wary of the 'going concern' implications inherent in the current cash-to-burn ratio. The potential for a capital raise may significantly dilute existing shareholders, effectively capping the upside of any latent intellectual property value until the company can demonstrate a clear path to operational cash flow positivity.
Quick answers to the most common questions about buying BLIN stock.
For fiscal year 2025, Bridgeline Digital, Inc. (BLIN) reported total revenue of $15.4M. This represents a 214.7% increase compared to $4.9M in 2004.
Bridgeline Digital, Inc. (BLIN) reported a net loss of $2.5M for the fiscal year ending 2025.
Bridgeline Digital, Inc. (BLIN) reported an operating income of $-2.4M, resulting in an operating profit margin of -15.8%. This margin reflects the operational efficiency of the business before interest and taxes.
Bridgeline Digital, Inc. (BLIN) generated $10.2M in gross profit for the year, representing a gross profit margin of 66.6%. This demonstrates the company's core pricing power and production efficiency.