OMCC Narrows Loss to $720K on 520% Revenue Surge Post-Amplex Acquisition

Ticker: OMCC · Form: 10-Q · Filed: Aug 14, 2025 · CIK: 1000045

Old Market Capital CORP 10-Q Filing Summary
FieldDetail
CompanyOld Market Capital CORP (OMCC)
Form Type10-Q
Filed DateAug 14, 2025
Risk Levelmedium
Pages15
Reading Time18 min
Key Dollar Amounts$0.00, $0.01
Sentimentbullish

Sentiment: bullish

Topics: Internet Services, Broadband, Acquisition, Revenue Growth, Net Loss Reduction, Strategic Pivot, Capital Expenditure

TL;DR

**OMCC's pivot to internet services is paying off big, with revenue exploding and losses shrinking – this stock is finally showing signs of life.**

AI Summary

OLD MARKET CAPITAL Corp (OMCC) reported a significant turnaround in its financial performance for the three months ended June 30, 2025, narrowing its net loss to $720 thousand, a substantial improvement from the $3.513 million net loss in the same period of 2024. This improvement was primarily driven by a massive increase in total revenue, which surged to $3.034 million in Q2 2025 from $489 thousand in Q2 2024, representing a 520% increase. Wireless internet services revenue grew from $319 thousand to $1.672 million, and fiber internet services revenue increased from $106 thousand to $930 thousand, largely due to the acquisition of Amplex Holdings, Inc. in June 2024. Operating expenses remained relatively stable at $4.020 million in Q2 2025 compared to $4.060 million in Q2 2024, despite the revenue growth. The company also saw a reduction in other expenses, notably the absence of the $1.711 million emigration tax expense and $829 thousand loss on dissenting shareholders' liability incurred in Q2 2024. Cash and cash equivalents decreased from $24.516 million at March 31, 2025, to $22.034 million at June 30, 2025, primarily due to $3.731 million in payments for property, plant, and equipment. The strategic shift from consumer finance to internet services via the Amplex acquisition is the key business change.

Why It Matters

This filing reveals OMCC's successful pivot from a declining consumer finance business to a growing internet services provider, largely through the Amplex acquisition. The dramatic revenue increase in wireless and fiber internet services demonstrates strong operational momentum and validates the strategic shift, offering a clearer growth path for investors. For customers in Northwest and North Central Ohio, this means continued investment in broadband infrastructure. Employees of Amplex benefit from a more stable and growth-oriented parent company. Competitively, OMCC is now a more significant player in regional broadband, potentially challenging established providers and driving innovation in the market.

Risk Assessment

Risk Level: medium — While revenue growth is strong, OMCC still reported a net loss of $720 thousand for the quarter. The company's cash and cash equivalents decreased by $2.482 million from March 31, 2025, to June 30, 2025, and it incurred $3.731 million in payments for property, plant, and equipment, indicating significant capital expenditure needs for its new business model. This continued cash burn and reliance on capital for expansion present a medium-term risk.

Analyst Insight

Investors should monitor OMCC's continued integration of Amplex and its ability to achieve profitability in the coming quarters. The significant capital expenditures for property, plant, and equipment suggest ongoing investment in infrastructure, which is crucial for long-term growth in the internet services sector. Consider this a speculative buy for investors comfortable with growth-stage companies in a transitional phase.

Financial Highlights

debt To Equity
0.24
revenue
$3,034,000
operating Margin
-132.5%
total Assets
$78,925,000
total Debt
$1,675,000
net Income
-$720,000
eps
-$0.11
gross Margin
42.6%
cash Position
$22,034,000
revenue Growth
+520.0%

Revenue Breakdown

SegmentRevenueGrowth
Wireless internet services$1,672,000+424.1%
Fiber internet services$930,000+775.5%
Other revenue$432,000+575.0%

Key Numbers

Key Players & Entities

FAQ

What were OLD MARKET CAPITAL Corp's key financial results for the quarter ended June 30, 2025?

OLD MARKET CAPITAL Corp reported a net loss of $720 thousand for the three months ended June 30, 2025, a significant improvement from the $3.513 million net loss in the prior year. Total revenue surged to $3.034 million, up from $489 thousand in the same period of 2024.

How did the Amplex acquisition impact OMCC's revenue in Q2 2025?

The Amplex acquisition significantly boosted OMCC's revenue. Wireless internet services revenue increased from $319 thousand in Q2 2024 to $1.672 million in Q2 2025, and fiber internet services revenue grew from $106 thousand to $930 thousand, directly attributable to Amplex's operations.

What was the change in OMCC's cash position during the quarter?

OMCC's cash and cash equivalents decreased from $24.516 million at March 31, 2025, to $22.034 million at June 30, 2025. This decrease was primarily due to $3.731 million in payments for property, plant, and equipment.

What strategic changes did OLD MARKET CAPITAL Corp undergo recently?

OLD MARKET CAPITAL Corp completed a strategic pivot from a specialized consumer finance company to a holding company focused on internet services. This involved selling its finance receivables to Westlake Financial in April 2024 and acquiring a majority stake in Amplex Holdings, Inc. in June 2024.

What is OMCC's current ownership percentage in Amplex Holdings, Inc.?

As of December 2024, OLD MARKET CAPITAL Corp increased its ownership percentage in Amplex Holdings, Inc. to 60.9% of the issued and outstanding common shares, following an additional investment of $4.5 million.

What were the primary reasons for the reduction in OMCC's net loss?

The reduction in net loss was primarily due to a substantial increase in total revenue from internet services and the absence of significant one-time expenses incurred in Q2 2024, such as the $1.711 million emigration tax expense and $829 thousand loss on dissenting shareholders' liability.

What are the main risks for investors in OLD MARKET CAPITAL Corp?

Despite strong revenue growth, OMCC continues to report a net loss and has significant capital expenditure requirements for its internet services infrastructure, evidenced by $3.731 million in payments for property, plant, and equipment. Continued cash burn and the need for future capital could pose risks.

How many broadband customers does Amplex have as of June 30, 2025?

As of June 30, 2025, Amplex had approximately 13,200 broadband customers, with 4,800 of those being fiber subscribers. Amplex also completed over 13,000 fiber passings.

What is the estimated useful life for OMCC's fiber plant assets?

The estimated useful life for OMCC's fiber plant assets, as part of its property, plant, and equipment, is between 15 and 30 years, according to the company's depreciation policy.

What is the par value of OLD MARKET CAPITAL Corp's common stock?

As a result of its domestication from British Columbia to Delaware on April 18, 2024, OLD MARKET CAPITAL Corp's common stock par value increased from $0.00 to $0.01 on a one-for-one basis.

Risk Factors

Industry Context

Old Market Capital Corp. is operating in the highly competitive telecommunications sector, specifically focusing on wireless and fiber internet services. The industry is characterized by rapid technological advancements, significant capital investment requirements for infrastructure, and a growing demand for high-speed connectivity. Key trends include the expansion of 5G networks, increased adoption of fiber-to-the-home, and consolidation through mergers and acquisitions.

Regulatory Implications

The internet services industry is subject to various regulatory frameworks, including those governing telecommunications, data privacy, and potentially net neutrality. OMCC must ensure compliance with these regulations, which could involve obtaining licenses, adhering to service standards, and protecting customer data. Changes in these regulations could impact operational costs and business strategies.

What Investors Should Do

  1. Monitor integration progress of Amplex Holdings, Inc.
  2. Analyze capital expenditure plans and their impact on cash flow.
  3. Evaluate competitive positioning within the internet services market.
  4. Assess the sustainability of revenue growth.

Key Dates

Glossary

Amplex Holdings, Inc.
A company acquired by Old Market Capital Corp. that provides wireless and fiber internet services. (Its acquisition is the primary driver of OMCC's recent revenue growth and strategic business shift.)
Redeemable Non-Controlling Interest
Represents the equity interest of minority shareholders in a subsidiary that the company has the option or obligation to redeem. (This item on the balance sheet indicates a portion of the company's equity is held by others and may be repurchased.)
Treasury Stock
Shares of the company's own stock that have been repurchased from the open market. (Reduces the number of outstanding shares and total shareholders' equity, often used for stock-based compensation or to boost EPS.)
Operating lease right-of-use assets
Assets recognized under accounting standards for leases, representing the right to use an asset for the lease term. (Reflects the company's use of leased assets, such as office space or network equipment, in its operations.)
Goodwill
An intangible asset that arises when a company acquires another company for a price greater than the fair value of its identifiable net assets. (Represents the premium paid for the acquisition of Amplex Holdings, Inc., indicating the perceived value of its brand, customer relationships, or other unidentifiable assets.)
Contract liability
An obligation to transfer goods or services to a customer for which the company has received consideration from the customer. (Indicates revenue that has been received in advance for services not yet rendered, common in subscription-based businesses like internet services.)

Year-Over-Year Comparison

Compared to the prior year's second quarter, Old Market Capital Corp. has demonstrated a dramatic turnaround. Total revenue has surged by 520% to $3.034 million, primarily due to the strategic acquisition of Amplex Holdings, Inc., which significantly boosted wireless and fiber internet services revenue. Despite this revenue explosion, operating expenses remained relatively stable, leading to a substantial reduction in net loss from $3.513 million to $720 thousand. However, cash and cash equivalents saw a decrease due to significant capital investments in property, plant, and equipment, indicating a focus on infrastructure development for the new core business.

Filing Stats: 4,464 words · 18 min read · ~15 pages · Grade level 16.8 · Accepted 2025-08-14 16:00:55

Key Financial Figures

Filing Documents

Financial Statements

Financial Statements 3 Condensed Consolidated Balance Sheets as of June 30, 2025 and March 31, 2025 3 Condensed Consolidated Statements of Operations for the Three Months Ended June 30, 2025 and 2024 4 Condensed Consolidated Statements of Redeemable Non-Controlling Interest and Shareholders' Equity for the Three Months Ended June 30, 2025 and 2024 5 Condensed Consolidated Statements of Cash Flows for the Three Months Ended June 30, 2025 and 2024 7 Notes to the Condensed Consolidated Financial Statements 8 Item 2.

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 33 Item 3.

Quantitative and Qualitative Disclosures about Market Risk

Quantitative and Qualitative Disclosures about Market Risk 39 Item 4.

Controls and Procedures

Controls and Procedures 39 Part II Other Information 41 Item 1.

Legal Proceedings

Legal Proceedings 41 Item 1A.

Risk Factors

Risk Factors 41 Item 2. Unregistered Sale of Equity Securities and Use of Proceeds 41 Item 3. Defaults Upon Senior Securities 41 Item 4. Mine Safety Disclosures 41 Item 5. Other Information 41 Item 6. Exhibits 42 2

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION

FINANCIAL STATEMENTS

ITEM 1. FINANCIAL STATEMENTS Old Market Capital Corporation Condensed Consolidated Balance Sheets (Unaudited) (In thousands) June 30, 2025 March 31, 2025 Assets Current assets: Cash and cash equivalents $ 22,034 $ 24,516 Accounts receivable - net of related allowance for credit losses of $ 1 and $ 2 , as of June 30, 2025 and March 31, 2025, respectively 146 109 Materials and supplies 1,005 968 Income taxes receivable 902 902 Prepaid expenses and other current assets 1,258 941 Assets of discontinued operations 14 - Total current assets 25,359 27,436 Operating lease right-of-use assets 2,894 2,963 Property, plant, and equipment, net 34,494 30,945 Intangible assets, net 3,546 3,673 Goodwill 12,280 12,280 Other assets 352 375 Total assets $ 78,925 $ 77,672 Liabilities, redeemable non-controlling interest and shareholders' equity Current liabilities: Accounts payable $ 2,337 $ 1,300 Accrued expenses and other current liabilities 699 588 Operating lease liability - current portion 291 286 Contract liability 612 569 Current portion long-term debt 57 69 Liabilities of discontinued operations - 90 Total current liabilities 3,996 2,902 Deferred income taxes 4,326 4,306 Long-term debt 1,618 759 Operating lease liability 2,612 2,685 Total liabilities 12,552 10,652 Commitments and contingencies (Note 10) Redeemable non-controlling interest 13,908 13,880 Shareholders' equity: Preferred stock, no par: 5,000 shares authorized; none issued - - Common stock, 50,000 shares authorized, $ 0.01 par value, 12,716 shares issued and 6,708 outstanding at June 30, 2025; no par value, 12,674 shares issued and 6,696 shares outstanding at March 31, 2025 67 67 Treasury stock: 6,008 and 6,020 common shares, at cost, as of June 30, 2025 and March 31, 2025, respectively ( 82,321 ) ( 82,423 ) A

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