By Elias Schisgall

Shares of Intellinetics slid after the software company posted a decline in third-quarter revenue driven by low demand for professional services.

The stock was down 19% at $7.30 in after-hours trading on Monday. Shares ended the market session down less than 1%, and for the year the stock has fallen 34%.

The company posted a third-quarter loss of $370,000, or 8 cents a share, compared with a loss of $393,000, or 9 cents a share, one year earlier.

Revenue fell to $4 million, from $4.6 million a year earlier. Revenue from software-as-a-service increased 15%, to $1.6 million, while revenue from professional services declined to $1.9 million from $2.6 million a year earlier.

Chief Executive James DeSocio said spending on professional services was recovering after a slump, adding that the company had orders that would have production at historical levels into the second quarter.

DeSocio is bullish on software-as-a-service sales. He said customers in the homebuilding and K-12 education markets are beginning to recover from headwinds earlier in the year.

"These markets appear ready to spend again," DeSocio said.

Write to Elias Schisgall at elias.schisgall@wsj.com

(END) Dow Jones Newswires

November 17, 2025 18:08 ET (23:08 GMT)

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