Shares of i3 Verticals Inc. (IIIV) plummeted 5.96% in Tuesday's intraday trading session after the company reported mixed results for the fourth quarter of fiscal 2024. While the company's revenue beat analyst estimates, its adjusted earnings per share (EPS) fell short of expectations, leading to the selloff.

For the fourth quarter ended September 30, 2024, i3 Verticals reported revenue of $60.9 million, up 4% year-over-year and surpassing the consensus estimate of $59.29 million. The company's adjusted EBITDA from continuing operations came in at $16.2 million, slightly ahead of analyst expectations of $15.4 million.

However, the company's adjusted EPS of $0.15 for the quarter missed the consensus estimate of $0.27, disappointing investors. Consequently, i3 Verticals' stock experienced a sharp decline in Tuesday's trading session.

During the quarter, i3 Verticals completed the sale of its merchant services business, which has been classified as discontinued operations. The company is now focused on its remaining Public Sector and Healthcare verticals, which generated revenue of $184.8 million and $45.6 million, respectively, for the full fiscal year 2024.

Looking ahead to fiscal 2025, i3 Verticals reaffirmed its guidance, projecting revenue in the range of $243-263 million, adjusted EBITDA of $63-71.5 million, and adjusted EPS of $1.05-1.25. The company expects revenue growth and margin expansion to accelerate in the next fiscal year, driven by its streamlined operations and focus on its core verticals.