Shares of i3 Verticals (NASDAQ: IIIV) dropped over 10% after a conservative growth forecast for the year ahead. Revenue from continuing operations rose by 7% to $54.9 million in Q4, driven by a 23% increase in software-as-a-service revenue. However, lower-margin professional services sales led to a slight decrease in profitability.

Looking ahead to fiscal 2026, i3 Verticals expects revenue of $217 million to $232 million and adjusted EBITDA of $58.5 million to $65 million. Management anticipates slower revenue recognition in certain markets but expects growth to rebound in fiscal 2027 and beyond. Despite this, the stock fell on Monday.

Read more at Yahoo Finance: Why i3 Verticals Stock Dropped Today