Safe Harbor Financial (NASDAQ:SHFS) reported preliminary unaudited financial results for the fourth quarter and full year ended December 31, 2025, on Wednesday, April 1, 2026.
For the fourth quarter of 2025, Safe Harbor generated $2.1 million in revenue, representing a 12% sequential increase from the third quarter.
A primary driver of this growth was the company's loan program income, which surged 71% sequentially to $0.9 million.
On a full-year basis, net revenue fell to $7.7 million, compared to $15.2 million in 2024.
Management noted that the year-over-year decline was largely a result of the company’s intentional shift away from lower-margin legacy services and toward a more sustainable, credit-focused business model.
A major milestone for the fiscal year was the September 2025 recapitalization, which fundamentally transformed the company’s financial health.
The initiative eliminated $18.3 million of debt, significantly reducing interest expense and raised $6.8 million in fresh capital, restoring the company to a positive equity position.
Additionally, Safe Harbor entered into a Second Amended Credit Administration Agreement (CAA), which extends the company's partnership terms with PCCU through 2031.
Crucially, the new agreement increases Safe Harbor’s share of loan program income up to 65%, providing a clear path to enhanced profitability as its loan book matures.