Mission Statement, Vision, & Core Values of i3 Verticals, Inc. (IIIV)

You want to know if i3 Verticals, Inc. (IIIV) is a solid long-term play, and the answer is always found in the foundation: their Mission Statement, Vision, and Core Values.

The company's shift to a pure-play public sector focus is clearly paying off, with fiscal year 2025 total revenue from continuing operations hitting $213.2 million, an 11.5% increase, plus a strong $57.5 million in Adjusted EBITDA, but what cultural drivers underpin that growth? Given that approximately 76% of their revenue is now recurring, and their Software as a Service (SaaS) segment revenue grew 23% year-over-year, are their core values truly aligned with a sustainable, high-growth model, or is this just a great quarter?

Do you know how their commitment to serving state and local governments translates into a competitive edge, and more importantly, what risks that focus introduces?

i3 Verticals, Inc. (IIIV) Overview

You're looking for a clear, no-nonsense assessment of i3 Verticals, Inc. (IIIV), and the key takeaway is this: the company is executing a definitive pivot to become a pure-play public sector software provider, backed by strong recurring revenue growth in its core segment. This strategic focus is what matters most right now, so let's cut through the noise and look at the numbers.

i3 Verticals, founded in 2012, has historically grown through an acquisition-driven strategy, bundling integrated payment processing with software solutions for specific vertical markets. Their core business now centers on providing mission-critical enterprise software solutions to public sector entities-think state and local governments, courts, and utilities. They've streamlined their focus by selling their Merchant Services Business in late 2024 and their Healthcare RCM Business in mid-2025, which is why you see some transitional noise in the reports. This is a deliberate, high-stakes move to concentrate capital and effort.

Their product portfolio is defintely sticky for customers, offering integrated digital solutions that combine payment technology with workflow automation, compliance management, and reporting tools. The company's proprietary payment facilitation platform supports various methods like credit/debit card transactions and Automated Clearing House (ACH) transfers. This focus on non-discretionary, counter-cyclical markets like JusticeTech and Public Administration provides a stable revenue base, which is exactly what we want to see in a long-term software play.

Here's the quick math on their latest performance, which underscores the success of this strategic shift. For the full fiscal year ended September 30, 2025, i3 Verticals reported total revenue from continuing operations of $213.2 million, an increase of 11.5% over the prior year. That growth is not just vanity; it's driven by the right kind of sales.

The latest fiscal year results confirm i3 Verticals is gaining serious traction in its core markets. The company's focus on software-as-a-service (SaaS) is paying off, with the SaaS segment revenue growing a substantial 23% year-over-year. This is the engine of the business now. More broadly, their Annualized Recurring Revenue (ARR) from continuing operations hit $165.3 million in the fourth quarter of 2025, a solid 9.2% growth rate. This means roughly 76% of their total revenue from continuing operations is recurring, which is a powerful indicator of future stability.

What this estimate hides is the significant improvement in profitability from their core operations. The company delivered full-year net income from continuing operations of $5.6 million, a massive turnaround from a net loss of $16.0 million in the previous fiscal year. Also, their full-year Adjusted EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) from continuing operations grew 14.0% to $57.5 million. That's a clean margin improvement showing operational efficiency.

i3 Verticals is positioning itself as a leader in the specialized, high-barrier-to-entry public sector software and payments space. They've carved out a deep niche by providing integrated solutions to government and public service clients across all 50 U.S. states and Canada. This isn't a generalist play; it's a specialist one, and that's where the best margins are found.

The recent contract win with the Supreme Court of Appeals of West Virginia to implement their new case management software statewide is a concrete example of their market leadership and product validation. They are not just selling a product; they are embedding themselves into the critical infrastructure of government operations. This is a very smart business. If you want to dive deeper into the nuts and bolts of their balance sheet and cash flow, you should check out Breaking Down i3 Verticals, Inc. (IIIV) Financial Health: Key Insights for Investors.

• Focus: Pure-play public sector software.
• Revenue: FY 2025 revenue hit $213.2 million.
• Growth: SaaS segment revenue grew 23% year-over-year.
• Stability: Recurring revenue makes up about 76% of sales.

Their strategic focus on these non-discretionary public sector markets makes them a critical, embedded partner, not an easily replaced vendor. That's why they are succeeding.

i3 Verticals, Inc. (IIIV) Mission Statement

You're looking for the foundational blueprint of i3 Verticals, Inc., and that starts with its mission. The company's core focus is clear: to be an indispensable partner to the public sector, not just a vendor. The mission is to enable state and local governments and related agencies to perform their functions and serve their constituents as effectively and efficiently as possible. This isn't corporate fluff; it's a strategic mandate that guides every investment decision and acquisition.

The significance of this mission is that it locks i3 Verticals into a counter-cyclical, non-discretionary market-government services. This focus on mission-critical enterprise software solutions is what drives the company's long-term financial stability. For the fiscal year ended September 30, 2025, this strategy helped deliver a net income from continuing operations of $5.6 million, a significant turnaround from a net loss of $16.0 million in the prior year. That is a powerful shift in the business model's profitability.

Core Component 1: Delivering Mission-Critical, Cloud-Native Software

The first core component of the mission is the product itself: providing mission-critical, cloud-native enterprise software. This means the software is essential for the client's daily operations (mission-critical) and is delivered over the internet, making it scalable and modern (cloud-native). i3 Verticals serves specific vertical markets like courts, public safety, utilities, and education. It's a deep-dive strategy; they aim to be the best in a niche, not just good everywhere.

This focus is backed by tangible results. The company has thousands of software installations across all 50 U.S. states and Canada. A concrete example of this commitment is the recent contract with the Supreme Court of Appeals of West Virginia to implement their new case management software statewide. This kind of win validates their deep expertise in JusticeTech, a key vertical. They are defintely leading the way in modernizing government systems.

Core Component 2: Commitment to Recurring Revenue and Growth

From a financial analyst's perspective, the second core component is the commitment to a sustainable, recurring revenue model, which is a hallmark of a healthy software business. This is where the strategic shift to a single public sector-focused segment, following the sale of the Merchant Services Business and Healthcare RCM Business in 2024 and 2025, really pays off.

The numbers speak for themselves. For the full fiscal year 2025, revenue from continuing operations grew by over 11%. More importantly, the Annualized Recurring Revenue (ARR) from continuing operations hit $165.3 million in the fourth quarter of 2025, representing a 9.2% period-to-period growth rate. Plus, the Software as a Service (SaaS) revenue grew by a substantial 23% year-over-year. This growth in recurring revenue is what provides long-term stability and predictability. Here's the quick math: approximately 76% of the revenue from continuing operations is considered recurring, largely from software and related services integrated with their payment platform.

Core Component 3: Client Focus and Accountability

The third component is the operational philosophy, encapsulated in their core values of Client Focus, Accountability, and Trust. In the public sector, trust is paramount, and the company emphasizes being an indispensable partner. They understand that if their software fails, a court or a utility office stops working. That is a high-stakes environment.

Their commitment to service is a direct expression of this value. They offer top-tier client services with a U.S.-based support team available 24/7. This is a critical differentiator in the enterprise software space. The company's values are a practical guide to how they operate:

• Trust: Earn client confidence through sound counsel and service.
• Accountability: Place it at the center of every action.
• Simplicity: Offer products that are easy to install and maintain.

i3 Verticals, Inc. (IIIV) Vision Statement

You're looking at i3 Verticals, Inc. (IIIV) right after a major strategic pivot, so the vision isn't just a poster on a wall-it's a clear, executed business model change. The core takeaway is this: the company has successfully transformed into a pure-play software solutions provider for the public sector, moving away from being a diversified payments company. This focus is now the engine driving their long-term growth and margin expansion.

This shift is immediately visible in the 2025 fiscal year numbers. Total revenue from continuing operations for the year ended September 30, 2025, hit $213.2 million, an increase of 11.5% over the prior year, showing the new model is already delivering top-line growth. The entire strategy is now mapped to three key pillars: being mission-critical, accelerating recurring revenue, and fueling growth through smart capital deployment.

Mission: Delivering Mission-Critical Public Sector Solutions

The company's mission is grounded in providing essential, integrated software and payment solutions to vertical markets, specifically government, education, and non-profit sectors. This isn't selling a nice-to-have app; it's providing the core systems that keep public services running-things like court case management and utility billing. This focus creates a deeply sticky customer base, which is a huge competitive advantage.

The recent expansion of the partnership with the West Virginia Supreme Court to implement the i3 Court One case management solution statewide is a concrete example of this mission in action. When you look at their business, it's about providing transformational solutions in critical government functions: courts, public safety, public administration, utilities, and education. That's a stable, recession-resistant market, honestly.

Vision Component 1: The Pure-Play Public Sector Pivot

The first and most crucial component of the current vision is the transition to a pure-play public sector software provider. This means divesting non-core, lower-margin businesses-specifically the Merchant Services and Healthcare Revenue Cycle Management businesses-to concentrate capital and management attention.

The result is a cleaner, higher-quality revenue stream. For the full fiscal year 2025, Adjusted EBITDA from continuing operations was a strong $57.5 million, a 14.0% increase year-over-year. This margin expansion is the direct financial benefit of focusing exclusively on high-value, mission-critical software. The market is rewarding this clarity, even with near-term volatility, because a pure-play software model commands a higher valuation multiple.

Vision Component 2: Accelerating High-Margin Recurring Revenue

The second pillar is the relentless focus on recurring revenue, which is the best predictor of long-term growth prospects. The company is actively shifting contract negotiations to favor Software-as-a-Service (SaaS) and other recurring sources over one-time professional services.

Here's the quick math on their success: Annualized Recurring Revenue (ARR) from continuing operations grew to $165.3 million at the end of fiscal Q4 2025, representing a 9.2% period-to-period growth rate. Even better, SaaS revenue-the stickiest, highest-margin portion-surged by 23% compared to the prior year. Plus, their Net Dollar Retention (NDR) for FY2025 was 104%, meaning the average customer spent 4% more with i3 Verticals this year than last. That's a defintely healthy subscription business profile.

Core Values in Action: Growth, Innovation, and Integrity

The company's core values are best understood through their operational commitments, which center on disciplined growth, continuous innovation, and financial integrity. The growth strategy is primarily acquisition-driven, but anchored by a strong balance sheet. The company has a war chest of approximately $67 million in cash and no debt as of September 30, 2025, giving them flexibility to pursue acquisitions that fit the public sector software profile.

Innovation is seen in their investment in new product development, especially in the justice and utility markets, which they expect to accelerate in 2026. Integrity and financial discipline are reflected in their move toward consistent, normalized price increases of 3% to 5% annually, a strategic adjustment after being too conservative in the past. This move ensures they capture fair value for their mission-critical solutions.

• Deploy cash for strategic acquisitions.
• Increase SaaS penetration in core markets.
• Maintain 104% Net Dollar Retention.

To understand the investor sentiment around this transition, you should read Exploring i3 Verticals, Inc. (IIIV) Investor Profile: Who's Buying and Why?

i3 Verticals, Inc. (IIIV) Core Values

You're looking at i3 Verticals, Inc. (IIIV) and trying to understand the principles guiding their strategic pivot to a pure-play public-sector software provider. Honestly, a company's values are its operating manual, especially when they're in a transition year. The core principles-Excellence & Integrity, Driving Growth, and Stronger Together-aren't just posters on a wall; they map directly to the company's financial discipline and market wins in fiscal year 2025.

This focus is why they've successfully shifted their business model, moving away from lower-margin services. If you want a deeper dive into the history and how they make money, you can check out i3 Verticals, Inc. (IIIV): History, Ownership, Mission, How It Works & Makes Money.

Excellence & Integrity

This value is about delivering mission-critical solutions-the kind of software that courts, utilities, and public safety agencies can't afford to have fail. It's the commitment to quality that lets them serve thousands of software installations across all 50 U.S. states and Canada. When your clients are state and local governments, integrity is your currency.

Here's the quick math on this value: The company's gross profit margin, a key measure of operational excellence, remained impressive, reflecting the high value of their specialized software solutions. They are also emphasizing secure, cloud-native Software-as-a-Service (SaaS) solutions, which is a defintely higher standard of product delivery.

• Won statewide West Virginia CourtOne™ contract.
• Maintained high ethical standards in public sector dealings.
• Focused on agile development and scalable platforms.

The strategic win of the statewide CourtOne™ case management solution in West Virginia, a multi-year, eight-figure revenue contract, is a concrete example of this excellence paying off. It validates their investment in the JusticeTech vertical, proving their platform is a market leader.

Driving Growth

For a software company, growth isn't just about total revenue; it's about the quality of that revenue. i3 Verticals is laser-focused on recurring revenue (the predictable, sticky kind). For the full fiscal year 2025, the company reported total revenue from continuing operations of $213.2 million, with an overall growth of over 11% from the prior year. The real story, though, is in the quality of that growth.

Recurring revenue made up about 75% of total revenue in Q4 2025, and their Annual Recurring Revenue (ARR) grew 9.2% year-over-year to $165.3 million. Plus, their Net Dollar Retention (NDR) for fiscal 2025 was 104%. This means the average existing customer is spending 4% more with them this year than last year. That's a strong growth engine.

• Increased SaaS revenue by 23% in Q4 2025.
• Executed strategic acquisitions to expand software offerings.
• Announced a new $50 million share repurchase program in 2025.

The company is also getting more disciplined on pricing, moving toward normalized 3% to 5% annual price increases, a clear action to capture more value from their mission-critical software solutions. They ended the fiscal year with a strong balance sheet, holding approximately $67 million in cash and no debt, giving them flexibility for future strategic acquisitions.

Stronger Together

This value is the internal engine, recognizing that people build great software. It covers both employee collaboration and the deep, integrated partnerships with customers. The company explicitly prioritizes a collaborative culture, competitive compensation, and flexible work arrangements to attract and retain talent in a tight labor market.

Their investment in their employees is a direct investment in their product quality. You see this in the continued investment in product innovation, specifically in the JusticeTech and Utility offerings, which requires high-caliber development and implementation teams. This is a long-term play, not a short-term cost cut.

• Prioritizes a safe, healthy, and collaborative workplace.
• Invests in development and implementation capacity for Justice products.
• Fosters team-building through traditions like the Ragnar Relay.

The commitment to their people is what allowed them to execute two complex divestitures (Healthcare RCM Business and Merchant Services Business) smoothly in 2024 and 2025, successfully transforming into a focused software-only company. The final adjusted diluted earnings per share from continuing operations of $1.05 for fiscal 2025 is a result of this focused, unified effort.