mlnk-20250331

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

(Mark One)


x			QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended March 31, 2025


o			TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from _______ to_______

Commission file number: 001-40680

____________________________

MeridianLink, Inc.

(Exact Name of Registrant as Specified in its Charter)

______________________________


Delaware						82-4844620
(State or Other Jurisdiction of Incorporation or Organization)						(I.R.S. Employer Identification No.)

3560 Hyland Avenue, Suite 200, Costa Mesa, CA						92626
(Address of Principal Executive Offices)						(Zip Code)

(714) 708-6950

(Registrant’s Telephone Number, Including Area Code)

______________________________________________

Securities registered pursuant to Section 12(b) of the Act:


Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Common stock, par value $0.001 per share	MLNK	The New York Stock Exchange

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes x No o

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§ 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes x No o

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer

Accelerated filer

Non-accelerated filer

Smaller reporting company

Emerging growth company

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. o

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Act). Yes o No x

As of May 5, 2025, there were 77,190,412 shares of the registrant’s common stock, par value $0.001 per share, outstanding.

MeridianLink, Inc.

Table of Contents


		Page
PART I. FINANCIAL INFORMATION

Item 1.	Financial Statements (unaudited)	3

	Condensed Consolidated Balance Sheets as of March 31, 2025 and December 31, 2024	3

	Condensed Consolidated Statements of Operations for the three months ended March 31, 2025 and 2024	4

	Condensed Consolidated Statements of Stockholders' Equity for the three months ended March 31, 2025 and 2024	5

	Condensed Consolidated Statements of Cash Flows for the three months ended March 31, 2025 and 2024	7

	Notes to Condensed Consolidated Financial Statements (Unaudited)	9

Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	25

Item 3.	Quantitative and Qualitative Disclosures about Market Risk	37

Item 4.	Controls and Procedures	37

PART II. OTHER INFORMATION

Item 1.	Legal Proceedings	39

Item 1A.	Risk Factors	39

Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	73

Item 3.	Defaults Upon Senior Securities	73

Item 4.	Mine Safety Disclosures	73

Item 5.	Other Information	73

Item 6.	Exhibits	74

	Signatures	75

This Quarterly Report on Form 10-Q includes trademarks, such as MeridianLink®, which are protected under applicable intellectual property laws and are the property of MeridianLink, Inc. or its subsidiaries. This Quarterly Report on Form 10-Q also contains trademarks, service marks, copyrights, and trade names of other companies, which are the property of their respective owners. Solely for convenience, our trademarks and trade names referred to in this Quarterly Report on Form 10-Q may appear without the ® or ™ symbols, but such references are not intended to indicate, in any way, that we will not assert, to the fullest extent under applicable law, our rights or the right of the applicable licensor to these trademarks and trade names.

MeridianLink uses its investor relations website (https://ir.meridianlink.com), press releases, SEC filings, public conference calls and webcasts, blog posts on its website, as well as its social media channels, such as its LinkedIn page (www.linkedin.com/company/meridianlink), X (formerly Twitter) feed (@meridianlink), and Facebook page (www.facebook.com/MeridianLink/), as a means of disclosing material information and for complying with its disclosure obligations under Regulation FD. Information contained on or accessible through the websites is not incorporated by reference into this Quarterly Report on Form 10-Q, and links for these websites are inactive textual references only.

PART I – FINANCIAL INFORMATION

Item 1. Financial Statements

MERIDIANLINK, INC.

CONDENSED CONSOLIDATED BALANCE SHEETS

(unaudited)

(in thousands, except share and per share data)


	As of
	March 31, 2025		December 31, 2024
Assets
Current assets:
Cash	$	128,895	$	92,765
Accounts receivable, net	35,412		34,422
Prepaid expenses and other current assets	11,300		10,973
Total current assets	175,607		138,160
Property and equipment, net	1,893		2,167
Right of use assets, net	849		1,095
Intangible assets, net	188,899		201,522
Goodwill	610,063		610,063
Other assets	9,647		8,326
Total assets	$	986,958	$	961,333

Liabilities and Stockholders’ Equity
Current liabilities:
Accounts payable	$	5,796	$	6,798
Accrued liabilities	29,821		29,383
Deferred revenue	39,727		17,170
Current portion of debt, net of debt issuance costs	3,678		3,678
Total current liabilities	79,022		57,029
Long-term debt, net of debt issuance costs	463,989		464,922
Deferred tax liabilities, net	11,598		11,287
Long-term deferred revenue	—		75
Other long-term liabilities	412		527
Total liabilities	555,021		533,840
Commitments and contingencies (Note 5)
Stockholders’ Equity:
Preferred stock, $0.001 par value; 50,000,000 shares authorized; zero shares issued and outstanding at March 31, 2025 and December 31, 2024	—		—
Common stock, $0.001 par value; 600,000,000 shares authorized, 76,659,145 and 76,049,681 shares issued and outstanding at March 31, 2025 and December 31, 2024, respectively	127		127
Additional paid-in capital	718,186		709,057
Accumulated deficit	(286,376)		(281,691)
Total stockholders’ equity	431,937		427,493
Total liabilities and stockholders’ equity	$	986,958	$	961,333

The accompanying notes are an integral part of the unaudited condensed consolidated financial statements.

MERIDIANLINK, INC.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(unaudited)

(in thousands, except share and per share data)


	Three Months Ended March 31,
		2025		2024
Revenues, net		$	81,488	$	77,816
Cost of revenues:
Subscription and services		22,827		21,344
Amortization of developed technology		4,896		4,729
Total cost of revenues		27,723		26,073
Gross profit		53,765		51,743
Operating expenses:
General and administrative		27,685		25,179
Research and development		10,912		9,485
Sales and marketing		11,603		10,536
Restructuring related costs		—		3,191

Total operating expenses		50,200		48,391
Operating income		3,565		3,352
Other (income) expense, net:
Interest and other income		(1,079)		(956)
Interest expense		8,712		9,582
Total other expense, net		7,633		8,626
Loss before provision for income taxes		(4,068)		(5,274)
Provision for income taxes		617		32
Net loss		$	(4,685)	$	(5,306)

Net loss per share:
Basic		$	(0.06)	$	(0.07)
Diluted		$	(0.06)	$	(0.07)
Weighted average common stock outstanding:
Basic		76,516,629		77,335,072
Diluted		76,516,629		77,335,072

The accompanying notes are an integral part of the unaudited condensed consolidated financial statements.

MERIDIANLINK, INC.

CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY
(unaudited)

(in thousands, except share data)


	Common Stock			Additional Paid-in Capital		Accumulated Deficit		Stockholders’ Equity
	Shares	Amount
Balance at December 31, 2024	76,049,681	$	127	$	709,057	$	(281,691)	$	427,493

Vesting of restricted stock units (“RSUs”)	782,503	—		—		—		—
Issuance of common stock due to exercise of stock options	5,000	—		14		—		14

Shares withheld related to net share settlement of RSUs	(178,039)	—		(3,326)		—		(3,326)

Share-based compensation expense	—	—		12,441		—		12,441
Net loss	—	—		—		(4,685)		(4,685)
Balance at March 31, 2025	76,659,145	$	127	$	718,186	$	(286,376)	$	431,937

MERIDIANLINK, INC.

CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY
(unaudited)

(in thousands, except share data)

Common Stock

Additional Paid-in Capital

SEC Form 10-Q filed by MeridianLink Inc.