George Risk Industries (RSKIA) reported QQ1 2025 revenue of $5.78 million, up 22.25% YoY and 3.36% QoQ, supported by a resilient demand backdrop in its Security Protection Services portfolio. The company posted a gross profit of $2.945 million and a gross margin of 51.0%, with EBITDA of $3.774 million and operating income of $1.774 million, delivering an operating margin of 30.7%. Net income was $2.705 million, yielding a net margin of 46.8% for the quarter, aided by a substantial non-operating income line of $1.875 million which materially contributed to pretax profitability. On a pro forma basis excluding other income, trailing margins would be more in line with conventional manufacturing/security component peers, suggesting ongoing operating profitability remains solid even without the one-time headwind/benefit. Cash flow remained strong, with net cash provided by operating activities of $2.295 million and free cash flow of $2.19 million; cash and equivalents plus short-term investments stood at $45.87 million against minimal to no debt, leaving the company in a comfortable liquidity position. The balance sheet shows total assets of $64.76 million and total stockholders’ equity of $57.52 million, reinforcing a net cash position and a conservative capital structure. While the business exhibits an unusually high working capital cycle (CCC around 413 days and DIO near 357 days), the company maintains ample liquidity to manage working capital needs and potential expansion initiatives. Given the strong margin profile, healthy cash generation, and a relatively inexpensive earnings multiple, the QQ1 2025 print supports an attractive near-term investment backdrop, albeit with a caveat related to the sustainability of the non-operating income component and working capital intensity.