‹ Pattern Group
Ch 5 · The Story Behind the Numbers
Chapter 5 · Behind the Numbers
The numbers, in the company's own words.
Pattern’s latest 10-Q, in plain English — growth, the margin dip, and the concentration.
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✦ The bottom line
Anyone can read the revenue line. The story — what’s accelerating, what compressed, and what’s concentrated — is the part Pattern lays out in its filings.
↓ the brief below
✦ Seven threads from the latest 10-Q
1
Revenue growth is accelerating.
FY2025 net revenue was $2.50 billion, up 38%; the latest quarter grew even faster at +43% ($774M). The marketplace-skim model is scaling.
2
But profit compressed in the IPO year.
Operating income fell to $25M in FY2025 from $87M — a ~70% compression, the cost of going public and investing for growth.
3
And it’s already reversing.
Latest-quarter operating income rose to $40M from $29M — the margin squeeze appears to be turning back up.
4
Real, growing cash generation.
Operating cash flow was $99 million in FY2025, up from $70M — the business funds itself even through the margin dip.
5
~70% of revenue rides on Amazon.
About 70% of net revenue comes from Amazon’s marketplaces. Walmart and others are growing, but the concentration is the headline risk.
6
Efficient by design.
Roughly $1.2 million of revenue per employee — high for a services-plus-software business, a sign the model scales without proportional headcount.
7
The first insider-selling window opens soon.
The post-IPO lockup lifts in March 2026 — the first chance for founders and insiders to sell. Watch how much, and who.
Source · 10-Q · Income Statement + MD&A · Q1 FY26 · Filed May 7, 2026
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Read the whole story
Seven threads management is telling — accelerating growth, a recovering margin, real cash, and a heavy Amazon dependence.
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Chapter 5 · BEHIND THE NUMBERS
The Story Behind the Numbers
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