Research Solutions Inc. (RSSS) outlined plans to expand margins driven by artificial intelligence integration during the 17th Annual Midwest IDEAS Conference on August 27, 2026.
The company reported that platform-based revenue now accounts for 43% of total revenue, up from 39% a year earlier, with gross margins between 80% and 90%. In contrast, document delivery margins remain lower at roughly 24% to 25%, generating approximately $27 million to $28 million in revenue. Over the trailing 12 months, Research Solutions generated $6 million in EBITDA and expects net income to double compared with the prior year.
Annual recurring revenue (ARR) reached about $22 million, a 144% increase from $9 million four years ago. The company maintains a cash position exceeding $12 million, no debt, and an unused credit facility. Roy W. Olivier, chief executive officer, emphasized the strategic value of AI integration, noting that most peer-reviewed scientific research remains behind paywalls, limiting access for large language models such as ChatGPT.
Executives highlighted a shift in contract values, with recent deals involving AI connectors ranging from high five-digit figures to seven-digit amounts, compared with historical averages of $11,000 to $12,000. Corporate clients contribute roughly 80% of revenue, with government and academic clients accounting for the remainder. The company serves about 1,000 corporate clients across 60 sectors, with pharmaceuticals, medical devices, and biotechnology representing 50% of revenue.
Research Solutions holds long-term agreements with 2,900 publishers, covering 85% of global scientific, technical, and medical content. Olivier stated that AI rights agreements cover approximately 60% of worldwide content, exceeding the coverage of major large language models. Dave Kutil, chief financial officer, underscored the company’s strong balance sheet, citing more than $12 million in cash, no debt, and an untapped credit line as key supports for its growth strategy.
The company has completed two acquisitions and executed one customer acquisition since Olivier joined, reviewing roughly 400 potential targets. Management also reported a net renewal rate near 100%, targeting an improvement to between 105% and 110% moving forward.
