TransAct at LD Micro 20th annual main event: software pivot deepens

On Wednesday, 21 October 2026, TransAct Technologies Corporation held the LD Micro 20th Annual Main Event Conference to discuss the company's transition. CEO John Dillon highlighted a growing food service software business and a steadier gaming sector, but also pointed to challenges ahead as the company shifts from a hardware-first model to software and recurring revenue.

The gaming business, which holds about 35% of the global market for ticket-in, ticket-out printers, remains a steady cash source. In the second quarter, BOHA! software revenue rose 47% year over year, while annual unit sales in food service have tripled since 2022. TransAct now owns software it once licensed, giving the company better control and potentially improving margins.

The company aims for slightly positive cash flow and EBITDA. Dillon described TransAct as having two main businesses: gaming and food service technology. The gaming unit is a duopoly, with TransAct holding about 35% of the global market. The food service business is still in its growth phase, aiming at a market that is still undergoing digital change.

Management discussed the economics of the software transition and the size of the food service market, which is estimated at $4 billion today and could reach $12 billion by 2032. Annual unit sales in food service have tripled since 2022, with about 40,000 offline legacy units available for upsell. The company has seen its stock climb 41% over the past six months, though it trades above its Fair Value.

Dillon explained how TransAct monetizes software more aggressively, with a standard software bundle for new customers at about $80 a month and existing customer pricing ranging from $20 to $300 a month. The company estimates software gross margin at about 75%. Management cited various examples to show the cost savings of using TransAct's software, such as two to three labor hours saved per store per day.

The company has undergone a broad internal reset since Dillon took over in 2022, bringing in new sales leadership, better compensation plans, and a more focused go-to-market strategy.