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Trakm8 (TRAK) investor relations material
Trakm8 H1 2025 earnings summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.Executive summary
Revenue for H1 2024 was £8.31m, down from £8.54m year-over-year, mainly due to lower Insurance and Automotive sales, partially offset by growth in Fleet and Optimisation.
Gross margins improved, driven by strong software sales and contract renewals with Iceland and Sainsbury's.
Adjusted profit before tax was £0.02m, compared to £0.12m in H1 2023; profit after tax rose to £0.14m from £0.11m.
Insurance device sales and recurring revenues declined due to market challenges and reduced connections.
A new £1.0m convertible loan note was issued to fund investment in Driver Risk solutions and support working capital.
Financial highlights
Revenue: £8.31m (H1 2024) vs £8.54m (H1 2023); recurring revenue £4.51m vs £5.23m.
Adjusted profit before tax: £0.02m (H1 2024) vs £0.12m (H1 2023).
Profit after tax: £0.14m (H1 2024) vs £0.11m (H1 2023).
Net bank debt increased to £6.66m from £5.57m year-over-year.
Cash generated from operations: £0.35m (H1 2024) vs £2.35m (H1 2023).
Outlook and guidance
Insurance and Automotive device sales expected to remain weak through Q3 FY2025, with potential recovery in Q4 FY2025.
Fleet and Optimisation pipeline remains strong, with significant contract opportunities in H2 2024/25.
Full-year outcome remains uncertain due to Insurance market volatility, but Board expects improved revenues over prior year.
FY2026 Insurance and Automotive volumes remain uncertain but anticipated to improve on FY2025.
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