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Volue (VOLUE) investor relations material

Volue Q2 2024 earnings summary

Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.
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Q2 2024 earnings summary15 Aug, 2024

Executive summary

  • Q2 2024 operating revenues reached NOK 409 million, up 9% year-over-year, with recurring revenues at 71% of total and SaaS revenues up 38% to NOK 135 million, representing 33% of total revenues.

  • Adjusted EBITDA margin improved to 22% from 17% in Q2 2023, driven by scalability and a shift to recurring revenue streams.

  • The company is transforming its business model to focus on recurring revenues, resulting in improved margins and resilience.

  • A voluntary cash offer for all shares at NOK 42 per share, representing a 51% premium, was announced and is expected to launch in August 2024.

  • Launch of a new AI-based wind model improved forecast accuracy by 20% for the Insight platform.

Financial highlights

  • Recurring revenues for Q2 2024 were NOK 292 million, with annualized ARR exceeding NOK 1.2 billion, up 30% from Q2 2023.

  • Adjusted EBITDA was NOK 88 million, up from NOK 63 million in Q2 2023; gross margin stable at 86%.

  • Net profit for Q2 2024 was NOK 21.9 million; cash flow from operations for H1 2024 was NOK 370 million.

  • CapEx and R&D investments increased slightly, expected to decrease in the short-to-medium term.

  • Cash and cash equivalents at quarter-end were NOK 193 million.

Outlook and guidance

  • Long-term guidance maintained: 15% annual organic growth, 1-2 M&A deals per year, and year-on-year increases in adjusted EBITDA margin, cash conversion, and share of ARR and SaaS revenues.

  • Management expects continued ARR growth into 2024, supported by strong sales and market outlook.

  • Continued strategic investments in SaaS platform and international expansion are planned.

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Frequently asked questions

Volue provides software and technology solutions for the energy, power grid, and infrastructure markets worldwide. Volue's unique insight into the global electricity distribution network from extreme urban conditions to remote locations enables us to provide innovative solutions to some of the most critical challenges in the energy industry today. The company was founded in 2019 and is headquartered in Oslo, Norway.

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