Addvalue Technologies (A31) H2 2024 earnings summary

Executive summary

• FY2024 revenue rose 69.2% YoY to US$12.8m; a US$278k post-tax profit reversed three consecutive years of losses.

• Growth came mainly from Space Connectivity (SPC) and Advanced Digital Radio (ADR); the confirmed order book was approximately US$9m entering FY2025.

Financial highlights

• FY2024 revenue was US$12.774m vs US$7.549m; 2H revenue was US$8.2m vs US$5.1m in 2H FY2023.

• Gross profit was US$6.709m and gross margin 52.5%, up from US$3.596m and 47.6% in FY2023.

• Profit before tax was US$307k and net profit US$278k, versus FY2023 losses of US$3.337m and US$2.992m, respectively.

• Basic and diluted EPS was US$0.01 cent vs a loss of US$0.10 cent in FY2023.

• Operating cash flow was US$1.801m generated vs US$2.734m used in FY2023; cash at year-end was US$535k.

Outlook and guidance

• Management expects the growth momentum to continue over the next 12 months, with accelerated IDRS terminal and recurring airtime revenue anticipated after planned customer satellite launches.

• At least 12 IDRS flight terminals were estimated to launch over the following 6–12 months, adding to airtime revenue.

• SPC order book was approximately US$3.0m, with a high-confidence sales-lead pipeline of US$5.0m.

• ADR order book, including design and supply contracts, was approximately US$6.4m, with a high-confidence pipeline of US$4.6m.

• Development work on new ADR design contracts is expected to be completed in part during FY2025, enabling later supply revenue.