Airthings (AIRX) Q4 2024 earnings summary

Executive summary

• Q4 2024 revenues reached USD 10.3 million, stable year-over-year, with Consumer segment at a record USD 7.9 million, up 12% YoY and 25% adjusted for a one-time item; over 320,000 consumer devices shipped in 2024, up 40% YoY.

• Strong consumer demand in the US and Canada, with rising awareness of indoor air quality and radon risk, especially in North America.

• Entered 2025 with a leaner organization, lower cost base, and updated strategy to capitalize on market changes and improve margins.

• Business segment revenues declined 31–35% YoY, but showed underlying or sequential growth after adjusting for large prior-year deals.

• Gross margin declined to 45% in Q4, impacted by inventory buybacks, write-downs, and sales mix.

Financial highlights

• Q4 2024 group revenues were USD 10.3 million, flat YoY; Consumer segment at USD 7.9 million, up 12% YoY and 25% adjusted for one-offs.

• Total annual revenues were USD 38.5 million, up 5% YoY, with 80% from the Consumer segment.

• Q4 gross profit was USD 4.6 million, down 29% YoY; gross margin dropped from 63% to 45%.

• EBITDA for Q4 was negative USD 4.2 million; full year EBITDA was negative USD 9.1 million.

• Annual recurring revenue (ARR) reached USD 4.4 million, up 6% YoY.

Outlook and guidance

• Revenues in both Consumer and Business segments expected to grow in Q1 2025, with guidance of USD 9.0–11.0 million.

• Gross margin expected to normalize in Q1 2025 as one-time Q4 costs are not recurring.

• Strategy targets positive EBITDA in H2 2025 and for full year 2026.

• ARR guidance discontinued; focus remains on revenue guidance.

• Continued strong demand anticipated in both Consumer and Business segments, with positive momentum in Business and stable development in Pro.