Atrys Health (ATRY) Q2 2024 earnings summary

Executive summary

• H1 2024 revenue rose 5.0% YoY to €107.443m, or 6.4% at constant exchange rates; adjusted EBITDA increased 24.6% to €25.3m.

• Consolidated net loss narrowed to €16.585m from €23.150m, while the operating loss widened to €5.259m from €2.397m.

Financial highlights

• Gross margin increased 2.8% to €72.2m, but fell 146 bps to 67.2% of revenue; adjusted EBITDA margin improved 368 bps to 23.5%.

• Management's operating cash flow measure grew 46.0% to €15.9m; adjusted operating cash flow rose 43.2% to €19.2m.

• Cash flow from operating activities was negative €17.176m, including a €14.726m working-capital outflow; period-end cash was €12.081m versus €41.829m at year-end.

• H1 capex was €6.0m, down 11.9% YoY, including €1.9m of R&D capex and €1.3m for oncology centre expansion in Mexico.

Outlook and guidance

• FY2024 guidance was reiterated: revenue of €220–224m and adjusted EBITDA of €47–49m.

• The 2024 cost optimisation plan was progressing as planned; expansion capex planned for the year had been executed in H1.

• H2 priorities included strengthening core-business growth and launching new services in Chile in response to insurer and public-system demand.