comScore (SCOR) Q2 2024 earnings summary

Executive summary

• Q2 2024 revenue was $85.8 million, down 8.4% year-over-year, with ongoing challenges in legacy media and slower-than-expected turnaround progress.

• Net loss for Q2 2024 was $1.7 million, a significant improvement from a $44.9 million net loss in Q2 2023, which included a $44.1 million goodwill impairment.

• Adjusted EBITDA for Q2 2024 was $6.9 million (8.1% margin), down from $8.9 million (9.6% margin) in Q2 2023, with cost controls helping offset revenue declines.

• Core operating expenses decreased 6.1% year-over-year, mainly due to restructuring and lower headcount.

• Leadership remains confident in the turnaround strategy, emphasizing innovation and new product launches to address emerging media measurement needs.

Financial highlights

• Q2 2024 revenue: $85.8 million (down 8.4% year-over-year); H1 2024 revenue: $173 million (down 6.8%).

• Q2 2024 net loss: $1.7 million; Q2 2024 adjusted EBITDA: $6.9 million (8.1% margin); H1 2024 adjusted EBITDA: $15 million.

• Content & Ad Measurement revenue declined 6.7% to $72.2 million; Movies business grew 5% year-over-year in Q2.

• Research & Insight Solutions revenue fell 16.5% to $13.6 million, reflecting reduced custom digital solutions demand.

• Cash and equivalents at June 30, 2024: $14.7 million; outstanding revolver borrowings: $10 million.

Outlook and guidance

• Full-year 2024 revenue guidance revised to $350–$360 million, a 3–6% decline from 2023; adjusted EBITDA margin target of at least 10%.

• Q3 2024 revenue expected to decline 4–6% year-over-year, with moderation in declines anticipated by year-end as Proximic and CCR ramp.

• Management expects a return to growth in 2025, driven by new product adoption and cross-platform expansion.

• Approximately $220 million in remaining performance obligations, with 30% expected to be recognized in 2024.