Deezer (DEEZR) Q4 2024 earnings summary

Executive summary

• Achieved 12% year-over-year revenue growth to €542 million in 2024, surpassing targets and marking the first year of positive free cash flow (€7 million), with adjusted EBITDA at €-4 million and break-even in H2.

• Net loss narrowed to €26 million from €59.6 million in 2023, reflecting improved profitability and cost discipline.

• Strategic focus on core markets, innovation, and partnerships drove results and set the stage for long-term sustainable growth.

• Robust cash position of €62 million at year-end and net cash of €47 million, reflecting improved financial discipline.

Financial highlights

• Revenue grew 11.8% year-over-year (12.7% at constant FX), reaching an all-time high of €542 million; direct revenue up 4%, partnerships up 24%.

• Adjusted gross profit increased 21.2% to €134 million (24.7% margin), with margin improvement across all segments.

• Adjusted EBITDA improved by €25 million to €-4 million, with positive adjusted EBITDA in H2 2024.

• Free cash flow was positive at €7 million, and year-end cash position was €62 million.

• Net loss per share improved to €-0.21 from €-0.47; operating loss reduced to €27.5 million from €64.4 million.

Outlook and guidance

• 2025 revenue expected to be flat or slightly declining year-over-year due to no ARPU increase and high 2024 base.

• Guidance reaffirmed for positive adjusted EBITDA and positive free cash flow in 2025.

• Strategic roadmap focuses on innovation, Gen Z engagement, and new business models for future growth.