Grid Dynamics (GDYN) Q4 2024 earnings summary

Executive summary

• Achieved record Q4 2024 revenue of $100.3M, up 28.5% year-over-year and above guidance, with full-year 2024 revenue reaching $351M.

• Growth was driven by both new and existing clients, with notable enterprise wins in automotive, global auctions, grocery retail, and strong demand for digital transformation services.

• Strategic acquisitions of JUXT (UK) and Mobile Computing (Argentina) in 2024 expanded capabilities in financial services, manufacturing, and the Americas.

• Billable engineering headcount reached a record 4,730, supporting global delivery across 19 countries.

• AI initiatives and partnerships with hyperscalers are fueling momentum and expanding the customer base.

Financial highlights

• Q4 2024 revenue grew 28.5% year-over-year to $100.3M; organic revenue (excluding acquisitions) grew 12.8%.

• Q4 2024 non-GAAP EBITDA was $15.6M (15.6% of revenue), up from $10.7M in Q4 2023.

• Q4 2024 GAAP net income was $4.5M ($0.05/share); non-GAAP net income was $10.3M ($0.12/share).

• Q4 2024 non-GAAP gross margin was 37.5%, up from 36.6% a year ago.

• Year-end 2024 cash and equivalents totaled $334.7M, boosted by a follow-on offering.

Outlook and guidance

• 2025 revenue expected in the range of $415M–$435M, representing 18.4%–24.1% year-over-year growth.

• Q1 2025 revenue guidance is $98M–$100M, up 22.8%–25.3% year-over-year.

• Q1 2025 non-GAAP EBITDA projected at $12.9M–$13.9M.

• No margin compression expected in 2025 compared to 2024.

• Five key growth priorities: AI/data leadership, accelerators, industry diversification, global delivery scaling, and deepened partnerships.