Heeros (HEEROS) Q4 2024 earnings summary

Executive summary

• Revenue grew 1% year-over-year to €11.4 million, with improved profitability, cash flow, and new sales compared to 2023.

• Adjusted EBITDA increased 10% to €2.9 million, representing 26% of revenue.

• Net income rose to €619 thousand from €177 thousand, and operating cash flow surged 86% to €3.8 million.

• Accountor Finago Oy made a recommended public cash tender offer for all shares and options in November 2024.

Financial highlights

• H2 2024 revenue up 2% to €5.7 million; Q4 revenue up 3% to €2.9 million year-over-year.

• Recurring revenue stable at €10.7 million; contract revenue up 4%, transaction revenue down 15%.

• Adjusted EBITDA margin improved to 26% (23% in 2023); Rule of 40 (adjusted) at 26%.

• Operating profit (EBIT) up 156% to €749 thousand; adjusted EBIT up 117% to €1.0 million.

• Earnings per share (EPS) at €0.12 (diluted €0.11); equity ratio 70%, ROE 8%.

Outlook and guidance

• No financial guidance for 2025 due to the pending Accountor Finago Oy tender offer.

• Management sees strong positioning for 2025, with readiness to pursue growth and profitability opportunities.