IODM (IOD) H2 2024 earnings summary

Executive summary

• Revenue increased 67% year-over-year to $2.61 million, driven by UK education sector growth and a new revenue share agreement with Convera, which contributed a 195% increase in revenue share to $1.08 million.

• Net loss after tax rose 30% to $3.11 million, reflecting higher operating expenses and investments in technical and onboarding capabilities.

• Cash receipts reached a record in Q3 FY24, supported by the new Convera agreement, which provides a minimum guaranteed monthly payment and broader revenue participation.

• Share placements raised $800,000 in March 2024 and $1.71 million in August 2024 to support global expansion and working capital.

Financial highlights

• Total revenue: $2,607,983 (up from $1,571,459 year-over-year).

• Net loss after tax: $3,105,765 (up from $2,396,987 year-over-year).

• Basic and diluted loss per share: 0.52 cents (vs. 0.41 cents prior year).

• Cash at bank at year-end: $282,712 (down from $1,782,065 prior year).

• Net deficiency in equity: $840,613 (vs. net equity of $1,343,619 prior year).

Outlook and guidance

• Additional UK universities onboarded in Q4 FY24, with further onboarding expected in FY25 to increase revenue share.

• Expansion into North America planned, funded by recent capital raise.

• Anticipated R&D tax incentive offset of ~$505,000 in Q2 FY25.