LightOn (ALTAI) H2 2024 earnings summary

Executive summary

• 2024 marked a strategic shift to a SaaS model, focusing on enterprise-ready generative AI with the Paradigm platform and Forge service, and achieving first contract wins for recurring revenue and scalable growth.

• Successful IPO in November 2024 raised €13.5 million, doubling market capitalization to €130 million and strengthening the financial structure for accelerated growth and innovation.

• Major technological, business, and organizational milestones achieved post-IPO, including new partnerships, product enhancements, and expanded team with 20 new hires and a new CFO.

• Accelerated commercial momentum with new clients, increased visibility, international expansion, and strategic partnerships with Orange Business and HPE.

• Transitioned business model in 2024 to prioritize recurring revenue from software licenses, laying the foundation for scalable growth.

Financial highlights

• 2024 revenue was €1.1 million, down from €8 million in 2023, reflecting the SaaS transition and loss of one-time Forge revenue.

• Net result was a loss of €4.8 million in 2024, compared to a profit of €3.4 million in 2023.

• Personnel costs increased by €1.8 million due to new hires; other operating costs rose by €1.1 million from R&D, sales, and marketing investments.

• €1.5 million in capitalized innovation costs, mainly for Paradigm enhancements.

• Net cash increased by €9 million post-IPO, with net cash position at €11.9 million at end-2024 after repaying €1.5 million in bonds.

Outlook and guidance

• 2025 target: €6 million ARR from Paradigm licenses, supported by commercial momentum and partnerships.

• 2026 target: positive EBITDA and free cash flow.

• 2027 target: €40 million revenue, €35 million ARR, and ~40% EBITDA margin.

• Sufficient funding from IPO proceeds to meet growth plans through 2027.

• Key performance indicators expected to normalize and improve significantly in 2025.