Serko (SKO) H2 2024 earnings summary

Executive summary

• FY24 total income rose 48% to NZ$71.2m, while the after-tax loss narrowed 48% to NZ$15.9m and EBITDAF loss improved 93% to NZ$1.6m.

• Growth was driven by Booking.com for Business and stronger Australasian performance; underlying average monthly cash burn fell to NZ$0.6m, supporting the FY25 cashflow-positive target.

Financial highlights

• Revenue increased 48% to NZ$68.8m; other income rose to NZ$2.4m from NZ$1.5m, taking total income to NZ$71.2m.

• Operating expenses rose 8% to NZ$89.7m, while total spend increased 1% to NZ$83.9m, below the FY24 guidance range of NZ$86m–NZ$90m.

• Net loss after tax improved to NZ$15.9m from NZ$30.5m; EBITDAF loss narrowed to NZ$1.6m from NZ$21.8m.

• Underlying cash flow improved to negative NZ$7.1m from negative NZ$32.6m; cash on hand was NZ$80.6m, down 8% YoY.

Outlook and guidance

• FY25 total income is forecast at NZ$85m–NZ$92m, with new unmanaged customer acquisition and activation initiatives expected to lift volumes and income, weighted to H2.

• Australasian business growth is expected to remain at FY24 levels; cashflow positivity remains the FY25 target.

• Demand for business travel in key markets is expected to remain strong.