Singular People (SNG) H1 2024 earnings summary

Executive summary

• Revenue for H1 2024 reached €51.7M, up 6.1% sequentially but down 1% year-over-year due to an exceptional H1 2023.

• Ordinary EBITDA was €5.45M (10.5% margin), up 9% from H2 2023 but down 30% year-over-year.

• Net profit for H1 2024 was €3.16M, compared to €5.04M in H1 2023.

• Headcount slightly decreased to 1,300, with annualized sales per employee rising to €79.5K.

• International sales increased to 39.8% of total, with investments in KSA/UAE and a focus on sectoral solutions for new markets.

Financial highlights

• Revenue: €51.7M in H1 2024, +6.1% vs H2 2023, -1% vs H1 2023.

• Ordinary EBITDA: €5.45M (10.5% margin), +9% vs H2 2023, -30% vs H1 2023.

• Net profit: €3.16M, down from €5.04M in H1 2023.

• Net debt at June 30: €17M (1.6x EBITDA); reduced to €11.6M (1.1x EBITDA) by October 23.

• Cash flow from operations: €0.9M in H1 2024.

Outlook and guidance

• 2024 sales growth below target, but positive trends and improved outlook for 2025.

• EBITDA margin below target in 2024, expected to improve in 2025.

• Medium-term goals: restore EBITDA margin to 15% and achieve double-digit growth by 2025/2026.

• IT sector growth forecast for 2025 at 9%, with software and AI subsectors above 15%.