Text (TXT) Q4 23/24 earnings summary

Executive summary

• Total annual revenue reached PLN 335.3 million for FY 2023/24, up 13.4% year-over-year after adjusting for revenue recognition policy changes.

• Net profit for the year was PLN 166.6 million, over PLN 10 million higher than the previous year, with EBITDA at PLN 198.5 million (+9.2% YoY) and net operating profit at PLN 179 million (+7.1% YoY).

• Maintained high margins despite increased costs and policy changes; EBITDA margin at 60.0%, operating margin at 54.5%.

• Q4 revenue was PLN 83.3 million, down 1.4% YoY due to deferred revenue revaluation and higher external service costs.

• Record dividend proposed at PLN 5.98 per share, the highest in company history.

Financial highlights

• Net sales grew from PLN 295.7 million to PLN 335.3 million (+13.4% YoY); net profit rose from PLN 155.3 million to PLN 166.6 million (+7.3% YoY).

• Operating profit increased to PLN 179.0 million (+7.1% YoY); EBITDA up to PLN 198.5 million (+9.2% YoY).

• MRR at end of March 2024 was $6.66 million, up 4.1% YoY and 2.6% sequentially.

• Cash position at year-end was PLN 84.8 million, after significant outflows for dividends.

• Earnings per share for the year reached PLN 6.69.

Outlook and guidance

• Management aims to accelerate growth by focusing on customer needs, product quality, and continued product development.

• Infrastructure and server costs are expected to remain elevated due to ongoing investments and quality improvements.

• AI usage and related costs are rising, but margin improvement is targeted, especially after a challenging Q4.

• HelpDesk's business potential to increase due to merger with KnowledgeBase and enhanced partner channel.

• Plans to maintain a high dividend payout policy, subject to General Meeting approval.