Verisure Group (VSURE) Q3 2024 earnings summary

Executive summary

• Achieved strong operating and financial performance in Q3 2024, with robust revenue and margin growth.

• Customer portfolio expanded by 8.5% year-over-year to 5.5 million, driven by strong retention and disciplined intake.

• Total revenue for Q3 2024 reached €854.3M, up 9.4% year-over-year; adjusted EBITDA rose 16.7% to €388.6M.

• Portfolio services revenue comprised 87.2% of Q3 revenue, growing 11.9% year-over-year.

• Liquidity position strengthened to €668m, with continued deleveraging to 4.8x, the lowest since 2011.

Financial highlights

• Q3 2024 revenue: €854.3M (+9.4% year-over-year); adjusted EBITDA: €388.6M (+16.7%), margin 45.5%.

• Q3 EBIT excl. SDIS: €212.5M (+17.0%), margin 24.9%.

• Portfolio EBITDA margin reached 73.0%, up from 71.9% in Q3 2023.

• Cash and unutilized credit facilities rose 29% to €668m; net debt increased 1% to €7,497m.

• Cash flow from operating activities for nine months: €1,009.5M; total capex up 2% to €214m.

Outlook and guidance

• Management highlights a resilient, high-quality growth model with consistent customer intake and portfolio expansion.

• Optimism for continued growth driven by increasing demand for security and low market penetration.

• Sustained low attrition and improving unit economics support positive future performance.

• Expectation of ongoing customer base expansion and recurring revenue growth.