Viridien (VIRI) Q4 2024 earnings summary

Executive summary

• Delivered strong 2024 performance with revenue of $1.117 billion, adjusted EBITDA up 14% to $455 million, and net cash flow up 73% to $56 million, meeting or exceeding key targets.

• Achieved record commercial performance in Geoscience, with order intake and backlog up 89% and 90% year-over-year.

• Earth Data investments and after-sales growth strengthened core data positions.

• Sensing & Monitoring segment initiated restructuring, focusing on cost reduction and operational improvements.

• Transitioned to an asset-light business model with the end of vessel commitments, improving financial flexibility.

Financial highlights

• FY 2024 revenue was $1.117 billion, nearly flat year-over-year; Q4 revenue was $339 million, up 6% year-over-year.

• Adjusted EBITDA for FY 2024 was $455 million, up 14% year-over-year; Q4 adjusted EBITDA was $157 million, up 30% year-over-year.

• Net cash flow for FY 2024 was $56 million, up 73% year-over-year, exceeding guidance.

• Net income rose to $51 million from $16 million in 2023.

• Liquidity at year-end was $392 million, including $90 million undrawn RCF.

Outlook and guidance

• 2025 performance expected to be driven by Geoscience growth, stronger Earth Data cash EBITDA, and Sensing & Monitoring restructuring savings.

• Net cash flow objective for 2025 set at approximately $100 million.

• Bond refinancing targeted for completion in 2025, with continued focus on cash flow generation and deleveraging.

• Sensing & Monitoring to benefit from restructuring and equipment renewals, improving profitability.

• New businesses expected to contribute positively to group profitability.