NowVertical Group Inc. Reports Third Quarter 2024 Financial Results
NowVertical Group reported Q3 2024 financial results with revenue of $10.7 million, showing a 9% year-over-year growth excluding recent divestitures of Allegient and Seafront. On a reported basis, revenue declined 29% Y/Y. Net Income reached $0.6 million, up 381% Y/Y excluding divestitures, while Adjusted EBITDA was $2.0 million. The company achieved significant administrative expense reduction of 38% to $3.9 million and improved operational income by 17% to $1.3 million. The company successfully reduced acquisition-related liabilities by approximately $5.4 million through renegotiations and is progressing toward its goal of $10 million annual EBITDA with $50 million revenue target.
NowVertical Group ha riportato i risultati finanziari del terzo trimestre del 2024, con un fatturato di 10,7 milioni di dollari, mostrando una crescita del 9% rispetto all'anno precedente, escludendo le recenti dismissioni di Allegient e Seafront. Su base riportata, il fatturato è diminuito del 29% su base annua. Il reddito netto ha raggiunto i 0,6 milioni di dollari, in aumento del 381% rispetto all'anno precedente escludendo le dismissioni, mentre l'EBITDA rettificato è stato di 2,0 milioni di dollari. L'azienda ha ottenuto una significativa riduzione delle spese amministrative del 38%, portandole a 3,9 milioni di dollari, e ha migliorato il reddito operativo del 17%, arrivando a 1,3 milioni di dollari. L'azienda ha ridotto con successo le passività legate agli acquisiti di circa 5,4 milioni di dollari tramite rinegoziazioni ed è in fase di avanzamento verso il suo obiettivo di 10 milioni di dollari di EBITDA annuale con un traguardo di fatturato di 50 milioni di dollari.
NowVertical Group informó los resultados financieros del tercer trimestre de 2024, con ingresos de 10,7 millones de dólares, mostrando un crecimiento del 9% interanual excluyendo las recientes desinversiones de Allegient y Seafront. En términos reportados, los ingresos disminuyeron un 29% en comparación con el año anterior. El ingreso neto alcanzó los 0,6 millones de dólares, un aumento del 381% interanual excluyendo desinversiones, mientras que el EBITDA ajustado fue de 2,0 millones de dólares. La compañía logró una reducción significativa de los gastos administrativos del 38%, llevándolos a 3,9 millones de dólares y mejoró el ingreso operativo en un 17%, alcanzando 1,3 millones de dólares. La empresa redujo con éxito las pasivos relacionados con adquisiciones en aproximadamente 5,4 millones de dólares mediante renegociaciones y avanza hacia su objetivo de 10 millones de dólares en EBITDA anual con un objetivo de ingresos de 50 millones de dólares.
NowVertical Group는 2024년 3분기 재무 결과를 발표하며, 1070만 달러의 매출을 기록했고, 최근 Allegient와 Seafront의 매각을 제외하면 전년 대비 9% 성장했습니다. 보고 기준으로는 매출이 전년 대비 29% 감소했습니다. 순이익은 60만 달러에 도달하며, 매각을 제외하고 전년 대비 381% 증가했습니다. 조정된 EBITDA는 200만 달러였습니다. 이 회사는 관리 비용을 38% 줄이며 390만 달러로 낮추었고, 운영 소득을 17% 개선하여 130만 달러에 이르렀습니다. 또한 인수 관련 부채를 약 540만 달러 줄이는 데 성공했으며, 연간 1000만 달러의 EBITDA 및 5000만 달러의 매출 목표를 향해 나아가고 있습니다.
NowVertical Group a annoncé ses résultats financiers pour le troisième trimestre 2024, avec un chiffre d'affaires de 10,7 millions de dollars, affichant une croissance de 9% par rapport à l'année précédente, en excluant les récents désinvestissements d'Allegient et de Seafront. Sur une base rapportée, le chiffre d'affaires a diminué de 29% en glissement annuel. Le revenu net a atteint 0,6 million de dollars, en hausse de 381% par rapport à l'année précédente, en excluant les désinvestissements, tandis que l'EBITDA ajusté était de 2,0 millions de dollars. L'entreprise a réalisé une réduction significative de 38% de ses dépenses administratives à 3,9 millions de dollars et a amélioré son revenu opérationnel de 17% à 1,3 million de dollars. L'entreprise a réussi à réduire d'environ 5,4 millions de dollars ses passifs liés aux acquisitions grâce à des renégociations et progresse vers son objectif de 10 millions de dollars d'EBITDA annuel avec un objectif de chiffre d'affaires de 50 millions de dollars.
NowVertical Group berichtete über die finanziellen Ergebnisse für das dritte Quartal 2024 mit einem Umsatz von 10,7 Millionen Dollar, was einem Wachstum von 9% im Jahresvergleich entspricht, unter Ausschluss der jüngsten Veräußern von Allegient und Seafront. Auf berichteter Basis ist der Umsatz im Jahresvergleich um 29% gesunken. Der Nettogewinn erreichte 0,6 Millionen Dollar, was einer Steigerung von 381% im Vergleich zum Vorjahr entspricht, ausschliesslich der Veräußern, während das bereinigte EBITDA 2,0 Millionen Dollar betrug. Das Unternehmen erzielte eine signifikante Reduzierung der Verwaltungskosten um 38% auf 3,9 Millionen Dollar und steigerte das Betriebsergebnis um 17% auf 1,3 Millionen Dollar. Das Unternehmen hat seine akquisitionsbezogenen Verbindlichkeiten um etwa 5,4 Millionen Dollar durch Nachverhandlungen reduziert und wird weiterhin auf das Ziel von 10 Millionen Dollar jährlichem EBITDA mit einem Umsatzziel von 50 Millionen Dollar hinarbeiten.
- Net Income increased 144% Y/Y to $0.6 million
- Administrative expenses reduced by 38% to $3.9 million
- Income from operations grew 17% to $1.3 million
- Acquisition-related liabilities reduced by $5.4 million
- 9% revenue growth Y/Y excluding divestitures
- Revenue declined 29% Y/Y on reported basis to $10.7 million
- Adjusted EBITDA decreased 24% Y/Y to $2.0 million
- Gross Profit decreased from $7.5M to $5.3M Y/Y
Company Hosting Investor Webinar on November 14, 2024, at 10:00 am Eastern Time
- Q3 2024 revenue was
$10.7 million , up9% Y/Y excluding recent divestitures - On a reported basis, revenue declined
29% Y/Y - Q3 2024 Net Income was
$0.6 million , up381% Y/Y excluding recent divestitures - On a reported basis, Net Income was
$0.6 million , up144% Y/Y
Toronto, Ontario--(Newsfile Corp. - November 14, 2024) - NowVertical Group Inc. (TSXV: NOW) ("NOW" or the "Company"), a leader in AI-driven data solutions, announces its financial results for the three months ended September 30, 2024 ("Q3 2024"). Unless otherwise specified, all dollar amounts are expressed in U.S. dollars. Management will host an investor webinar at 10:00 AM ET (7:00 AM PT) on Thursday, November 14, 2024, to discuss the Company's financial and business results.
Selected Financial Highlights for the Three Months Ended September 30, 2024:
Revenue was
$10.7 million in Q3 2024, a29% decrease from$15.0 million for the three months ending September 30, 2023 ("Q3 2023"), mainly due to the dispositions of Allegient Defense, Inc. ("Allegient") on May 24, 2024, and Seafront Analytics, LLC ("Seafront") on December 31, 2023. Excluding Allegient and Seafront, Q3 2023 revenue was$9.8 million , translating to Q3 2024 year-over-year growth of9% .Gross Profit was
$5.3 million in Q3 2024 versus$7.5 million in Q3 2023. Excluding the Allegient and Seafront businesses, Q3 2023 gross profit was$5.7 million .Administrative Expenses decreased by
$2.4 million or38% to$3.9 million in Q3 2024 versus$6.4 million in Q3 2023. Excluding the Allegient and Seafront businesses, Q3 2023 administrative expenses were$5.0 million .Income from operations increased by
17% to$1.3 million in Q3 2024, compared to$1.1 million in Q3 2023. Excluding the Allegient and Seafront businesses, Q3 2023 income from operations was$0.7 million , translating to Q3 2024 year-over-year income from operations growth of87% .Adjusted EBITDA decreased by
24% to$2.0 million in Q3 2024, compared to$2.7 million in Q3 2023. Excluding the Allegient and Seafront businesses, Adjusted EBITDA was$2.2 million in Q3 2023, translating to a Q3 2024 year-over-year decrease of8% .Net Income was
$0.6 million in Q3 2024, a144% increase from$0.2 million in Q3 2023. Excluding the Allegient and Seafront businesses, Q3 2023 has a net loss of$0.2 million , translating to Q3 2024 year-over-year net income growth of381% . Net income per basic and diluted share of$0.01 in Q3 2024, compared to a net loss per share of$0.00 in Q3 2023.
"Our third quarter results clearly highlight the accelerated progress we've made in executing our One Brand, One Business Integration strategy. Q3 2024 Adjusted EBITDA of
Q3 2024 and Subsequent Business Highlights:
August 1, 2024: Announced the launch of its "One Brand, One Business" unified proposition strategy and the unveiling of its newly redesigned website.
September 11, 2024: Completed the restructuring of its obligations in respect of Group Analytics 10 and Inteligencia de Negocios and its affiliate entities in LATAM.
October 8, 2024: Unveiled an evolved Partner Marketing Solution tailored to help clients navigate the growing complexities of managing partner ecosystems.
October 29, 2024: Introduced a Data Risk Mitigation solution and unique risk guarantee, empowering enterprises to uncover, mitigate, and control hidden data risks across complex data environments.
Q3 2024 Financial Results Investor Webinar:
The Company invites shareholders, analysts, investors, media representatives, and other stakeholders to attend our upcoming webinar. Management will discuss Q3 2024 results, followed by a question-and-answer session.
Investor Webinar Registration:
Time: Thursday, November 14, 2024, 10:00 AM in Eastern Time (US and Canada)
Register HERE
A recording of the webinar and supporting materials will be made available in the investor's section of the Company's website at https://ir.nowvertical.com/news-and-media.
Additional Information:
The Company's unaudited third quarter 2024 condensed consolidated interim financial statements, notes to financial statements, and management's discussion and analysis for the three and nine months ended September 30, 2024, are available on the Company's SEDAR+ profile at www.sedarplus.ca. Unless otherwise indicated, all references to "$" in this press release refer to US dollars, and all references to "CAD$" in this press release refer to Canadian dollars.
About NowVertical Group Inc.
The Company is a data analytics and AI solutions company offering comprehensive solutions, software and services. As a global provider, we deliver cutting-edge data, technology, and artificial intelligence (AI) applications to private and public enterprises. Our solutions form the bedrock of modern enterprises, converting data investments into business solutions. NOW is growing organically and through strategic acquisitions. For further details about NOW, please visit www.nowvertical.com.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
For further information, please contact:
Andre Garber, CDO
IR@nowvertical.com
Nikhil Thadani, Investor Relations and Communications
nik@sophiccapital.com
t: (289) 667-1977
Cautionary Note Regarding Non-IFRS Measures:
This news release refers to certain non-IFRS measures. These measures are not recognized measures under IFRS, do not have a standardized meaning prescribed by IFRS and are therefore unlikely to be comparable to similar measures presented by other companies. Rather, these measures are provided as additional information to complement those IFRS measures by providing further understanding of the Company's results of operations from management's perspective. The Company's definitions of non-IFRS measures used in this news release may not be the same as the definitions for such measures used by other companies in their reporting. Non-IFRS measures have limitations as analytical tools and should not be considered in isolation nor as a substitute for analysis of the Company's financial information reported under IFRS. The Company uses non IFRS financial measures including "EBITDA", and "Adjusted EBITDA". These non-IFRS measures are used to provide investors with supplemental measures of our operating performance and to eliminate items that have less bearing on our operational performance or operating conditions and thus highlight trends in our core business that may not otherwise be apparent when relying solely on IFRS measures. The Company believes that securities analysts, investors and other interested parties frequently use non-IFRS financial measures in the evaluation of issuers. The Company's management also uses non-IFRS financial measures to facilitate operating performance comparisons from period to period and prepare annual budgets and forecasts.
Non-IFRS Measures:
The non-IFRS financial measures referred to in this news release are defined below. The management discussion and analysis for the quarter ended September 30, 2024, available at nowvertical.com and on SEDAR+ at www.sedarplus.ca, also contains supporting calculations for Adjusted Revenue, EBITDA Margin and Adjusted EBITDA.
"Adjusted EBITDA" adjusts net income (loss) before depreciation and amortization expenses, net interest costs, and provision for income taxes for revenue adjustments in "Adjusted Revenue" and items such as acquisition accounting adjustments, transaction expenses related to acquisitions, transactional gains or losses on assets, asset impairment charges, non-recurring expense items, non-cash stock compensation costs, and the full year impact of cost synergies related to restructuring activities, such as a reduction of employees.
"EBITDA Margin" is defined as Adjusted EBITDA as a percentage of Adjusted Revenue.
"Adjusted Revenue" adjusts revenue to eliminate the effects of acquisition accounting on the Company's revenues, which predominantly pertain to fair market value adjustments to the opening deferred revenue balances of acquired companies.
Cautionary Note Regarding Forward-Looking Statements
This news release may contain forward-looking statements and forward-looking information (within the meaning of applicable securities laws) which reflect the Company's current expectations regarding future events. All statements in this news release that are not purely historical statements of fact are forward-looking statements and include statements regarding beliefs, plans, expectations, future, strategy, objectives, goals and targets. Although the Company believes that such statements are reasonable and reflect expectations of future developments and other factors which management believes to be reasonable and relevant, the Company can give no assurance that such expectations will prove to be correct. Forward-looking statements can generally be identified by the use of forward-looking words such as "may", "should", "will", "could", "intend", "estimate", "plan", "anticipate", "expect", "believe" or "continue", or the negative thereof or similar variations. Forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause future results, performance, or achievements to be materially different from the estimated future results, performance or achievements expressed or implied by the forward-looking statements. Forward-looking statements are not guarantees of future performance and undue reliance should not be placed thereon, as unknown or unpredictable factors could have material adverse effects on future results, performance or achievements of the Company. Should one or more of these risks or uncertainties materialize, or should assumptions underlying the forward-looking statements prove incorrect, actual results may vary materially from those described herein as intended, planned, anticipated, believed, estimated or expected.
All of the forward-looking statement contained in this press release are qualified by the foregoing cautionary statements, and there can be no guarantee that the results or developments that we anticipate will be realized or, even if substantially realized, that they will have the expected consequences or effects on our business, financial condition or results of operation. Unless otherwise noted or the context otherwise indicates, the forward-looking statements contained herein are provided as of the date hereof, and the Company does not intend, and does not assume any obligation, to update the forward-looking statements except as otherwise required by applicable law.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/229899
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