Thryv Accelerates SaaS Revenue in Fourth Quarter 2024, Exceeds Fourth Quarter SaaS Guidance
Thryv Holdings (NASDAQ:THRY) reported strong Q4 2024 performance with Total SaaS revenue increasing 41% year-over-year to $104.3 million. The company's core Thryv SaaS revenue grew 23% to $90.9 million, while total SaaS subscribers increased 73% to 114,000 clients.
Key Q4 metrics include consolidated net income of $7.9 million ($0.19 per diluted share), SaaS Adjusted EBITDA margin of 16.6%, and SaaS gross margin of 73.1%. ThryvPay payment volume reached $79 million, up 33% year-over-year.
For full-year 2024, the company reported total SaaS revenue of $343.5 million (+30% YoY) and consolidated revenue of $824.2 million. The Marketing Services segment saw a planned decline, with revenue decreasing 49% in Q4 to $82.3 million.
Thryv Holdings (NASDAQ:THRY) ha riportato una forte performance nel quarto trimestre del 2024, con un aumento del 41% anno su anno dei ricavi totali SaaS che hanno raggiunto i 104,3 milioni di dollari. I ricavi core del SaaS Thryv sono cresciuti del 23% a 90,9 milioni di dollari, mentre il numero totale di abbonati SaaS è aumentato del 73%, raggiungendo 114.000 clienti.
I principali indicatori del quarto trimestre includono un reddito netto consolidato di 7,9 milioni di dollari (0,19 dollari per azione diluita), un margine EBITDA rettificato SaaS del 16,6% e un margine lordo SaaS del 73,1%. Il volume dei pagamenti ThryvPay ha raggiunto i 79 milioni di dollari, in aumento del 33% rispetto all'anno precedente.
Per l'intero anno 2024, l'azienda ha riportato ricavi totali SaaS di 343,5 milioni di dollari (+30% anno su anno) e ricavi consolidati di 824,2 milioni di dollari. Il segmento dei Servizi di Marketing ha registrato una diminuzione programmata, con ricavi in calo del 49% nel quarto trimestre a 82,3 milioni di dollari.
Thryv Holdings (NASDAQ:THRY) reportó un sólido desempeño en el cuarto trimestre de 2024, con un aumento del 41% interanual en los ingresos totales de SaaS, alcanzando los 104,3 millones de dólares. Los ingresos del SaaS principal de Thryv crecieron un 23% hasta los 90,9 millones de dólares, mientras que el número total de suscriptores de SaaS aumentó un 73%, alcanzando los 114,000 clientes.
Las métricas clave del cuarto trimestre incluyen un ingreso neto consolidado de 7,9 millones de dólares (0,19 dólares por acción diluida), un margen EBITDA ajustado de SaaS del 16,6% y un margen bruto de SaaS del 73,1%. El volumen de pagos de ThryvPay alcanzó los 79 millones de dólares, un aumento del 33% interanual.
Para el año completo 2024, la empresa reportó ingresos totales de SaaS de 343,5 millones de dólares (+30% interanual) y ingresos consolidados de 824,2 millones de dólares. El segmento de Servicios de Marketing experimentó una disminución planificada, con ingresos que cayeron un 49% en el cuarto trimestre a 82,3 millones de dólares.
Thryv Holdings (NASDAQ:THRY)는 2024년 4분기 실적이 강력하다고 보고하며, 총 SaaS 수익이 전년 대비 41% 증가하여 1억 430만 달러에 달했습니다. 회사의 핵심 Thryv SaaS 수익은 23% 증가하여 9,090만 달러에 이르렀으며, 총 SaaS 구독자는 73% 증가하여 114,000명의 고객에 도달했습니다.
4분기의 주요 지표로는 790만 달러의 통합 순이익(희석 주당 0.19 달러), 16.6%의 SaaS 조정 EBITDA 마진, 73.1%의 SaaS 총 마진이 포함됩니다. ThryvPay 결제량은 7,900만 달러에 달해 전년 대비 33% 증가했습니다.
2024년 전체 연도에 대해 회사는 총 SaaS 수익이 3억 4,350만 달러(+30% 전년 대비)이며, 통합 수익이 8억 2,420만 달러라고 보고했습니다. 마케팅 서비스 부문은 계획된 감소를 겪었으며, 4분기 수익이 4,900만 달러로 49% 감소했습니다.
Thryv Holdings (NASDAQ:THRY) a annoncé une performance solide au quatrième trimestre 2024, avec une augmentation de 41% d'une année sur l'autre des revenus totaux SaaS, atteignant 104,3 millions de dollars. Les revenus principaux de SaaS de Thryv ont augmenté de 23% pour atteindre 90,9 millions de dollars, tandis que le nombre total d'abonnés SaaS a augmenté de 73% pour atteindre 114 000 clients.
Les indicateurs clés du quatrième trimestre incluent un revenu net consolidé de 7,9 millions de dollars (0,19 dollar par action diluée), une marge EBITDA ajustée SaaS de 16,6% et une marge brute SaaS de 73,1%. Le volume des paiements ThryvPay a atteint 79 millions de dollars, soit une augmentation de 33% d'une année sur l'autre.
Pour l'année complète 2024, l'entreprise a rapporté des revenus totaux SaaS de 343,5 millions de dollars (+30% d'une année sur l'autre) et des revenus consolidés de 824,2 millions de dollars. Le segment des Services de Marketing a connu une baisse prévue, avec des revenus en baisse de 49% au quatrième trimestre à 82,3 millions de dollars.
Thryv Holdings (NASDAQ:THRY) meldete eine starke Leistung im 4. Quartal 2024, mit einem Anstieg der gesamten SaaS-Umsätze um 41% im Vergleich zum Vorjahr auf 104,3 Millionen Dollar. Die Kernumsätze von Thryv SaaS stiegen um 23% auf 90,9 Millionen Dollar, während die Gesamtzahl der SaaS-Abonnenten um 73% auf 114.000 Kunden zunahm.
Wichtige Kennzahlen des 4. Quartals umfassen ein konsolidiertes Nettoeinkommen von 7,9 Millionen Dollar (0,19 Dollar pro verwässerter Aktie), eine SaaS-adjustierte EBITDA-Marge von 16,6% und eine SaaS-Bruttomarge von 73,1%. Das Zahlungsvolumen von ThryvPay erreichte 79 Millionen Dollar, was einem Anstieg von 33% im Vergleich zum Vorjahr entspricht.
Für das Gesamtjahr 2024 berichtete das Unternehmen von einem Gesamtumsatz von 343,5 Millionen Dollar aus SaaS (+30% im Vergleich zum Vorjahr) und einem konsolidierten Umsatz von 824,2 Millionen Dollar. Der Bereich Marketingdienstleistungen verzeichnete einen geplanten Rückgang, wobei die Umsätze im 4. Quartal um 49% auf 82,3 Millionen Dollar sanken.
- 41% YoY growth in Total SaaS revenue to $104.3M in Q4
- 73% increase in total SaaS subscribers to 114,000
- Strong SaaS margins with 73.1% gross margin in Q4
- Returned to profitability with $7.9M net income in Q4
- 33% growth in ThryvPay payment volume
- 49% decline in Marketing Services revenue to $82.3M in Q4
- 21% decrease in consolidated total revenue YoY
- Full-year net loss of $74.2M (-$2.00 per share)
- Operating cash flow declined to $89.8M from $148.2M prior year
Insights
Thryv's Q4 2024 results mark a pivotal transformation milestone as SaaS revenue now constitutes the majority of their business, cementing their evolution from a legacy marketing services provider to a software company. The 41% year-over-year SaaS revenue growth to
The strategic Keap acquisition has accelerated this transformation, contributing to a 73% surge in total SaaS subscribers to 114,000. More impressively, organic Thryv SaaS subscribers grew
Thryv has crossed a critical profitability threshold with SaaS Adjusted EBITDA margin reaching
While Marketing Services revenue predictably declined
The
For 2025, management's outlook of
Thryv's Q4 results reveal a company successfully executing its strategic pivot from legacy marketing services to a high-growth SaaS model. The 41% year-over-year SaaS revenue growth to
The Keap acquisition appears strategically sound, accelerating their transformation while adding complementary marketing automation capabilities. The combined entity now serves 114,000 SaaS subscribers (up
Most encouraging is Thryv's improving unit economics. The SaaS segment achieved
While Marketing Services revenue declined
At
The emerging ThryvPay platform, with
– Q4 Total SaaS Revenue Increased
– Q4 Thryv SaaS Revenue Increased
– Full Year Total SaaS Revenue Increased
– Achieves Q4 SaaS Adjusted EBITDA Margin of
– Q4 Thryv SaaS Subscribers Increase
“We delivered a strong fourth quarter with a robust increase in revenue and record SaaS margins, reaching a pivotal inflection point as SaaS now drives the majority of our revenue, reinforcing our transformation into a leading software company,” said Joe Walsh, Thryv Chairman and CEO. “We are pleased with the initial integration of Keap, a prominent player in marketing automation for SMBs, and we’re especially excited about the combined strength of our two SMB-focused platforms and the opportunities ahead to drive even greater value for our customers. In the fourth quarter, our total SaaS subscribers increased
“We are demonstrating the increasing profitability of each incremental dollar of revenue as we continued to effectively scale our platform and delivered record SaaS gross margins,” stated Paul Rouse, Chief Financial Officer. “In the fourth quarter, we exceeded our SaaS guidance, continued to drive operating efficiencies, and are reiterating our full-year 2025 outlook from our Analyst Day.”
Fourth Quarter 2024 Highlights:
-
Total SaaS revenue was
$104.3 million 41% increase year-over-year -
Thryv SaaS1 revenue, which excludes Keap's revenue, was
$90.9 million 23% increase year-over-year -
Total Marketing Services revenue was
$82.3 million 49% decrease year-over-year resulting from the timing of the company's print publication cycles -
Consolidated total revenue was
$186.6 million 21% year-over-year -
Consolidated net income was
$7.9 million $0.19 $257.5 million $(7.39) -
Consolidated Adjusted EBITDA was
$29.4 million 15.7% -
Total SaaS Adjusted EBITDA was
$17.3 million 16.6% -
Total Marketing Services Adjusted EBITDA was
$12.1 million 14.7% -
Consolidated Gross Profit was
$123.0 million -
Consolidated Adjusted Gross Profit2 was
$127.8 million -
SaaS Gross Profit was
$76.2 million 73.1% -
SaaS Adjusted Gross Profit2 was
$79.2 million 75.9%
Full-Year 2024 Financial Highlights:
-
Total SaaS revenue was
$343.5 million 30% increase year-over-year -
Thryv SaaS revenue, which excludes Keap's revenue, was
$330.1 million 25% increase year-over-year -
Total Marketing Services revenue was
$480.7 million 26% decrease year-over-year -
Consolidated total revenue was
$824.2 million 10% year-over-year -
Consolidated net loss was
$74.2 million $(2.00) $83.1 million $259.3 million $(7.47) -
Consolidated Adjusted EBITDA was
$162.4 million 19.7% -
Total SaaS Adjusted EBITDA was
$41.2 million 12.0% -
Total Marketing Services Adjusted EBITDA was
$121.2 million 25.2% -
Consolidated Gross Profit was
$537.2 million -
Consolidated Adjusted Gross Profit2 was
$558.9 million -
SaaS Gross Profit was
$238.2 million 69.4% -
SaaS Adjusted Gross Profit1 was
$247.2 million 72.0% -
Pension obligations, net were
$38.0 million $69.4 million 45% decrease year-over-year -
Operating cash flow was
$89.8 million $148.2 million -
Free cash flow was
$56.2 million $114.8 million
SaaS Metrics
-
Total SaaS clients increased
73% year-over-year to 114 thousand at the end of the fourth quarter of 2024, Thryv SaaS clients increased50% year-over-year to 99 thousand -
Seasoned Net Revenue Retention3 was
98% for the fourth quarter of 2024, an increase of 200 bps year-over-year, excluding Keap -
SaaS monthly Average Revenue per Unit (“ARPU”)4 was
$324 -
ThryvPay total payment volume was
$79 million 33% year-over-year
Outlook
Based on information available as of February 26, 2025, Thryv is issuing guidance5 for the first quarter of 2025 and full year 2025 as indicated below:
|
1st Quarter |
|
Full Year |
(in millions) |
2025 |
|
2025 |
SaaS Revenue* |
|
|
|
SaaS Adjusted EBITDA |
|
|
|
*Keap is expected to contribute
|
1st Quarter |
|
2nd Quarter |
|
3rd Quarter |
|
4th Quarter |
|
Full Year |
(in millions) |
2025 |
|
2025 |
|
2025 |
|
2025 |
|
2025 |
Marketing Services Revenue |
|
|
|
|
|
|
|
|
|
Marketing Services Adjusted EBITDA |
|
|
|
|
|
|
|
|
|
Earnings Conference Call Information
Thryv will host a conference call on Thursday, February 27, 2025 at 8:30 a.m. (Eastern Time) to discuss the Company's fourth quarter 2024 results.
For analysts to register for this conference call, please use this link. After registering, a confirmation email will be sent, including dial-in details and a unique code for entry. We recommend registering a day in advance or at a minimum thirty minutes prior to the start of the call. To listen to the webcast, please use this link or visit Thryv's Investor Relations website at investor.thryv.com. A live webcast will also be available on the Investor Relations section of the Company's website at investor.thryv.com.
If you are unable to participate in the conference call, a replay will be available at this link.
Thryv Holdings, Inc. and Subsidiaries
Consolidated Statements of Operations and Comprehensive (Loss)
|
Three Months Ended |
|
Years Ended |
||||||||||||
|
December 31, |
|
December 31, |
||||||||||||
(in thousands, except share and per share data) |
|
2024 |
|
|
|
2023 |
|
|
|
2024 |
|
|
|
2023 |
|
Revenue |
$ |
186,596 |
|
|
$ |
236,163 |
|
|
$ |
824,156 |
|
|
$ |
916,961 |
|
Cost of services |
|
63,569 |
|
|
|
76,453 |
|
|
|
286,919 |
|
|
|
338,714 |
|
Gross profit |
|
123,027 |
|
|
|
159,710 |
|
|
|
537,237 |
|
|
|
578,247 |
|
|
|
|
|
|
|
|
|
||||||||
Operating expenses: |
|
|
|
|
|
|
|
||||||||
Sales and marketing |
|
68,162 |
|
|
|
73,757 |
|
|
|
270,146 |
|
|
|
300,538 |
|
General and administrative |
|
62,067 |
|
|
|
59,238 |
|
|
|
217,296 |
|
|
|
208,880 |
|
Impairment charges |
|
— |
|
|
|
268,846 |
|
|
|
83,094 |
|
|
|
268,846 |
|
Total operating expenses |
|
130,229 |
|
|
|
401,841 |
|
|
|
570,536 |
|
|
|
778,264 |
|
|
|
|
|
|
|
|
|
||||||||
Operating (loss) |
|
(7,202 |
) |
|
|
(242,131 |
) |
|
|
(33,299 |
) |
|
|
(200,017 |
) |
Other income (expense): |
|
|
|
|
|
|
|
||||||||
Interest expense |
|
(4,940 |
) |
|
|
(13,817 |
) |
|
|
(36,494 |
) |
|
|
(61,728 |
) |
Interest expense, related party |
|
(4,783 |
) |
|
|
— |
|
|
|
(10,277 |
) |
|
|
— |
|
Other components of net periodic pension benefit |
|
29,549 |
|
|
|
6,607 |
|
|
|
24,806 |
|
|
|
2,719 |
|
Other expense |
|
(3,163 |
) |
|
|
(276 |
) |
|
|
(10,734 |
) |
|
|
(1,518 |
) |
Income (loss) before income tax (expense) benefit |
|
9,461 |
|
|
|
(249,617 |
) |
|
|
(65,998 |
) |
|
|
(260,544 |
) |
Income tax (expense) benefit |
|
(1,578 |
) |
|
|
(7,924 |
) |
|
|
(8,218 |
) |
|
|
1,249 |
|
Net income (loss) |
$ |
7,883 |
|
|
$ |
(257,541 |
) |
|
$ |
(74,216 |
) |
|
$ |
(259,295 |
) |
Other comprehensive (loss) income: |
|
|
|
|
|
|
|
||||||||
Foreign currency translation adjustment, net of tax |
|
(882 |
) |
|
|
5,402 |
|
|
|
250 |
|
|
|
1,070 |
|
Comprehensive income (loss) |
$ |
7,001 |
|
|
$ |
(252,139 |
) |
|
$ |
(73,966 |
) |
|
$ |
(258,225 |
) |
|
|
|
|
|
|
|
|
||||||||
Net income (loss) per common share: |
|
|
|
|
|
|
|
||||||||
Basic |
$ |
0.19 |
|
|
$ |
(7.39 |
) |
|
$ |
(2.00 |
) |
|
$ |
(7.47 |
) |
Diluted |
$ |
0.19 |
|
|
$ |
(7.39 |
) |
|
$ |
(2.00 |
) |
|
$ |
(7.47 |
) |
|
|
|
|
|
|
|
|
||||||||
Weighted-average shares used in computing basic and diluted net income (loss) per common share: |
|
|
|
|
|
|
|
||||||||
Basic |
|
40,579,831 |
|
|
|
34,858,157 |
|
|
|
37,142,271 |
|
|
|
34,723,491 |
|
Diluted |
|
41,901,138 |
|
|
|
34,858,157 |
|
|
|
37,142,271 |
|
|
|
34,723,491 |
|
Thryv Holdings, Inc. and Subsidiaries
Consolidated Balance Sheets
(in thousands, except share data) |
December 31, 2024 |
|
December 31, 2023 |
||||
Assets |
|
|
|
||||
Current assets |
|
|
|
||||
Cash and cash equivalents |
$ |
16,311 |
|
|
$ |
18,216 |
|
Accounts receivable, net of allowance of |
|
161,620 |
|
|
|
205,503 |
|
Contract assets, net of allowance of |
|
2,127 |
|
|
|
2,909 |
|
Taxes receivable |
|
6,218 |
|
|
|
3,085 |
|
Prepaid expenses |
|
13,923 |
|
|
|
17,771 |
|
Deferred costs |
|
8,402 |
|
|
|
16,722 |
|
Other current assets |
|
2,119 |
|
|
|
2,662 |
|
Total current assets |
|
210,720 |
|
|
|
266,868 |
|
Fixed assets and capitalized software, net |
|
44,478 |
|
|
|
38,599 |
|
Goodwill |
|
253,318 |
|
|
|
302,400 |
|
Intangible assets, net |
|
34,259 |
|
|
|
18,788 |
|
Deferred tax assets |
|
143,495 |
|
|
|
128,051 |
|
Other assets |
|
25,895 |
|
|
|
28,464 |
|
Total assets |
$ |
712,165 |
|
|
$ |
783,170 |
|
|
|
|
|
||||
Liabilities and Stockholders' Equity |
|
|
|
||||
Current liabilities |
|
|
|
||||
Accounts payable |
$ |
13,011 |
|
|
$ |
10,348 |
|
Accrued liabilities |
|
95,462 |
|
|
|
105,903 |
|
Current portion of unrecognized tax benefits |
|
26,196 |
|
|
|
23,979 |
|
Contract liabilities |
|
40,315 |
|
|
|
44,558 |
|
Current portion of Term Loan |
|
7,875 |
|
|
|
70,000 |
|
Current portion of Term Loan, related party |
|
5,250 |
|
|
|
— |
|
Other current liabilities |
|
8,151 |
|
|
|
8,402 |
|
Total current liabilities |
|
196,260 |
|
|
|
263,190 |
|
Term Loan, net |
|
146,885 |
|
|
|
230,052 |
|
Term Loan, net, related party |
|
100,436 |
|
|
|
— |
|
ABL Facility |
|
23,891 |
|
|
|
48,845 |
|
Pension obligations, net |
|
38,014 |
|
|
|
69,388 |
|
Other liabilities |
|
9,759 |
|
|
|
18,995 |
|
Total long-term liabilities |
|
318,985 |
|
|
|
367,280 |
|
Commitments and contingencies |
|
|
|
||||
Stockholders' equity |
|
|
|
||||
Common stock - |
|
706 |
|
|
|
627 |
|
Additional paid-in capital |
|
1,272,476 |
|
|
|
1,151,259 |
|
Treasury stock - 27,522,780 shares at December 31, 2024 and 27,358,037 shares at December 31, 2023 |
|
(488,903 |
) |
|
|
(485,793 |
) |
Accumulated other comprehensive loss |
|
(14,941 |
) |
|
|
(15,191 |
) |
Accumulated deficit |
|
(572,418 |
) |
|
|
(498,202 |
) |
Total stockholders' equity |
|
196,920 |
|
|
|
152,700 |
|
Total liabilities and stockholders' equity |
$ |
712,165 |
|
|
$ |
783,170 |
|
Thryv Holdings, Inc. and Subsidiaries
Consolidated Statements of Cash Flows
|
Years Ended December 31, |
||||||
(in thousands) |
|
2024 |
|
|
|
2023 |
|
Cash Flows from Operating Activities |
|
|
|
||||
Net (loss) |
$ |
(74,216 |
) |
|
$ |
(259,295 |
) |
Adjustments to reconcile net (loss) to net cash provided by operating activities: |
|
|
|
||||
Depreciation and amortization |
|
52,789 |
|
|
|
63,251 |
|
Amortization of deferred commissions |
|
18,283 |
|
|
|
14,954 |
|
Amortization of debt issuance costs |
|
4,022 |
|
|
|
5,422 |
|
Deferred income taxes |
|
(5,270 |
) |
|
|
(12,904 |
) |
Provision for credit losses and service credits |
|
22,508 |
|
|
|
24,516 |
|
Stock-based compensation expense |
|
24,118 |
|
|
|
22,201 |
|
Other components of net periodic pension benefit |
|
(24,806 |
) |
|
|
(2,719 |
) |
Impairment charges |
|
83,094 |
|
|
|
268,846 |
|
Loss on early extinguishment of debt |
|
6,638 |
|
|
|
— |
|
Non-cash loss from the remeasurement of the indemnification asset |
|
— |
|
|
|
10,734 |
|
Other |
|
930 |
|
|
|
603 |
|
Changes in working capital items, excluding acquisitions: |
|
|
|
||||
Accounts receivable |
|
23,167 |
|
|
|
54,325 |
|
Contract assets |
|
782 |
|
|
|
(326 |
) |
Prepaid expenses and other assets |
|
1,139 |
|
|
|
7,117 |
|
Accounts payable and accrued liabilities |
|
(26,526 |
) |
|
|
(37,749 |
) |
Other liabilities |
|
(16,869 |
) |
|
|
(10,750 |
) |
Net cash provided by operating activities |
|
89,783 |
|
|
|
148,226 |
|
|
|
|
|
||||
Cash Flows from Investing Activities |
|
|
|
||||
Additions to fixed assets and capitalized software |
|
(33,537 |
) |
|
|
(33,394 |
) |
Acquisition of a business, net of cash acquired |
|
(76,887 |
) |
|
|
(8,897 |
) |
Other |
|
— |
|
|
|
(225 |
) |
Net cash used in investing activities |
|
(110,424 |
) |
|
|
(42,516 |
) |
|
|
|
|
||||
Cash Flows from Financing Activities |
|
|
|
||||
Proceeds from Term Loan |
|
206,220 |
|
|
|
— |
|
Proceeds from Term Loan, related party |
|
137,480 |
|
|
|
— |
|
Payments of Term Loan |
|
(356,618 |
) |
|
|
(120,000 |
) |
Payments of Term Loan, related party |
|
(31,500 |
) |
|
|
— |
|
Proceeds from ABL Facility |
|
329,004 |
|
|
|
919,975 |
|
Payments of ABL Facility |
|
(353,957 |
) |
|
|
(925,684 |
) |
Debt issuance costs |
|
(5,480 |
) |
|
|
— |
|
Purchase of treasury stock |
|
(499 |
) |
|
|
— |
|
Proceeds from exercises of stock warrants |
|
— |
|
|
|
15,898 |
|
Proceeds from common stock offering, net of offering expenses |
|
87,402 |
|
|
|
— |
|
Other |
|
7,164 |
|
|
|
6,318 |
|
Net cash provided by (used in) financing activities |
|
19,216 |
|
|
|
(103,493 |
) |
|
|
|
|
||||
Effect of exchange rate changes on cash, cash equivalents and restricted cash |
|
(1,344 |
) |
|
|
133 |
|
(Decrease) increase in cash, cash equivalents and restricted cash |
|
(2,769 |
) |
|
|
2,350 |
|
Cash, cash equivalents and restricted cash, beginning of period |
|
20,530 |
|
|
|
18,180 |
|
Cash, cash equivalents and restricted cash, end of period |
$ |
17,761 |
|
|
$ |
20,530 |
|
|
|
|
|
||||
Supplemental Information |
|
|
|
||||
Cash paid for interest |
$ |
44,018 |
|
|
$ |
57,027 |
|
Cash paid for income taxes, net |
$ |
15,413 |
|
|
$ |
9,313 |
|
|
|
|
|
||||
Non-cash investing and financing activities |
|
|
|
||||
Repurchase of Treasury stock as a result of the settlement of the indemnification asset |
$ |
— |
|
|
$ |
15,760 |
|
Segment Information
During first quarter of 2024, the Company changed the internal reporting provided to the chief operating decision maker (“CODM”). As a result, the Company reevaluated its segment reporting and determined that Thryv
The following tables summarize the operating results of the Company's reportable segments:
|
Three Months Ended December 31, |
|
Change |
|||||||||
(in thousands) |
|
2024 |
|
|
2023 |
|
Amount |
|
% |
|||
Revenue |
|
|
|
|
|
|
|
|||||
Marketing Services |
$ |
82,291 |
|
$ |
162,193 |
|
$ |
(79,902 |
) |
|
(49.3 |
)% |
SaaS |
|
104,305 |
|
|
73,970 |
|
|
30,335 |
|
|
41.0 |
% |
Total Revenue |
$ |
186,596 |
|
$ |
236,163 |
|
$ |
(49,567 |
) |
|
(21.0 |
)% |
|
|
|
|
|
|
|
|
|||||
Adjusted EBITDA |
|
|
|
|
|
|
|
|||||
Marketing Services |
$ |
12,104 |
|
$ |
45,773 |
|
$ |
(33,669 |
) |
|
(73.6 |
)% |
SaaS |
|
17,276 |
|
|
6,503 |
|
|
10,773 |
|
|
165.7 |
% |
Consolidated Adjusted EBITDA6 |
$ |
29,380 |
|
$ |
52,276 |
|
$ |
(22,896 |
) |
|
(43.8 |
)% |
|
Years Ended December 31, |
|
Change |
|||||||||
(in thousands) |
|
2024 |
|
|
2023 |
|
Amount |
|
% |
|||
Revenue |
|
|
|
|
|
|
|
|||||
Marketing Services |
$ |
480,680 |
|
$ |
653,244 |
|
$ |
(172,564 |
) |
|
(26.4 |
)% |
SaaS |
|
343,476 |
|
|
263,717 |
|
|
79,759 |
|
|
30.2 |
% |
Total Revenue |
$ |
824,156 |
|
$ |
916,961 |
|
$ |
(92,805 |
) |
|
(10.1 |
)% |
|
|
|
|
|
|
|
|
|||||
Adjusted EBITDA |
|
|
|
|
|
|
|
|||||
Marketing Services |
$ |
121,241 |
|
$ |
175,490 |
|
$ |
(54,249 |
) |
|
(30.9 |
)% |
SaaS |
|
41,190 |
|
|
12,025 |
|
|
29,165 |
|
|
242.5 |
% |
Consolidated Adjusted EBITDA6 |
$ |
162,431 |
|
$ |
187,515 |
|
$ |
(25,084 |
) |
|
(13.4 |
)% |
The following tables set forth reconciliations of our SaaS revenue for the Company to Thryv SaaS revenue and Keap SaaS revenue:
|
Three Months Ended December 31, |
||||
(in thousands) |
|
2024 |
|
|
2023 |
Reconciliation of Thryv SaaS Revenue |
|
|
|
||
SaaS Revenue |
$ |
104,305 |
|
$ |
73,970 |
Less: |
|
|
|
||
Keap SaaS Revenue |
|
13,419 |
|
|
— |
Thryv SaaS Revenue (without Keap) |
$ |
90,886 |
|
$ |
73,970 |
|
Years Ended December 31, |
||||
(in thousands) |
|
2024 |
|
|
2023 |
Reconciliation of Thryv SaaS Revenue |
|
|
|
||
SaaS Revenue |
$ |
343,476 |
|
$ |
263,717 |
Less: |
|
|
|
||
Keap SaaS Revenue |
|
13,419 |
|
|
— |
Thryv SaaS Revenue (without Keap) |
$ |
330,057 |
|
$ |
263,717 |
Non-GAAP Measures
Our results included in this press release include Adjusted EBITDA, Adjusted EBITDA Margin and Adjusted Gross Profit and Free Cash Flow, which are not presented in accordance with
We have included Adjusted EBITDA, Adjusted EBITDA Margin, Adjusted Gross Profit and Free Cash Flow because management believes they provide useful information to investors in gaining an overall understanding of our current financial performance and provide consistency and comparability with past financial performance. Specifically, we believe Adjusted EBITDA provides useful information to management and investors by excluding certain non-operating items that we believe are not indicative of our core operating results. In addition, Adjusted EBITDA, Adjusted EBITDA Margin, Adjusted Gross Profit and Free Cash Flow are used by management for budgeting and forecasting as well as measuring the Company’s performance. We believe Adjusted EBITDA, Adjusted EBITDA Margin, Adjusted Gross Profit and Free Cash Flow provide investors with the financial measures that closely align with our internal processes.
We define Adjusted EBITDA (“Adjusted EBITDA”) as Net income (loss) plus Interest expense, Income tax expense, Depreciation and amortization expense, Restructuring and integration expenses, Transaction costs, Stock-based compensation expense, and non-operating expenses, such as, Other components of net periodic pension cost, Loss on early extinguishment of debt, Non-cash loss from remeasurement of indemnification asset, and certain unusual and non-recurring charges that might have been incurred. Adjusted EBITDA should not be considered as an alternative to Net income (loss) as a performance measure. We define Adjusted EBITDA Margin as Adjusted EBITDA divided by revenue. We define Adjusted Gross Profit (“Adjusted Gross Profit”) as Gross profit adjusted to exclude the impact of Depreciation and amortization expense and Stock-based compensation expense. We define Free Cash Flow as cash from operating activities minus capital expenditures.
Non-GAAP financial information has limitations as an analytical tool and is presented for supplemental informational purposes only. Such information should not be considered a substitute for financial information presented in accordance with
The following is a reconciliation of Adjusted EBITDA to its most directly comparable GAAP measure, Net income (loss):
|
Three Months Ended December 31, |
|
Years Ended December 31, |
||||||||||||
(in thousands) |
|
2024 |
|
|
|
2023 |
|
|
|
2024 |
|
|
|
2023 |
|
Reconciliation of Adjusted EBITDA |
|
|
|
|
|
|
|
||||||||
Net income (loss) |
$ |
7,883 |
|
|
$ |
(257,541 |
) |
|
$ |
(74,216 |
) |
|
$ |
(259,295 |
) |
Interest expense |
|
9,723 |
|
|
|
13,817 |
|
|
|
46,771 |
|
|
|
61,728 |
|
Depreciation and amortization expense |
|
11,645 |
|
|
|
16,311 |
|
|
|
52,789 |
|
|
|
63,251 |
|
Stock-based compensation expense (1) |
|
6,465 |
|
|
|
5,548 |
|
|
|
24,118 |
|
|
|
22,201 |
|
Restructuring and integration expenses (2) |
|
15,018 |
|
|
|
1,767 |
|
|
|
32,697 |
|
|
|
14,612 |
|
Income tax expense (benefit) |
|
1,578 |
|
|
|
7,924 |
|
|
|
8,218 |
|
|
|
(1,249 |
) |
Transaction costs (3) |
|
3,439 |
|
|
|
— |
|
|
|
5,145 |
|
|
|
373 |
|
Other components of net periodic pension benefit (4) |
|
(29,549 |
) |
|
|
(6,607 |
) |
|
|
(24,806 |
) |
|
|
(2,719 |
) |
Loss on early extinguishment of debt (5) |
|
— |
|
|
|
— |
|
|
|
6,638 |
|
|
|
— |
|
Non-cash loss from remeasurement of indemnification asset (6) |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
10,734 |
|
Impairment charges |
|
— |
|
|
|
268,846 |
|
|
|
83,094 |
|
|
|
268,846 |
|
Other (7) |
|
3,178 |
|
|
|
2,211 |
|
|
|
1,983 |
|
|
|
9,033 |
|
Adjusted EBITDA |
$ |
29,380 |
|
|
$ |
52,276 |
|
|
$ |
162,431 |
|
|
$ |
187,515 |
|
(1) |
We record stock-based compensation expense related to the amortization of grant date fair value of the Company’s stock-based compensation awards. |
|
(2) |
For the years ended December 31, 2024 and 2023, expenses relate to periodic efforts to enhance efficiencies and reduce costs, and include severance benefits, and costs associated with abandoned facilities and system consolidation. For more information on our restructuring and integration expenses, please see our 2024 Annual Report on Form 10-K. |
|
(3) |
Expenses related to the Keap acquisition during the year ended December 31, 2024, and the Yellow acquisition during the year ended December 31, 2023. |
|
(4) |
Other components of net periodic pension benefit is from our non-contributory defined benefit pension plans that are currently frozen and incur no additional service costs. The most significant component of Other components of net periodic pension benefit relates to periodic mark-to-market pension remeasurement. |
|
(5) |
In connection with the debt refinancing completed on May 1, 2024, we recorded a Loss on early extinguishment of debt related to the write-off of certain unamortized debt issuance costs on our prior Term Loan and prior ABL Facility. |
|
(6) |
In connection with the YP acquisition, the seller indemnified us for future potential losses associated with certain federal and state tax positions taken in tax returns filed by the seller prior to the acquisition date. |
|
(7) |
Other primarily includes foreign exchange-related expense. |
The following tables set forth reconciliations of Adjusted Gross Profit and Adjusted Gross Margin, to their most directly comparable GAAP measures, Gross profit and Gross margin:
|
Three Months Ended December 31, 2024 |
||||||||||
(in thousands) |
Marketing Services |
|
SaaS |
|
Total |
||||||
Reconciliation of Adjusted Gross Profit |
|
|
|
|
|
||||||
Gross profit |
$ |
46,796 |
|
|
$ |
76,231 |
|
|
$ |
123,027 |
|
Plus: |
|
|
|
|
|
||||||
Depreciation and amortization expense |
|
1,837 |
|
|
|
2,830 |
|
|
|
4,667 |
|
Stock-based compensation expense |
|
47 |
|
|
|
108 |
|
|
|
155 |
|
Adjusted Gross Profit |
$ |
48,680 |
|
|
$ |
79,169 |
|
|
$ |
127,849 |
|
Gross Margin |
|
56.9 |
% |
|
|
73.1 |
% |
|
|
65.9 |
% |
Adjusted Gross Margin |
|
59.2 |
% |
|
|
75.9 |
% |
|
|
68.5 |
% |
|
Three Months Ended December 31, 2023 |
||||||||||
(in thousands) |
Marketing Services |
|
SaaS |
|
Total |
||||||
Reconciliation of Adjusted Gross Profit |
|
|
|
|
|
||||||
Gross profit |
$ |
109,752 |
|
|
$ |
49,958 |
|
|
$ |
159,710 |
|
Plus: |
|
|
|
|
|
||||||
Depreciation and amortization expense |
|
4,021 |
|
|
|
1,575 |
|
|
|
5,596 |
|
Stock-based compensation expense |
|
74 |
|
|
|
43 |
|
|
|
117 |
|
Adjusted Gross Profit |
$ |
113,847 |
|
|
$ |
51,576 |
|
|
$ |
165,423 |
|
Gross Margin |
|
67.7 |
% |
|
|
67.5 |
% |
|
|
67.6 |
% |
Adjusted Gross Margin |
|
70.2 |
% |
|
|
69.7 |
% |
|
|
70.0 |
% |
|
Year Ended December 31, 2024 |
||||||||||
(in thousands) |
Marketing Services |
|
SaaS |
|
Total |
||||||
Reconciliation of Adjusted Gross Profit |
|
|
|
|
|
||||||
Gross profit |
$ |
299,015 |
|
|
$ |
238,222 |
|
|
$ |
537,237 |
|
Plus: |
|
|
|
|
|
||||||
Depreciation and amortization expense |
|
12,406 |
|
|
|
8,600 |
|
|
|
21,006 |
|
Stock-based compensation expense |
|
327 |
|
|
|
336 |
|
|
|
663 |
|
Adjusted Gross Profit |
$ |
311,748 |
|
|
$ |
247,158 |
|
|
$ |
558,906 |
|
Gross Margin |
|
62.2 |
% |
|
|
69.4 |
% |
|
|
65.2 |
% |
Adjusted Gross Margin |
|
64.9 |
% |
|
|
72.0 |
% |
|
|
67.8 |
% |
|
Year Ended December 31, 2023 |
||||||||||
(in thousands) |
Marketing Services |
|
SaaS |
|
Total |
||||||
Reconciliation of Adjusted Gross Profit |
|
|
|
|
|
||||||
Gross profit |
$ |
409,057 |
|
|
$ |
169,190 |
|
|
$ |
578,247 |
|
Plus: |
|
|
|
|
|
||||||
Depreciation and amortization expense |
|
20,811 |
|
|
|
6,178 |
|
|
|
26,989 |
|
Stock-based compensation expense |
|
399 |
|
|
|
214 |
|
|
|
613 |
|
Adjusted Gross Profit |
$ |
430,267 |
|
|
$ |
175,582 |
|
|
$ |
605,849 |
|
Gross Margin |
|
62.6 |
% |
|
|
64.2 |
% |
|
|
63.1 |
% |
Adjusted Gross Margin |
|
65.9 |
% |
|
|
66.6 |
% |
|
|
66.1 |
% |
Supplemental Financial Information
The following supplemental financial information provides Revenue, Net Income (Loss), Net Income (Loss) Margin, Adjusted EBITDA and Adjusted EBITDA Margin by our (i) Marketing Services business and (ii) SaaS business. Total SaaS Adjusted EBITDA and Adjusted EBITDA margin are non-GAAP financial measures. Total Marketing Services Adjusted EBITDA and Adjusted EBITDA margin are also non-GAAP financial measures. These non-GAAP financial measures are presented for supplemental informational purposes only and are not intended to be considered in isolation or as a substitute for, or superior to, financial information prepared and presented in accordance with GAAP.
We believe that these non-GAAP financial measures provide useful information about our global SaaS and Marketing Services financial performance, enhance the overall understanding of our global SaaS and Marketing Services past financial performance and allow for greater transparency with respect to important metrics used by our management for financial and operational decision-making. We believe that these measures provide additional tools for investors to use in comparing our core financial performance over multiple periods.
|
Three Months Ended December 31, 2024 |
||||||||||
(in thousands) |
Marketing Services |
|
SaaS |
|
Total |
||||||
Revenue |
$ |
82,291 |
|
|
$ |
104,305 |
|
|
$ |
186,596 |
|
Net Income |
|
|
|
|
|
7,883 |
|
||||
Net Income Margin |
|
|
|
|
|
4.2 |
% |
||||
Adjusted EBITDA |
|
12,104 |
|
|
|
17,276 |
|
|
|
29,380 |
|
Adjusted EBITDA Margin |
|
14.7 |
% |
|
|
16.6 |
% |
|
|
15.7 |
% |
|
Three Months Ended December 31, 2023 |
||||||||||
(in thousands) |
Marketing Services |
|
SaaS |
|
Total |
||||||
Revenue |
$ |
162,193 |
|
|
$ |
73,970 |
|
|
$ |
236,163 |
|
Net (Loss) |
|
|
|
|
|
(257,541 |
) |
||||
Net (Loss) Margin |
|
|
|
|
|
(109.1 |
)% |
||||
Adjusted EBITDA |
|
45,773 |
|
|
|
6,503 |
|
|
|
52,276 |
|
Adjusted EBITDA Margin |
|
28.2 |
% |
|
|
8.8 |
% |
|
|
22.1 |
% |
|
Year Ended December 31, 2024 |
||||||||||
(in thousands) |
Marketing Services |
|
SaaS |
|
Total |
||||||
Revenue |
$ |
480,680 |
|
|
$ |
343,476 |
|
|
$ |
824,156 |
|
Net (Loss) |
|
|
|
|
|
(74,216 |
) |
||||
Net (Loss) Margin |
|
|
|
|
|
(9.0 |
)% |
||||
Adjusted EBITDA |
|
121,241 |
|
|
|
41,190 |
|
|
|
162,431 |
|
Adjusted EBITDA Margin |
|
25.2 |
% |
|
|
12.0 |
% |
|
|
19.7 |
% |
|
Year Ended December 31, 2023 |
||||||||||
(in thousands) |
Marketing Services |
|
SaaS |
|
Total |
||||||
Revenue |
$ |
653,244 |
|
|
$ |
263,717 |
|
|
$ |
916,961 |
|
Net (Loss) |
|
|
|
|
|
(259,295 |
) |
||||
Net (Loss) Margin |
|
|
|
|
|
(28.3 |
)% |
||||
Adjusted EBITDA |
|
175,490 |
|
|
|
12,025 |
|
|
|
187,515 |
|
Adjusted EBITDA Margin |
|
26.9 |
% |
|
|
4.6 |
% |
|
|
20.4 |
% |
Forward-Looking Statements
Certain statements contained herein are not historical facts, constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995 and involve a number of risks and uncertainties. Statements that include the words “may”, “will”, “could”, “should”, “would”, “believe”, “anticipate”, “forecast”, “estimate”, “expect”, “preliminary”, “intend”, “plan”, “target”, “project”, “outlook”, “future”, “forward”, “guidance” and similar statements of a future or forward-looking nature identify forward-looking statements. These statements are not guarantees of future performance. These forward-looking statements are based on our current expectations and beliefs concerning future developments and their potential effect on us. While management believes that these forward-looking statements are reasonable as and when made, there can be no assurance that future developments affecting us will be those that we anticipate. Accordingly, there are or will be important factors that could cause our actual results to differ materially from those indicated in these statements. We believe that these factors include, but are not limited to, the risks related to the following: significant competition for our Marketing Services solutions and SaaS offerings, including from companies that use components of our SaaS offerings provided by third parties; our ability to maintain profitability; our ability to manage our growth effectively; our ability to transition our Marketing Services clients to our Thryv platform, maintain transitioned clients on that platform and sell them additional or upgraded products, sell our platform into new markets or further penetrate existing markets; our ability to maintain our strategic relationships with third-party service providers; internet search engines and portals potentially terminating or materially altering their agreements with us; our ability to keep pace with rapid technological changes and evolving industry standards; our SMBs clients potentially opting not to renew their agreements with us or renewing at lower spend; potential system interruptions or failures, including cybersecurity breaches, identity theft, data loss, unauthorized access to data or other disruptions that could compromise our information; our potential failure to identify suitable acquisition candidates and consummate such acquisitions; our ability to complete acquisitions and the successful integration of such acquisitions, including our recently completed acquisition of Keap, and any failure of an acquired business to achieve its plans and objectives or realize any expected benefit from any such acquisition; the potential loss of one or more key employees or our inability to attract and to retain highly skilled employees; our ability to maintain the compatibility of our Thryv platform with third-party applications; our ability to successfully expand our operations and current offerings into new markets, including internationally, or further penetrate existing markets; our potential failure to provide new or enhanced functionality and features; our potential failure to comply with applicable privacy, security and data laws, regulations and standards; potential changes in regulations governing privacy concerns and laws or other domestic or foreign data protection regulations; our potential failure to meet service level commitments under our client contracts; our potential failure to offer high-quality or technical support services; our Thryv platform and add-ons potentially failing to perform properly; our use of artificial intelligence in our business, and challenges with properly managing its use, could result in reputational harm, competitive harm, and legal liability; the potential impact of future labor negotiations; our ability to protect our intellectual property rights, proprietary technology, information, processes, and know-how; rising inflation and our ability to control costs, including operating expenses; general macro-economic conditions, including a recession or an economic slowdown in the
If one or more events related to these or other risks or uncertainties materialize, or if our underlying assumptions prove to be incorrect, actual results may differ materially from what we anticipate. For these reasons, we caution you against relying on forward-looking statements. All forward-looking statements included in this press release are expressly qualified in their entirety by the foregoing cautionary statements. These forward-looking statements speak only as of the date hereof and, other than as required by law, we undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
About Thryv
Thryv Holdings, Inc. (NASDAQ:THRY) is the provider of the leading sales and marketing platform designed to help small businesses attract new and repeat customers. Thryv software offers SMBs everything they need to manage day-to-day operations and grow efficiently. The platform’s AI-supported marketing and business automations help business owners save time, compete, and win. More than 100K businesses globally use Thryv software to connect with customers and run and grow their business. For more information, visit thryv.com.
1 Defined as Total SaaS revenue excluding |
2 Defined as Gross profit adjusted to exclude the impact of depreciation and amortization expense and stock-based compensation expense. |
3 Seasoned Net Revenue Retention is defined as net dollar retention excluding clients acquired over the previous 12 months and clients acquired in the Keap acquisition which closed on October 31, 2024. |
4 Defined as total client billings for a particular month divided by the number of clients that have one or more revenue-generating solutions in that same month. This is a blended calculation and inclusive of the impact from the Keap acquisition. |
5 These statements are forward-looking and actual results may materially differ. Refer to the “Forward-Looking Statements” section below for information on the factors that could cause our actual results to materially differ from these forward-looking statements. |
6 Consolidated Adjusted EBITDA is equal to Marketing Services Adjusted EBITDA and SaaS Adjusted EBITDA. See Non-GAAP Measures below for a reconciliation of Consolidated Adjusted EBITDA to Net income (loss). |
View source version on businesswire.com: https://www.businesswire.com/news/home/20250227685308/en/
Media Contact:
Julie Murphy
Thryv, Inc.
617.967.5426
julie.murphy@thryv.com
Investor Contact:
Cameron Lessard
Thryv, Inc.
cameron.lessard@thryv.com
Source: Thryv
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