Q4 2024 WithSecure Oyj Earnings Call Transcript
Key Points
- WithSecure Corp (FRA:DTV0) reported a 6% year-on-year growth in Annual Recurring Revenue (ARR), with potential for a 3% higher growth without timing issues related to discounts.
- The company's cloud revenue grew by 9%, driven by a full portfolio of new product launches, indicating strong product development and market acceptance.
- WithSecure achieved a significant 52% year-on-year growth in ARR for its cloud protection for Salesforce, highlighting successful strategic initiatives and market penetration.
- The company reported an adjusted EBITDA of EUR 1.5 million for Q4 and EUR 4 million for the full year, demonstrating improved profitability.
- WithSecure's strategic focus on the mid-market and partnerships is expected to increase its addressable market and enhance its position as a European cybersecurity leader.
- The managed services segment experienced a decline, attributed to churn from larger customers, impacting overall growth.
- On-premises revenue continued to decline, consistent with previous trends, indicating challenges in traditional business segments.
- The company faced timing issues with discounts, which affected ARR growth and created volatility in financial reporting.
- Despite growth in cloud protection for Salesforce, the business is currently at a break-even point, indicating ongoing investment needs.
- The divestment of the cybersecurity consulting segment resulted in a EUR 30 million impairment of goodwill, impacting financial results.
Very good afternoon from Helsinki, Finland. We are WithSecure, and this is our quarter four 2024 results release. My name is Laura Viita. I am responsible for the investor relations of WithSecure. We've had a very eventful quarter four as well as the month after the quarter end and we are happy to be here today, sharing all our news and figures with our investors and analysts. So welcome to everybody, also those of you who are following us online today.
Today's speakers will be our President and CEO Antti Koskela, who will go through the business, what happened, and how that looks like, going forward after Antti, Tom Jansson, the CFO, will present our numbers and results and also share some insights regarding the consulting divestment and what to expect going forward.
We will have questions and answers at the end. If you are watching us over the live webcast, you can put in questions at any time. I will take them up with the presenters at the end. So now with that, I'm handing over to the President and CEO of WithSecure Antti
| Access to All Earning Calls and Stock Analysis | |
| 30-Year Financial on one screen | |
| All-in-one Stock Screener with unlimited filters | |
| Customizable Stock Dashboard | |
| Real Time Insider Trading Transactions | |
| 8,000+ Institutional investors’ 13F holdings | |
| Powerful Excel Add-in and Google sheets Add-on | |
| All data downloadable | |
| Quick customer support | |
| And much more... |
Trustpilot
We'd love to learn more about your experiences on GuruFocus.com and how we can improve!
Take Survey
