VERIMATRIX

Q1 2024 Revenue - Seite 2

 

 

 

ARR

 

32.3

28.7

+12.5%

of which subscriptions

 

16.5

12.3

+34%

of which maintenance

 

15.8

16.5

-4.2%

Recurring revenue

Recurring revenue increased 14% in Q1 2024, to $8.5m, versus $7.5m in Q1 2023. Recurring revenue accounted for a full 60% of total revenue over the period. This proportion is constantly increasing and set to reach the target previously communicated by VERIMATRIX of 70% by 2025.

Recurring revenue generated from subscriptions continued to grow, up an impressive 31% to $4.2m, compared with $3.2m in Q1 2023.

Revenue generated by maintenance totalled $4.3m in Q1 2024, versus $4.2m in Q1 2023 (+2%).

Non-recurring revenue

Non-recurring revenue fell 13% to $5.7m. Fee income related to set-top boxes continues to fall, while the sale of perpetual licences is holding up well, with a limited decline in Q1 2024 versus Q1 2023. It should be noted that business in Q1 2023 benefited from strong perpetual licence sales, mainly from long-standing telecom operator customers in Europe and Latin America.

ARR

Total ARR at 31 March 2024 stood at $32.3m, up 12.5% compared with 31 March 2023 and $31.2m at the end of 2023.
Consistent with VERIMATRIX guidance, Q1 2024 benefited from the signing of major contracts. Subscription-based ARR increased sharply, by 34% to $16.5m, compared with $12.3m at 31 March 2023, and by 11% compared with Q4 2023. Sales momentum was strong in the Latin American region, with the signing of a major new subscription contract with a long-standing Mexican customer in video protection (Anti-Piracy).

• 2024 outlook confirmed

VERIMATRIX expects the Anti-Piracy business (Content video protection) to stabilise in 2024 as a result of two current trends: the continued decline in the broadcasting market, offset in part by growth in OTT, and the transformation of the sales model to a recurring revenue model. The Extended Threat Defense (XTD) business will continue to grow strongly, particularly in new market segments including banking and automotive. ARR from subscriptions is expected to grow by more than 20%. The company aims to continuously improve EBITDA through growth in recurring revenue in its two business activities and a controlled and primarily fixed expense structure.