Unlock stock picks and a broker-level newsfeed that powers Wall Street.
Agillic releases Q3 2024 financial report with 8% decrease in ARR from Subscriptions YoY, EBITDA of DKK 1.8 million and DKK 6.7 million in cash flow from operations
ARR from subscriptions YTD decreased 8% primarily due to clients’ technology consolidations in Q1 2024. ARR from subscriptions increased modestly by 2% in Q3 2024 vs. Q2 2024. Agillic maintains its 2024 guidance due to expected growth from both existing clients and new sales in Q4 2024. Cash flow from operations was DKK 6.7 million in Q3 2024, an increase of DKK 12.6 million YoY.
Key financial and SaaS highlights (DKK million)
Income statement
YTD 2024
YTD 2023
Change
Q3 2024
Q3 2023
Change
Revenue Subscriptions
37.0
40.2
-8%
12.1
13.6
-11%
Revenue Transactions
7.4
9.1
-19%
2.7
3.0
-10%
Other revenue
0.0
0.0
n/a
0.0
0.0
n/a
Total revenue
44.4
49.3
-10%
14.8
16.6
-11%
Gross profit
36.1
39.6
-9%
11.7
13.4
-13%
Gross margin
81%
80%
-
79%
81%
-
Other operating income
0.6
0.5
20%
0.2
0.2
0%
Employee costs
-23.7
-26.0
9%
-7.1
-7.9
10%
Operational costs
-11.2
-10.6
-6%
-3.6
-3.2
-13%
EBITDA
1.8
3.5
-49%
1.2
2.5
-52%
Net profit
1.2
-5.1
n/a
-2.4
-0.4
-500%
Financial position
Cash
3.7
11.5
-68%
3.7
11.5
-68%
ARR development
ARR Subscriptions
52.5
56.8
-8%
52.5
56.8
-8%
ARR Transactions
10.6
12.1
-12%
10.6
12.1
-12%
Total ARR
63.1
68.9
-8%
63.1
68.9
-8%
Change in ARR
-5.8
2.5
-
1.4
2.5
-
Change in ARR %
-8%
4%
-
2%
4%
-
Reclassification between other operating income, employee costs, and operational costs is updated in 2023 figures.
ARR ARR from subscriptions decreased 8% YoY which was related to clients’ business and technology consolidation and in line with our expectations. ARR from transactions decreased 12% YoY as a consequence of lower volumes due to geopolitical factors. The decline in ARR mainly happened in Q1 2024, while ARR increased modestly in Q3, and we expect both ARR from subscriptions and ARR from transactions to increase further in Q4 2024.
Revenue Total Revenue decreased 10% YoY related to the decrease in ARR. Total Revenue is expected to increase in Q4 2024.
EBITDA EBITDA YTD was negatively impacted by the decrease in revenue and by an increase in operational costs related to a one-time cost of DKK 1.0 million for consultancy services. However, with an increase in the gross margin from 80% to 81% YTD, and a decrease in employee costs, we delivered a positive EBITDA in Q3 2024 YTD of DKK 1.8 million.
Cash At the end of Q3, at the cash position was DKK 3.7 million in line with expectations. This was primarily a result of an increase in cashflow from operations to DKK 6.7 million (Q3 2023: DKK -5.9 million).
Financial guidance 2024 (unchanged)
Revenue
DKK million
62 to 66
EBITDA
-
0 to 2
ARR Subscriptions
-
56 to 60
ARR Transactions
-
10 to 14
Total ARR
-
66 to 74
For further information, please contact: Emre Gürsoy, CEO +45 30 78 42 00 emre.gursoy@agillic.com
Disclaimer The forward-looking statements regarding Agillic’s future financial situation involve factors of uncertainty and risk, which could cause actual developments to deviate from the expectations indicated. Statements regarding the future are subject to risks and uncertainties that may result in considerable deviations from the presented outlook. Furthermore, some of these expectations are based on assumptions regarding future events, which may prove incorrect. Please also refer to the overview of risk factors in the ‘risk management’ section of the annual report.
About Agillic A/S Agillic is a Danish software company offering brands a platform through which they can work with data-driven insights and content to create. automate and send personalised communication to millions. Agillic is headquartered in Copenhagen, Denmark, with teams in Germany, Norway, and Romania. For further information, please visit www.agillic.com
Appendix: Financial development per quarter
DKK million
2024
2023
2022
INCOME STATEMENT
Q3
Q2
Q1
FY
Q4
Q3
Q2
Q1
FY
Q4
Q3
Q2
Q1
Revenue Subscriptions
12.1
12.3
12.6
52.4
12.2
13.6
13.5
13.1
49.9
13.5
13.1
12.2
11.1
Revenue Transactions
2.7
2.5
2.2
12.0
2.9
3.0
2.9
3.2
16.7
6.0
4.8
3.3
2.6
Other revenue
0.0
0.0
0.0
0.3
0.3
0.0
0.0
0.0
0.4
0.0
0.0
0.1
0.3
Total revenue
14.8
14.8
14.8
64.7
15.4
16.6
16.4
16.3
67.0
19.5
17.9
15.6
14.0
Gross profit
11.7
12.1
12.3
52.2
12.6
13.4
13.2
13.0
49.6
15.5
11.4
11.7
11.0
Gross margin
79%
82%
83%
81%
82%
81%
80%
80%
74%
80%
63%
75%
78%
Other operating income
0.2
0.2
0.2
0.6
0.1
0.2
0.2
0.1
0.3
0.3
0.0
0.0
0.0
Employee costs
-7.1
-8.0
-8.6
-36.8
-10.8
-7.9
-9.4
-8.7
-32.5
-9.2
-7.3
-8.0
-8.0
Operational costs
-3.6
-4.3
-3.3
-14.1
-3.5
-3.2
-3.0
-4.4
-16.3
-5.1
-2.7
-3.7
-4.8
EBITDA
1.2
0.0
0.6
1.9
-1.6
2.5
1.0
0.0
1.1
1.5
1.4
0.0
-1.8
Net profit
-2.4
7.0
-3.4
-27.5
-22.4
-0.4
-1.8
-2.9
-10.6
-2.0
-1.2
-2.7
-4.7
BALANCE SHEET
Cash
3.7
4.4
7.2
9.8
9.8
11.5
18.3
26.9
7.4
7.4
1.8
12.6
7.5
Total assets
42.8
45.8
51.5
47.1
47.1
64.9
69.0
75.8
52.8
52.8
54.0
58.7
55.4
Equity
-17.8
-16.0
-23.6
-20.2
-20.2
1.5
1.8
3.4
-15.0
-15.0
-13.2
-12.0
-9.6
Borrowings
19.1
21.4
24.3
23.7
23.7
23.0
24.2
25.7
24.3
24.3
23.7
26.1
26.4
CASH FLOW
Cash flow from operations
4.1
2.6
0.0
-6.5
-0.6
-2.8
-4.3
1.2
3.1
7.3
-4.9
9.0
-8.3
Cash flow from investments
-2.6
-2.7
-3.0
-11.7
-2.1
-3.1
-3.2
-3.3
-13.5
-3.3
-3.3
-3.7
-3.2
Cash flow from financing
-2.2
-2.7
0.4
20.6
1.0
-0.9
-1.1
21.6
-2.8
1.6
-2.5
-0.2
-1.6
Net cash flow
-0.7
-2.8
-2.6
2.4
-1.7
-6.8
-8.6
19.5
-13.2
5.6
-10.8
5.1
-13.1
EMPLOYEES & CLIENTS
Employees end of period
40
39
41
50
50
50
50
46
48
48
47
51
47
Clients end of period
114
113
116
122
122
120
120
118
118
118
111
108
105
ARR & SAAS METRICS
ARR Subscriptions
52.5
51.7
52.2
57.8
57.8
56.8
54.9
54.2
54.1
54.1
50.3
49.6
48.5
ARR Transactions
10.6
10.0
8.9
12.3
12.3
12.1
11.5
17.3
22.6
22.6
19.6
14.6
10.3
Total ARR
63.1
61.7
61.1
70.1
70.1
68.9
66.4
72
76.7
76.7
69.9
64.2
58.8
Change in ARR (DKK)
1.4
0.6
-9.0
-6.6
1.2
2.5
-5.1
-5.2
21.0
6.8
5.7
5.4
3.1
Change in ARR %
2%
1%
-13%
-9%
2%
4%
-7%
-7%
38%
10%
9%
9%
6%
Average ARR
0.6
0.5
0.5
0.6
0.6
0.6
0.6
0.6
0.6
0.6
0.6
0.6
0.6
Yearly CAC
-
-
-
0.2
-
-
-
-
0.1
-
-
-
-
Months to recover CAC
-
-
-
6
-
-
-
-
3
-
-
-
-
Definitions
Cash is defined as available funds less bank overdraft withdrawals.
ARR: the annualised value of subscription agreements and transactions at the end of the actual reporting period.
Average ARR: the average Total ARR per client.
Customer Acquisition Costs (CAC): the sales and marketing cost (inclusive salaries, commissions, direct and share of costs of office) divided by the number of new clients. CAC is calculated end of year.
Months to recover CAC: the period in months it takes to generate sufficient gross profit from a client to cover the acquisition cost.
