In This Article:
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Revenue: $51.4 million for Q4 2024, a decrease of 8.1% year-over-year.
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Digital Revenue: $42 million for Q4 2024, a decrease of 7.2% year-over-year.
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Print Revenue: $9.4 million for Q4 2024, a decrease of 11.5% year-over-year.
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Adjusted EBITDA: $8.2 million for Q4 2024, a decrease of 49.3% year-over-year; 16% of revenue.
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Net Income: $2.7 million for Q4 2024, down from $12.2 million in the same period last year.
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Cash Balance: Approximately $49 million as of the end of January 2025.
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Dividend: $0.25 per common share declared, payable on March 17, 2025.
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Workforce: Decreased to 565 employees, down 10% from the previous year.
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Pension Contributions: Final $1.5 million voluntary payment made in Q4 2024; $6 million for the full year.
Release Date: February 13, 2025
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
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Yellow Pages Ltd (YLWDF) reported a favorable bending of the revenue curve for the fourth consecutive quarter, indicating improved revenue trends.
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The company achieved a 6% increase in new customer acquisitions compared to the same quarter last year, and a 28% increase for the year overall.
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Adjusted EBITDA for the full year was 23.7% of revenue, demonstrating solid earnings performance despite significant investments.
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The company completed its voluntary payments into the pension plan, reaching a wind-up ratio of over 95%, which de-risks the pension plan.
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A dividend of $0.25 per common share was declared, reflecting confidence in the company's financial health.
Negative Points
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Revenues decreased by $4.5 million or 8.1% year-over-year, primarily due to declines in digital media and print products.
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Adjusted EBITDA decreased by 49.3% to $8.2 million for the fourth quarter, with margins dropping to 16% from 29.1% the previous year.
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The company faced increased pressure on gross profit margins due to a decline in higher-margin products.
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There was an increase in bad debt expense and a negative impact from the share price on cash-settled stock-based compensation expense.
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The workforce decreased by 10% year-over-year, despite increases in telesales force capacity, indicating potential operational challenges.
Q & A Highlights
Q: Can you provide an overview of Yellow Pages' financial performance for the fourth quarter of 2024? A: David Eckert, President and CEO, highlighted that Yellow Pages reported a favorable bending of the revenue curve for the fourth consecutive quarter. The company saw an increase in new customer acquisitions by 6% compared to the same quarter last year and 28% for the year overall. Adjusted EBITDA for the quarter was 16.0% of revenue, and for the full year, it was 23.7%. The company also completed its voluntary pension plan payments, reaching a wind-up ratio of over 95%.