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Tucows(TCX) - 2024 Q3 - Quarterly Results
TCXTucows(TCX)2024-11-08 23:06

Financial Performance - Consolidated net revenue for Q3 2024 increased by 6.1% to 92.3millionfrom92.3 million from 87.0 million in Q3 2023, driven by revenue gains from Ting and Domains[3] - Gross profit for Q3 2024 rose by 32.4% to 22.2millioncomparedto22.2 million compared to 16.8 million in Q3 2023, primarily due to significant gross margin gains from Ting and Domains[4] - Adjusted EBITDA for Q3 2024 increased by 94.3% to 8.7millionfrom8.7 million from 4.5 million in Q3 2023, attributed to revenue growth from Domains and Ting, along with cost management in the Ting business[6] - Net loss for Q3 2024 was 22.3million,oralossof22.3 million, or a loss of 2.03 per share, an improvement from a net loss of 22.8million,or22.8 million, or 2.09 per share, in Q3 2023[5] Cash and Liquidity - Cash equivalents at the end of Q3 2024 were 91.1million,upfrom91.1 million, up from 52.2 million at the end of Q2 2024, but down from 122.4millionattheendofQ32023[7]−Thenetcashusedinoperatingactivitiesforthefirstninemonthsof2024was122.4 million at the end of Q3 2023[7] - The net cash used in operating activities for the first nine months of 2024 was (14.95) million, a slight increase in cash outflow compared to (13.77)millioninthesameperiodof2023[8]RevenueBreakdown−RevenuefromTingInternetServicesforQ32024was(13.77) million in the same period of 2023[8] Revenue Breakdown - Revenue from Ting Internet Services for Q3 2024 was 15.3 million, up from 12.9millioninQ32023,reflectingayear−over−yeargrowth[9]−TotalrevenuefromTucowsDomainServicesforQ32024was12.9 million in Q3 2023, reflecting a year-over-year growth[9] - Total revenue from Tucows Domain Services for Q3 2024 was 64.7 million, compared to $61.1 million in Q3 2023, indicating a growth of approximately 4.3%[9] Operational Efficiency - The company undertook a second workforce reduction in the Ting business as part of a capital efficiency plan aimed at maximizing existing network contributions[2] - Tucows continues to focus on cost controls across all businesses while aiming for revenue and margin gains[2] Future Outlook - Tucows expects to realize synergies from the Enom acquisition, contributing to future financial results[18] - The company anticipates growth in Ting Internet, although specific growth figures were not disclosed[18] - Forward-looking statements are subject to uncertainties and risks that could materially affect actual results[18]