INNOVATE (VATE) - 2024 Q4 - Annual Results

Financial Performance - INNOVATE Corp. reported consolidated revenue of $236.6 million for Q4 2024, a decrease of 34.5% compared to $361.0 million in Q4 2023[9]. - Net loss attributable to common stockholders for Q4 2024 was $16.9 million, or $1.29 per share, compared to a net loss of $9.6 million, or $1.22 per share, in Q4 2023[11]. - Total Adjusted EBITDA for Q4 2024 was $15.0 million, a decrease of 30.2% from $21.5 million in Q4 2023[2]. - Total revenue for Q4 2024 was $236.6 million, a decrease of 34.5% compared to $361.0 million in Q4 2023[32]. - Adjusted EBITDA for Q4 2024 was $15.0 million, down 30.2% from $21.5 million in Q4 2023[15]. - Net loss attributable to INNOVATE Corp. for Q4 2024 was $16.6 million, compared to a net loss of $9.3 million in Q4 2023[32]. - The total Adjusted EBITDA for the year ended December 31, 2024, was $71.3 million, an increase of 9.8% from $65.0 million in 2023[15]. - For the year ended December 31, 2024, net income attributable to INNOVATE Corp. was $40.3 million, compared to $28.7 million in 2023, an increase of 40.0%[39]. - Adjusted EBITDA for the year ended December 31, 2024, was $71.3 million, compared to $65.0 million in 2023, an increase of 9.6%[39]. Segment Performance - The Infrastructure segment generated revenue of $225.7 million in Q4 2024, down 36.2% from $353.8 million in the prior year quarter[7]. - The Infrastructure segment reported an Adjusted EBITDA of $17.4 million in Q4 2024, a decrease of 42.0% from $30.0 million in Q4 2023[15]. - Life Sciences segment had an Adjusted EBITDA of $(2.5) million in Q4 2024, an improvement of 64.8% from $(7.1) million in Q4 2023[15]. - Broadcasting segment achieved revenue of $6.8 million in Q4 2024, up from $5.7 million in the prior year quarter, with an adjusted EBITDA of $2.3 million[6]. - R2 Technologies reported a 113% increase in worldwide system unit sales in Q4 2024 compared to Q4 2023[7]. Financial Health - INNOVATE Corp. reduced total debt by $54.5 million year-over-year, indicating improved financial health[4]. - Cash and cash equivalents as of December 31, 2024, were $48.8 million, down from $80.8 million as of December 31, 2023[16]. - Total assets decreased from $1,043.6 million in 2023 to $891.1 million in 2024, a decline of approximately 14.6%[35]. - Cash and cash equivalents dropped significantly from $80.8 million in 2023 to $48.8 million in 2024, a decrease of 39.6%[35]. - Total liabilities decreased from $1,179.9 million in 2023 to $1,034.8 million in 2024, a reduction of approximately 12.3%[35]. - The current portion of debt obligations increased significantly from $30.5 million in 2023 to $162.2 million in 2024, an increase of 431.1%[35]. - The company reported a significant increase in interest expense, rising from $68.2 million in 2023 to $74.5 million in 2024, an increase of 9.2%[39]. - The accumulated deficit increased from $487.3 million in 2023 to $521.9 million in 2024, reflecting a decline of 7.1%[35]. Future Outlook - The company anticipates strong project execution in 2025, supported by a robust backlog and new product approvals[3]. - The company plans to continue focusing on new product sales in the Life Sciences segment and expanding its market presence[25]. - The adjusted backlog for the Infrastructure segment was $1.1 billion as of December 31, 2024, compared to $1.2 billion a year earlier[3]. Employment - The company employed approximately 3,100 people across its subsidiaries[19]. Operating Expenses - Operating expenses for Q4 2024 were $45.8 million, slightly down from $45.7 million in Q4 2023[32].