ANGI Homeservices(US:ANGI)2024-05-07 20:08Revenue Performance - Q1 2024 revenue was $305.4 million, down 14% year-over-year, driven by a 15% decline in Ads and Leads revenue and a 28% decline in Services revenue, partially offset by 18% growth in International revenue[2][5] - Revenue for Q1 2024 was $305.39 million, a decrease of 14.1% compared to $355.50 million in Q1 2023[17] - Total Pro Forma Net Revenue for Angi Inc. in Q1 2024 was $305.4 million, compared to $351.8 million in Q1 2023[25] - Pro Forma Net Revenue for Services in Q1 2024 was $20.5 million, compared to $28.4 million in Q1 2023, reflecting a $3.7 million adjustment for contracts entered into prior to January 1, 2023[25][35] Operating Income and Adjusted EBITDA - Q1 2024 operating income improved by $14 million to $3 million, and Adjusted EBITDA increased 21% to $36 million, driven by growth in Ads and Leads, Services, and International segments[1][3][6] - Adjusted EBITDA for Q1 2024 was $36.0 million, with the Ads and Leads segment contributing $41.2 million[21] - Adjusted EBITDA for the three months ended March 31, 2023, was $29.7 million, with Ads and Leads contributing $39.9 million, Services at $(2.2) million, and Corporate at $(12.4) million[22] - FY 2024 Adjusted EBITDA outlook is projected to be between $120 million and $150 million, with operating loss expected to range from $(20) million to $40 million[24] - Adjusted EBITDA excludes stock-based compensation expense, depreciation, and acquisition-related items such as amortization of intangible assets and impairments of goodwill[28] International Segment Performance - International revenue increased 18% to $35.4 million in Q1 2024, driven by a larger service professional network and higher revenue-per-service-professional[5] - International segment reported an operating income of $3.0 million and Adjusted EBITDA of $4.4 million for the three months ended March 31, 2023[22] Service Professionals and Transactions - Transacting Service Professionals were 192,000 in Q1 2024, down 7% year-over-year, but improved sequentially for the 3rd consecutive quarter[3] - Monetized Transactions per Service Request increased 24% to 1.34 in Q1 2024[3] - Service Requests decreased 31% year-over-year to 4,126,000 in Q1 2024, while Monetized Transactions decreased 15% to 5,511,000[8] Financial Position and Cash Flow - As of March 31, 2024, Angi Inc. had $363 million in cash and cash equivalents and $500 million of debt due August 15, 2028[11] - Free Cash Flow increased $0.2 million to $9.5 million in Q1 2024, primarily due to higher Adjusted EBITDA[9][10] - Cash and cash equivalents stood at $363.34 million as of March 31, 2024, slightly down from $364.04 million at the end of 2023[18] - Net cash provided by operating activities attributable to continuing operations was $22.30 million in Q1 2024, up from $21.17 million in Q1 2023[19] - Free Cash Flow is defined as net cash provided by operating activities attributable to continuing operations, less capital expenditures, and is used to evaluate the company's cash generation[29] Costs and Expenses - Total operating costs and expenses decreased to $290.18 million in Q1 2024 from $349.44 million in Q1 2023, a reduction of 16.9%[17] - Stock-based compensation expense totaled $9.40 million in Q1 2024, down from $12.71 million in Q1 2023[17] - Depreciation for FY 2024 is expected to be between $80 million and $100 million, while stock-based compensation expense is projected to range from $30 million to $40 million[24] - Capital expenditures for Q1 2024 were $12.80 million, slightly higher than $11.86 million in Q1 2023[19] Shareholder Equity and Share Repurchases - Total shareholders' equity was $1.04 billion as of March 31, 2024, compared to $1.04 billion at the end of 2023[18] - Angi Inc. repurchased 3.2 million common shares between February 10, 2024, and May 3, 2024, for an aggregate of $7.1 million at an average share price of $2.23 per share[3][11] Net Loss and Corporate Segment - Net loss attributable to Angi Inc. shareholders was $1.63 million in Q1 2024, an improvement from a net loss of $15.33 million in Q1 2023[17] - Corporate segment incurred an operating loss of $(14.9) million and Adjusted EBITDA of $(12.4) million for the three months ended March 31, 2023[22] Total Assets and Liabilities - Total assets decreased to $1.83 billion as of March 31, 2024, compared to $1.86 billion at the end of 2023[18] Services Segment Adjustments - The company modified Services terms and conditions effective January 1, 2023, requiring revenue to be reported on a net basis, impacting Pro Forma Net Revenue calculations[27][35]