Exela Technologies, Inc. Reports Second Quarter 2024 Results

Financial Performance - Revenue for Q2 2024 was $245.7 million, a decline of 10.0% year-over-year from $272.9 million in Q2 2023 [3][19] - Gross margin improved to 23.5%, up 120 basis points year-over-year, attributed to lower costs [4][6] - Interest expense decreased significantly to $23.1 million, down 48.7% year-over-year due to debt modification [4][6] - Selling, General and Administrative (SG&A) expenses rose to $41.8 million, an increase of 30.5% year-over-year, influenced by higher non-cash write-downs [5][6] - Operating loss was reported at $2.4 million, compared to an operating profit of $11.2 million in Q2 2023 [6][19] - Net loss for the quarter was $26.9 million, an improvement of $4.0 million year-over-year [6][19] - Adjusted EBITDA was $13.7 million, down 39.0% year-over-year from $22.5 million [7][24] Segment Performance - Revenue from Information and Transaction Processing Solutions segment was $156.8 million, a decline of 15.2% year-over-year [3] - Healthcare Solutions generated $62.9 million in revenue, reflecting a 1.1% decline year-over-year [4] - Legal & Loss Prevention Services saw revenue increase to $25.9 million, a 6.3% rise year-over-year [4] Management Commentary - The Executive Chairman noted that increased operating leverage and cost management efforts contributed to the gross margin expansion, expressing cautious optimism for the second half of the year [2]