AudioCodes Reports Fourth Quarter and Full Year 2024 Results and Declares Semi-Annual Dividend of 18 cents per share

Core Insights - AudioCodes reported its financial results for Q4 and full year 2024, showing a slight decline in overall revenues but growth in service revenues and net income [2][3][5]. Financial Performance - Q4 2024 revenues were $61.6 million, a decrease of 3.2% year-over-year from $63.6 million in Q4 2023, while full year revenues were $242.2 million, down 0.9% from $244.4 million in 2023 [3][8]. - Q4 2024 EBITDA was $5.2 million, down from $7.9 million in Q4 2023, but full year EBITDA increased to $21.1 million from $17.0 million in 2023 [3][4]. - Net income for Q4 2024 was $6.8 million, or $0.22 per diluted share, compared to $3.7 million, or $0.12 per diluted share in Q4 2023. Full year net income rose to $15.3 million, or $0.50 per diluted share, from $8.8 million, or $0.28 per diluted share in 2023 [5][6]. Non-GAAP Metrics - On a Non-GAAP basis, Q4 2024 net income was $11.6 million, or $0.37 per diluted share, compared to $8.9 million, or $0.28 per diluted share in Q4 2023. Full year Non-GAAP net income was $27.3 million, or $0.87 per diluted share, up from $25.0 million, or $0.77 per diluted share in 2023 [6][32]. Revenue Breakdown - Service revenues in Q4 2024 increased by 10.9% year-over-year to $34.2 million, while full year service revenues rose by 8.2% to $130.2 million [8]. - The Enterprise UCaaS and CX business accounted for 92% of revenues in Q4, with Microsoft business growing by 13% in the quarter and 6% for the full year [13][14]. Cash Flow and Shareholder Returns - Net cash provided by operating activities was $15.3 million for Q4 and $35.3 million for the full year 2024 [10][11]. - The company repurchased 634,533 ordinary shares for $6.0 million during Q4 2024 and declared a cash dividend of $0.18 per share, totaling approximately $5.3 million [16][19]. Strategic Outlook - The company expects continued growth in recurring revenue, particularly in its Voice.ai and managed services segments, projecting a 40% to 50% growth in AI business applications for 2025 [14][15].