Trimble Announces Fourth Quarter and Full Year 2024 Results and Initiates 2025 Guidance

Core Viewpoint - Trimble Inc. reported transformative financial results for fiscal year 2024, highlighting a focus on portfolio simplification and customer delivery, leading to record levels in software revenue, annualized recurring revenue (ARR), gross margin, and profitability [2][10]. Financial Highlights - For Q4 2024, Trimble achieved total revenue of $983.4 million, a 5% increase year-over-year, and a 17% increase on an organic basis [10]. - The company reported annualized recurring revenue (ARR) of $2.26 billion, up 14% year-over-year, also reflecting a 14% organic growth [10]. - GAAP operating income for Q4 2024 was $173.5 million, representing 17.6% of revenue, while non-GAAP operating income was $283.6 million, or 28.8% of revenue [10]. - GAAP net income for Q4 2024 was $90.2 million, with diluted earnings per share (EPS) of $0.36, while non-GAAP net income was $221.5 million, with non-GAAP diluted EPS of $0.89 [10][11]. Forward-Looking Guidance - For full-year 2025, Trimble expects revenue between $3,370 million and $3,470 million, with GAAP EPS projected between $1.46 and $1.67, and non-GAAP EPS between $2.76 and $2.98 [3][4]. - For Q1 2025, revenue is anticipated to be between $794 million and $824 million, with GAAP EPS between $0.21 and $0.27, and non-GAAP EPS between $0.55 and $0.61 [4][5]. Share Repurchase Authorization - The Board of Directors has authorized a common stock repurchase program of up to $1 billion, replacing the previous authorization and effective immediately [6]. Segment Performance - In Q4 2024, Trimble's reporting segments showed varied performance, with AECO segment revenue at $413.8 million, Field Systems at $362.8 million, and T&L at $206.8 million [16]. - The operating income percentages for these segments were 40.8% for AECO, 30.4% for Field Systems, and 20.3% for T&L [16]. Cash Flow and Capital Expenditures - Trimble reported net cash provided by operating activities of $531.4 million for the year, with free cash flow of $497.8 million after capital expenditures of $33.6 million [15][28]. - The company generated significant cash flow from divestitures, amounting to $1,923.4 million [15]. Company Overview - Trimble focuses on transforming how people move, build, and live, utilizing core technologies in positioning, modeling, and data analytics to enhance productivity, quality, safety, transparency, and sustainability [8].