TechTarget (TTGT) Q4 2024 Earnings Call June 04, 2025 08:30 AM ET Company Participants Charlie Rennick - General Counsel & Corporate SecretaryGary Nugent - CEODan Noreck - CFO Conference Call Participants Joshua Reilly - Senior AnalystJason Kreyer - Senior Research AnalystEric Martinuzzi - Senior Research Analyst Operator Hello, everyone, and thank you for joining the Informa Tech Target reports 2024 full year financial results. My name is Sami, and I'll be coordinating your call today. I'll now hand over t ...

Financial Data and Key Metrics Changes - Reported revenues for 2024 were $285 million with a GAAP net loss of $117 million, reflecting acquisition and integration costs as well as non-cash impairments [5] - Adjusted EBITDA was $31 million, with a combined company net loss of $166 million and combined adjusted EBITDA of $82 million [6] - The financial position at year-end was strong, with cash, cash equivalents, and short-term investments of approximately $354 million [6] Business Line Data and Key Metrics Changes - The combined company delivered full-year revenues of $490 million, indicating broadly flat underlying performance due to a subdued market backdrop [6] - The restructuring of the sales organization has been accelerated, focusing on larger customer accounts through dedicated service teams [9] Market Data and Key Metrics Changes - The company operates at the intersection of technology and B2B marketing, representing a $20 billion addressable market [7] - The business environment remains subdued, with no significant improvement or deterioration expected in 2024 [25] Company Strategy and Development Direction - The focus for 2025 is on combining strengths across brands, products, and talent to position the business for long-term growth [8] - The company is tracking well ahead of its year-one operating cost synergy target of $5 million, with confidence in meeting or exceeding the overall run rate synergies targeted by year three [9] Management's Comments on Operating Environment and Future Outlook - Management described the performance in 2024 as robust, holding revenues while improving margins despite geopolitical tensions and macroeconomic uncertainties [6] - Confidence in improving performance in the second half of the year is based on investments made and the new go-to-market model [25] Other Important Information - The company is applying AI to improve efficiency and effectiveness across various business areas, including research, marketing, and sales [13][14] - The restructuring of the intelligence and advisory portfolio aims to better meet evolving customer demands by packaging services into larger offerings [33] Q&A Session Summary Question: Impact of AI on the business - Management sees AI as both a market opportunity and a means to improve internal efficiency and product offerings [12][13] Question: Cost synergies and revenue synergies - Management is confident in meeting or exceeding the $45 million target for cost and revenue synergies [16] Question: Short-term disruption in January and February - Disruption was related to the implementation of the combination plan, but management felt it was important to execute quickly to anticipate market opportunities [18] Question: Details on the subdued market - The subdued market reflects a continuation of patterns seen in 2024, with no significant changes expected [24] Question: Subscription business performance - Renewal rates for the subscription business are holding flat year-on-year, with a focus on acquiring new customers and upselling existing ones [30][31] Question: Repositioning of Netline product - The repositioning of the Netline product to the volume end of the market has been positively received [32] Question: Reshaping of the intelligence and advisory portfolio - The reshaping involves packaging services into fewer, larger offerings aligned with market segments [33]

Creating a Leading Global B2B Growth Accelerator Investor Presentation September 5, 2024 © TechTarget 1 Disclaimer (1/2) Additional Information and Where to Find It In connection with the proposed transaction (the "proposed transaction"), Toro CombineCo, Inc. ("NewCo") filed with the Securities and Exchange Commission (the "SEC") a registration statement on Form S-4 (File No. 333-280529) containing a preliminary proxy statement of TechTarget, Inc. ("TechTarget") that also constitutes a preliminary prospectu ...