Financial Data and Key Metrics Changes - In Q4 2024, the company reported revenue of 17.6 million, up 5.7% year over year in constant currency [7] - Adjusted EBITDA for Q4 2024 was 0.1 million a year ago [7] - The company reported a net loss of 0.20 per diluted share, compared to net income of 0.23 per diluted share in the same period last year [8] Business Line Data and Key Metrics Changes - Revenue for the Americas business increased 18%, with adjusted net revenue increasing 5% year over year in constant currency, and adjusted EBITDA rose to 0.2 million a year ago [10] - Asia Pacific revenue decreased 10%, while adjusted net revenue increased 6% year over year in constant currency, with adjusted EBITDA remaining flat at 0.2 million from 2.0 million of cash flow from operations in Q4 2024, down from 11.9 million compared to 3.4 million in sales, marketing, and technology to enhance future growth [6][15] - A digital division was launched, and a Chief Digital Officer was hired to improve digital capabilities and deliver innovative talent solutions [17] - The company aims to expand its geographical reach and service offerings, with a focus on organic growth and enhancing market share with existing partners [27][29] Management's Comments on Operating Environment and Future Outlook - Management noted a modest improvement in the demand environment, with some hesitation and uncertainty affecting hiring initiatives [24] - The sales pipeline is encouraging, and management believes they are well-positioned to convert this pipeline into actual sales once market conditions improve [20] - The company anticipates that as attrition rates normalize, hiring lines will pick up, positively impacting overall business [60] Other Important Information - The company ended the year with 0.7 million of restricted cash [13] - The company has a goal to reach 60,000 annual hires over the next three years and to grow RPO clients by 50% [62] Q&A Session Summary Question: Demand environment post-election - Management observed an uptick in client behavior and hiring activity, though uncertainty remains in the market affecting hiring volumes [24] Question: Investments for future growth in 2025 - The growth strategy includes M&A for geographical and product portfolio expansion, as well as enhancing the sales team [27][29] Question: Cash usage and acquisition pipeline - Internal growth projects are prioritized, with a focus on high ROI investments over acquisitions [35][38] Question: Lead time trends with RPO - The sales cycle remains consistent, with expectations for more decisions in 2025 as previous initiatives were put on hold [44] Question: Growth targets in America and EMEA - Both markets are seen as significant growth opportunities, with heavy investments being made [51] Question: New logo wins and renewals - Management is optimistic about increasing new logo wins as the market picks up, alongside strong renewals and expansions [56] Question: Attrition rates and hiring lines - The company is beginning to see attrition normalize, which is expected to lead to increased hiring [60] Question: Share repurchase goals for 2025 - The company aims for a soft goal of significant stock buybacks, contingent on market conditions and opportunities [70][72]
Hudson Global(HSON) - 2024 Q4 - Earnings Call Transcript