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  ATEME company press release from 30/01/2025 - FOURTH QUARTER AND FULL YEAR 2024 REVENUES

  30/01/2025 - 17:45

FOURTH QUARTER AND FULL YEAR 2024 REVENUES


STABLE 4TH QUARTER REVENUES

FULL YEAR REVENUES OF €93.5 MILLION, DOWN -7% AND -6% LIKE-FOR-LIKE

MONTHLY RECURRING REVENUES UP +20% YEAR-ON-YEAR

2024 EBITDA NOW EXPECTED AROUND BREAKEVEN

 

Revenue (IFRS)
in € thousands
2023 2024 Change Like-for-like[1]
First 9 months 69,560 63,171 -9% -8%
Fourth Quarter 30,471 30,327 0% -1%
TOTAL 100,031 93,498 -7% -6%

Figures under audit review

 

Revenue (IFRS)
in € thousands
2023
(12 months)
2024
(12 months)
Change Like-for-like1
EMEA 35,275 40,995 +16% +16%
USA / Canada 40,067 23,978 -40% -40%
Asia Pacific 12,894 17,584 +36% +41%
Latin America 11,797 10,941 -7% -8%
TOTAL 100,031 93,498 -7% -6%

Figures under audit review

 

MRR in € thousands Jan. 2024 Jan. 2025 Change
Monthly Recurring Revenue[2] 2,470 2,954 +20%

Alternative performance indicator, not subject to statutory auditors' review

 

Paris, January 30, 2025 - Ateme (ISIN: FR0011992700) posted revenues of €30.3 million for the 4th Quarter of 2024, stable versus Q4 2023 and -1% like-for-like.

Total revenues for the year to December 31, 2024, stood at €93.5 million, down -7% versus 2023 and by -6% on a like-for-like basis.

  • The EMEA (Europe, Middle East & Africa) region was the main contributor representing 44% of the group total, ending 2024 with €41 million in revenues, up +16% year-on-year (same growth rate on a like-for-like basis);
  • Despite signs of recovery in the 2nd Half, revenues in the USA / Canada region decreased by -40% year-on-year (same decline on a like-for-like basis) to €24 million. This was due to a tough comparison base (+19% growth in 2023), a challenging macroeconomic environment which saw investments delayed amid industry consolidation, and commercial counter performance. To address this situation, Ateme has implemented a deep reorganization of its commercial model, aimed at getting the region back on track for 2025;
  • The Asia Pacific region delivered the strongest growth, with €17.6 million in revenues, up by +36% and +41% like-for-like;
  • The Latin America region weakened slightly in Q4, ending with a -7% year-on-year decline (-8% like-for-like) with €10.9 million in revenues.

 

Monthly recurring revenues (MRR[2]) rose from €2.470 million in January 2024 to €2.954 million in January 2025, reflecting the strong pace of MRR creation throughout 2024, notably with six new Enterprise Licenses in Q4.

As a result, Ateme begins 2025 with €35.4 million in Annual Recurring Revenue (ARR), representing 38% of the 2024 revenues, up from €29.6 million a year ago, representing 30% of the 2023 revenues.

 

FY 2024 EBITDA expected around breakeven

In the 4th Quarter, revenue acceleration fell short of initial expectations.

As a result, EBITDA[3] for FY 2024 is now expected around breakeven.

Year-end available cash was close to €10 million, thanks to a profitable H2 and improved receivables management.

 

Looking ahead

At the beginning of 2021, Ateme announced a three-year investment plan to launch new solutions on the market, including the next generation of cloud DVR, NEA Genesis, and the NEA Composer solution for ad insertion and FAST channels (Free Ad-supported Streaming Television). The plan also aimed to bring MRR to €3 million by 2024. However, the expected impact on profitability improvement in 2024, with an initial EBITDA target of €10 million, was compromised by challenges in the North American market.

However, everything has now been put in place, with reorganization and cost rationalization efforts undertaken since Summer 2024, to ensure this impact materializes in 2025. Improving profitability remains the top priority for this year.

Looking further ahead, Ateme reaffirms its medium-term objectives for 2027:

  • Consistent revenue growth to reach €130 million;
  • Direct cost margin of €99 million;
  • EBITDA of €22 million;
  • Monthly recurring revenue (MRR) of €4 million.

These objectives align with Ateme's 10-year growth trajectory and the cost-reduction measures implemented since 2024.

 

Commercial reorganization in USA / Canada in 2025

As mentioned above Ateme has undertaken a thorough reorganization of its USA / Canada sales organization.

As of January 2025, Gustavo Marra has been appointed SVP USA / Canada. After holding various management roles in operations and business development at Ateme North America from 2011 to 2018, he rejoined the company last September to support business development efforts. His leadership, technological expertise, and the wealth of experience he gained after his first tenure at Ateme make him a valuable asset in driving our North American business back to growth.

In addition, the USA / Canada sales organization has been reorganized by verticals, a Customer Succes Managers team has been created to facilitate deal closure, and the involvement of the Global operations team has increased.

 

Michel Artières, Chairman and CEO of Ateme, commented: “Ateme spent the year catching up on the delays accumulated in the 1st Quarter. In a highly challenging market environment, we ultimately managed to limit losses and emerged significantly stronger, with a controlled cost base, a major reorganization to get the USA / Canada region back on track, and a sharp increase in ARR. These are all assets that position us well to deliver much better results in 2025.”

 

Upcoming event:
March 19th, 2025:
Full Year 2024 Results (audited)
(after Euronext Paris market closing)

 


About Ateme
Ateme is a global leader of video compression and delivery solutions helping Tier-1 Content Providers, Service Providers and Streaming Platforms to boost their viewership and subscription engagement.
Leveraging a unique R&D task force in the video industry, Ateme's solutions power green sustainable TV services, improve end-users' quality of experience, optimize the total cost of ownership of TV/VOD services and generate new revenue streams based on personalization and ad insertion. Beyond the technology agility, Ateme's value proposition is to partner with his customers by offering a great flexibility in the engagement and business models matching their financial priorities. A consequence is a rapid shift to Recurring Revenues, boosting the company resilience and creating long term value for the shareholders.
Founded in 1991, Ateme has 550 employees spread over its headquarters in France and 20 offices around the world including the USA, Brazil, Argentina, UK, Spain, Germany, the UAE, Singapore, China, Korea, Canada and Australia.
Ateme has been listed on the Paris Euronext market since 2014 and in November 2020 it made the acquisition of Anevia, a provider of OTT and IPTV software solutions. In 2024, Ateme served close to 1,000 customers worldwide with revenues of €93 million, of which more than 90% outside its home market.
Find out more: www.ateme.com.

Name: ATEME - ISIN Code: FR0011992700 - Ticker: ATEME - Compartment: C

Ateme INVESTOR RELATIONS PRESS RELATIONS
Michel Artières 
Chairman and CEO
Mathieu Omnes
Tel: +33 (0)1 53 67 36 92
ateme@actus.fr
Amaury Dugast
Tel: +33 (0)1 53 67 36 74
adugast@actus.fr

 

 


[1] At constant exchange rate and perimeter

[2] Monthly Recurring Revenue is defined as the sum of (1) the monthly revenue from support contracts in hand, and (2) the monthly revenue from multi-year licensing contracts in hand (capex), and (3) the monthly revenue from license lease contracts (OPEX).

[3] EBITDA = earnings before interest, tax, depreciation and amortization. Underlying EBITDA equals Group pre-tax profit before deduction of interest, depreciation, amortisation and impairment charges on non-current assets, and staff share-based payments, but after impairment of inventories and trade receivables. It shows profit generated by business activities regardless of financing conditions, tax constraints and the upgrading of operating assets. Non-recurring expenses (one-off, unusual or infrequent items) are excluded.


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  Original Source: ATEME