Modera (MODE) H1 2024 earnings summary

Executive summary

• Achieved a 72% year-over-year increase in monthly recurring revenue (MRR) due to the Nissan pilot project launch and SaaS business model focus.

• Total revenue for H1 2024 was €1,117,509, a 3% decrease compared to H1 2023, mainly due to market uncertainty and fewer one-time projects.

• Significant product development in "Pricing Tool" and "Campaign Tool," with new launches and expansion plans in Europe.

• Reduced liabilities by €320,000 and improved equity position; D/E ratio improved from 0.28 to 0.20.

• ISO certification renewed in July 2024.

Financial highlights

• H1 2024 revenue: €1,116,988 (down 3.1% year-over-year); license and recurring service fees: €667,704 (up 71.7%).

• EBITDA for H1 2024: €462,702 (down 12% year-over-year).

• Net loss for H1 2024: -€120,327 (compared to net profit of €21,747 in H1 2023).

• Free cash flow remains negative due to high R&D capitalization.

• Cash at period end: €510,993 (down from €982,792 at 2023 year-end).

Outlook and guidance

• H2 2024 expected to remain challenging for the auto sector, especially in the Baltics and Scandinavia.

• Plans to expand development in Norway and Finland, with several large projects in negotiation.

• Intends to raise additional capital via bond issuance to fund integrations for Nordic markets.