DocMorris (DOCM) H2 2024 earnings summary

Executive summary

• Achieved 7% revenue growth in 2024, with all business units contributing and a fivefold increase in new Rx customers since CardLink's launch.

• Non-Rx business in Germany reached EBITDA profitability, marking a successful turnaround.

• Teleclinic doubled revenues and delivered strong profitability, with EBITDA exceeding CHF 3 million.

• Ended 2024 with a cash balance of CHF 95 million, reflecting effective cash management.

• Announced a CHF 200 million capital raise to support Rx growth and refinance the 2026 convertible bond.

Financial highlights

• Group revenue increased 6.7% in local currency, with all business units contributing.

• Gross margin improved by 50 basis points year-over-year, reaching 21.3%.

• Adjusted EBITDA was CHF 48.6 million, impacted by higher marketing spend for ERX; adjusted EBITDA margin declined to -4.8%.

• Net income from continuing operations was CHF -97.3 million; reported EBITDA improved by CHF 4.7 million due to a real estate gain.

• Active customer base grew 13% to 10.3 million, with a shift toward app-based engagement.

Outlook and guidance

• Expect further Rx growth in Q1 2025, targeting a 50% increase year-over-year.

• Teleclinic and service business continue to show strong growth in early 2025.

• Short and midterm guidance will be provided closer to the capital raise, post-Q1 results.