Itron (ITRI) Q4 2024 earnings summary

Executive summary

• Q4 2024 revenue reached $613 million, up 6% year-over-year, and full-year revenue was $2.44 billion, up 12%, driven by strong customer demand and operational execution.

• Achieved record quarterly bookings of $1.4 billion and a record total backlog of $4.7 billion, indicating robust future demand.

• Adjusted EBITDA was $81 million in Q4 and $324 million for the year, both annual records.

• Non-GAAP diluted EPS was $1.35 in Q4 and $5.62 for the year, both showing significant growth.

• Free cash flow reached $70 million in Q4 and $208 million for the year, reflecting higher earnings and interest income.

Financial highlights

• Q4 revenue was $613 million, up 6% year-over-year; gross margin was 34.9%, up 90 basis points.

• Q4 GAAP net income was $58 million ($1.26 per diluted share), up from $44 million ($0.96) last year.

• Non-GAAP operating income rose 16% to $71 million; adjusted EBITDA increased 19% to $81 million.

• Full-year 2024 revenue was $2.44 billion, up 12%; gross margin reached a record 34.4%.

• FY 2024 GAAP net income up 147% to $239.1 million; diluted EPS up 145% to $5.18.

• FY 2024 non-GAAP operating income up 48% to $285.9 million; adjusted EBITDA up 43% to $324 million.

• Record free cash flow of $208 million (9% of revenue) for the year.

Outlook and guidance

• 2025 revenue expected between $2.4 billion and $2.5 billion; flat year-over-year at midpoint, but ~6% growth when normalizing for $125 million catch-up revenue in 2024.

• 2025 non-GAAP EPS guidance is $5.20-$5.60 per diluted share, assuming a 25% tax rate.

• Q1 2025 revenue expected at $610-$620 million, with non-GAAP EPS of $1.25-$1.35.

• Book-to-bill ratio of at least 1.0 expected for 2025; growth to accelerate in 2026 and 2027.

• Outlook assumes a stable market and continuation of 2024 trade policies.