Mapspeople (MAPS) Q3 2024 earnings summary

Executive summary

• Q3 2024 was a low-activity quarter with recognized revenue up 38% YoY to DKK 14.8M, driven by MapsIndoors and supported by a tuck-in acquisition, despite seasonal factors and planned churn from legacy contracts.

• MapsIndoors remains the core growth driver, with ARR up 14% YoY to DKK 42.4M and strong year-to-date performance.

• EBITDA before special items improved 51% YoY to negative DKK 6.4M, reflecting cost optimization and cash flow measures.

• Completed a DKK 36M capital increase and secured a new loan package, enabling the acquisition of Point Consulting's mapping business.

• Q3 ARR growth was only 1% QoQ, with new business and upsell below expectations due to cost reductions in go-to-market functions.

Financial highlights

• Recognized revenue for Q3 2024 was DKK 14.8M, up 38% YoY; MapsIndoors revenue grew 50% YoY and 79% YTD.

• EBITDA improved by 49% YoY to DKK -6.4M; EBIT was negative DKK 9.4M, improved from negative DKK 15.7M YoY.

• Staff costs decreased 25% YoY to DKK 15.8M in Q3 2024, reflecting restructuring and vacation season.

• Net cash flow for the quarter was positive DKK 15.2M, compared to negative DKK 19.8M in Q3 2023.

• Net loss for Q3 2024 was DKK 10.5M, compared to DKK 16.1M in Q3 2023; EPS basic was DKK -0.12.

Outlook and guidance

• 2024 guidance updated: ARR DKK 59–63M (14%-21% growth), revenue DKK 58–63M (43%-55% growth), EBITDA before special items negative DKK 30–26M, over 50% improvement YoY.

• Focus remains on ARR growth to drive sustainable improvements in cash generation and EBITDA through Q4 and into 2025.

• No further M&A expected in 2024; 2025 guidance expected in late December or early January.