Paysign (PAYS) Q4 2024 earnings summary

Executive summary

• Full-year 2024 revenue grew 23.5% to $58.4 million, with adjusted EBITDA up 43.3% to $9.62 million and margin improvement to 16.5%.

• Net income for 2024 was $3.82 million, down from $6.46 million in 2023 due to a prior-year one-time tax benefit.

• Patient affordability revenue surged 214.5% year-over-year to $12.7 million, now 21.7% of total revenue, with 76 active programs at year-end.

• Plasma donor compensation business contributed $43.9 million in revenue, up 4.6% year-over-year, with 16 new plasma centers added, totaling 480.

• Acquisition of Gamma Innovations announced, expanding plasma and pharmaceutical engagement capabilities and marking entry into the SaaS market.

Financial highlights

• Q4 2024 total revenue was $15.61 million, up 14% year-over-year.

• Q4 gross profit margin improved to 58.9% from 52.2% a year ago.

• Q4 net income was $1.37 million ($0.02 per diluted share) versus $5.62 million last year, with prior year including a $4.3 million tax benefit.

• Q4 adjusted EBITDA was $2.86 million ($0.05 per share), up from $2.5 million year-over-year.

• Ended 2024 with $10.8 million in unrestricted cash and no debt; repurchased 136,700 shares for $495,000.

Outlook and guidance

• 2025 revenue expected between $68.5 million and $70 million, up 17.5%-20% year-over-year; plasma to comprise ~57.5% of revenue.

• Pharma revenue projected to double in 2025, expected to exceed 37% of total revenue.

• Full-year gross profit margin projected at 62%-64%; operating expenses forecasted at $47.5-$50 million.

• Net income expected to be approximately break-even; adjusted EBITDA guidance is $12.5-$13.5 million.

• Q1 2025 revenue expected at $17.5-$18 million, with patient affordability contributing 40%-45%.