PensionBee Group (PBEE) Q4 2024 TU earnings summary

Executive summary

• Achieved strong growth in assets under administration (AUA), revenue, and invested customers in Q4 2024, with positive Adjusted EBITDA for both the quarter and full year.

• U.K. business reached profitability in line with IPO guidance, delivering a 7% Adjusted EBITDA margin in Q4 2024; group break-even achieved.

• Expanded into the U.S. market, launching a native app, registering with the SEC, and securing a £20m capital raise to accelerate U.S. growth.

• Customer and AUA retention rates remained above 95%, supported by high customer satisfaction and product innovation.

• Continued investment in brand and technology, with significant progress in U.S. market entry and product rollout.

Financial highlights

• AUA reached £5.8bn, up 34% year-on-year; annual run rate revenue at £38m, up 36% year-on-year; 265,000 invested customers, up 16% year-on-year.

• Group revenue for 2024 was £33m, up 39% from 2023 and exceeding guidance; Adjusted EBITDA break-even at £0.4m profit.

• Adjusted EBITDA for Q4 2024 was £2m; UK Adjusted EBITDA for FY 2024 was £2m, a turnaround from a £(8)m loss in 2023.

• Revenue margin in Q4 2024 was 64 basis points; full year revenue growth was 39%.

• Cost base for 2024 was £33m, up only 2% year-on-year; ended 2024 with a cash balance of £35m.

Outlook and guidance

• Short to medium term (3–5 years): target group revenue above £100m and Adjusted EBITDA margin of circa 20%.

• Long term (5–10 years): target group revenue above £250m and Adjusted EBITDA margin of circa 50%.

• U.K. expected to remain profitable and continue scaling; U.S. in investment phase with profitability expected in the medium to long term.

• Increased marketing expenditure planned for 2025 to drive growth in invested customers and net flows.

• Revenue for 2024 exceeded guidance, reaching £33m versus a target of over £30m.