Physitrack (PTRK) Q4 2024 earnings summary

Executive summary

• Q4 2024 revenue grew 14% to EUR 4.2m, with Lifecare up 14% and Wellness up 13%, setting up for an optimistic 2025.

• Adjusted EBITDA margin improved to 24% for FY2024, with adjusted EBITDA at EUR 3.9m for the year and EUR 0.9m for Q4.

• Both Lifecare and Wellness divisions contributed to growth, with Lifecare now 65% and Wellness 35% of the business.

• Major product advancements included a revamped patient app, AI-powered features, and enhanced automation initiatives.

• Returned to positive free cash flow in Q4, generating EUR 0.4m, and operating cash flow before adjustments reached EUR 1.4m.

Financial highlights

• FY2024 revenue was EUR 16.2m, up 10% year-over-year; Q4 revenue was EUR 4.2m, up 14% year-over-year.

• Subscription revenue grew 18% year-over-year to EUR 13.3m, now 82% of total revenue.

• Adjusted EBITDA was EUR 3.9m (24% margin) for FY2024.

• Free cash flow was EUR 0.4m in Q4; full-year free cash flow outflow improved to EUR 0.8m.

• Available liquidity at year-end was EUR 1.6m.

Outlook and guidance

• 2025 priorities focus on growth and profitability, especially optimizing the Wellness division and leveraging innovation.

• CapEx investments expected to remain stable in 2025, with continued product innovation and efficiency gains.

• Medium-term target is to double revenue base and align group EBITDA margins with Lifecare's 40-45% margin.

• Continued cash flow generation and cost restructuring expected to support profitability.

• Strategic realignment with unified digital health strategy and streamlined operations.