Precise Biometrics (PREC) Q4 2024 earnings summary

Executive summary

• Achieved fifth consecutive quarter of growth and positive EBITDA, with net sales up 7.3% in Q4 and 15.7% for the full year 2024 compared to 2023.

• EBITDA improved to SEK 13.4 million for 2024 from SEK -1.7 million in 2023, with significant cash flow improvement despite a challenging market.

• Strategic focus on expanding in mobile, automotive, and digital identity verticals, leveraging strengths in ultrasonic and anti-tampering technologies.

• Accelerated migration to cloud solutions and increased ARR, with notable customer wins and product launches.

Financial highlights

• Q4 net sales: SEK 21.8 million (up from SEK 20.3 million in Q4 2023); full-year net sales: SEK 86.9 million (up from SEK 75.1 million in 2023).

• Q4 EBITDA: SEK 3.4 million (SEK 0.6 million in Q4 2023); full-year EBITDA: SEK 13.4 million (SEK -1.7 million in 2023).

• Q4 EBIT: SEK -2.1 million (SEK -5.4 million in Q4 2023); full-year EBIT: SEK -9.4 million (SEK -26.5 million in 2023).

• Q4 earnings per share: SEK -0.02 (SEK -0.06 in Q4 2023); full-year EPS: SEK -0.11 (SEK -0.34 in 2023).

• Cash flow from operating activities: SEK 10.1 million for 2024 (SEK -10.8 million in 2023); cash and cash equivalents at year-end: SEK 37.7 million.

Outlook and guidance

• Anticipates continued strong growth in 2025, driven by rising demand for security and user-friendly solutions in mobile, automotive, and digital identity markets.

• Well positioned for further royalty revenue growth in ultrasonic fingerprint sensors and expansion in cloud-based digital identity solutions.

• Ongoing product development and new partnerships expected to support growth and positive cash flow.