QBNK (QBNK) Q2 2024 earnings summary

Executive summary

• Revenue for Jan–Jun 2024 increased 10% year-over-year to 20.6 MSEK, with subscription (ARR) growth and improved operating results.

• Net loss after tax narrowed to -0.8 MSEK for Jan–Jun 2024, compared to -3.9 MSEK last year.

• Subscription revenue accounted for 87% of total revenue in H1 2024, with ARR at 35.5 MSEK as of July 2024.

• Cash flow from operations improved to 7.5 MSEK for Jan–Jun 2024, up from 3.0 MSEK year-over-year.

• Focus remains on ARR growth, operational efficiency, and product innovation, with minimal churn in core customer segment.

Financial highlights

• H1 2024 revenue: 20.6 MSEK (18.8 MSEK in H1 2023); Q2 2024 revenue: 10.0 MSEK (9.5 MSEK in Q2 2023).

• EBIT for H1 2024: -1.1 MSEK (-4.9 MSEK in H1 2023); EBIT margin improved to -5.4% from -26.0%.

• Net result after tax for H1 2024: -0.8 MSEK (-3.9 MSEK in H1 2023).

• Cash and cash equivalents at June 30, 2024: 16.0 MSEK (16.8 MSEK at June 30, 2023).

• No investments in fixed assets during the period.

Outlook and guidance

• Management expects continued ARR growth and aims for profitability by leveraging recurring revenue.

• Ongoing investments in product development and digital sales channels to drive future growth.

• The global DAM market is expected to grow at 15% annually, supporting long-term demand.