Quartix Technologies (QTX) Trading Update summary

Financial performance and cashflow

• Estimated 2024 revenue, adjusted EBITDA, pre-tax profit, and free cashflow are £33.7m, £6.0m, £5.5m, and £2.5m, respectively, with a net cash balance of £3.1m at year-end.

• Adjusted EBITDA and pre-tax profit include £0.5m in costs from the Konetik subsidiary's liquidation.

• Operating and free cashflow were reduced by the French 4G upgrade and Konetik-related costs.

Recurring revenue and customer growth

• Annualised recurring revenue (ARR) rose 12% to £32.2m, with a target of at least £3.5m ARR growth in 2025.

• Customer base grew 11% to 30,134, and total subscriptions increased 13% to 300,168.

• New customer acquisition rose 19% to 6,863, with accelerated growth in H2 2024.

Regional performance

• UK/Ireland ARR up 7% to £17.72m; France up 16% to £8.26m; USA up 7% to £3.36m.

• Italy, Spain, and Germany saw ARR growth of 53%, 40%, and 63%, respectively.

• New subscriptions and customer acquisition surged in all new European markets.