Witted Megacorp (WITTED) Q2 2024 earnings summary

Executive summary

• Revenue declined 17.2% year-over-year to €28.6 million for H1 2024, with Q2 revenue down 15.8% to €13.7 million.

• Adjusted EBITA improved to €0.9 million (3.0% margin) in H1 2024 and €0.5 million (3.5% margin) in Q2, reflecting cost-saving measures.

• Net result for H1 2024 was -€0.2 million, a significant improvement from -€1.2 million in H1 2023; Q2 net result was €0.1 million.

• Strategic focus shifted from growth to profitability, with cost-saving measures yielding €1 million in annual savings and organizational changes.

Financial highlights

• Operating cash flow for H1 2024 was -€0.9 million, improved from -€2.4 million in H1 2023.

• EPS for H1 2024 was -€0.01, up from -€0.08 in H1 2023.

• Net debt at period end was -€6.4 million; equity ratio remained strong at 55.4%.

• Number of experts (FTE) at period end was 337, down from 440 a year earlier.

Outlook and guidance

• No full-year financial guidance provided; company issues monthly business reviews and management commentary.

• Strategic target is to significantly improve profitability in 2024–2025: over 8% adjusted EBITA in Finland and positive adjusted EBITA in other countries.