Xplora Technologies (XPLRA) Q2 2024 earnings summary

Executive summary

• Achieved second-highest quarterly revenue in company history in Q2 2024, with NOK 195 million, strong profitability, and recurring service growth driven by a 49% increase in subscriptions.

• H1 2024 group revenue reached NOK 313 million, up 9% year-over-year, with recurring service revenue up 36%.

• Subscription base grew 49% year-over-year to 281,000, with mobile subscriptions up 30% to 221,000.

• Strategic focus on increasing ASP, growing SIM-attached product sales, and expanding into SaaS and senior segments.

• Roadmap targets one million subscriptions in 4–5 years through organic growth, partnerships, and acquisitions.

Financial highlights

• Q2 2024 group revenue was NOK 195 million, up 2% year-over-year (21% organically); H1 2024 revenue reached NOK 313 million, up 9%.

• Recurring service revenue in Q2 2024 was NOK 66 million, up 33% year-over-year; H1 recurring service revenue was NOK 128 million, up 36%.

• Gross profit in Q2 2024 was NOK 96 million, up 8% year-over-year, with a gross margin of 49%; H1 gross margin was 53%.

• EBITDA for Q2 2024 was NOK 17 million; H1 2024 EBITDA was NOK 19 million, up over 30% year-over-year.

• Cash balance at quarter-end was NOK 126 million, up from NOK 99 million a year ago.

Outlook and guidance

• Targeting one million subscriptions within 4–5 years, requiring 15% annual growth and prioritizing profitability.

• Focus on driving unit growth, ARPU, and launching SaaS and Senior division products by year-end 2024.

• CapEx target remains below NOK 20 million for 2024.

• Service revenue outside the Nordics reached 13% of total, with ambitions to further increase this share.

• Strategic roadmap includes organic growth, M&A, and new product launches in SaaS and senior segments.