Vista Group International (VGL) H2 2024 earnings summary

Executive summary

• Achieved record total revenue of $150.0m for 2024, up 5% year-over-year, with strong SaaS and recurring revenue growth and a return to profitability before tax.

• EBITDA increased 62% to $21.6m, with margin (excluding FX) at 15.5%, and free cash flow turned positive in the second half, exceeding guidance.

• Transformation to a unified organizational structure completed, driving improved financial and operational performance.

• Accelerated Vista Cloud adoption, with nearly 700 sites live and a target of 1,600+ by end of 2025.

• Major client migrations and pilots underway, including large operators and international circuits.

Financial highlights

• Recurring revenue grew 9% to $134.6m; SaaS revenue up 21% to $55.7m; ARR up 15% to $145.6m.

• Contribution margin rose 13% to $52.2m; general and admin expenses fell 12% to $28.9m.

• Operating cash flow increased 87% to $16.8m; capitalised development costs down 10%.

• Group cash at $21.8m, net of bank debt, and available cash facilities at $44.1m.

• Net assets up 6% to $145.9m.

Outlook and guidance

• 2025 revenue guidance: $167m–$173m; recurring revenue $152m–$158m; non-recurring ~$15m.

• 2025 EBITDA margin guidance: 16%–18%; medium-term EBITDA margin aspiration upgraded to 33%–37%.

• Targeting ARR of $175m+ and 1,600+ sites on Vista Cloud Digital Solutions by end of 2025.

• Box office momentum expected to continue, supported by a strong movie slate and $9.7b+ domestic market forecast.