Inspirato rporated-Inspirato Reports Fourth Quarter Profitability and Positive Cash Flow from Operations

Core Insights - Inspirato Incorporated achieved profitability and positive cash flow from operations in Q4 2024, setting a strong foundation for full-year profitability in 2025 through improved gross margins and operational efficiencies [1][3][4] Financial Performance - Q4 2024 revenue was $63.1 million, a decrease of 10.7% from Q4 2023, while full-year revenue was$ 279.9 million, down 15% from 2023 [4][6] - Subscription revenue for Q4 2024 was $24.9 million, down 21.6% year-over-year, and for the full year, it was$ 101.2 million, a 26.5% decrease [4][9] - Travel and rewards revenue decreased by approximately 8.8% in Q4 and 12.8% for the full year [9] Gross Margins and Losses - Q4 2024 gross margin improved to $21.9 million (35% of total revenue) from$ 12.8 million (18% of total revenue) in Q4 2023, while full-year gross margin was $119.2 million (43% of total revenue) compared to$ 54.3 million (17% of total revenue) in 2023 [5][9] - Net losses for Q4 2024 were $2.3 million, an 86% improvement year-over-year, and full-year net losses were$ 8.8 million, significantly reduced from $93.9 million in 2023 [6][8] Operational Metrics - Adjusted EBITDA for Q4 2024 was$ 1.9 million, compared to a loss of $5.4 million in Q4 2023, while full-year Adjusted EBITDA loss was$ 6.5 million, improved from a loss of $29.3 million in 2023 [7][8] - The company added 14 new luxury residences and achieved a Net Promoter Score of 70, indicating strong customer satisfaction [7] Future Guidance - Inspirato anticipates full-year revenue for 2025 to be between$ 235 million and $255 million, with expected Adjusted EBITDA of$ 0 to $5 million, driven by a projected 300 basis point improvement in gross margins [7][8]