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MarketWise Reports Net Income of $93.1 Million and Net Revenue of $408.7 Million for Full Year 2024, and Announces Stock Repurchase Program of up to $50 Million
MKTWMarketWise(MKTW) Newsfilter·2025-03-01 03:51

Core Insights - MarketWise, Inc. reported a sequential increase in Billings of over 55millionforQ42024,reflectinga1055 million for Q4 2024, reflecting a 10% growth compared to Q3 2024, and a return to profitability [3] - The company anticipates continued growth in Q1 2025, with Billings over 10% higher than the same period in Q4 2024, driven by compelling content and successful customer acquisition [3] - A reverse stock split is expected to enhance the company's market perception and attract institutional investors [3] - The Board approved a quarterly dividend of 0.01 and authorized a share repurchase program of up to 50million,indicatingacommitmenttoreturncapitaltoshareholders[3]Q42024Highlights−PaidSubscribersdecreasedto506thousandfrom737thousandyear−over−year[5]−TotalNetRevenueforQ42024was50 million, indicating a commitment to return capital to shareholders [3] Q4 2024 Highlights - Paid Subscribers decreased to 506 thousand from 737 thousand year-over-year [5] - Total Net Revenue for Q4 2024 was 97.5 million, down from 112.2millioninQ42023[5]−TotalBillingsforQ42024were112.2 million in Q4 2023 [5] - Total Billings for Q4 2024 were 55.4 million, a decrease from 93.6millioninQ42023[5]−NetIncomeforQ42024was93.6 million in Q4 2023 [5] - Net Income for Q4 2024 was 26.4 million, significantly up from 1.9millioninQ42023[5]−CashfromOperatingActivitieswas1.9 million in Q4 2023 [5] - Cash from Operating Activities was 6.0 million, down from 17.5millioninQ42023[5]FullYear2024Highlights−TotalNetRevenuefortheyearwas17.5 million in Q4 2023 [5] Full Year 2024 Highlights - Total Net Revenue for the year was 408.7 million, an 8.8% decrease from the previous year [6] - Total Billings for the year were 239.1million,a37.5239.1 million, a 37.5% decrease compared to the prior year [6] - Net Income for the year was 93.1 million, a 71.5% increase from the previous year [6] - Net Cash Used in Operating Activities was 22.2million,comparedtoanetcashprovidedof22.2 million, compared to a net cash provided of 62.4 million in the prior year [6] Financial Metrics - The company reported an Average Revenue Per User (ARPU) of 394forQ42024,downfrom394 for Q4 2024, down from 503 in Q4 2023 [7] - Adjusted Cash Flow from Operations (CFFO) for Q4 2024 was 5.985million,a72.15.985 million, a 72.1% decrease from 21.467 million in Q4 2023 [24] - The Adjusted CFFO Margin for Q4 2024 was 10.8%, down from 22.9% in Q4 2023 [24] Balance Sheet and Capital Structure - As of December 31, 2024, cash and cash equivalents were 97.9million,downfrom97.9 million, down from 155.2 million at the end of 2023 [8] - Total assets decreased to 259.5millionfrom259.5 million from 396.6 million year-over-year [31] - Total liabilities were 477.4million,downfrom477.4 million, down from 685.5 million at the end of 2023 [31]