Latest news with #TCX
Yahoo
08-05-2025
- Business
- Yahoo
Tucows: Q1 Earnings Snapshot
TORONTO (AP) — TORONTO (AP) — Tucows Inc. (TCX) on Thursday reported a loss of $15.1 million in its first quarter. On a per-share basis, the Toronto-based company said it had a loss of $1.37. The internet services company posted revenue of $94.6 million in the period. _____ This story was generated by Automated Insights ( using data from Zacks Investment Research. Access a Zacks stock report on TCX at
Globe and Mail
08-05-2025
- Business
- Globe and Mail
Tucows Delivers Strong Q1 with Gains in Revenue, Gross Profit and Adjusted EBITDA
, May 8, 2025 /CNW/ - Tucows Inc. (NASDAQ: TCX) (TSX: TC), a global internet services leader, today reported its unaudited financial results for the first quarter ended March 31, 2025 . All figures are in U.S. dollars. "On the heels of four years of strong revenue growth, we are very pleased with our first quarter results," said Elliot Noss , President and CEO of Tucows. "All three of our businesses delivered year-over-year gains, with an 8% increase in consolidated revenue, a 29% increase in gross profit, and a more than threefold improvement in Adjusted EBITDA compared to Q1 last year. Importantly, we achieved a substantial year-over-year reduction in net loss through strong revenue growth and cost optimization initiatives. We also continued to deleverage the business with payments on our syndicated debt. The progress we are making across the organization positions us well for continued improvement in 2025 and beyond." Financial Results Consolidated net revenue for the first quarter of 2025 increased 8.2% to $94.6 million from $87.5 million for the first quarter of 2024, driven by strong year-over-year revenue gains from all three Tucows businesses. Gross profit for the first quarter of 2025 increased 28.5% to $23.5 million from $18.3 million from the first quarter of 2024. The increase in gross profit was driven by strong year-over-year gains from all three Tucows businesses. Net loss for the first quarter of 2025 narrowed significantly to $15.1 million , or a loss of $1.37 per share, compared to a net loss of $26.5 million , or a loss of $2.42 per share, for the first quarter of 2024, reflecting improved operational efficiency and revenue momentum. Adjusted net income 1 (loss) and Adjusted EPS 1 in Q1 2025 are ( $14.9 million ) and ($1.35) per share compared to Q1 2024 Adjusted net income 1 (loss) of ( $23.4 million ) and Adjusted EPS 1 of ($2.14) per share. Adjusted EBITDA 1 for the first quarter of 2025 climbed 225% to $13.7 million from $4.2 million for the first quarter of 2024, highlighting the strength of our operating leverage. The year-over-year increase was driven by growth of revenues from all three businesses, margin gains, and company-wide cost-reduction efforts, including the 2024 Ting capital efficiency plan. We ended the first quarter of 2025 with cash and cash equivalents, and restricted cash and restricted cash equivalents of $55.0 million , while continuing to reduce debt and invest in growth. This compares with $73.2 million at the end of the fourth quarter of 2024 and $79.4 million at the end of the first quarter of 2024. 3 Months ended March 31 2025 (unaudited) 2024 (unaudited) % Change (unaudited) Net Revenues 94,609 87,457 8 % Gross Profit 23,531 18,316 28 % Income Earned on Sale of Transferred Assets, net 2,741 3,621 (24) % Net Income (Loss) (15,133) (26,484) 43 % Adjusted Net Income (Loss)¹ (14,914) (23,380) 36 % Basic earnings (Loss) per common share (1.37) (2.42) 43 % Adjusted Basic earnings (Loss) per common share¹ (1.35) (2.14) 37 % Adjusted EBITDA¹ 13,671 4,202 225 % Net cash provided by (used in) operating activities (11,251) (5,678) (98) % 1 Non-GAAP financial measures are described below and reconciled to GAAP measures in the accompanying tables. (In Thousands of US Dollars) 3 Months ended March 31 3 Months ended March 31 3 Months ended March 31 2025 (unaudited) 2024 (unaudited) 2025 (unaudited) 2024 (unaudited) 2025 (unaudited) 2024 (unaudited) Ting Internet Services: Fiber Internet Services 16,315 14,102 10,478 8,742 (854) (9,537) Wavelo Platform Services: Platform Services 11,396 9,365 11,259 9,033 4,449 Other Professional Services 0 25 0 6 Total Wavelo Platform Services 11,396 9,390 11,259 9,039 2,787 Tucows Domain Services: Wholesale Domain Services 50,004 48,151 9,623 9,488 Value Added Services 5,903 4,703 5,423 4,156 Total Wholesale 55,907 52,854 15,046 13,644 Retail 9,348 9,028 5,169 4,892 Total Tucows Domain Services 65,255 61,882 20,215 18,536 11,540 10,011 Corporate: Mobile Services and Eliminations 1,643 2,083 (2,504) (654) (1,464) 941 Network Expenses: Network, other costs n/a n/a (4,971) (7,064) n/a n/a Network, depreciation of property and equipment n/a n/a (10,376) (9,865) n/a n/a Network, amortization of intangible assets n/a n/a (366) (365) n/a n/a Network, impairment n/a n/a (204) (53) n/a n/a Total Network Expenses n/a n/a (15,917) (17,347) n/a n/a Total 94,609 87,457 23,531 18,316 13,671 4,202 1 Non-GAAP financial measures are described below and reconciled to GAAP measures in the accompanying tables. Notes: 1. Tucows reports all financial information required in conformity with United States generally accepted accounting principles (GAAP). Along with this information, to assist financial statement users in an assessment of our historical performance, the Company discloses non-GAAP financial measures in press releases and on investor conference calls and related events, as the Company believes that the non-GAAP information enhances investors' overall understanding of our financial performance, and should be read in addition to, rather than instead of, the financial statements prepared in accordance with GAAP. Non-GAAP financial measures do not reflect a comprehensive system of accounting and may differ from non-GAAP financial measures with the same or similar captions that are used by other companies and/or analysts and may differ from period to period. The Company endeavors to compensate for these limitations by providing the relevant disclosure of the items excluded in the calculation of Adjusted EBITDA to net income based on U.S. GAAP; Adjusted net income to GAAP net income; and adjusted basic earnings per share to GAAP basic earnings per share, which should be considered when evaluating the Company's results. Tucows strongly encourages investors to review its financial information in its entirety and not to rely on a single financial measure. Adjusted EBITDA The Company believes that the provision of this supplemental non-GAAP measure allows investors to evaluate the operational and financial performance of the Company's core business using similar evaluation measures to those used by management. The Company uses Adjusted EBITDA to measure its performance and prepare its budgets. Since Adjusted EBITDA is a non-GAAP financial performance measure, the Company's calculation of Adjusted EBITDA may not be comparable to other similarly titled measures of other companies; and should not be considered in isolation, as a substitute for, or superior to measures of financial performance prepared in accordance with GAAP. Because Adjusted EBITDA is calculated before certain recurring cash charges, including interest expense and taxes, and is not adjusted for capital expenditures or other recurring cash requirements of the business, it should not be considered as a liquidity measure. The Company's Adjusted EBITDA definition excludes depreciation, impairment and loss on disposition of property and equipment, amortization of intangible assets, income tax provision, interest expense (net), stock-based compensation, asset impairment, gains and losses from unrealized foreign currency transactions, loss on debt extinguishment and costs that are not indicative of on-going performance (profitability), including acquisition and transition costs. Gains and losses from unrealized foreign currency transactions removes the unrealized effect of the change in the mark-to-market values on outstanding unhedged foreign currency contracts, as well as the unrealized effect from the translation of monetary accounts denominated in non-U.S. dollars to U.S. dollars. The following table reconciles net income (loss) to Adjusted EBITDA (in thousands of US dollars): * Acquisition and transition costs represent transaction-related expenses and transitional expenses. Expenses include severance or transitional costs associated with department, operational or overall company restructuring efforts, including geographic alignments. Adjusted Net Income and Adjusted Basic Earnings Per Common Share (Adjusted EPS) The Company believes that the provision of this supplemental non-GAAP measure allows investors to best evaluate our operating results and understand the operating trends of our core business without the effect of acquisition and transition costs, impairment expenses and losses on extinguishment of debt. Acquisition and transition costs represent transaction-related expenses and transitional expenses. Expenses include severance or transitional costs associated with department, operational or overall company restructuring efforts, including geographic alignments. Since adjusted net income and adjusted EPS are non-GAAP financial performance measures, the Company's calculation of adjusted net income and adjusted EPS may not be comparable to other similarly titled measures of other companies; and should not be considered in isolation, as a substitute for, or superior to measures of financial performance prepared in accordance with GAAP. The Company's adjusted net income and adjusted EPS definitions exclude from the calculation of reported GAAP net income and GAAP EPS, the effect of the following items: impairment of property and expenses, acquisition and transition costs (including restructuring charges) and loss on debt extinguishment. The following table reconciles adjusted net income and adjusted EPS to GAAP net income (In thousands of US dollars, except Per Share data): 3 Months ended March 31 2025 (unaudited) 2024 (unaudited) Net Income (Loss) for the period (15,133) (26,484) Less: Acquisition and transition costs* 15 3,051 Impairment of property and equipment 204 53 Adjusted Net Income (Loss)¹ for the period (14,914) (23,380) Adjusted Basic Earnings (Loss) Per Common Share¹ (1.35) (2.14) * Acquisition and transition costs represent transaction-related expenses and transitional expenses. Expenses include severance or transitional costs associated with department, operational or overall company restructuring efforts, including geographic alignments. Management Commentary Concurrent with the dissemination of its quarterly financial results news release at 5:05 p.m. ET on Thursday , May 8, 2025, management's pre-recorded audio commentary (and transcript), discussing the quarter and outlook for the Company will be posted to the Tucows website at Following management's prepared commentary, for the subsequent seven days, until Thursday, May 15, 2025 , shareholders, analysts and prospective investors can submit questions to Tucows' management at ir@ Management will post responses to questions in an audio recording and transcript to the Company's website at on Tuesday, May 27, 2025 , at approximately 5 p.m. ET . All questions will receive a response, however, questions of a more specific nature may be responded to directly. About Tucows Tucows helps connect more people to the benefit of internet access through communications service technology, domain services, and fiber-optic internet infrastructure. Ting ( delivers fixed fiber Internet access with outstanding customer support. Wavelo ( is a telecommunications software suite for service providers that simplifies the management of mobile and internet network access; provisioning, billing and subscription; developer tools; and more. Tucows Domains ( manages approximately 24 million domain names and millions of value-added services through a global reseller network of over 35,000 web hosts and ISPs. Hover ( makes it easy for individuals and small businesses to manage their domain names and email addresses. More information can be found on Tucows' corporate website ( Tucows, Ting, Wavelo, and Hover are registered trademarks of Tucows Inc. or its subsidiaries. This release includes forward-looking statements as that term is defined in the U.S. Private Securities Litigation Reform Act of 1995, including statements regarding our expectations regarding our future financial results and, including, without limitation, our expectations regarding our ability to realize synergies from the Enom acquisition and our expectation for growth of Ting Internet. These statements are based on management's current expectations and are subject to a number of uncertainties and risks that could cause actual results to differ materially from those described in the forward-looking statements. Information about other potential factors that could affect Tucows' business, results of operations and financial condition is included in the Risk Factors sections of Tucows' filings with the Securities and Exchange Commission. All forward-looking statements should be evaluated with the understanding of their inherent uncertainty. All forward-looking statements are based on information available to Tucows as of the date they are made. Tucows assumes no obligation to update any forward-looking statements, except as may be required by law.
Yahoo
14-02-2025
- Business
- Yahoo
Tucows Inc (TCX) Q4 2024 Earnings Call Highlights: Strong Revenue Growth Amid Strategic ...
Release Date: February 13, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Tucows Inc (NASDAQ:TCX) reported its fourth consecutive year of consolidated revenue growth, with a 19% year-over-year gross profit expansion. The company more than doubled its annual adjusted EBITDA to just under $35 million, representing a 126% increase from the previous year. Tucows Inc (NASDAQ:TCX) successfully moved Ting to a sustainable cost structure, generating slightly positive adjusted EBITDA for December. The company repaid $16.5 million on its syndicated bank loan in 2024, demonstrating financial discipline. Tucows Inc (NASDAQ:TCX) authorized a buyback program for 2025 for up to $40 million in stock, indicating confidence in its financial health. Tucows Inc (NASDAQ:TCX) reported a net loss of $45.3 million, primarily due to a one-time impairment and restructuring charge related to Ting's capital efficiency plan. The company experienced a decline in transactions for its domain services, with a slight decrease of just under 1% from Q4 of 2023. Wavelow's Q4 revenue was down 1.9% from Q3, indicating some volatility in quarterly performance. Ting's adjusted EBITDA showed a loss of $1.5 million in Q4, although this was an improvement from the previous year. The company faces headwinds in its domains business due to general Google search trends and the impact of a customer acquisition in 2023. Warning! GuruFocus has detected 7 Warning Signs with TCX. Q: Can you provide an overview of Tucows Inc's financial performance for 2024? A: Eliot Noss, President and CEO, highlighted that 2024 marked the fourth consecutive year of consolidated revenue growth, with a 19% year-over-year gross profit expansion. The company more than doubled its annual adjusted EBITDA to just under $35 million. Excluding Ting, adjusted EBITDA was $57.4 million, at the top end of guidance. Tucows also repaid $16.5 million on its syndicated bank loan in 2024. Q: How did the Domains segment perform in Q4 2024? A: Dave Warwick, CEO of Tua Domains, reported that the Domains segment saw revenue growth of 6% year-over-year to $65.7 million in Q4. The gross margin increased by 8% to $20.3 million, and adjusted EBITDA rose by 8% to $11.6 million. The segment maintained a steady domain management and renewal rate, with a focus on adjacent revenue opportunities and new products. Q: What were the key achievements for Wavelow in 2024? A: Justin Riley, CEO of Wavelow, stated that 2024 was the best year yet for Wavelow, with revenue reaching $39.9 million, up from $38.7 million in 2023. Gross margin increased to $38.6 million, and adjusted EBITDA was $13.8 million, outperforming guidance. Wavelow renewed its partnership with EcoStar's Boost Mobile and added three new customers, focusing on growth and profitability. Q: What is the current status and future outlook for Ting? A: Eliot Noss explained that Ting reported a 14% increase in revenue year-over-year to $15.7 million in Q4, driven by a 17% increase in subscribers. Ting's gross margin rose by 40% to $11 million, and adjusted EBITDA showed improvement, with a slight positive in December. The focus is on increasing penetration and ARPU, with plans to modernize marketing efforts. Q: What are the financial highlights and strategic focus for 2025? A: Ivan Ivanov, CFO, provided guidance for 2025, with a consolidated adjusted EBITDA target of $56 million, up 75% over 2024. The focus will be on growth, efficiency, and financial discipline across all business units. Tucows plans to leverage AI for business process efficiency and aims to continue generating cash, reducing debt, and optimizing operations for long-term shareholder value. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus. Sign in to access your portfolio
