Text Group closed the first half of its fiscal year 2024/25 with revenue of 176.3 million PLN and a net profit of 86.3 million PLN. This represents an 8.3% and 2.0% increase, respectively, compared to the same period last year. In Q2 alone, consolidated revenues increased by 13.5% year-on-year to PLN 89.4 million and net profit by 9.5% to PLN 42.5 million.
The results were significantly impacted by the weakening of the US dollar, in which the Wrocław-based company generates virtually all of its revenue.
The value of payments received by the company in the first half of the year amounted to USD 45.46 million, reflecting a 13.5% increase compared to the first six months of the previous year. Monthly Recurring Revenue (MRR) at the end of the half-year was 8.8% higher year-over-year, totaling USD 7.04 million. It is worth noting that this figure does not include rapidly growing pay-per-usage payments, such as fees for ChatBot interactions that exceed subscription limits.
“This has been a busy period during which we expanded many features of our products. The most significant development is the new language model implemented in ChatBot, which has substantially improved the user experience. We are now focusing on changes to our infrastructure, quality and building a suite-style offering,” said CEO Mariusz Ciepły.
Text’s operating profit in the first half of the year was 93.0 million PLN compared to 90.7 million PLN in the same period last year, while EBITDA amounted to 104.5 million PLN vs 99.9 million PLN a year ago.
Payments for periods longer than one month are now allocated across subsequent quarters (previously, they were fully recognized in the quarter of receipt). Consequently, the company includes a “contract liabilities” item on its balance sheet, representing deferred revenue. As of the end of the half-year, its value stood at 74.3 million PLN.
At the end of the first quarter of the fiscal year, the number of paying customers for LiveChat was 36,435, for ChatBot 2,962, and HelpDesk 1,224.
As of September 2024, ARPL (Average Revenue Per License, equivalent to the previously used term ARPU) for the LiveChat product reached USD 173.9, representing an 11% year-over-year increase. ARPL for ChatBot grew by 17% to USD 148.1, while HelpDesk achieved an impressive 39% increase, reaching USD 191.1.
Following the release of the semi-annual report, the Management Board announced that it had requested approval from the Supervisory Board to pay an interim dividend from the profit for the current fiscal year. The Board proposes an interim dividend of 42.75 million PLN, equivalent to 1.66 PLN per share (a year ago the value of the corresponding advance payment was PLN 1.63 per share).