Bristol-headquartered education technology business Tribal says it is set for "sustained growth" in 2025 despite market challenges.
The AIM-listed software company saw group revenue rise 6% to £90m for the year ending December 31, 2024, while adjusted EBITDA - a measure of performance - increased by 17.8% to £16.7m.
Statutory Profit before tax for the year decreased to £5.9m from £6.4m constant currency in 2023 as higher EBITDA performance was offset by increased exceptional costs. Net debt for the period stood at £3.2m - down from £7.2m the year previously.
Mark Pickett, the firm's chief executive, said the company's performance was "a milestone" in the transformation of the group into an edtech software-as-a-service (SaaS) business.
"With strong, long-term customer relationships and increasing cloud adoption, we are set for sustained growth in our core business," he said.
"Despite market challenges, we delivered revenue and EBITDA higher than expectations, significantly reduced debt, and saw impressive ARR growth. Looking ahead, we are focused on optimising our operations and driving continued growth and increasing cash flow generation."
Tribal said on Thursday (March 27) it was confident of achieving results in line with the board's expectations for FY25.
The company has proposed an annual dividend of 0.65p per share, which is expected to be paid at the end of July. Together with the interim dividend of 0.65p per share paid in November 2024, the total FY24 dividend is expected to be 1.3p per share.
Tribal added that it had a "continued focus" on operational efficiency and organisational structure to support the group's SaaS ambitions.
The business implemented a cost reduction programme in 2024 to support group profit margins through the transition to SaaS, it said, reducing full-time equivalent headcount in SIS by 59, a 9.1% reduction year-on-year.
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