The chart below shows how ALAR performed 10 days before and after its earnings report, based on data from the past quarters. Typically, ALAR sees a -2.00% change in stock price 10 days leading up to the earnings, and a -8.09% change 10 days following the report. On the earnings day itself, the stock moves by -2.45%. This data can give you a slight idea of what to expect for the next quarter's release.
Positive
NetNut Business Contribution: NetNut contributed nearly 100% to both quarterly and accumulated business results.
Q3 2024 Revenue Highlights: Total Q3 2024 revenues reached the high-end of guidance at $7.2 million, with $7 million attributed to NetNut.
Adjusted EBITDA Performance: We exceeded our Q3 2024 adjusted EBITDA guidance, recording an adjusted EBITDA of $1.4 million.
Cash Reserves Increase: Our cash and cash equivalents at the end of Q3 2024 increased to $24 million, up from $10.9 million as of December 31, 2023.
Cash Balance Investment Strategy: Our strong cash balance position allows us to continue investing in our strategy and grow our business responsibly.
Negative
Q3 Revenue Growth Slowdown: Total Q3 2024 revenues reached $7.2 million, which is only a 6.6% increase from $6.8 million in Q3 2023, indicating a slowdown in revenue growth.
Gross Margin Decline: The non-IFRS gross margin for Q3 2024 was 73.6%, down from 79.4% in Q3 2023, reflecting increased costs and reduced profitability.
Rising Operational Costs: Operating expenses in Q3 2024 were $4.1 million, compared to $3.7 million in Q3 2023, indicating rising operational costs that outpaced revenue growth.
EBITDA Decline Analysis: The adjusted EBITDA for Q3 2024 was $1.4 million, down from $1.9 million in Q3 2023, showing a decline in operational efficiency and profitability.
Earnings Per Share Decline: The basic earnings per share for Q3 2024 was $0.02, compared to $0.03 in Q3 2023, reflecting a decrease in earnings and shareholder value.
Alarum Technologies Ltd. (ALAR) Q3 2024 Earnings Call Transcript
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