Accelerated growth of users and recurring revenues: Truecaller AB

Interim report January-June 2024

STOCKHOLM, July 19, 2024 /PRNewswire/ -- Truecaller, the leading global platform for verifying contacts and blocking unwanted communication, report a decrease in net sales with 12% to SEK 455.9 million (518.4). EBITDA decreased to SEK 164,7 million (238,5) and the EBITDA margin was 36.1% (46.0%). Net sales increased excluding effects of lower ads income related to Indian Premier league (IPL) and the timing of IPL.

Extract from the CEO Word:

"During the second quarter, user growth was the highest in absolute number since 2018 as we added 14 million monthly active users and surpassed 400 million users globally. The conversion to paying subscribers continued to increase.

Our strategy to diversify our revenue remained successful. The growth in revenues both from subscriptions and our business offerings were in absolute numbers at an all-time-high and the growth for recurring revenues was 33 percent compared to Q2 last year and 13 percent compared to last quarter.

During the quarter Apple announced that they will open up their ecosystem for 3rd party developers which means that Truecaller's live caller ID will be as good on the iPhone as on Android. This will become a huge opportunity for us to grow in a large market that we so far have not been able to reach in the same way and could be the biggest product improvement for Truecaller on iPhone since Truecaller was founded 15 years ago.

Net sales decreased by 12 percent compared to the second quarter of 2023, amounting to SEK 456 million (518).This is however the third highest quarterly net sales ever but this time we had a tough comparison quarter. Our recurring revenues, subscription, and business revenues, increased by a total of 33 percent and compared to the first quarter, the increase was 13 percent. Our advertising revenue decreased by 22 percent compared to the corresponding period last year. Excluding effects related to the Indian Premier League in cricket (IPL), we estimate that advertising revenue would have decreased only marginally, by about three percent and that total net sales would have increased by about five percent. 

EBITDA amounted to SEK 165 million (239) and the EBITDA margin was 36.1 percent (46.0). The decrease in EBITDA compared to the previous year is a result of the IPL effect and increased growth investments in selected regions.

We are executing according to plan at a high pace, and our strategy to grow our recurring revenues and increase our geographical footprint continues to yield good results. In short, I am proud and satisfied with the development during the quarter. With the rapid technological development that makes people more vulnerable to phone fraud, the need for Truecaller continues to increase globally, and we are growing faster than ever." says Alan Mamedi CEO of Truecaller.

April-June 2024 (Q2)

Comparative figures refer to April-June 2023

• Net sales decreased by 12 percent to SEK 455.9m (518.4).
• EBITDA amounted to SEK 164.7m (238.5), corresponding to an adjusted EBITDA margin of 36.1 (46.0) percent. Excluding the costs of incentive programs, EBITDA would have been SEK 176.9m (249.7), equivalent to an EBITDA margin of 38.8 (48.2) percent.
• Profit after tax amounted to SEK 123.0m (205.9).
• Basic earnings per share was SEK 0.35 (0.57) and diluted earnings per share were SEK 0.35 (0.57).
• The average number of active users (MAU) increased by 41.8 million to approximately 397.4 million (355.6).
• Net sales decreased by 19 percent in India, increased by 11 percent in the Middle East and Africa and by 22 percent in the rest of the world.

 January-June 2024

Comparative figures refer to January-June 2023

• Net sales decreased by 2 percent to SEK 883.1m (905.5).
• EBITDA amounted to SEK 315.7m (388.6), corresponding to an adjusted EBITDA margin of 35.7 (42.9) percent. Excluding the costs of incentive programs, EBITDA would have been SEK 339.2m (410.8), equivalent to an EBITDA margin of 38.4 (45.4) percent.
• Profit after tax amounted to SEK 256.1m (315.1).
• Basic earnings per share was SEK 0.74 (0.86) and diluted earnings per share were SEK 0.74 (0.86).
• The average number of active users (MAU) increased by 40.4 million to approximately 390.4 million (350.0).
• Net sales decreased by 8 percent in India, increased by 10 percent in the Middle East and Africa and by 23 percent in the rest of the world.

Presentation of the report

Alan Mamedi, CEO and Odd Bolin, CFO presents the report and answers questions in a webcast and conference call today at 13.00 CEST. The presentation will be held in English.

If you wish to participate via webcast please use the link below.

https://ir.financialhearings.com/truecaller-q2-report-2024/register

If you wish to participate via teleconference please register on the link below. After registration you will be provided phone numbers and a conference ID to access the conference. You can ask questions verbally via the teleconference.

https://conference.financialhearings.com/teleconference/?id=50047239

For more information, please contact:

Odd Bolin, CFO
[email protected]

Andreas Frid, Head of IR & Communication
+46 705 29 08 00
[email protected]

This information is information that Truecaller is obliged to make public pursuant to the EU Market Abuse Regulation 596/2014. The information was submitted for publication, through the agency of the contact persons set out above, at the time stated by the Company's news distributor, Cision, at the publication of this press release.

About Truecaller:
Truecaller (TRUE B) is the leading global platform for verifying contacts and blocking unwanted communication. We enable safe and relevant conversations between people and make it efficient for businesses to connect with consumers. Fraud and unwanted communication are endemic to digital economies. especially in emerging markets. We are on a mission to build trust in communication. Truecaller is an essential part of everyday communication for more than 400 million active users, with more than a billion downloads since launch and around 50 billion unwanted calls identified and blocked in 2023. Headquartered in Stockholm, since 2009, we are a co-founder led. entrepreneurial company. with a highly experienced management team. Truecaller is listed on Nasdaq Stockholm since 8 October 2021. For more information. please visit corporate.truecaller.com

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SOURCE Truecaller AB