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Dec 31, 2024
Veritone Q4 2024 Earnings Report
Veritone reported declining revenue but improved net income due to cost management in Q4 2024.
Key Takeaways
Veritone posted Q4 2024 revenue of $22.4 million, a 17% decline year-over-year, primarily due to lower consumption in its AI software segment. However, the company reported a net income of $31.8 million, benefiting from a gain on discontinued operations. Operating loss remained flat at $19.7 million, reflecting ongoing efficiency measures. Annual recurring revenue declined to $58.8 million, down 27% year-over-year.
Total revenue declined 17% to $22.4 million due to lower AI software consumption.
Net income of $31.8 million, driven by a one-time gain from discontinued operations.
Annual recurring revenue dropped 27% to $58.8 million.
Operating loss remained flat at $19.7 million as cost reductions offset revenue decline.
Veritone
Veritone
Forward Guidance
Veritone anticipates revenue stabilization in 2025, with growth in public sector contracts and AI solutions.
Positive Outlook
- Full-year 2025 revenue projected between $107M and $122M, up from $92.6M in 2024.
- Public sector contracts expected to drive AI SaaS growth.
- Operational cost efficiencies to improve EBITDA margins.
- New AI-powered solutions gaining traction in enterprise and government markets.
- Continued investment in Veritone Data Refinery to enhance AI capabilities.
Challenges Ahead
- AI SaaS revenue remains under pressure from declining enterprise consumption.
- Advertising segment faces challenges due to market contraction.
- Expected non-GAAP net loss of $27M-$17M in 2025.
- Competitive pressures in AI and media licensing sectors continue to rise.
- Macroeconomic uncertainties may impact software and services spending.