Dye & Durham Reports Second Quarter Fiscal 2024 Financial Results



Revenue up 17% to $110 million, taking into consideration the TM Group divestiture
Annual Contracted Revenue of $203 million1, or 49% of total revenue as of December 31, 2023
ARR was $112 million, or 27% of total revenue1,2 nearly doubling from the prior year

TORONTO, Feb. 13, 2024 /CNW/ – Dye & Durham Limited (“Dye & Durham” or the “Company”) (TSX:DND), one of the world’s largest providers of cloud-based legal practice management software, today announced its financial results for the three and six months ended December 31, 2023.

“We continued to build momentum this quarter, with double-digit revenue growth supported by our strong and growing base of Annual Contracted Revenue,” said Dye & Durham CEO, Matthew Proud. “We have made significant progress on our business performance plan and further enhanced our capital structure. As a result of our exciting new product launches, the success of our refreshed go-to-market strategy and our disciplined approach to managing cost, we are strongly positioned to grow organic revenue while continuing to reduce our leverage ratio to less than four times total net debt to Adjusted EBITDA.”

Contracted Revenue

The Company has two sources of contracted revenue:

Annual Recurring Revenue (ARR) which includes revenues from subscriptions and revenue from minimum spend contracts. ARR was $112 million of total revenue1,2 which was 27% of total revenue as of December 31, 2023. This is nearly doubling the 16% at the same point in the prior year.
Other Contracted Revenue includes revenue from contracted overages and other service agreements. As of December 31, 2023, this amounted to $93 million.

In total, the Company’s Annual Contracted Revenue was $203 million1, or 49% of total revenue as of December 31, 2023.

Second Quarter Fiscal 2024 Highlights 

Revenue of $110.2 million, up 17% from the same period in the prior year taking into consideration the divestiture of TM Group (“TMG”) on August 3, 2023. The comparative period revenue in fiscal 2023 included an additional $12.5 million of revenue from TMG. Revenue grew 3%, including the impact of TMG in the comparative period.
Net loss for the current quarter was $34.8 million, remaining relatively stable compared to the equivalent period in the prior year.
Adjusted EBITDA3 of $60.0 million, an increase of $2.4 million, or 4%, from the same period in the prior year, despite the loss of contributed Adjusted EBITDA from the TM Group in the prior year.

Quarterly Dividend

On February 13, 2024, the Board of Directors declared a quarterly dividend of $0.01875 per share to shareholders of record on February 21, 2024, payable on or about February 28, 2024.

Conference Call Notification 

The Company will hold a conference call to discuss its business later today, Tuesday, February 13, 2024, at 8:00 a.m. ET hosted by senior management. A question-and-answer session will follow the corporate update.

DATE: Tuesday, February 13, 2024
TIME: 8:00 a.m. ET
RAPIDCONNECT: To instantly join the conference call by phone, please use the following URL to easily register and be connected into the conference call automatically: https://emportal.ink/3tUWLSF   

TRADITIONAL DIAL-IN NUMBER: (416) 764-8659 or (888) 664-6392
TAPED REPLAY: (416) 764-8677 or (888) 390-0541
REPLAY CODE: 043673#

This call is being webcast and can be accessed by going to: https://app.webinar.net/J9qlmkZWoXP

As of December 31, 2023 on a run rate basis.
Excluding TMG revenues.
Represents a non-IFRS measure. These measures are not recognized measures under IFRS, do not have a standardized meaning prescribed by IFRS and are therefore unlikely to be comparable to similar measures presented by other companies. …

Full story available on Benzinga.com


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