Comscore Reports Fourth Quarter and Full Year 2024 Results

RESTON, Va., March 04, 2025 (GLOBE NEWSWIRE) -- Comscore, Inc. (Nasdaq: SCOR), a trusted partner for planning, transacting and evaluating media across platforms, today reported financial results for the fourth quarter and full year ended December 31, 2024.

FY 2024 Financial Highlights

• Revenue for 2024 was $356.0 million compared to $371.3 million in 2023

• Net loss of $60.2 million compared to $79.4 million in 2023, resulting primarily from non-cash goodwill impairment charges of $63.0 million and $78.2 million, respectively

• Adjusted EBITDA¹ of $42.4 million compared to $44.0 million in 2023

• FX adjusted EBITDA of $40.9 million compared to $46.9 million in 2023

• Cash, cash equivalents and restricted cash of $33.5 million versus $22.9 million as of December 31, 2023
  

Q4 2024 Financial Highlights

• Revenue for the fourth quarter was $94.9 million compared to $95.1 million in Q4 2023

• Net income of $3.1 million compared to net loss of $28.4 million in Q4 2023, resulting primarily from a non-cash goodwill impairment charge of $34.1 million in Q4 2023

• Adjusted EBITDA of $17.2 million compared to $16.4 million in Q4 2023

• FX adjusted EBITDA of $14.2 million compared to $18.7 million in Q4 2023

2025 Financial Outlook

• Full year revenue expected to be between $360 million and $370 million

• Adjusted EBITDA margin expected to be between 12% and 15% for the year

"We made solid progress in Q4 to establish Comscore as a leading source for cross-platform planning and measurement," said Jon Carpenter, CEO. "Our cross-platform audience solution, Proximic, continued to accelerate, and our cross-platform measurement products also scaled nicely within programmatic advertising environments as we came down the stretch in 2024. We believe this progress and the leadership additions we've made in recent months position us well for growth in 2025."

Fourth Quarter Summary Results

Revenue in the fourth quarter was $94.9 million, down 0.2% from $95.1 million in Q4 2023. Content & Ad Measurement revenue increased 1.0% compared to the prior-year quarter, driven by an increase in our cross-platform revenue, which grew 21.7% over Q4 2023. This growth was partially offset by lower revenue from our syndicated audience offerings, primarily related to our national TV and syndicated digital products. Research & Insight Solutions revenue declined 6.5% from Q4 2023, primarily due to lower deliveries of certain custom digital products.

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¹ Adjusted EBITDA, adjusted EBITDA margin and FX Adjusted EBITDA are non-GAAP measures defined in the "Fourth Quarter Summary Results" section and are reconciled to net income (loss) and net income (loss) margin in the addendum of this release. As described in the "2025 Outlook" section, we are unable to provide a reconciliation of adjusted EBITDA or adjusted EBITDA margin on a forward-looking basis because we cannot predict with reasonable certainty our future stock-based compensation expense, fair value adjustments, variable interest expense, litigation and restructuring expense and any unusual items without reasonable effort.

Our core operating expenses, which include cost of revenues, sales and marketing, research and development and general and administrative expenses, were $90.3 million for the quarter, up 7.6% compared to $83.9 million in Q4 2023, primarily due to higher employee compensation and data licensing costs.

Net income for the quarter was $3.1 million, compared to net loss of $28.4 million in Q4 2023, resulting in net income (loss) margins of 3.3% and (29.9)% of revenue, respectively. Included in net loss for Q4 2023 was a non-cash impairment charge of $34.1 million related to goodwill. After accounting for dividends on our convertible preferred stock, loss per share attributable to common shares in Q4 2024 was $(0.27), compared to loss per share of $(6.69) in Q4 2023.

Non-GAAP adjusted EBITDA for the quarter was $17.2 million, compared to $16.4 million in Q4 2023, resulting in adjusted EBITDA margins of 18.1% and 17.3%, respectively. Excluding the impact of foreign currency transactions, FX adjusted EBITDA for the quarter was $14.2 million, compared to $18.7 million in Q4 2023. Adjusted EBITDA and adjusted EBITDA margin exclude depreciation and amortization, net interest expense, income taxes, impairment of goodwill, stock-based compensation expense, transformation costs, impairment of right-of-use and long-lived assets, restructuring costs, change in fair value of contingent consideration liability and other items as presented in the accompanying tables. FX adjusted EBITDA excludes these items as well as gain/loss from foreign currency transactions.

Full-Year Summary Results

Revenue for 2024 was $356.0 million, down 4.1% compared to $371.3 million in 2023. Content & Ad Measurement revenue declined 2.8% compared to 2023, driven by lower revenue from our syndicated audience offerings (primarily related to national TV and syndicated digital products), partially offset by an increase in our cross-platform revenue, which grew 19.7% over 2023. Research & Insight Solutions revenue declined 10.6% from 2023, primarily due to lower deliveries of certain custom digital products.

Our core operating expenses, which include cost of revenues, sales and marketing, research and development and general and administrative expenses, were $347.1 million, down 1.9% compared to $353.8 million in 2023, primarily driven by a decline in employee compensation and lower cloud computing costs, partially offset by higher data licensing costs.

Net loss for the year was $60.2 million, compared to $79.4 million in 2023, resulting in net loss margins of (16.9)% and (21.4)% of revenue, respectively. Included in net loss for 2024 and 2023 were non-cash impairment charges of $63.0 million and $78.2 million, respectively, related to goodwill. After accounting for dividends on our convertible preferred stock, loss per share attributable to common shares in 2024 was $(15.53), compared to loss per share of $(19.88) in 2023.

Non-GAAP adjusted EBITDA for the year was $42.4 million compared to $44.0 million in 2023, resulting in adjusted EBITDA margins of 11.9% for both years. Excluding the impact of foreign currency transactions, FX adjusted EBITDA for 2024 was $40.9 million, compared to $46.9 million in 2023.

Balance Sheet and Liquidity

As of December 31, 2024, cash, cash equivalents and restricted cash totaled $33.5 million.

On December 31, 2024, we entered into a senior secured financing agreement with Blue Torch Finance LLC. The Blue Torch facility provides a borrowing capacity of $60.0 million, consisting of a $45.0 million term loan that was fully funded at closing and a $15.0 million revolving credit facility that was unfunded at closing. We used initial proceeds from the term loan to resolve our aged accounts payable, cash collateralize our outstanding letter of credit, pay transaction fees and expenses, and strengthen our cash position in order to invest in future growth.

Prior to entering the new facility, we repaid the outstanding principal balance under our prior credit agreement with Bank of America, N.A. On December 31, 2024, we terminated the Bank of America facility and (as described above) used a portion of proceeds from the Blue Torch term loan to cash collateralize our outstanding letters of credit with Bank of America.

Finally, on December 31, 2024, we entered into an amendment to our Data License Agreement with Charter Communications Operating, LLC. The amendment provides us with an estimated minimum $35 million reduction in cash license fees over the remaining term of the Data License Agreement, in addition to the previously disclosed $7 million in license fee credits provided by Charter for prior periods. The amendment was conditioned upon our payment of arrears due to Charter under the Data License Agreement, which we paid in full on December 31, 2024.

2025 Outlook

Based on current trends and expectations, we believe 2025 revenue will be between $360 million and $370 million, driven primarily by growth in Content & Ad Measurement revenue from our local TV offering and our cross-platform products. We expect our adjusted EBITDA margin for 2025 to be between 12% and 15% as we continue to invest in areas of the business that we believe have the greatest opportunity to drive revenue growth or operational efficiencies. We anticipate that our national TV and syndicated digital revenue will continue to be challenged, and that demand for custom digital products will continue to be unpredictable due to the macroeconomic environment. We expect revenue in the first quarter of 2025 to be roughly flat compared to Q1 2024, with a return to growth in subsequent quarters as demand for our cross-platform products continues to rise.

We do not provide GAAP net income (loss) or net income (loss) margin on a forward-looking basis because we are unable to predict with reasonable certainty our future stock-based compensation expense, fair value adjustments, variable interest expense, litigation and restructuring expense and any unusual gains or losses without unreasonable effort. These items are uncertain, depend on various factors, and could be material to results computed in accordance with GAAP. For this reason, we are unable without unreasonable effort to provide a reconciliation of adjusted EBITDA or adjusted EBITDA margin to the most directly comparable GAAP measure, GAAP net income (loss) and net income (loss) margin, on a forward-looking basis.

Conference Call Information for Today, Tuesday, March 4, 2025 at 5:00 p.m. ET

Management will host a conference call to discuss the results on Tuesday, March 4, 2025, at 5:00 p.m. ET. The live audio webcast along with supplemental information will be accessible at ir.comscore.com/events-presentations. Participants can obtain dial-in information by registering for the call at the same web address and are advised to register in advance of the call to avoid delays. Following the conference call, a replay will be available via webcast at ir.comscore.com/events-presentations.

About Comscore

Comscore is a global, trusted partner for planning, transacting and evaluating media across platforms. With a data footprint that combines digital, linear TV, over-the-top and theatrical viewership intelligence with advanced audience insights, Comscore empowers media buyers and sellers to quantify their multiscreen behavior and make meaningful business decisions with confidence. A proven leader in measuring digital and TV audiences and advertising at scale, Comscore is the industry's emerging, third-party source for reliable and comprehensive cross-platform measurement.

Cautionary Note Regarding Forward-Looking Statements

This press release contains forward-looking statements within the meaning of federal and state securities laws, including, without limitation, our expectations, forecasts, plans and opinions regarding expected revenue and adjusted EBITDA margin for 2025, a return to growth in 2025, revenue drivers, future investments in growth and operational efficiencies, demand for our products, and economic and industry trends. These statements involve risks and uncertainties that could cause actual events to differ materially from expectations, including, but not limited to, changes in our business and customer, partner and vendor relationships; external market conditions and competition; continued changes or declines in ad spending or other macroeconomic factors; evolving privacy and regulatory standards; product adoption rates; and our ability to achieve our expected strategic, financial and operational plans. For additional discussion of risk factors, please refer to our Annual Reports on Form 10-K, Quarterly Reports on Form 10-Q, and other filings that we make from time to time with the U.S. Securities and Exchange Commission (the "SEC"), which are available on the SEC's website (www.sec.gov).

Investors are cautioned not to place undue reliance on our forward-looking statements, which speak only as of the date such statements are made. We do not intend or undertake, and expressly disclaim, any duty or obligation to publicly update any forward-looking statements to reflect events, circumstances or new information after the date of this press release, or to reflect the occurrence of unanticipated events.

Use of Non-GAAP Financial Measures

To provide investors with additional information regarding our financial results, we are disclosing in this press release adjusted EBITDA, adjusted EBITDA margin and FX adjusted EBITDA, which are non-GAAP financial measures used by our management to understand and evaluate our core operating performance and trends. We believe that these non-GAAP financial measures provide useful information to investors and others in understanding and evaluating our operating results, as they permit our investors to view our core business performance using the same metrics that management uses to evaluate our performance. Nevertheless, our use of these non-GAAP financial measures has limitations as an analytical tool, and investors should not consider these measures in isolation or as a substitute for analysis of our results as reported under GAAP. Instead, you should consider these measures alongside GAAP-based financial performance measures, net income (loss), net income (loss) margin, various cash flow metrics, and our other GAAP financial results. Set forth below are reconciliations of these non-GAAP financial measures to their most directly comparable GAAP financial measures, net income (loss) and net income (loss) margin. These reconciliations should be carefully evaluated.

Media
Marie Scoutas
Comscore, Inc.
press@comscore.com

Investors
John Tinker
Comscore, Inc.
212-203-2129
jtinker@comscore.com

Reconciliation of Non-GAAP Financial Measures

The following table presents a reconciliation of GAAP net loss and net loss margin to non-GAAP adjusted EBITDA, adjusted EBITDA margin and non-GAAP FX adjusted EBITDA for each of the periods identified:

Reconciliation of Non-GAAP Financial Measures

The following table presents a reconciliation of GAAP net income (loss) and net income (loss) margin to non-GAAP adjusted EBITDA, adjusted EBITDA margin and non-GAAP FX adjusted EBITDA for each of the periods identified:

Revenues

Revenues from our offerings of products and services are as follows: