Slide 1: Q4 Report January - December 2024
Q4 Report JANUARY - DECEMBER 2024 Rishit Jhunjhunwala Odd Bolin CEO CFO 2024 Q4 REPORT @truecaller @Truecaller_IR
Slide 2: Agenda
Agenda 1. Quarterly Highlights 2. Financial Performance 3. Product Update 4. Summary 5. Q&A 2024 Q4 REPORT
Slide 3: Quarterly Highlights
Quarterly Highlights
Slide 4: Q4 Highlights
Q4 Highlights 429M 354M 83% Avg Monthly Active Users, MAU Avg Daily Active Users, DAU DAU/MAU Stickiness (374M) (305M) ▲15% (YoY) ▲16% (YoY) 523M 201M 236M SEK net sales (425M) SEK EBITDA¹ (169M) SEK in net cash from operating ▲23% (YoY) ▲19% (YoY) activities before tax payments² (229M) 1 EBITDA mar
Slide 5: Q4 Business Highlights
Q4 Business Highlights Strong global user growth continued Advertising revenue showed double digit growth Strong development of Truecaller for Business Accelerated growth of Premium revenues New iOS product and commercial strategy rolled out in Q1 2025 5 2024 Q4 REPORT
Slide 6: All time high DAU growth
All time high DAU growth Monthly Active Users1 Daily Active Users1 (Millions, Q-average) (Millions, Q-average) -% of MAUs- 81% 81% 81% 82% 82% 83% +15% +16% 6 1. Figures represent period averages (i.e., the average of each day in the period) 6
Slide 7: MAU development
MAU development Monthly Active Users Android1 (Millions, Q-average) ● Continued strong user growth on +14% Android ○ Mainly organic growth ○ Steady growth in all regions ○ Preloads and user acquisition in certain growth markets ● On iOS the strategy is to focus on subscription. Means user growth wil
Slide 8: Financial performance
Financial performance
Slide 9: Revenue
Revenue Total net sales SEKm All revenue streams contributed to +23% all-time high revenues ● Positive momentum from Q3 continued with increased growth from Ads and Subscriptions and sustained growth rate for Truecaller for Business ● Ad revenues back to double digit growth which fuelled overall gro
Slide 10: Revenue by service type
Revenue by service type Advertising Consumer subscriptions Truecaller for Business SEKm SEKm SEKm +17% +39% +45% Growth of impressions - increased user base, Strategy to move to one main premium plan Strong growth for both the customer higher engagement and improved platform (with a family option) a
Slide 11: Ads
Ads 372M 71% Net sales subscription (318.1 M) Share of Net Sales (75%) ▲17% (YoY) 1.05 SEK 0.62 Ad revenue per DAU (1.04) Average CPM* (0.83) 11 2024 Q4 REPORT 11
Slide 12: Truecaller Premium Subscriptions
Truecaller Premium Subscriptions 77.7M 15% 43% Net sales subscription (55.7M) Share of total net sales iOS Share of premium revenues ▲39% (YoY) (13%) (37%) 2.6M 0.60% 9.93 SEK Av. number of Subscribers (2.1M) Conversion rate (0.56%) Monthly revenue per subscriber (8.79) ▲22% (YoY) ▲12% (YoY) 12 2024
Slide 13: Truecaller for Business
Truecaller for Business 71.9M 14% Net sales TfB (50M) Share of Net Sales (12%) ▲45% (YoY) 234M 2.7% 4.9BN ARR for Verified Business (VB) (154M) Revenue churn VB (2.7%) Delivered business messages (2.6 Bn) ▲52% (YoY) ▲86% (YoY) 13 2024 Q4 REPORT 13
Slide 14: Recurring revenues approx 600 SEKm annualized
Recurring revenues approx 600 SEKm annualized SEKm +42% 14 2024 Q4 REPORT Subscriptions Truecaller for Business
Slide 15: Improved gross margin
Improved gross margin Gross profit & margin (%) SEKm ● Gross profit +25% YoY and gross margin improved to 77.1% (76.1%) ● Focus on efficiency for server costs and verification costs contributed positively ● Variations in SMS fees etc. can impact gross margin in-between quarters ● New iOS product is
Slide 16: Quarterly cost development
Quarterly cost development SEKm ● Underlying staff expenses stable, seasonally low in Q3 ● Continued growth investments in selected markets ● Higher share price increased incentive costs, 12 SEKm in social security fees ● Tax rate 25.7% (26.1) in the quarter and YTD 25.0% (24.7) ● Transfer pricing s
Slide 17: Yearly cost development
Yearly cost development SEKm ● Costs excluding growth related investments (UA, preloads, marketing) and incentive costs +4% Y/Y ● Growth related investments flexible to scale up and down depending on return on investments ● Will continue to invest in growth in 2025 - carefully looking at the ROI 17
Slide 18: Profit development
Profit development EBITDA and margin (%) SEKm ● EBITDA increased by 19% to 201 SEKm (169) ● EBITDA-margin 38.5% (39.7%) ● EBITDA-margin excl cost for incentive programs was 44.3% (40.1%) ● Net profit +29% to 150 SEKm (116) and EPS +33% 18 2024 Q4 REPORT FINANCIAL PERFORMANCE 18
Slide 19: Cash flow and financial position
Cash flow and financial position • Net cash flow from operating activities excluding Net cash flow from operating activities paid income tax was 236 SEKm (229), of which before tax paid SEKm 52 MSEK (57) was attributed to changes in working capital. • Authorisation to buy back 10% of outstanding sha
Slide 20: Financial targets
Financial targets Target Average outcome ● From 2025 Truecaller has one financial 2021-2024 target: To be above an EBITDA-margin of 35% Annual net sales growth 2021-20241 45% 40% ● The board may at any time decide to update financial targets. If so, Truecaller Adj. EBITDA margin after 2024 >35% 40%
Slide 21: Amended KPI structure from 2025
Amended KPI structure from 2025 Changed quarterly KPIs from Q1 2024. The updated metrics are more relevant to how we measure and steer the business now and onwards. The previous package was based on what we believed where the right metrics back in 2021, but our business has developed, and we see a n
Slide 22: Quarterly Product Update
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Slide 23: Q4 Product Highlights
Q4 Product Highlights Core product offering Truecaller Premium AdTech and Truecaller for Business 23 2024 Q4 REPORT 23
Slide 24: Spam and fraud detection
CORE PRODUCT ENHANCEMENTS Spam and fraud detection A brand new neural network-based detection system enhances spam detection across all strategic markets Improvements to fraud detection leverage calling pattern analysis and first-of-its-kind number spoofing detection capabilities ▲50% growth in spam
Slide 25: Thought leadership on scam and fraud awareness
CORE PRODUCT ENHANCEMENTS Thought leadership on scam and fraud awareness Enhancements across the app collectively lead to stronger retention, higher feature adoption, and more active daily usage Scam feed, a new section in the Android app, offers a new platform for users to raise awareness about eme
Slide 26: User Monetization Engine
INVESTMENTS DRIVING PREMIUM ADOPTION User Monetization Engine Continued investments in Truecaller’s proprietary User Monetization Engine drive improvements in both subscriber conversion and retention across platforms ▲39% growth in revenue ▲22% growth in overall from subscriptions subscriber base 26
Slide 27: Truecaller Assistant
PREMIUM OFFERING Truecaller Assistant The Assistant was rebuilt from the ground up, harnessing the power of custom LLMs to deliver truly intelligent conversations while transforming automated call handling into natural, human-like interactions 33% increase in answer 50% increase in active rates usag
Slide 28: Truecaller for iPhone
PREMIUM OFFERING Truecaller for iPhone The much-anticipated fully revamped iPhone app launched in all markets late January ‘25. The update brings live caller ID, automatic spam blocking, and several other Truecaller for Android features that iPhone users have asked for several years. Developed in cl
Slide 29: Continued expansion of advertising opportunities
ADTECH Continued expansion of advertising opportunities Rewarded ads and interstitial formats scaled successfully during the quarter, driving high fill rates, increased impressions and competitive yields Investments in our in-house ad server and new ad inventory further strengthen targeting and scal
Slide 30: Deeper enterprise integration and market expansion
TRUECALLER FOR BUSINESS (TfB) Deeper enterprise integration and market expansion Enterprise growth is driven by deeper integration with existing customers and growing contract values through broader utilization of the CX platform Significant wins in MEA highlight growing traction in the region SELEC
Slide 31: Customizable Message IDs for Verified campaigns
TRUECALLER FOR BUSINESS (TfB) Customizable Message IDs for Verified campaigns Message ID was expanded to allow enterprise services to offer real-time, customizable message summaries that boost engagement and visibility 10% increase in users engaging with the business 31 2024 Q4 REPORT
Slide 32: Summary
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Slide 33: Q4 2024 summary
Q4 2024 summary ● Strong global user growth continued ● Strong underlying profit development with EBITDA excl. incentive costs +36% and EPS +33% ● All-time high revenues with contribution from all revenue streams ● Targeted growth investments will continue and be expanded to more ○ Ad revenues back
Slide 34: Thank you
Thank you To our users, partners and the Truecaller team
Slide 35: Q&A
Q&A
Slide 36: Appendix
Appendix
Slide 37: Income Statement & Free Cash Flow
Income Statement & Free Cash Flow 37 APPENDIX 1 37
Slide 38: Balance Sheet
Balance Sheet 38 APPENDIX 2 38
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