NewzIntel.com

Category: Economy

  • MIL-OSI USA: Lawsuit against Norwalk for unlawful ban on homeless shelters moves forward

    Source: US State of California 2

    Feb 19, 2025

    What you need to know: A court has denied the city of Norwalk’s request to dismiss the state’s lawsuit against the city for its unlawful ban on homeless shelters. 

    NORWALK — Governor Gavin Newsom issued the following statement in response to a court decision denying the city of Norwalk’s request to dismiss the state’s lawsuit against the city for its unlawful ban against homeless shelters and other supportive housing.

    “No community should turn its back on its residents in need. We will continue to hold Norwalk accountable for its failure to reverse this cruel and unlawful ban.”

    Governor Gavin Newsom

    “We are pleased to proceed with our case and to protect the public’s interest in the rule of law,” said California Attorney General Rob Bonta. “Norwalk’s ban on new housing for unhoused individuals and lower-income households at risk of homelessness is illegal. At a time when affordability issues are a top concern for Californians, we should be doing everything in our power to help — not hurt — those struggling to keep a roof over their heads or lacking housing altogether. We look forward to holding the city accountable.”

    “Far from being a threat, availability of safe shelter and supportive services brings stability and makes communities stronger,” said Department of Housing & Community Development Director Gustavo Velasquez. “We will continue to fight to hold Norwalk and all others accountable for planning for the housing needs of residents at all income levels.”

    Governor Newsom and Attorney General Rob Bonta filed a lawsuit against the city of Norwalk on November 4, 2024, to compel the city to overturn its unlawful ordinance banning the establishment of new homeless shelters and other housing. The lawsuit alleges that the city’s ban violates numerous state laws. The lawsuit was filed after multiple warnings and actions by the state, including revocation of the city’s housing element compliance.

    Recent news

    Feb 19, 2025

    News What you need to know: Steve Jobs, a visionary of global scale, has been nominated to represent California on the American Innovation Coin. The coin, which will be minted by the U.S. Mint, highlights U.S. innovations and innovators, including California’s legacy…

    Feb 19, 2025

    News What you need to know: Over the next three years, California will host the NBA All-Star Weekend, X Games, FIFA World Cup, Super Bowl LX & LXI, and the LA28 Olympics & Paralympics in select regions across the state. SACRAMENTO – As the Bay Area wraps up…

    Feb 19, 2025

    News Survivors of the Park Fire, Franklin Fire, and the recent Palisades and Eaton fires would be eligible for direct mortgage relief What you need to know: Governor Newsom is proposing an over $125 million package that includes disaster mortgage relief for homeowners…

    MIL OSI USA News –

  • MIL-OSI USA: California nominates Steve Jobs for its American Innovation Coin, $1 coin to be produced by U.S. Mint

    Source: US State of California 2

    Feb 19, 2025

    What you need to know: Steve Jobs, a visionary of global scale, has been nominated to represent California on the American Innovation Coin. The coin, which will be minted by the U.S. Mint, highlights U.S. innovations and innovators, including California’s legacy as a global hub of innovation.

    Sacramento, California – For California’s American Innovation Coin, Governor Gavin Newsom has recommended world-renowned innovator Steve Jobs. The coin, which will be minted by the U.S. Mint, highlights California’s legacy as a global hub of innovation.

    The American Innovation $1 Coin Program, launched in 2018 by the U.S. Mint, celebrates the spirit of ingenuity that defines America. Each state, territory, and the District of Columbia is honored with creating a unique coin recognizing an innovation or innovator from their region.

    Innovation and California are synonymous, and Steve Jobs encapsulates the unique brand of innovation that California runs on: innovation not driven by business alone, but as a vehicle to forever change the world.

    Governor Gavin Newsom

    This week, Governor’s Office of Business and Economic Development (GO-Biz) Director Dee Dee Myers presented the state’s nomination of Jobs and his legacy to the Citizens Coinage Advisory Committee (CCAC), which will take design recommendations to the Treasury Secretary for final approval. This project is led and facilitated by the U.S. Mint. California’s coin will be produced and made available in 2026.

    Steve Jobs’ legacy of innovation

    Jobs’ legacy spans industries and products: Jobs was the co-founder and CEO of Pixar Animation Studios, bringing to life the world’s first fully computer-animated feature: “Toy Story.” But even that legacy-defining achievement is surpassed by his work as co-founder and two-time CEO of Apple, launching several revolutionary computers, including Apple II – the first mass-produced microcomputer – and Macintosh – the first mass-market personal computer that included a graphic display, so users could see what they were working on. 

    The goal, according to Jobs, was to “bridge the gap between sophisticated technology and ‘the rest of us’ who make up most of humanity…to make complex technology easy to use and fun to use.” That approach led to the iPod, iPhone, and iPad, devices that refined existing technology to make it more precise, more intuitive, and more functional.

    By focusing on who he was innovating for – other people – Jobs was able to use technology to connect people to each other and to the broader world, bringing people onto the same level by providing them with equal access. And that approach was built on a willingness to try new ideas and push the boundaries of what was possible – an approach that embodies the California spirit.

    California has a sense of experimentation about it, and a sense of openness about it—openness and new possibility—that I really didn’t appreciate till I went to other places.

    Steve Jobs

    Press Releases, Recent News

    Recent news

    Feb 19, 2025

    News What you need to know: Over the next three years, California will host the NBA All-Star Weekend, X Games, FIFA World Cup, Super Bowl LX & LXI, and the LA28 Olympics & Paralympics in select regions across the state. SACRAMENTO – As the Bay Area wraps up…

    Feb 19, 2025

    News Survivors of the Park Fire, Franklin Fire, and the recent Palisades and Eaton fires would be eligible for direct mortgage relief What you need to know: Governor Newsom is proposing an over $125 million package that includes disaster mortgage relief for homeowners…

    Feb 19, 2025

    News State continues raising awareness of dangerous drug  What you need to know: California is using a multifaceted approach to tackle illicit fentanyl, including seizing nearly $300 million of illicit fentanyl since 2023 and increasing public education in schools…

    MIL OSI USA News –

  • MIL-OSI USA: The Golden State will soon be home to the world’s most renowned athletic events

    Source: US State of California 2

    Feb 19, 2025

    What you need to know: Over the next three years, California will host the NBA All-Star Weekend, X Games, FIFA World Cup, Super Bowl LX & LXI, and the LA28 Olympics & Paralympics in select regions across the state.

    SACRAMENTO – As the Bay Area wraps up NBA All-Star 2025, which was projected to generate approximately $350M in economic impact, California will continue to shine on the global stage with a lineup of major athletic events. These events will collectively generate billions in economic activity and foster community engagement as visitors from around the world experience the region’s culture, attractions, and hospitality.

    “From Northern to Southern California, the state is preparing to shine on the world’s biggest stages, welcoming fans from around the globe to experience the energy and diversity of our great state. These events will drive billions into our economy, support local businesses, and create jobs while uniting communities in celebration.”

    Governor Gavin Newsom

    🏀 2025 Bay Area and 2026 Los Angeles NBA All-Star Games 

    • NBA All-Star is an annual mid-season showcase featuring the league’s top stars competing in events including the All-Star Game and All-Star Saturday Night which consists of the Skills Challenge, 3-Point and Slam Dunk, as well as the NBA All-Star Celebrity Game and numerous community activations across the host city. NBA All-Star generates significant economic and cultural impact for the host market.
    • NBA All-Star 2025 in the San Francisco Bay Area was projected to generate approximately $350M in economic impact, supporting 3,000 jobs, and attracting 135,000 visitors. California will host back-to-back with NBA All-Star 2026 in Los Angeles.

    🛹 2025, 2026, and 2027 X Games in Sacramento

    • The X Games are a televised sports festival that features competitive skateboarding, skiing, snowboarding, and BMX. 
    • Over the next three summers, Sacramento’s Cal Expo will host the games with an estimated 35,000 attendees anticipated daily.

    🏈 2026 Super Bowl LX and 2027 Super Bowl LXI

    • The National Football League’s championship game will host Super Bowl LX at Levi’s Stadium in Santa Clara, California and Super Bowl LXI at SoFi Stadium in Inglewood, California.
    • Super Bowl LX is projected to generate a total economic impact of approximately $500 million, with an estimated 90,000 visitors from outside the Bay Area to be expected.

    ⚽ 2026 FIFA World Cup 

    • The 2026 FIFA World Cup is an international soccer tournament that will be jointly hosted by the United States, Canada, and Mexico and will mark the first time the tournament will feature 48 teams.
    • The total estimated economic impact for the Bay Area is approximately $555 million with an estimated 260,000 out-of-town visitors. Los Angeles is projected to see an economic impact of approximately $594 million with approximately 180,000 out-of-town visitors.

    🏅 2028 Olympic & Paralympic Games

    • The 2028 Olympic and Paralympic Games, set to take place in Los Angeles, will showcase global sporting talent on the biggest stage in sports.

    According to the LA28 Games, the sporting event will contribute towards equitable access to youth sports as LA28 invested $160 million in sports for youth across LA. 

    Continuing robust support for LA

    With California front and center for these world-class sporting events, the state is working diligently to prioritize a fast and safe recovery for people and businesses impacted by the LA fires. From the state’s private and philanthropic partnerships, to coordination with federal and local government, California continues to maximize the impact of ongoing rebuilding efforts. 

    For more information and resources, please visit https://www.ca.gov/LAfires/ 

    California’s booming tourism economy

    California has the largest market share of tourism in the nation. Travel spending in the state reached an all-time high of $150.4 billion in 2023, surpassing the record $144.9 billion spent in 2019 – spending that is 3.8% higher than 2019 and 5.6% higher than 2022.

    The new travel-spending record generated $12.7 billion in state and local tax revenue by visitors in 2023, marking a 3% increase over 2019. Tourism created 64,900 new jobs in 2023, bringing total industry employment to 1,155,000.

    Recent news

    Feb 19, 2025

    News Survivors of the Park Fire, Franklin Fire, and the recent Palisades and Eaton fires would be eligible for direct mortgage relief What you need to know: Governor Newsom is proposing an over $125 million package that includes disaster mortgage relief for homeowners…

    Feb 19, 2025

    News State continues raising awareness of dangerous drug  What you need to know: California is using a multifaceted approach to tackle illicit fentanyl, including seizing nearly $300 million of illicit fentanyl since 2023 and increasing public education in schools…

    Feb 14, 2025

    News SACRAMENTO – Governor Gavin Newsom today announced the following appointments:Melissa Stone, of Elk Grove, has been appointed Chief Deputy Director at the Department of Child Support Services. Stone has been Deputy Director of the Disability Insurance Branch at…

    MIL OSI USA News –

  • MIL-OSI: XBP Europe Selected for AGIRC-ARRCO’s Digital Transformation Framework

    Source: GlobeNewswire (MIL-OSI)

    PARIS, Feb. 20, 2025 (GLOBE NEWSWIRE) — XBP Europe Holdings, Inc. (“XBP Europe” or “the Company”) (NASDAQ: XBP), a pan-European integrator of bills, payments, and related solutions and services seeking to enable the digital transformation of its clients, announced today that its French subsidiary has been selected as a supplier on a large-scale framework for sourcing data processing and payments services. The AGIRC-ARRCO framework is estimated to be in excess of a cumulative total of €25 million for all suppliers.

    AGIRC-ARRCO manages a compulsory supplementary pension scheme for private-sector employees in France. This is achieved via a confederation structure involving multiple member pension funds. The fund collects contributions from 27 million employees and 1.8 million companies, paying out €90 billion each year, making AGIRC-ARRCO a crucial service provider in the French pension system.

    AGIRC-ARRCO has selected XBP Europe France, along with three other suppliers, to support pension applications and administrative services relating to pension contributions. XBP Europe intends to compete for multiple projects within the framework, aiming to deploy its state-of-the-art IDP/TTY, workflow solutions, and Digital Mailroom platforms.

    “Our participation in the AGIRC-ARRCO framework reinforces XBP Europe’s position as a trusted partner for digital transformations. We are proud to support AGIRC-ARRCO and its members with our expertise in data digitisation and workflow automation, ensuring efficiency, accuracy, and operational excellence,” said Vitalie Robu, President at XBP Europe.

    About XBP Europe

    XBP Europe is a pan-European integrator of bills, payments and related solutions and services seeking to enable digital transformation of its more than 2,000 clients. The Company’s name – ‘XBP’ – stands for ‘exchange for bills and payments’ and reflects the Company’s strategy to connect buyers and suppliers, across industries, including banking, healthcare, insurance, utilities and the public sector, to optimize clients’ bills and payments and related digitization processes. The Company provides business process management solutions with proprietary software suites and deep domain expertise, serving as a technology and services partner for its clients. Its cloud-based structure enables it to deploy its solutions across the European market, along with the Middle East and Africa. The physical footprint of XBP Europe spans 15 countries and 32 locations and a team of approximately 1,500 individuals. XBP Europe believes its business ultimately advances digital transformation, improves market wide liquidity by expediting payments, and encourages sustainable business practices. For more information, please visit: www.xbpeurope.com.

    Forward-Looking Statements
    This press release contains certain “forward-looking statements” within the meaning of the United States Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended (the “Securities Act”), and Section 21E of the Exchange Act, including certain financial forecasts and projections. All statements other than statements of historical fact contained in this press release, including statements as to future results of operations and financial position, revenue and other metrics planned products and services, business strategy and plans, objectives of management for future operations of XBP Europe, market size and growth opportunities, competitive position and technological and market trends, are forward-looking statements. Some of these forward-looking statements can be identified by the use of forward-looking words, including “may,” “should,” “expect,” “intend,” “will,” “estimate,” “anticipate,” “believe,” “predict,” “plan,” “targets,” “projects,” “could,” “would,” “continue,” “forecast” or the negatives of these terms or variations of them or similar expressions. All forward-looking statements are subject to risks, uncertainties, and other factors which could cause actual results to differ materially from those expressed or implied by such forward-looking statements. All forward-looking statements are based upon estimates, forecasts and assumptions that, while considered reasonable by XBP Europe and its management, as the case may be, are inherently uncertain and many factors may cause the actual results to differ materially from current expectations which include, but are not limited to: (1) the outcome of any legal proceedings that may be instituted against XBP Europe or others and any definitive agreements with respect thereto; (2) the inability to meet the continued listing standards of Nasdaq or another securities exchange; (3) the risk that the business combination disrupts current plans and operations of XBP Europe and its subsidiaries; (4) the inability to recognize the anticipated benefits of the business combination, which may be affected by, among other things, competition, the ability of XBP Europe and its subsidiaries to grow and manage growth profitably, maintain relationships with customers and suppliers and retain its management and key employees; (5) costs related to the business combination; (6) changes in applicable laws or regulations; (7) the possibility that XBP Europe or any of its subsidiaries may be adversely affected by other economic, business and/or competitive factors; (8) risks related to XBP Europe’s potential inability to achieve or maintain profitability and generate cash; (9) the impact of the COVID-19 pandemic, including any mutations or variants thereof, and its effect on business and financial conditions; (10) volatility in the markets caused by geopolitical and economic factors; (11) the ability of XBP Europe to retain existing clients; (12) the potential inability of XBP Europe to manage growth effectively; (13) the ability to recruit, train and retain qualified personnel, and (14) other risks and uncertainties set forth in the sections entitled “Risk Factors” and “Cautionary Note Regarding Forward-Looking Statements” in the Annual Reports on Form 10-K filed on April 1, 2024 and, our subsequent quarterly reports on Form 10-Q and our current reports on Form 8-K as filed with the Securities and Exchange Commission (the “SEC”). These filings identify and address other important risks and uncertainties that could cause actual events and results to differ materially from those contained in the forward-looking statements. Nothing in this press release should be regarded as a representation by any person that the forward-looking statements set forth herein will be achieved or that any of the contemplated results of such forward-looking statements will be achieved. Readers should not place undue reliance on forward-looking statements, which speak only as of the date they are made. XBP Europe gives no assurance that either XBP Europe or any of its subsidiaries will achieve its expected results. XBP Europe undertakes no duty to update these forward-looking statements, except as otherwise required by law.

    For more XBP Europe news, commentary, and industry perspectives, visit: https://www.xbpeurope.com/
    And please follow us on social:
    X: https://X.com/XBPEurope
    LinkedIn: https://www.linkedin.com/company/xbp-europe/

    The information posted on XBP Europe’s website and/or via its social media accounts may be deemed material to investors. Accordingly, investors, media and others interested in XBP Europe should monitor XBP Europe’s website and its social media accounts in addition to XBP Europe’s press releases, SEC filings and public conference calls and webcasts.

    Investor and/or Media Contacts:
    investors@xbpeurope.com

    The MIL Network –

  • MIL-OSI: FLYR Appoints Steven Berns as Chief Financial and Administrative Officer

    Source: GlobeNewswire (MIL-OSI)

    SAN FRANCISCO, Feb. 20, 2025 (GLOBE NEWSWIRE) — FLYR, the technology company that unlocks freedom to innovate for the travel industry, today announced the appointment of Steven Berns as its new Chief Financial and Administrative Officer. Steven joins FLYR with extensive experience as a finance and operating executive driving profitable growth at companies across multiple sectors.

    Steven comes to FLYR with proven capabilities in leading transformative financial and operational initiatives including as CFO & COO at TripleLift and Shutterstock. His prior experience includes executive leadership roles at Revlon, Tribune Publishing and Tribune Media, each of which he led through successful IPOs. Steven currently serves on the Board of Directors of Tradeweb Markets Inc. (NASDAQ: TW), where he is the Chair of the Audit Committee. At FLYR, Steven will bring his wealth of experience to support FLYR’s mission to free airlines from legacy technology and bring more innovation into the travel industry.

    “We’re thrilled to have Steven join the team,” said Alex Mans, Founder and CEO of FLYR. “His extensive cross-industry expertise will be instrumental in accelerating our growth trajectory. Steven’s proven track record in improving operational efficiency and effectiveness comes at a pivotal moment, as we work to revolutionize how airlines and travelers interact with technology.”

    “The travel industry is at a pivotal moment of transformation, and FLYR is uniquely positioned to lead this change,” said Steven Berns, CFO and CAO of FLYR. “I’m proud to join a team of innovators combining cutting-edge technology with a clear vision for revolutionizing how airlines operate. I look forward to building upon FLYR’s strong financial foundation so we can continue to unlock the freedom to innovate within the travel industry.”

    At FLYR, Steven will oversee FLYR’s operational growth and enhance internal efficiencies as the company scales. For more information on FLYR, please visit FLYR.com.

    About FLYR
    FLYR is a technology company that unlocks freedom to innovate for the travel industry – eliminating legacy constraints to enable real-time decision making and create the experiences travelers seek. Cloud native, FLYR leverages technologies including deep learning, an advanced form of AI. FLYR is helping airlines and hospitality businesses around the globe improve revenue performance, reduce cost, and modernize their e-commerce experience. Learn more at flyr.com.

    A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/3842ef41-925a-4e29-8bbe-d4b4aaef077c

    The MIL Network –

  • MIL-OSI China: Mainland branches of HK, Macao banks to offer foreign currency bank card services

    Source: People’s Republic of China – State Council News

    Mainland branches of HK, Macao banks to offer foreign currency bank card services

    BEIJING, Feb. 20 — The National Financial Regulatory Administration on Thursday authorized mainland branches of Hong Kong and Macao banks to offer foreign currency bank card services.

    The bank branches are also permitted to provide RMB card services for clients other than citizens of the mainland.

    These policies will take effect on March 1.

    The move aims to promote high-standard opening-up, boost financial support for the Guangdong-Hong Kong-Macao Greater Bay Area, deepen financial cooperation between the mainland and Hong Kong and Macao, and improve the quality and efficiency of financial services provided by the mainland branches of Hong Kong and Macao banks.

    MIL OSI China News –

  • MIL-OSI Asia-Pac: LegCo Subcommittee on Issues Relating to the Development of Web3 and Virtual Assets visits Consensus Hong Kong (with photos)

    Source: Hong Kong Government special administrative region

    The following is issued on behalf of the Legislative Council Secretariat:

         The Legislative Council (LegCo) Subcommittee on Issues Relating to the Development of Web3 and Virtual Assets visited Consensus Hong Kong at Hong Kong Conventional and Exhibition Centre in Wan Chai today (February 20) to gain insight into the international meeting and exhibition about the cryptocurrency, blockchain and Web 3 industries, which is being held for the first time in Hong Kong.

         Members received a briefing by representatives of Consensus Hong Kong on the features of various stages and events, as well as the reasons for choosing Hong Kong as the host city. Members noted that Consensus Hong Kong brings together leaders, investors and startups from the global cryptocurrency, blockchain, Web3 and fintech industries. Through keynote speeches, summits, and investor matchmaking activities, the participants explore popular topics and future trends related to virtual assets, open currencies, and artificial intelligence.

         Members then learned the competitions of Web3 startups and innovative blockchain solutions, noting that these contests allow promising startups to showcase their proposals and inspire innovative ideas. During the visit, Members exchanged views with representatives of Consensus Hong Kong on driving the growth of the Web3 ecosystem, developing the crypto economy, and exploring business opportunities. Members also opined that the successful hosting of the event in Hong Kong is a manifestation of global confidence in Hong Kong’s development in the Web3 sector. It also facilitates local businesses to expand their networks, and connect with the world.

         Members who participated in the visit were the Chairman of the Subcommittee, Dr Johnny Ng, Subcommittee members Mr Ma Fung-kwok and Ms Carmen Kan.

    MIL OSI Asia Pacific News –

  • MIL-OSI Asia-Pac: Prime Minister Internship scheme (PMIS) once again open for applications with the launch of Round 2 of Pilot Phase

    Source: Government of India

    Posted On: 20 FEB 2025 1:44PM by PIB Delhi

    The Prime Minister Internship Scheme(PMIS) is once again open for applications with the launch of Round 2 of the pilot phase.  After more than 6 lakh applications in Round 1, Round 2 offers more than 1 lakh+ internship opportunities in top companies across more than 730 districts in India.

    More than 300 top companies across sectors including Oil, Gas & Energy; Banking and Financial Services, Travel & Hospitality, Automotive, Metals & Mining Manufacturing & Industrial, Fast-Moving Consumer Goods (FMCG) and many more have offered internship opportunities to Indian youth to gain real-world experience, network with professionals and enhance their employability.

    Eligible youth can explore and select internships based on their preferred district, state, sector, area and filter internships within a customisable radius from their specified current address. In round 2, each applicant can apply to up to 3 internships until the application deadline.

    For round 2, more than 70 IEC events are being conducted across India in districts with maximum number of internship opportunities in colleges, universities ITIs, Rozgar melas etc., based on the kind of qualifications required for these internships. Furthermore, national level digital campaigns are underway through multiple platforms as well as influencers based on concentration of opportunities and relevance to youth.

    Eligible youth can apply here: https://pminternship.mca.gov.in/

    The Prime Minister Internship Scheme – spearheaded by the Ministry of Corporate Affairs – is designed to harness the potential of India’s youth population by providing them with 12 month paid internships in top companies of India.

    The scheme targets individuals aged 21 to 24 who are currently not enrolled in any full-time academic program or employment, offering them a unique chance to kick-start their careers.

    Each intern will be supported with monthly financial assistance of ₹5,000, supplemented by one-time financial assistance of ₹6,000. Each internship will be a combination of relevant training and professional experience (at least six months) to ensure that candidates learn and can also apply their skills in real-world settings.

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    MIL OSI Asia Pacific News –

  • MIL-OSI Asia-Pac: Ombudsman announces results of direct investigation operation into Government’s arrangements for recovery, refurbishment and reallocation of public rental housing flats (with photos)

    Source: Hong Kong Government special administrative region

    The following is issued on behalf of the Office of The Ombudsman:

         The Ombudsman, Mr Jack Chan, today (February 20) announced the completion of a direct investigation operation into the Government’s arrangements for the recovery, refurbishment and reallocation of public rental housing (PRH) flats, and has made 19 major recommendations for improvements to the Housing Department (HD) and the Hong Kong Housing Society (HKHS).

         The current-term Government has been making every effort to increase the PRH supply, and its efforts are delivering tangible results. In addition, the HD and the HKHS recover a number of PRH flats each year for various reasons such as tenants purchasing private flats in the market or subsidised sale flats, moving into residential care homes, passing away or voluntarily surrendering their flat for other reasons. In the past five years (note), the HD and the HKHS have recovered 15 700 and 1 100 PRH flats respectively on average each year. Efficient recovery and refurbishment of PRH flats is essential to speed up the reallocation of flats, thereby shortening the waiting time for public housing.

         Mr Chan said, “The current-term Government has diligently identified sites and built housing estates to solve the pressing housing problem. It endeavours to enhance quantity, speed, efficiency and quality, and adopts a proactive and positive attitude in enhancing the sense of happiness of the public. In combating abuse of public housing, the Government has spared no effort and implemented enhancement measures. Its efforts are delivering tangible results.

         “Subsequent to the launch of our direct investigation operation, the HD proactively introduced several enhancement measures to expedite the process of refurbishing recovered flats for reallocation to PRH applicants. Starting from November 2024, relevant measures have been put into practice in phases. For instance, the HD has set up a mechanism to provide contractors with information about the housing estates where there will be vacant flats in advance so that the contractors can make prior arrangements for the materials and manpower required for refurbishment works. The Department will also request that contractors give priority to refurbishment of vacant flats accepted by prospective tenants. It has also revised its Vacant Flat Refurbishment Allowance Scheme to extend the coverage to all vacant units regardless of the age of the property so that those who choose to join the scheme can move in as soon as possible. We consider such efforts of the HD laudable. In our view, the HD and the HKHS should take further steps forward to make reforms in recovery, refurbishment and reallocation arrangements to achieve a quicker turnover of PRH flats and ensure optimal utilisation of precious public housing resources.”

         The Office of The Ombudsman (the Office) has made 19 recommendations for improvements to the HD and the HKHS regarding exploring improvement of workflows to speeding up recovery of PRH flats, improving the procedures for handling items left in PRH flats by previous tenants, enhancing arrangements for refurbishment and reallocation of PRH flats, and reviewing relevant measures. The Office is pleased to learn that the HD and the HKHS have generally accepted all the Ombudsman’s recommendations for improvement.

         The Ombudsman’s major recommendations for improvement to the HD are: 

    improve the procedures for recovering the flats of deceased singleton tenants and revise the relevant guidelines;
    strengthen staff training on recovery of flats of deceased singleton tenants to enhance staff’s understanding of the revised workflow;
    explore how the procedures for handling cases involving tenants’ failure to vacate and surrender their flat upon expiry of the deadline prescribed in the Notice-to-Quit can be improved;
    maintain close communication with members of the Appeal Panel (Housing) and give due consideration to various proposals for improvement to facilitate the smooth decision-making process of the Appeal Tribunal;
    explore the setting of targets for reallocation arrangements after recovery of PRH flats where feasible;
    enhance the computer system to add functions of data collection, statistics compilation and analysis to improve the efficiency of refurbishment and reallocation of recovered PRH flats; and
    improve communication with tenants and their emergency contact persons, requesting that tenants provide an email address to facilitate communication.

         The major recommendations for improvement made to the HKHS are:
     

    make reference to the HD’s procedures for recovering the flats of deceased singleton tenants and revise the relevant guidelines; 
    arrange staff training after revising the guidelines on handling the tenancy matters of deceased singleton tenants;
    re-examine the procedures for handling items left in PRH flats by previous tenants;
    to be more proactive and decisive in handling cases of failure to surrender PRH flats;
    explore appropriate revisions of relevant arrangements to shorten the time frame for issuance of refurbishment work orders after recovery of a flat to less than 14 days to enhance efficiency and create a monitoring mechanism;
    re-examine the process of reallocation of recovered flats and explore setting of targets for reallocation arrangements after recovery of PRH flats where feasible; 
    improve the computer system for statistical analysis to effectively collate information on refurbishments and reallocations of recovered PRH flats for better efficiency;
    review the workflow and standards of refurbishment works of vacant PRH flats to speed up work progress and shorten the refurbishment period;
    consider introducing a scheme similar to the HD’s Vacant Flat Refurbishment Allowance Scheme and study the feasibility;
    consider following the HD’s example in issuing a Letter of Assurance to offer PRH accommodation to tenants who surrender their flat due to admission to residential care homes or imprisonment, when they have housing needs in future; 
    re-examine the arrangements for tenants’ surrender of their PRH flats after acquiring other forms of subsidised housing; and
    request that tenants and their emergency contact persons provide an email address to facilitate communication.

         The full investigation report is available on the website of the Office of The Ombudsman at www.ombudsman.hk for public information.

    Note: HD uses a financial year while HKHS uses a calendar year in compilation of statistics.      

    MIL OSI Asia Pacific News –

  • MIL-OSI Economics: Financial statements of the ECB for 2024

    Source: European Central Bank

    20 February 2025

    • ECB reports loss of €7.9 billion (2023: loss of €1.3 billion)
    • Losses will be offset against future profits

    The European Central Bank’s (ECB’s) financial statements for 2024 show a loss of €7,944 million, which is comparable to the loss of €7,886 million reported in 2023 before the transfer from risk provisions. In 2023 the full release of the provision for financial risks of €6,620 million reduced the loss for that year to €1,266 million, while in 2024 no losses could be covered by this provision as its balance stood at zero. The 2024 loss, like the loss from the previous year, will remain on the ECB’s balance sheet to be offset against future profits. As a result of the loss, there will be no profit distribution to euro area national central banks for 2024.

    The losses come after many years of substantial profits and are the result of policy actions taken by the Eurosystem that were necessary to fulfil its primary mandate of maintaining price stability. These policies required the ECB to expand its balance sheet by purchasing financial assets, mostly with fixed interest rates and long maturities. This was accompanied by a corresponding increase in liabilities, on which the ECB pays interest at variable rates. Thus, increases in the ECB’s key interest rates in 2022 and 2023, which were aimed at combating high inflation in the euro area, resulted in immediate increases in interest expenses on these liabilities, while interest income on the ECB’s assets, in particular on securities purchased under the asset purchase programme (APP) and the pandemic emergency purchase programme (PEPP), did not increase to the same extent.

    The ECB may still incur losses in the coming years. Should this be the case, any such losses are expected to be lower than those incurred in 2023 and 2024. Thereafter, the ECB is expected to return to making profits. In any case, the ECB can operate effectively and fulfil its primary mandate of maintaining price stability regardless of any losses. Its financial strength is further underlined by its capital and its substantial revaluation accounts, which together amounted to €59 billion at the end of 2024, €13 billion higher than at the end of 2023.

    The ECB’s interest income and expenses in 2024 were as follows:

    In 2024, as in 2023, the fact that interest expenses were higher than interest income was mainly driven by the significant interest expense on the ECB’s net TARGET liability. Since this liability was remunerated at the interest rate on the main refinancing operations (MRO rate), the higher average MRO rate of 4.1% in 2024 (2023: 3.8%) resulted in an increase in this expense. The higher average MRO rate also led to increases in the interest income on claims related to the allocation of euro banknotes in circulation and the interest expense payable to the NCBs as remuneration of their claims in respect of foreign reserves transferred to the ECB. The interest income on securities held for monetary policy purposes also increased, mainly on government securities held under the PEPP. The interest income on foreign reserves was higher, largely coming from securities denominated in US dollars.

    Write-downs amounted to €269 million (2023: €38 million) and resulted mainly from the decline in the market value of a number of securities held in the US dollar portfolio and the depreciation of the Japanese yen, which led to a reduction in the value of the related currency holding.

    Total staff costs increased to €844 million (2023: €676 million), mainly owing to the higher costs of post-employment benefits arising from an amendment to the rules governing the ECB’s pension plans in 2024. Other administrative expenses increased to €626 million (2023: €596 million), mainly owing to higher IT spending in relation to the digital transformation, while also reflecting the impact of inflation.

    Supervisory fee income (fees charged to supervised banks to recover expenses incurred by the ECB in the performance of its supervisory tasks) amounted to €681 million (2023: €654 million).

    The total size of the ECB’s balance sheet decreased by €33 billion to €641 billion (2023: €673 billion), mainly reflecting the gradual decline in APP holdings owing to redemptions.

    Consolidated balance sheet of the Eurosystem

    At the end of 2024 the size of the balance sheet of the Eurosystem, which comprises assets and liabilities of the euro area NCBs and the ECB vis-à-vis third parties, stood at €6,428 billion (2023: €6,887 billion). The reduction compared to 2023 was due to the decline in securities held for monetary policy purposes to €4,283 billion (2023: €4,694 billion), mainly owing to redemptions. APP holdings decreased by €353 billion to €2,673 billion, as reinvestment of maturing assets ceased in July 2023, while PEPP holdings decreased by €57 billion to €1,609 billion, with maturing assets being only partially reinvested in the second half of 2024. Furthermore, Eurosystem lending operations decreased to €34 billion (2023: €410 billion), largely as a result of the maturing of the third series of targeted longer-term refinancing operations (TLTRO III). The resulting decline was partially offset by the increase in the euro-equivalent value of the Eurosystem’s holdings of gold to €872 billion (2023: €649 billion) owing to the rise in the market price of gold in euro terms.

    For media queries, please contact William Lelieveldt, tel.: +49 69 1344 7316.

    Notes

    MIL OSI Economics –

  • MIL-OSI NGOs: The Right To Seek Asylum Does Not Exist at U.S.-Mexico Border

    Source: Amnesty International –

    Amnesty International has found that the right to seek asylum in the United States is non-existent at the U.S.-Mexico border, in violation of U.S. human rights national and international obligations. The organization outlined its findings in a new briefing released today, which documents the treatment of people seeking safety in the United States interviewed between February 3-9 at the border.

    These alarming findings stem from the Trump administration’s executive actions and the increased militarization of the border by the Mexican government.

    The briefing, Lives in Limbo: Devastating Impacts of Trump’s Migration and Asylum Policies, outlines the complete gutting of the right to seek asylum by the U.S. government at the U.S.-Mexico border, with virtually no way for people seeking safety to go through the legal process. According to U.S. immigration law, asylum seekers must apply at a port of entry.

    The organization concluded in its research findings that while the mandatory use of the CBP One App to seek asylum was unlawful, the end of its usage has ultimately left tens of thousands of people stranded in Mexico with nowhere to go – even unaccompanied minors are stuck without a way to seek safety.

    Without CPB One appointments, people are trapped in risky and precarious situations on the southern side of the border, which is especially dangerous for Mexican asylum seekers. Amnesty conducted interviews with dozens of people experiencing the impact of this change in border policies and those testimonies are provided in the briefing.

    Along with targeted ICE enforcement across the U.S., the Trump administration has dismantled the U.S. Refugee Admissions Program and ended rights enshrined in the U.S. Constitution like birthright citizenship, along with other anticipated actions rooted in racism and white supremacy.

    “The Trump administration has made the U.S.-Mexico border a zone that is overtly hostile to human rights and displays utter disregard for the humanity and dignity of people on the move,” said Amy Fischer, Director of the Refugee and Migrant Rights Program at Amnesty International USA. “The right to seek asylum simply does not exist at the border, and vulnerable people are stranded with border organizations—who themselves could now be subject to retaliation and criminalization from the U.S. government— struggling to prevent an even bigger humanitarian disaster.”

    The Trump administration has made the U.S.-Mexico border a zone that is overtly hostile to human rights and displays utter disregard for the humanity and dignity of people on the move

    -Amy Fischer, Director of the Refugee and Migrant Rights Program at Amnesty International

    This timely research comes within the broader context of the Trump administration’s stripping of funding for crucial humanitarian organizations working at the border that received money from USAID and other government programs whose funding is now frozen.

    Humanitarian and immigration organizations that operate on the border to provide shelter, legal orientation, and humanitarian care to people seeking safety are also now facing a crisis as they are left with no financial means to continue to operate and carry on their life-saving work.

    “Shelters at the border struggle to tell children that they have no options left,” added Mary Kapron, Amnesty International’s Researcher. “Many of the kids barely understand what is happening to them in the first place. And those who do are left with an impossible decision: either go back to where they fled and understand that they may not survive or put their lives in the hands of traffickers.”

    Shelters at the border struggle to tell children that they have no options left. Many of the kids barely understand what is happening to them in the first place. And those who do are left with an impossible decision: either go back to where they fled and understand that they may not survive or put their lives in the hands of traffickers

    -Mary Kapron, Amnesty International’s Researcher

    In Mexico, the government deepened the militarization at the border by sending 10,000 new members of the Mexican military, fueling a climate of fear among people seeking safety and leading to mass detention and deportation.

    “The fact that it is now impossible to seek asylum at the U.S.-Mexico border places Mexicans seeking safety at particular risk,” said Mónica Oehler Toca, Amnesty International’s Researcher. “Unlike individuals of other nationalities, they are fleeing persecution in Mexico and now have no way of seeking international protection in the United States.”

    Amnesty International continues to call on the United States to urgently adopt solutions that abide by human rights obligations and to stop playing politics and stoking fear with people’s lives to facilitate the adoption of increasingly draconian border and immigration policies that violate the human rights of people seeking safety, fuel violence against Black, brown, and Indigenous communities, and exacerbate the dysfunction of an already-beleaguered immigration system. 

    The fact that it is now impossible to seek asylum at the U.S.-Mexico border places Mexicans seeking safety at particular risk. Unlike individuals of other nationalities, they are fleeing persecution in Mexico and now have no way of seeking international protection in the United States

    -Mónica Oehler Toca, Amnesty International’s Researcher

    The organization also calls on the Mexican government to cease collaboration with the U.S. on harmful immigration policies and immediately implement measures to ensure the safety and security of asylum seekers transiting through Mexico.

    Finally, Amnesty International will continue to document human rights abuses, advocate for the human rights of all immigrants and people seeking safety in the United States and hold U.S. and Mexican government officials accountable.

    MIL OSI NGO –

  • MIL-OSI: CoreCard Corporation Reports Fourth Quarter and Full Year 2024 Results

    Source: GlobeNewswire (MIL-OSI)

    NORCROSS, Ga., Feb. 20, 2025 (GLOBE NEWSWIRE) — CoreCard Corporation (NYSE: CCRD) (“CoreCard” or “the Company”), the leading provider of innovative credit technology solutions and processing services to the financial technology and services market, announced today its financial results for the quarter and full year ended December 31, 2024.

    “Overall revenue of $14.8 million in the fourth quarter was above our expectations due to unexpected license revenue in the quarter and in-line with our expectations excluding the license revenue. Services revenue during the quarter was in-line with our expectations, reflecting continued year-over-year growth in processing and maintenance revenue of 11%. Additionally, our full year processing and maintenance revenue grew by 7% compared to full year 2023,” said Leland Strange, CEO of CoreCard Corporation. “We continue to invest in our platform and processing capabilities, which are showing encouraging results. CoreCard is a best-in-class platform that is extremely well positioned to capture the growing demand for next-generation card management platforms by large and complex modern card issuers.”

    “For the first quarter of 2025, we expect total revenue between $14.4 and $15.0 million and earnings per share between $0.15 and $0.19. For fiscal year 2025, we reaffirm the guidance set forth last quarter and continue to expect total revenue between $60 million and $64 million and earnings per share between $0.88 and $0.94. We expect full-year 2025 revenue growth, excluding our largest customer, to be 30-40%,” said Matt White, CFO of CoreCard Corporation.

    Financial Highlights for the three and twelve months ended December 31, 2024

    Total revenue in the three-month period ended December 31, 2024, was $14.8 million which represents an increase of 22% compared to the comparable period in 2023. Revenue of $57.4 million for full year 2024 was up 2% from full year 2023.

    In the following table, revenue is disaggregated by type of revenue for the three and twelve months ended December 31, 2024 and 2023:

        Three Months Ended   Twelve Months Ended
        December 31,   December 31,
    (in thousands)   2024
    		 2023
    		   2024
    		 2023
    License   $ 1,420   $ —     $ 2,840   $ 1,794  
    Professional services     6,210     6,111       26,015     28,237  
    Processing and maintenance     6,122     5,506       24,034     22,439  
    Third party     1,071     540       4,510     3,534  
    Total   $ 14,823   $ 12,157     $ 57,399   $ 56,004  

    Income from operations was $2.1 million for the fourth quarter of 2024 compared to income from operations of $0.4 million for the comparable period in 2023. Full year 2024 income from operations was $6.5 million compared to $5.3 million in the comparable prior year.

    Net income was $1.9 million for the fourth quarter compared to net income of $0.5 million in the comparable prior year quarter. Full year 2024 net income was $5.4 million compared to $3.4 million in the comparable prior year.

    Earnings per diluted share was $0.24 for the fourth quarter compared to $0.06 in the comparable prior year quarter. Full year 2024 earnings per diluted share was $0.67 compared to $0.40 in the comparable prior year.

    Adjusted earnings per diluted share was $0.28 for the fourth quarter compared to $0.06 in the comparable prior year quarter. Full year adjusted earnings per diluted share was $0.79 compared to $0.53 in the comparable prior year.

    Adjusted EBITDA was $3.3 million for the fourth quarter compared to $1.6 million in the comparable prior year quarter. Full year adjusted EBITDA was $11.4 million compared to $11.7 million in the comparable prior year.

    Use of Non-GAAP Financial Measures

    Reconciliations of non-GAAP financial measures to the most directly comparable financial results as determined in accordance with GAAP are included at the end of this press release following the accompanying financial data. For a description of these non-GAAP financial measures, including the reasons management uses each measure, please see the section of the tables titled “Information Regarding Non-GAAP Financial Measures”.

    Investor Conference Call

    The company is holding an investor conference call today, February 20, 2025, at 11 A.M. Eastern Time. Interested investors are invited to attend the conference call by accessing the webcast at https://www.webcast-eqs.com/register/corecard022025/en or by dialing 1-877-407-0890. As part of the conference call CoreCard will be conducting a question-and-answer session where participants are invited to email their questions to questions@corecard.com prior to the call. A transcript of the call will be posted on the company’s website at investors.corecard.com as soon as available after the call.

    The company will file its Form 10-K for the period ended December 31, 2024, with the Securities and Exchange Commission in early March. For additional information about reported results, investors will be able to access the Form 10-K on the company’s website at investors.corecard.com or on the SEC website, www.sec.gov.

    Use of Non-GAAP Financial Measures

    Reconciliations of non-GAAP financial measures to the most directly comparable financial results as determined in accordance with GAAP are included at the end of this press release following the accompanying financial data. For a description of these non-GAAP financial measures, including the reasons management uses each measure, please see the section below titled “Information Regarding Non-GAAP Financial Measures”.

    About CoreCard Corporation

    CoreCard Corporation (NYSE: CCRD) provides the gold standard card issuing platform built for the future of global transactions in an embedded digital world. Dedicated to continual technological innovation in the ever-evolving payments industry backed by decades of deep expertise in credit card offerings, CoreCard helps customers conceptualize, implement, and manage all aspects of their issuing card programs. Keenly focused on steady, sustainable growth, CoreCard has earned the trust of some of the largest companies and financial institutions in the world, providing truly real-time transactions via their proven, reliable platform operating on private on-premise and leading cloud technology infrastructure.

    Forward-Looking Statements

    The forward-looking statements in this press release are made under the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. The Company’s actual results could differ materially from those indicated by the forward-looking statements because of various risks and uncertainties including those listed in Item 1A of the Company’s Annual Report on Form 10-K and in the Company’s other filings and reports with the Securities and Exchange Commission. All of the risks and uncertainties are beyond the ability of the Company to control, and in many cases, the Company cannot predict the risks and uncertainties that could cause its actual results to differ materially from those indicated by the forward-looking statements. When used in this press release, the words “believes,” “plans,” “expects,” “will,” “intends,” “continue,” “outlook,” “progressing,” and “anticipates” and similar expressions as they relate to the Company or its management are intended to identify forward-looking statements. Except as required by law, the Company is not obligated to publicly release any revisions to these forward-looking statements to reflect the events or circumstances after the date of this press release or to reflect the occurrence of unanticipated events.

    CoreCard Corporation
    CONSOLIDATED STATEMENTS OF OPERATIONS
    (unaudited, in thousands, except share and per share amounts)
     
      Three Months Ended
    December 31,    		   Twelve Months Ended
    December 31,
        2024     2023       2024     2023  
    Revenue                          
    Services $ 13,403   $ 12,157     $ 54,559   $ 54,210  
    Products   1,420     —       2,840     1,794  
    Total net revenue   14,823     12,157       57,399     56,004  
    Cost of revenue        
    Services   8,182     8,191       35,770     36,571  
    Products   —     —       —     —  
    Total cost of revenue   8,182     8,191       35,770     36,571  
    Expenses                          
    Marketing   98     73       407     310  
    General and administrative   1,513     1,114       5,769     5,334  
    Development   2,953     2,384       8,914     8,478  
    Income from operations   2,077     395       6,539     5,311  
    Investment loss   (12 )   (38 )     (427 )   (1,579 )
    Other income   147     272       792     765  
    Income before income taxes   2,212     629       6,904     4,497  
    Income taxes   286     143       1,456     1,102  
    Net income $ 1,926   $ 486     $ 5,448   $ 3,395  
    Earnings per share:                          
    Basic $ 0.25   $ 0.06     $ 0.68   $ 0.40  
    Diluted $ 0.24   $ 0.06     $ 0.67   $ 0.40  
    Basic weighted average common shares outstanding   7,830,266     8,374,606       8,027,077     8,457,714  
    Diluted weighted average common shares outstanding   8,035,936     8,388,927       8,146,394     8,474,123  
    CoreCard Corporation
    CONSOLIDATED BALANCE SHEETS
    (in thousands, except share and per share amounts)
     
    As of December 31,   2024     2023  
    ASSETS    
    Current assets:    
    Cash and cash equivalents $ 19,481   $ 26,918  
    Marketable securities   5,410     5,230  
    Accounts receivable, net   10,235     7,536  
    Other current assets   5,048     4,805  
    Total current assets   40,174     44,489  
    Investments   3,776     4,062  
    Property and equipment, at cost less accumulated depreciation   12,282     11,319  
    Other long-term assets   6,106     3,956  
    Total assets $ 62,338   $ 63,826  

    LIABILITIES AND STOCKHOLDERS’ EQUITY

    		        
    Current liabilities:        
    Accounts payable $ 823   $ 1,557  
    Deferred revenue, current portion   2,033     2,310  
    Accrued payroll   2,856     2,172  
    Accrued expenses   723     971  
    Other current liabilities   2,017     2,530  
    Total current liabilities   8,452     9,540  
    Deferred revenue, net of current portion   118     265  
    Other long-term liabilities   255     196  
    Long-term lease obligation   1,816     1,121  
    Total noncurrent liabilities   2,189     1,582  
    Stockholders’ equity:        
    Common stock, $0.01 par value: Authorized shares – 20,000,000;        
    Issued shares – 9,026,940 and 9,016,140 at December 31, 2024 and 2023, respectively;        
    Outstanding shares – 7,786,679 and 8,295,408 at December 31, 2024 and 2023, respectively   91     90  
    Additional paid-in capital   17,928     16,621  
    Treasury stock, 1,240,261 and 720,732 shares as of December 31, 2024 and 2023, respectively, at cost   (27,997 )   (20,359 )
    Accumulated other comprehensive income (loss)   (93 )   32  
    Accumulated income   61,768     56,320  
    Total stockholders’ equity   51,697     52,704  
    Total liabilities and stockholders’ equity $ 62,338   $ 63,826  

    For further information, call
    Matt White, 770-564-5504 or
    email to matt@corecard.com

    Reconciliation of GAAP to NON-GAAP Measures

    Information Regarding Non-GAAP Measures

    In addition to the financial measures prepared in accordance with generally accepted accounting principles in the United States (“GAAP”), this press release contains certain non-GAAP financial measures. CoreCard considers Adjusted EBITDA and Adjusted earnings per diluted share (“Adjusted EPS”) as supplemental measures of the company’s performance that is not required by, nor presented in accordance with GAAP.

    We define Adjusted EBITDA as net income adjusted to exclude depreciation and amortization; share-based compensation expense; income tax expense (benefit); investment income (loss); and other income (expense), net. We believe that Adjusted EBITDA is an important measure of operating performance because it allows management and our board of directors to evaluate and compare our core operating results from period to period.

    We define Adjusted EPS as diluted earnings per share adjusted to exclude the impact of share-based compensation expense and non-operating investment gains or losses. We believe that Adjusted EPS is an important measure of operating performance because it allows management and our board of directors to evaluate and compare our core operating results from period to period.

    Adjusted EPS and Adjusted EBITDA should not be considered in isolation, or construed as an alternative to net income, or any other performance measures derived in accordance with GAAP, or as an alternative to cash flow from operating activities or as a measure of the company’s liquidity. In addition, other companies may calculate Adjusted EPS and Adjusted EBITDA differently than CoreCard, which limits its usefulness in comparing CoreCard’s financial results with those of other companies.

    The following table shows CoreCard’s GAAP results reconciled to non-GAAP results included in this release:

        Three Months Ended
    		   Twelve Months Ended
        December 31,
    		   December 31,
    (in thousands)   2024
    		   2023
    		   2024
    		     2023
    GAAP net income   $ 1,926     $ 486     $ 5,448     $ 3,395  
    Investment loss     —       —       —       1,000  
    Share-based compensation     449       —       1,308       150  
    Income tax benefit     (112 )     —       (327 )     (38 )
    Adjusted net income   $ 2,263     $ 486     $ 6,429     $ 4,507  
    Adjusted Diluted EPS   $ 0.28     $ 0.06     $ 0.79       0.53  
    Weighted-average shares     8,036       8,389       8,146       8,474  
        Three Months Ended
    		   Twelve Months Ended
        December 31,
    		   December 31,
    (in thousands)   2024
    		   2023
    		   2024
    		   2023
    GAAP net income   $ 1,926     $ 486     $ 5,448     $ 3,395  
    Depreciation and amortization     790       1,245       3,566       6,256  
    Share-based compensation     449       —       1,308       150  
    Investment loss     12       38       427       1,579  
    Other income, net     (147 )     (272 )     (792 )     (765 )
    Income tax expense     286       143       1,456       1,102  
    Adjusted EBITDA   $ 3,316     $ 1,640     $ 11,413     $ 11,717  
    Total Revenue   $ 14,823     $ 12,157     $  57,399     $ 56,004  
    Adjusted EBITDA Margin     22.4 %     13.5 %     19.9 %     20.9 %

    The MIL Network –

  • MIL-OSI: NowVertical Completes Debt-to-Equity Conversions

    Source: GlobeNewswire (MIL-OSI)

    TORONTO, Feb. 20, 2025 (GLOBE NEWSWIRE) — NowVertical Group Inc. (TSXV: NOW) (“NOW” or the “Company”) announces that the Company has settled an aggregate of CAD$3.025 million in respect of certain historical obligations of the Company through the issuance of 9,168,418 Class A subordinate voting shares in the capital of the Company (the “Subordinate Voting Shares”) at a deemed issuance price of $0.33 per Subordinate Voting Share.

    CoreBI Settlement

    Further to the Company’s press release dated December 23, 2024, the Company settled an aggregate of US$1,250,000 (CAD$1,792,875.00) through the issuance of 5,432,954 Subordinate Voting Shares to the former owners of CoreBI S.A. and CoreBI S.A.S (the “CoreBI Vendors”) in settlement of certain deferred payments obligations owing to such persons. The Subordinate Voting Shares issuable to the CoreBI Vendors are subject to a contractual lock-up for thirty-six (36) months from the issuance date, with 20% of the Subordinate Voting Shares issued to the CoreBI Vendors being released after twelve (12) months, and 20% released every six (6) months thereafter. Notwithstanding the foregoing, if a CoreBI Vendor is terminated by the Company during the lock-up period, the lock-up will expire six (6) months from the termination date for any remaining Subordinate Voting Shares. In addition, the CoreBI Vendors have agreed to vote in favour of board recommendations for director elections until January 1, 2027 but retain the right to abstain from voting during this period.

    Acrotrend and Andre Garber Settlement

    Further to the Company’s press release dated January 2, 2025, the Company has settled an aggregate of US$815,000 (CAD$1,172,703.50) through the issuance of 3,553,646 Subordinate Voting Shares to the former owners of Acrotrend Solutions Ltd. (the “Acrotrend Vendors”) The Acrotrend Vendors include Sandeep Mendiratta, NowVertical’s CEO and Shailesh Mallya, Executive Vice President – Solutions and Services, both of whom are key parts of the Company’s core leadership team.

    Further, the Company has settled an aggregate of CAD$60,000 through the issuance of 181,818 Subordinate Voting Shares to Andre Garber, NowVertical’s Chief Development Officer, in respect of an outstanding debt of US$151,200 related to a 2021 cash bonus payable to Mr. Garber. Subject to receipt of TSX Venture Exchange and disinterested shareholder approval which will be sought at the Company’s next annual meeting, the remainder of the outstanding debt owing to Mr. Garber is intended to be settled on the same terms.

    In addition, the Acrotrend Vendors and Andre Garber have agreed to a contractual lock-up for twelve (12) months from the issuance date.

    All of the Subordinate Voting Shares issued to the CoreBI Vendors, the Acrotrend Vendors and Andre Garber are subject to a statutory four month hold period.

    Early Warning Disclosure

    Prior to completion of the debt settlement transactions described in this press release, Sandeep Mendiratta beneficially owned or had control or direction over, directly or indirectly, 8,734,742 Subordinate Voting Shares, representing approximately 10.3% of the currently issued and outstanding Subordinate Voting Shares. Following completion of the debt settlement transactions contemplated in this press release, Sandeep Mendiratta will own or have control or direction over, directly or indirectly, 10,511,565 Subordinate Voting Shares which will represent approximately 11.8% of the issued and outstanding Subordinate Voting Shares.

    The acquisition of the Subordinate Voting Shares by Sandeep Mendiratta was completed by way of issuance from treasury for investment purposes in connection with the debt settlement. Depending on market conditions, Sandeep Mendiratta may, from time to time, acquire additional securities, dispose of some or all of the existing or additional securities or may continue to hold the securities of the NowVertical.

    This press release is being issued pursuant to the requirements of National Instrument 62-104 – Take-Over Bids and Issuer Bids, which also requires an early warning report to be filed containing additional information with respect to the foregoing matters. A copy of the early warning report will be made available on SEDAR+ under NowVertical’s issuer profile at www.sedarplus.com. For further information and to obtain a copy of the early warning report.

    To obtain a copy of the early warning report, please contact Andre Garber, Corporate Secretary of NowVertical via email at IR@nowvertical.com or at its head office of 545 King Street West, Toronto, Ontario, M5V 1M1.

    The completion of this debt-to-equity conversion reinforces NowVertical’s commitment to leadership alignment and financial discipline, ensuring management remains invested in the company’s growth while enhancing cash flow flexibility to drive future opportunities.

    About NowVertical Group Inc.

    The Company is a global data and analytics company which helps clients transform data into tangible business value with AI, fast. Offering a comprehensive suite of solutions and services the Company enables clients to quickly harness the full potential of their data, driving measurable outcomes and accelerating potential return on investment. Enterprises optimize decision-making, improve operational efficiency, and unlock long-term value from their data using the Company’s AI-Infused first party and third-party technologies. NowVertical is growing organically and through strategic acquisitions. For further details about NowVertical, please visit www.nowvertical.com.

    Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

    For further information, please contact:
    Andre Garber, CDO
    IR@nowvertical.com
    T: +1(647)947-0223

    Forward-Looking Statements

    This news release contains forward-looking information and forward-looking information within the meaning of applicable Canadian securities laws (together “forward-looking statements“), including, the alignment of the Company’s leadership and shareholders, and the associated results of the transactions contemplated in this press release on NowVertical’s business, finances and operations. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable by management, are inherently subject to significant business, economic and competitive uncertainties, and contingencies, certain of which are unknown. Forward-looking statements generally can be identified by the use of forward-looking words such as “may”, “should”, “will”, “could”, “intend”, “estimate”, “plan”, “anticipate”, “expect”, “believe” or “continue”, or the negative thereof or similar variations. Forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause future results, performance, or achievements to be materially different from the estimated future results, performance or achievements expressed or implied by the forward-looking statements and the forward-looking statements are not guarantees of future performance. Forward-looking statements are qualified in their entirety by inherent risks and uncertainties, including: adverse market conditions; risks inherent in the data analytics and artificial intelligence sectors in general; regulatory and legislative changes; that future results may vary from historical results; inability to obtain any requisite future financing on suitable terms; any inability to realize the expected benefits and synergies of acquisitions or dispositions; that market competition may affect the business, results and financial condition of the Company and other risk factors identified in documents filed by the Company under its profile at www.sedarplus.com, including the Company’s management’s discussion and analysis for the year ended December 31, 2023. Further, these forward-looking statements are made as of the date of this news release and, except as expressly required by applicable law, the Company assumes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.

    The MIL Network –

  • MIL-OSI: Purpose Investments Expands Yield Shares Lineup with Seven New ETFs, Offering Enhanced Income Opportunities

    Source: GlobeNewswire (MIL-OSI)

    TORONTO, Feb. 20, 2025 (GLOBE NEWSWIRE) — Purpose Investments Inc. (“Purpose”) is excited to announce the addition of seven new ETFs to its industry-leading Yield Shares Suite – the world’s first yield-focused single-stock ETFs designed to provide investors with the long-term growth potential and enhanced* monthly yield from their favourite stock. Among the new additions is the Tech Innovators Yield Shares Purpose ETF (Ticker: YMAG), which brings together all the Mag7 companies along with Broadcom in a one-ticket solution. These new ETFs (described in the table below) begin trading on Cboe Canada today.

    Yield Shares ETF Ticker Underlying Company
    Costco (COST) Yield Shares Purpose ETF YCST Costco
    Palantir (PLTR) Yield Shares Purpose ETF YPLT Palantir
    UnitedHealth (UNH) Yield Shares Purpose ETF YUNH UnitedHealth Group
    Coinbase (COIN) Yield Shares Purpose ETF YCON Coinbase
    Netflix (NFLX) Yield Shares Purpose ETF YNET Netflix
    Broadcom (AVGO) Yield Shares Purpose ETF YAVG Broadcom
    Tech Innovators Yield Shares Purpose ETF YMAG Broadcom, Alphabet, Tesla, Meta, Microsoft, Amazon, Apple, and NVIDIA


    A Smarter Approach to Income and Growth

    Since launching in 2022, Purpose Yield Shares has established itself as a leading solution for investors seeking monthly income while maintaining exposure to leading global companies. These innovative ETFs generate tax-efficient, enhanced monthly distributions by investing directly in the underlying stock and employing a covered call strategy with moderate leverage – delivering a unique balance of income and growth.

    “The Yield Shares lineup is committed to giving investors access to high-quality companies with strong fundamentals and long-term growth potential. With these new ETFs, investors can tap into market leaders at the forefront of innovation and economic progress – all while earning enhanced monthly income,” said Nick Mersch, Yield Shares portfolio manager. “From technology and consumer staples to financial services and healthcare, our Yield Shares suite offers a powerful combination of income and growth, allowing investors to participate in the success of industry leaders.”

    Key Benefits

    • Monthly Income: Investors receive an enhanced monthly distribution while maintaining exposure to the growth of the underlying stock.
    • Growth Potential: Participate in the long-term growth of companies like Costco or Netflix, two powerhouse brands redefining consumer spending and media consumption.
    • Lower Volatility: A built-in options strategy helps cushion against stock price declines.
    • Tax Efficiency: The covered call strategy aims to generate tax-efficient income.

    “These new offerings are more than just investment products – they reinforce our belief that Yield Shares represent a distinct asset class, uniquely designed to help investors achieve their financial goals while complementing their existing portfolios,” said Yuan Gao, Vice President, Product. “This expansion reflects Purpose’s commitment to evolving with investor needs and navigating an ever-changing market landscape.”

    Not Your Typical Yield Shares ETF: A Bold New Offering

    The Tech Innovators Yield Shares Purpose ETF (Ticker: YMAG) offers investors a one-ticket solution for exposure to a powerhouse group of technology and innovation leaders while generating monthly income. Known as “BATMMAAN,” this elite group – Broadcom, Alphabet, Tesla, Meta, Microsoft, Amazon, Apple, and NVIDIA – represents the Nasdaq’s trillion-dollar market cap club, shaping the future of AI, cloud computing, digital services, and next-generation infrastructure.

    “The Tech Innovators Yield Shares is an exciting evolution of our suite, bringing together industry giants with a sophisticated strategy that allows investors to participate in their growth while generating enhanced, diversified income. This powerful blend of innovation and yield is designed to meet the needs of today’s investors,” said Mersch.

    To view the full suite of Yield Shares ETFs, please visit our suite page.

    About Purpose Investments

    Purpose Investments is an asset management company with over $23 billion in assets under management. Purpose Investments has an unrelenting focus on client-centric innovation and offers a range of managed and quantitative investment products. Purpose Investments is led by well-known entrepreneur Som Seif and is a division of Purpose Unlimited, an independent technology-driven financial services company.

    For further information, please email us at info@purposeinvest.com

    Media inquiries:
    Keera Hart
    keera.hart@kaiserpartners.com
    905-580-1257

    *Yield Shares funds provide “enhanced” or higher yields in the form of additional monthly distributions compared with the underlying common stock, which pays a relatively lower or no distribution yield.

    Commissions, trailing commissions, management fees, and expenses may all be associated with investment fund investments. Please read the prospectus and other disclosure documents before investing. There can be no assurance that the full amount of your investment in a fund will be returned to you. If the securities are purchased or sold on a stock exchange, you may pay more or receive less than the current net asset value. Investment funds are not guaranteed, their values change frequently, and past performance may not be repeated. Fund distribution levels and frequencies are not guaranteed and may vary at the Purpose Investment’s sole discretion.

    Certain statements in this document may be forward-looking. Forward-looking statements (“FLS”) are statements that are predictive in nature, depend on or refer to future events or conditions, or include words such as “may,” “will,” “should,” “could,” “expect,” “anticipate,” “intend,” “plan,” “believe,” “estimate” or other similar expressions. Statements that look forward in time or include anything other than historical information are subject to risks and uncertainties, and actual results, actions or events could differ materially from those set forth in the FLS. FLS are not guarantees of future performance and are, by their nature, based on numerous assumptions. Although the FLS contained in this document are based upon what Purpose Investments believes to be reasonable assumptions, Purpose Investments cannot assure that actual results will be consistent with these FLS. The reader is cautioned to consider the FLS carefully and not to place undue reliance on the FLS. Unless required by applicable law, it is not undertaken, and specifically disclaimed, that there is any intention or obligation to update or revise FLS, whether as a result of new information, future events or otherwise.

    The MIL Network –

  • MIL-OSI: Codere Online Reports Financial Results for the Fourth Quarter and Full Year 2024

    Source: GlobeNewswire (MIL-OSI)

    • Total revenue was €50.0 mm in Q4 2024, while net gaming revenue1 was €52.6 mm in the period, 5% above Q4 2023.
    • Net income excluding the non-cash variation in fair value of public warrants2 was €6.8 mm in 2024 versus a net loss of €4.0 mm in 2023.
    • Total cash position of €40.5 mm as of December 31, 2024.
    • Providing full year 2025 net gaming revenue outlook of €220-230 mm and Adj. EBITDA3 outlook of €10-15 mm.
    • The Company’s Board of Directors has authorized a share buyback plan of up to $5.0 mm, subject to shareholder approval.

    Madrid, Spain and Tel Aviv, Israel, February 20, 2025 – (GLOBE NEWSWIRE) Codere Online (Nasdaq: CDRO / CDROW, the “Company”), a leading online gaming operator in Spain and Latin America, has released its preliminary unaudited4 financial results for the quarter and year ended December 31, 2024.

    Below are the main financial and operating metrics of the period.

      Quarter ended December 31   Year ended December 31
      2023 2024 Chg. %   2023 2024 Chg. %
                   
    Net Gaming Revenue (EUR mm)1              
    Spain 20.8 22.8 10%   75.7 87.7 16%
    Mexico 25.1 25.1 –   81.7 106.6 30%
    Other 4.2 4.6 10%   14.5 17.3 19%
    Total 50.1 52.6 5%   171.9 211.6 23%
                   
    Avg. Monthly Active Players (000s)5              
    Spain 47.4 48.7 3%   42.3 49.7 17%
    Mexico 59.1 68.9 17%   52.5 64.4 23%
    Other 32.6 29.8 (9%)   33.5 30.8 (8%)
    Total 139.2 147.5 6%   128.3 144.9 13%

    Aviv Sher, CEO of Codere Online, stated, “We delivered another solid quarter, with net gaming revenue reaching €52.6 million, a 5% increase compared to the fourth quarter of 2023. In Mexico, net gaming revenue was flat at €25.1 million, driven by the significant devaluation of the Mexican peso. On a constant currency basis, our growth in Mexico would have been 14%. Meanwhile, Spain continued to perform well, with net gaming revenue rising 10% to €22.8 million.”

    Oscar Iglesias, CFO of Codere Online, commented, “Our strong fourth-quarter performance brought our full-year net gaming revenue to nearly €212 million, 10% above the midpoint of our initial €185-200 million outlook from early 2024. More importantly, we delivered a fourth consecutive quarter of positive Adjusted EBITDA, allowing us to reach €6.4 million for the full year, at the higher end of our outlook of €2.5-7.5 million.”

    Mr. Iglesias added, “We are very encouraged by our 2024 results and our ability to meet our commitment to investors despite the headwinds faced, mostly on the currency front. For 2025, we anticipate net gaming revenue of €220-230 million and Adj. EBITDA of €10-15 million. Also, we are pleased to announce an up to $5.0 million share buyback plan, subject to shareholder approval, which reflects our confidence in the business and future cash flow generation.”

    Recent Events

    Listing Extension from Nasdaq

    • Following a hearing on January 16, 2025, at which the Company presented its plan to regain compliance, the Nasdaq Hearings Panel granted the Company’s request to continue its listing on Nasdaq on February 12, 2025;
    • The extension is subject to the Company filing its 2023 annual report on or before May 12, 2025;
    • The Company continues to work diligently to complete and file its 2023 annual report as soon as possible and expects to do so within the extension period it has been granted.

    Implementation of a Share Buyback Plan

    • The Board of Directors of the Company has authorized (subject to obtaining shareholder approval) the repurchase of up to $5.0 million of the Company’s ordinary shares over a one-year period;
    • A general meeting of shareholders will be convened today and held on March 3, 2025 to approve the plan and the conditions under which it may be executed;
    • The share buyback plan does not require the Company to acquire any specific number of shares and may be terminated at any time. Repurchases of shares pursuant to the share buyback plan will be conducted in accordance with applicable law, including U.S. securities laws.

    New Tax in Colombia

    • On February 14, 2025, Colombia’s Ministry of Finance introduced, through executive decree, a value added (i.e. indirect) tax of 19% on all online deposits;
    • The tax will be effective on February 21, 2025, and will remain in effect through December 31, 2025, though we expect legal challenges from the industry with respect to its constitutionality;
    • The Company is currently assessing how it will respond from a legal and operating perspective to this tax and potential impacts on its business in Colombia.

    Conference Call Information

    Codere Online’s management will host a conference call to discuss the results and provide a business update at 8:30 am US Eastern Time today, February 20, 2025. Dial-in details as well as the audio webcast and presentation will be accessible on Codere Online’s website at www.codereonline.com. A recording of the webcast will also be available following the conference call.

    Reconciliation of Revenue (IFRS) to Net Gaming Revenue (non-IFRS)

      Quarter ended December 31   Year ended December 31
    Figures in EUR mm 2023 2024 Chg. %   2023 2024 Chg. %
                   
    Total              
                   
    Revenue 46.9 50.0 7%   162.6 201.4 24%
    (+) Accounting Adjustments6 3.1 2.6 (16%)   9.2 10.2 11%
    Net Gaming Revenue 50.1 52.6 5%   171.9 211.6 23%
                   
    Spain              
                   
    Revenue 20.8 22.8 10%   75.7 87.7 16%
    (+) Accounting Adjustments6 – – n.m.   – – n.m.
    Net Gaming Revenue 20.8 22.8 10%   75.7 87.7 16%
                   
    Mexico              
                   
    Revenue 22.6 22.3 (1%)   73.3 95.7 31%
    (+) Accounting Adjustments6 2.5 2.8 12%   8.4 10.9 30%
    Net Gaming Revenue 25.1 25.1 –   81.7 106.6 30%
                   
    Other              
                   
    Revenue 3.6 4.9 36%   13.7 17.9 31%
    (+) Accounting Adjustments6 0.6 (0.2) (133%)   0.8 (0.7) n.m.
    Net Gaming Revenue 4.2 4.6 10%   14.5 17.3 19%

    Reconciliation of Net Income (IFRS) to Adj. EBITDA (non-IFRS)7

      Quarter ended December 31   Year ended December 31
    Figures in EUR mm 2023 2024 Chg.   2023 2024 Chg.
                   
    Net Income (Loss) (1.0) 6.7 7.7   (3.1) 3.7 6.8
    (+/-) Provision for Corporate Income Tax (4.5) (1.0) 3.5   (7.2) 2.0 9.2
    (+/-) Interest Expense / (Income) 5.0 (1.6) (6.6)   (4.9) (4.4) 0.5
    (+/-) Var. In Fair Value of Public Warrants (0.2) (2.7) (2.5)   (0.9) 3.1 4.0
    (+) D&A 0.0 0.3 0.2   0.1 0.4 0.3
    EBITDA (0.7) 1.7 2.4   (16.0) 4.8 20.8
    (+) Employee LTIP Expense 0.9 0.1 (0.8)   3.5 1.7 (1.8)
    (+/-) Other Accounting Adjustments (4.3) 0.0 4.4   0.4 (0.1) (0.4)
    Adj. EBITDA (Pre Non-Recurring Items) (4.1) 1.9 6.0   (12.2) 6.4 18.6
    (+) Non-Recurring Items 0.0 0.0 0.0   0.5 0.0 (0.5)
    Adj. EBITDA (4.1) 1.9 6.0   (11.7) 6.4 18.1

    About Codere Online

    Codere Online refers, collectively, to Codere Online Luxembourg, S.A. and its subsidiaries. Codere Online, launched in 2014 as part of the renowned casino operator Codere Group, offers online sports betting and online casino through its state-of-the art website and mobile applications. Codere Online currently operates in its core markets of Spain, Mexico, Colombia, Panama and Argentina; this online business is complemented by Codere Group’s physical presence in Spain and throughout Latin America, forming the foundation of the leading omnichannel gaming and casino presence.

    About Codere Group
    Codere Group is a multinational group devoted to entertainment and leisure. It is a leading player in the private gaming industry, with four decades of experience and with presence in seven countries in Europe (Spain and Italy) and Latin America (Argentina, Colombia, Mexico, Panama, and Uruguay).

    Note on Rounding. Due to decimal rounding, numbers presented throughout this report may not add up precisely to the totals and subtotals provided, and percentages may not precisely reflect the absolute figures.

    Forward-Looking Statements
    Certain statements in this document may constitute “forward-looking statements” within the meaning of the “safe harbor” provisions of the United States Private Securities Litigation Reform Act of 1995. Forward-looking statements include, but are not limited to, statements regarding Codere Online Luxembourg, S.A. and its subsidiaries (collectively, “Codere Online”) or Codere Online’s or its management team’s expectations, hopes, beliefs, intentions or strategies regarding the future. In addition, any statements that refer to projections, forecasts or other characterizations of future events or circumstances, including any underlying assumptions, are forward-looking statements. The words “anticipate,” “believe,” “continue,” “could,” “estimate,” “expect,” “intends,” “may,” “might,” “plan,” “possible,” “potential,” “predict,” “project,” “should,” “would” and similar expressions may identify forward-looking statements, but the absence of these words does not mean that a statement is not forward-looking. Forward-looking statements in this document may include, for example, statements about Codere Online’s financial performance and, in particular, the potential evolution and distribution of its net gaming revenue; any prospective and illustrative financial information; and changes in Codere Online’s strategy, future operations and target addressable market, financial position, estimated revenues and losses, projected costs, prospects and plans as well as he Company’s expectations about the timing of completion and filing of the Form 20-F for the year ended December 31, 2023 (the “2023 Annual Report”), and statements related to the Company’s plan, timing and actions taken to regain compliance with the Listing Rule 5250(c)(1).

    These forward-looking statements are based on information available as of the date of this document and current expectations, forecasts and assumptions, and involve a number of judgments, risks and uncertainties. Accordingly, forward-looking statements should not be relied upon as representing Codere Online’s or its management team’s views as of any subsequent date, and Codere Online does not undertake any obligation to update forward-looking statements to reflect events or circumstances after the date they were made, whether as a result of new information, future events or otherwise, except as may be required under applicable securities laws.

    As a result of a number of known and unknown risks and uncertainties, Codere Online’s actual results or performance may be materially different from those expressed or implied by these forward-looking statements. There may be additional risks that Codere Online does not presently know or that Codere Online currently believes are immaterial that could also cause actual results to differ from those contained in the forward-looking statements. Some factors that could cause actual results to differ include (i) changes in applicable laws or regulations, including online gaming, privacy, data use and data protection rules and regulations as well as consumers’ heightened expectations regarding proper safeguarding of their personal information, (ii) the impacts and ongoing uncertainties created by regulatory restrictions, changes in perceptions of the gaming industry, changes in policies and increased competition, and geopolitical events such as war, (iii) the ability to implement business plans, forecasts, and other expectations and identify and realize additional opportunities, (iv) the risk of downturns and the possibility of rapid change in the highly competitive industry in which Codere Online operates, (v) the risk that Codere Online and its current and future collaborators are unable to successfully develop and commercialize Codere Online’s services, or experience significant delays in doing so, (vi) the risk that Codere Online may never achieve or sustain profitability, (vii) the risk that Codere Online will need to raise additional capital to execute its business plan, which may not be available on acceptable terms or at all, (viii) the risk that Codere Online experiences difficulties in managing its growth and expanding operations, (ix) the risk that third-party providers, including the Codere Group, are not able to fully and timely meet their obligations, (x) the risk that the online gaming operations will not provide the expected benefits due to, among other things, the inability to obtain or maintain online gaming licenses in the anticipated time frame or at all, (xi) the risk that Codere Online is unable to secure or protect its intellectual property, (xii) the risk that Codere Online’s securities may be delisted from Nasdaq and (xiii) the possibility that Codere Online may be adversely affected by other political, economic, business, and/or competitive factors. Additional information concerning certain of these and other risk factors is contained in Codere Online’s filings with the U.S. Securities and Exchange Commission (the “SEC”). All subsequent written and oral forward-looking statements concerning Codere Online or other matters and attributable to Codere Online or any person acting on their behalf are expressly qualified in their entirety by the cautionary statements above.

    Financial Information and Non-GAAP Financial Measures
    Codere Online’s financial statements are prepared in accordance with International Financial Reporting Standards as issued by the International Accounting Standards Board (“IFRS”), which can differ in certain significant respects from generally accepted accounting principles in the United States of America (“U.S. GAAP”).

    This document includes certain financial measures not presented in accordance with U.S. GAAP or IFRS (“non-GAAP”), such as, without limitation, net gaming revenue, Adjusted EBITDA and constant currency information. These non-GAAP financial measures are not measures of financial performance in accordance with U.S. GAAP or IFRS and may exclude items that are significant in understanding and assessing Codere Online’s financial results. Therefore, these measures should not be considered in isolation or as an alternative to revenue, net income, cash flows from operations or other measures of profitability, liquidity or performance under U.S. GAAP or IFRS. You should be aware that Codere Online’s presentation of these measures may not be comparable to similarly-titled measures used by other companies. In addition, the audit of Codere Online’s financial statements in accordance with PCAOB standards, may impact how Codere Online currently calculates its non-GAAP financial measures, and we cannot assure you that there would not be differences, and such differences could be material.

    Codere Online believes that the use of these non-GAAP financial measures provides an additional tool for investors to use in evaluating ongoing operating results and trends in comparing Codere Online’s financial measures with other similar companies, many of which present similar non-GAAP financial measures to investors. These non-GAAP financial measures are subject to inherent limitations as they reflect the exercise of judgments by management about which expense and income are excluded or included in determining these non-GAAP financial measures. Reconciliations of non-GAAP financial measures to their most directly comparable measure under IFRS are included herein.

    This document may include certain projections of non-GAAP financial measures. Codere Online is unable to quantify certain amounts that would be required to be included in the most directly comparable U.S. GAAP or IFRS financial measures without unreasonable effort, due to the inherent difficulty and variability of accurately forecasting the occurrence and financial impact of the various adjusting items necessary for such comparable measures or such reconciliation that have not yet occurred, are out of our control, or cannot be reasonably predicted, ascertained or assessed, which could have a material impact on its future IFRS financial results. Consequently, no disclosure of estimated comparable U.S. GAAP or IFRS measures is included and no reconciliation of the forward-looking non-GAAP financial measures is included.

    Use of Projections
    This document contains financial forecasts with respect to Codere Online’s business and projected financial results, including net gaming revenue and adjusted EBITDA. Codere Online’s independent auditors have not audited, reviewed, compiled or performed any procedures with respect to the projections for the purpose of their inclusion in this document, and accordingly, they did not express an opinion or provide any other form of assurance with respect thereto for the purpose of this document. These projections should not be relied upon as being necessarily indicative of future results. The assumptions and estimates underlying the prospective financial information are inherently uncertain and are subject to a wide variety of significant business, economic and competitive risks and uncertainties that could cause actual results to differ materially from those contained in the prospective financial information. See “Forward-Looking Statements” above. Accordingly, there can be no assurance that the prospective results are indicative of the future performance of Codere Online or that actual results will not differ materially from those presented in the prospective financial information. Inclusion of the prospective financial information in this document should not be regarded as a representation by any person that the results contained in the prospective financial information will be achieved.

    For further information on the limitations and assumptions underlying these projections, please refer to Codere Online’s filings with the SEC.

    Preliminary Information
    This document contains figures, financial metrics, statistics and other information that is preliminary and subject to change (the “Preliminary Information”). The Preliminary Information has not been audited, reviewed, or compiled by any independent registered public accounting firm. This Preliminary Information is subject to ongoing review including, where applicable, by Codere Online’s independent auditors. Accordingly, no independent registered public accounting firm has expressed an opinion or any other form of assurance with respect to the Preliminary Information. During the course of finalizing such Preliminary Information, adjustments to such Preliminary Information presented herein may be identified, which may be material. Codere Online undertakes no obligation to update or revise the Preliminary Information set forth in this document as a result of new information, future events or otherwise, except as otherwise required by law. The Preliminary Information may differ from actual results. Therefore, you should not place undue reliance upon this Preliminary Information. The Preliminary Information is not a comprehensive statement of financial results, and should not be viewed as a substitute for full financial statements prepared in accordance with IFRS. In addition, the Preliminary Information is not necessarily indicative of the results to be achieved in any future period.

    No Offer or Solicitation
    This document does not constitute an offer to sell or the solicitation of an offer to buy any securities, nor will there be any sale of securities in any states or jurisdictions in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction. No offering of securities will be made except by means of a prospectus meeting the requirements of section 10 of the Securities Act of 1933, as amended, or an exemption therefrom.

    Trademarks
    This document may contain trademarks, service marks, trade names and copyrights of Codere Online or other companies, which are the property of their respective owners. Solely for convenience, some of the trademarks, service marks, trade names and copyrights referred to in this document may be listed without the TM, SM, © or ® symbols, but Codere Online will assert, to the fullest extent under applicable law, the rights of the applicable owners, if any, to these trademarks, service marks, trade names and copyrights.

    Industry and Market Data
    In this document, Codere Online relies on and refers to certain information and statistics obtained from publicly available information and third-party sources, which it believes to be reliable. Codere Online has not independently verified the accuracy or completeness of any such publicly-available and third-party information, does not make any representation as to the accuracy or completeness of such data and does not undertake any obligation to update such data after the date of this document. You are cautioned not to give undue weight to such industry and market data.

    Contacts:

    Investors and Media
    Guillermo Lancha
    Director, Investor Relations and Communications
    Guillermo.Lancha@codere.com
    (+34) 628.928.152

    1 Net Gaming Revenue is a non-IFRS measure; please see reconciliation of Net Gaming Revenue to Revenue at the end of the report.

    2 Net income excluding the non-cash variation in fair value of public warrants is a non-IFRS measure and reflects a net income of €3.7 mm (€3.1 mm net loss in 2023) excluding a €3.1 mm loss (€0.9 mm gain in 2023) from the variation in fair value of public warrants. Figures presented for illustrative purposes and do not include any potential impacts on the provision for corporate income taxes.

    3 Adjusted EBITDA is a non-IFRS measure; please see reconciliation of Adjusted EBITDA to Net Income at the end of the report. Net gaming revenue and Adjusted EBITDA outlooks are forward-looking non-IFRS measures; please see important disclaimers at the end of the report.

    4 See “Preliminary Information” below.        

    5 Average Monthly Active Players include real money (i.e. exclude free bets) sports betting and casino actives.

    6 Figures primarily reflect differences in recognition of revenue related to certain partner and affiliate agreements in place in Colombia, VAT impact from entry fees in Mexico and the impact from the application of inflation accounting (IAS 29) in Argentina.

    7 Please refer to page 26 of our Q4 2024 Earnings Presentation for further details regarding this reconciliation.

    The MIL Network –

  • MIL-OSI Europe: Opening remarks by Commissioner Jørgensen at the ITRE Committee Structured Dialogue

    Source: EuroStat – European Statistics

    European Commission Statement Brussels, 20 Feb 2025 Thank you Mr Chairman!
    This is the first time I am back in a big Plenary room since the hearing. Thank you for being nice to me! People ask me if I could sleep at night in the preparation phase, and I always answered, ‘yes I sleep like a baby’. I sleep for a few hours, I wake up and cry a little bit, then I sleep for a few more hours and then I wake up and cry a little bit.

    Thank you so much and thank you for the collaboration, both before and after the hearing.

    Now of course, we have started the actual work and I really cherish, both the bilateral collaboration I have with many of you, but also with the groups and with the Committee.

    I am looking forward for the exchange of views today. Obviously, it’s also a possibility for me to highlight some of the things that are coming up and that we are presenting from the Commission’s side in the weeks and months to come, just as it is an opportunity for you to ask me questions, but obviously also give me some input.

    A lot has happened since December, there is an old, I think it’s a Chinese curse, that goes ‘may you live in interesting times’. I think it’s pretty fair to say we are living in interesting times.

    I think it’s also fair to say that this is for me a very, very clear sign that we should all be happy that we have the European Union. No country, not even the biggest ones of us, have a chance of solving the challenges that we face right now alone.

    We need to really stand by each other’s shoulders and we need to work with each other closer, together. And therefore, I think it is also extremely important that we send a very clear signal to our own citizens, our own companies but also of course to the world, that in the European Union, the way that we face challenges like the ones we face right now, is not by polarising but standing together.

    This certainly also goes for the energy part of our collaboration. We  already working very closely together on this, compared to any other region of the planet, we are better interconnected and more rational and greener than any other region.

    This is obviously not to say that we don’t have many challenges, we have a lot. But I just think it’s worth reminding each other, when standing in challenging times, it’s also necessary to remember what are our strengths and to build on our strengths. And when facing challenges you have to be very careful, when you find the solutions, that you don’t undermine the position of strength that you actually have, by choosing to go in completely different directions.

    For me that means, looking at our Energy Union, we need to make that stronger.

    It really is a little bit of a paradox, when walking around this building and looking at all the historic photos, the buildings and rooms named after great personalities that helped shape the European Union, that it all started as a Coal and Steel Community. So coal, basically energy.

    Yet today, there is many other issues we are much more integrated than we are on the energy side.

    So, we have a lot of potential. I will also say that we need to do better in that part of our integration.

    Now, if we look at our electricity infrastructure and how it is connected in Europe. Again, I would find it difficult to point to any other places in the world that are doing as well as we are. But at the same time, we are not at all where we need to be and we are not even exploiting the possibilities that we have of doing better right now.

    An analogy that you could use, if you thought about our more traditional physical transport infrastructure and, let’s just take an arbitrary number, say that what we needed was 100 big highways to connect Europe and we would be perfectly connected, it’s just an arbitrary number but let’s say it’s 100. Then say, that those highways are energy, electricity, then right now we are at a stage where we have 100 highways but we need 200. What makes it even more challenging, but also gives us possibilities, is that out of the 100 we are only using 50. So out of the infrastructure that we already have, the interconnectedness and maintenance that we already have, we are only utilising a part of it. And we have a lot of potential for utilising it better. And even if we did that 100 per cent, that still would not be enough.

    So, what does that mean? It means we need to be better connected, both physically, so physical infrastructure, but also in a more regulatory sense.

    Countries need to implement better legislation that we already have, this means exploiting the possibilities of having the benefits of having neighbours that produce energy at certain times and also being solidaire, providing them the energy to them, when they don’t.

    If all countries fulfilled our obligation of the 70% transmission  target, then already there, we would be much better off that we are today.

    If we were better at exploiting the grid we have, and we can be, via digitalization and AI, and better planning and better coordination of maintenance, small things they might seem like, but they can really make a difference. Then we could avoid a lot of curtailment. In Germany alone, the curtailment every year equals the lost revenue of 4 billion euros.

    When we have the big crisis last Summer, in many of the Southern European countries because of the heat wave, one of the reasons why the crisis became so big was because there was a lot of maintenance going on and it wasn’t being coordinated. This is not to blame anybody, because there were probably good reasons why it had to happen there, but had we coordinated better, we could have avoided these things.

    So this is just to say there are actually quite a few low hanging fruits, quite a few things that can work, even in the short term. But I will also be honest with you and say there are also some fruits at the top of the tree, that we need to pick. There is also a lot of things that we need to do that are more structural, long-term decisions.

    Something that lies in between there, I would say, is our ability to move swiftly with the deployment of more renewables.

    We need to, in my opinion, take a good and hard look at our rules for permitting. Now, during the crisis we had some change in the rules that we have and emergency measures, that were also implemented and that meant that in some countries things were actually speeding up.

    But still, as a general rule, it is going way too slow and I think that is probably the message that I am getting most often from industry, from local communities, from green NGOs from people that are more concerned about prices. It’s not going fast enough.

    And this is even in a period of time when we are actually deploying more renewables faster than ever, so last year it was 78 new Gw of renewables, this is a huge number. Last year for the first time ever, we produced more electricity by solar than by coal. This is fantastic, it’s going in the right direction, it’s going fast. But not fast enough.

    This will be at the core also of the Affordable Energy Action Plan that I will be presenting, the Commission will be presenting, next week as a part of the Clean Industrial Deal.

    We will look at every issue separately, that is right now hindering  us from becoming more independent of fossil fuels and thereby also Russian energy imports, decarbonising our economy and of course first and foremost, which the title also reflects, bringing down the prices.

    Renewable energy is not something that is making our competitiveness worse as some will have you believe. I am sure probably not many in this room but sometimes outside of this room you will hear this.

    It is the opposite. From 2021 to 2023, the International Energy Agency, [IEA Executive Director] doctor Fatih Birol, has calculated that we in Europe saved 100 billion euro because of the deployment of new renewable energy.  100 billion euro that we would have bad to pay more, had we not been on the transition path that we are in.

    We are working hard to rectify where there is barriers, and the plan that I will be presenting will not be a plan with one big silver bullet that will solve all the problems. But it will be a lot of very targeted things, of course interconnected, but targeted things that we can do, that when you add them all up, will make a lot of difference both on the short term and on longer and more structural term.

    I will also say that the question of Russian energy, in my opinion, has not become smaller, I think you will agree.

    When the war escalated and Russia attacked Ukraine in 2022 we were at 45% of our gas coming from Russia. Last year we brought that down to 15%, but then the LNG imports went up, so we ended up at 19%. Now we are at approximately 13% because the transit via Ukraine ended the 1 January.  

    So on the one hand, I guess you can argue that this is a huge success of Europe. I would like you to point to any other region of the world that could that fast, fundamentally change such as important part of the energy system. It is actually a tremendous accomplishment on one hand. On the other hand, we are still importing 13% from our gas from Russia. This is billions of euros  filling up Putin’s war chest. So, we need to do more.

    Some of the things that I have already talked about, that will be a part of the Action Plan on Affordable Energy will obviously also help us in that regard. But we will need to, in my opinion, take even further steps and, therefore, next month, the Commission will propose a Roadmap for independence on Russian fuel.

    Obviously we have a lot of other things planned, but my time is already more than up, so I hope I’ll get an opportunity to speak about them in connection with your questions. They are all  interrelated obviously, so the Electrification Action Plan is also connected to the Affordable Energy Action Plan and so forth.

    On housing, which I know is also important for many in this Committee, we will be presenting the Affordable Housing Action Plan next year. The reason why I decided and we decided in the Commission to not do it before, was also to make sure that we have a process that is parallel to yours, here in the Parliament, the Committee on Housing. I would not feel comfortable putting forward my plan without having also taken into account the result of your work and your recommendations.

    But this does not mean that I will not act before that. We are already acting. So you could put it all together in one fine plan in a year, but since it’s probably wiser to wait with that plan, I will start doing some of the things already now. That is probably not the way we normally or actually often work, but I think it’s the smart way of doing it so.

    On the State aid rules, we are working on them, [Executive Vice President for a Clean, Just and Competitive Transition] Teresa Ribera and myself, on making, creating a pan-European investment platform, I am working with the EiB on that. On making sure we spend more money from the cohesion funds on housing, going from 7.5 billion euros to 15 billion euro, I am working with Vice-President [for Cohesion and Reforms, Raffaele], Fitto on that and of course also on other issues.

    But I would be interested to hear your comments and answer any questions also!

    Thank you!

    MIL OSI Europe News –

  • MIL-OSI United Kingdom: TUV urge public to have their say on planned MLA pay rise

    Source: Traditional Unionist Voice – Northern Ireland

    Statement by TUV North Antrim MLA Timothy Gaston:

    “While I am not aware of any announcement from the committee established to look at the Assembly Members (Remuneration Board) Bill that they are seeking views of the public, I noticed this morning that a call for evidence opened on Tuesday.

    “The TUV response to the call for evidence is reproduced below.

    “Members of the public can let MLAs on the committee know what they think of the proposals which would see them awarded a massive pay rise by completing the survey at the following link .”

    Submitted to Assembly Members (Remuneration Board) Bill – Call for Evidence

    If you are providing a submission on behalf of an organisation please state its name
    TUV

    If you are providing a submission on behalf of an organisation please select its type.
    Political Party

    If you are providing a submission on behalf of an organisation please state its purpose.
    The defence and strengthening of Northern Ireland’s place within the United Kingdom.

    Do you consent to your submission being published on the Committee’s website and included in the Committee’s report?
    Yes. Publish in full.

    Questions Relating to Relevant Clauses in the Bill

    Clause 1
    The “Remuneration Board” better reflects the purpose of the body
    Strongly Agree

    Clause 2
    It is appropriate for the determination of Assembly members’ salaries and pensions to be determined by an independent panel/board rather
    than by the Assembly Commission.
    Strongly Agree

    It is appropriate for the determination of adequate resources required by Members for the exercise of their functions to be determined by the
    Assembly Commission rather than by an independent panel/board.

    Strongly Agree

    The independent financial review panel got it wrong on a number of issues. The ridiculous rule about not having a phone number or an email address on an MLA office sign is an obvious example so we support this suggestion.

    Clause 3
    The independent panel/board should have regard to the salaries payable to members of other legislatures when making determinations as to the salaries payable to Members of the Assembly
    Strongly Disagree

    MLAs do not deserve a pay rise to put them in line with Members of other Parliaments and assemblies because, uniquely, the Northern Ireland Assembly decided that there are vast areas of law and policy that it does not want to have any say over. If the Assembly is so pompous as to believe that it is just as important and competent as the legislatures listed in clause 3 of the Bill, why did the majority of Members vote to give away lawmaking powers to Brussels, where no one from Northern Ireland has any say in the laws that govern two thirds of our economy? Unless or until MLAs have the self-respect to reclaim those laws, they should not be treated like members of any other legislature.

    The legislatures listed above are the appropriate legislatures to consider when making such determinations
    Strongly Disagree

    Quite apart from the points made above why would a legislature in Northern Ireland concern itself with what members of foreign legislatures in the Irish Republic are paid?

    Clause 4
    The temporary filling of vacant positions on the board/panel should be permitted, pending the appointment of replacements.
    Agree

    Clause 5
    Former Members of the Assembly should be permitted to sit on the panel/board.
    Strongly Disagree

    This represents a clear conflict of interest on two fronts. First, one would assume that a former Member will have maintained some sort of relationship with Members, who would stand to benefit financially from the decisions of the board. Secondly, as a former Member, he or she would benefit from pension determinations. Such a situation cannot be allowed to go unchallenged. There were good reasons why former MLAs were excluded from the original panel. Those reasons remain valid. It is noteworthy that the previous independent financial review panel had just three members. If, as the Bill anticipates, one of those members is a former MLA, that is a sizeable chunk of its membership.

    Clause 6
    It is appropriate for determinations to be made at least 6 months before the date of the poll for the Assembly elections.
    Agree

    Provision should be made to require determinations to be published in draft and made the subject of consultation.
    Agree

    Consultation should be undertaken before the Board issues determinations more than once in respect of an Assembly, or otherwise than in accordance with the timing rules set out in subsection (2).

    Agree

    MIL OSI United Kingdom –

  • MIL-OSI Europe: Oral question – Cuba on the so-called ‘list of state sponsors of terrorism’ – O-000006/2025

    Source: European Parliament

    Question for oral answer  O-000006/2025
    to the Council
    Rule 142
    João Oliveira (The Left), Ana Miranda Paz (Verts/ALE), Danilo Della Valle (The Left), Özlem Demirel (The Left), Pernando Barrena Arza (The Left), Tilly Metz (Verts/ALE), Dario Tamburrano (The Left), Leila Chaibi (The Left), Estrella Galán (The Left), Lynn Boylan (The Left), Rudi Kennes (The Left), Marc Botenga (The Left), Konstantinos Arvanitis (The Left), Giorgos Georgiou (The Left), Irene Montero (The Left), Isabel Serra Sánchez (The Left), Giuseppe Antoci (The Left), Mario Furore (The Left), Carolina Morace (The Left), Valentina Palmisano (The Left), Gaetano Pedulla’ (The Left), Pasquale Tridico (The Left), Matjaž Nemec (S&D), Vicent Marzà Ibáñez (Verts/ALE), Jaume Asens Llodrà (Verts/ALE), Kathleen Funchion (The Left), Katarína Roth Neveďalová (NI), Kostas Papadakis (NI), Lefteris Nikolaou-Alavanos (NI), Alex Agius Saliba (S&D), Daniel Attard (S&D), Kateřina Konečná (NI), Judita Laššáková (NI), Branislav Ondruš (NI), Fabio De Masi (NI), Maria Zacharia (NI)

    Cuba is being subjected to an economic, commercial and financial blockade unilaterally imposed by the United States, the application of which has been aggravated by its extraterritorial scope and by the adoption of other measures, such as the inclusion of Cuba on the US list of so-called ‘state sponsors of terrorism’.

    The blockade imposed on Cuba has had a profound impact on the country’s economy, with serious repercussions for the living conditions of its people. Companies, including those from EU Member States, are reducing or halting their cooperation with Cuba in the face of US threats and coercive measures. Cuba’s inclusion on the US list of so-called ‘state sponsors of terrorism’ has forced several financial institutions to suspend their operations with the country, including transfers for the purchase of food, medicine, fuel and other essential goods.

    The UN General Assembly has called for an end to this blockade 32 times. Its most recent resolution, entitled ‘Necessity of ending the economic, commercial and financial embargo imposed by the United States of America against Cuba’, was adopted on 10 October 2024 by 187 votes in favour, two against and one abstention.

    In the light of the above, we ask the Council:

    • 1.What measures will the European Union take with the US authorities to remove Cuba from the list of so-called ‘state sponsors of terrorism’?
    • 2.What measures will the European Union take with the US authorities to implement the position expressed in 32 UN General Assembly resolutions with a view to putting an end to the economic, commercial and financial blockade imposed by the United States on Cuba?
    • 3.What measures will the Council take to defend the interests of the Member States in view of the extraterritorial nature of the blockade unilaterally imposed on Cuba by the United States?

    Submitted: 18.2.2025

    Lapses: 19.5.2025

    MIL OSI Europe News –

  • MIL-OSI Europe: Oral question – Cuba on the so-called ‘list of state sponsors of terrorism’ – O-000007/2025

    Source: European Parliament

    Question for oral answer  O-000007/2025
    to the Commission
    Rule 142
    João Oliveira (The Left), Ana Miranda Paz (Verts/ALE), Danilo Della Valle (The Left), Özlem Demirel (The Left), Pernando Barrena Arza (The Left), Tilly Metz (Verts/ALE), Dario Tamburrano (The Left), Leila Chaibi (The Left), Estrella Galán (The Left), Lynn Boylan (The Left), Rudi Kennes (The Left), Marc Botenga (The Left), Konstantinos Arvanitis (The Left), Giorgos Georgiou (The Left), Irene Montero (The Left), Isabel Serra Sánchez (The Left), Giuseppe Antoci (The Left), Mario Furore (The Left), Carolina Morace (The Left), Valentina Palmisano (The Left), Gaetano Pedulla’ (The Left), Pasquale Tridico (The Left), Matjaž Nemec (S&D), Vicent Marzà Ibáñez (Verts/ALE), Jaume Asens Llodrà (Verts/ALE), Kathleen Funchion (The Left), Katarína Roth Neveďalová (NI), Kostas Papadakis (NI), Lefteris Nikolaou-Alavanos (NI), Alex Agius Saliba (S&D), Maria Zacharia (NI), Daniel Attard (S&D), Kateřina Konečná (NI), Judita Laššáková (NI), Branislav Ondruš (NI), Ľuboš Blaha (NI), Fabio De Masi (NI)

    Cuba is being subjected to an economic, commercial and financial blockade unilaterally imposed by the United States, the application of which has been aggravated by its extraterritorial scope and by the adoption of other measures, such as the inclusion of Cuba on the US list of so-called ‘state sponsors of terrorism’.

    The blockade imposed on Cuba has had a profound impact on the country’s economy, with serious repercussions for the living conditions of its people. Companies, including those from EU Member States, are reducing or halting their cooperation with Cuba in the face of US threats and coercive measures. Cuba’s inclusion on the US list of so-called ‘state sponsors of terrorism’ has forced several financial institutions to suspend their operations with the country, including transfers for the purchase of food, medicine, fuel and other essential goods.

    The UN General Assembly has called for an end to this blockade 32 times. Its most recent resolution, entitled ‘Necessity of ending the economic, commercial and financial embargo imposed by the United States of America against Cuba’, was adopted on 10 October 2024 with 187 votes in favour, two against and one abstention.

    In the light of the above, we ask the Commission:

    • 1.What measures will the European Union take with the US authorities to remove Cuba from the list of so-called ‘state sponsors of terrorism’?
    • 2.What measures will the European Union take with the US authorities to implement the position expressed in 32 UN General Assembly resolutions with a view to putting an end to the economic, commercial and financial blockade imposed by the United States on Cuba?
    • 3.What measures will the Commission take to defend the interests of the Member States in view of the extraterritorial nature of the blockade unilaterally imposed on Cuba by the United States?

    Submitted: 18.2.2025

    Lapses: 19.5.2025

    MIL OSI Europe News –

  • MIL-OSI Europe: Financial statements of the ECB for 2024

    Source: European Central Bank

    20 February 2025

    • ECB reports loss of €7.9 billion (2023: loss of €1.3 billion)
    • Losses will be offset against future profits

    The European Central Bank’s (ECB’s) financial statements for 2024 show a loss of €7,944 million, which is comparable to the loss of €7,886 million reported in 2023 before the transfer from risk provisions. In 2023 the full release of the provision for financial risks of €6,620 million reduced the loss for that year to €1,266 million, while in 2024 no losses could be covered by this provision as its balance stood at zero. The 2024 loss, like the loss from the previous year, will remain on the ECB’s balance sheet to be offset against future profits. As a result of the loss, there will be no profit distribution to euro area national central banks for 2024.

    The losses come after many years of substantial profits and are the result of policy actions taken by the Eurosystem that were necessary to fulfil its primary mandate of maintaining price stability. These policies required the ECB to expand its balance sheet by purchasing financial assets, mostly with fixed interest rates and long maturities. This was accompanied by a corresponding increase in liabilities, on which the ECB pays interest at variable rates. Thus, increases in the ECB’s key interest rates in 2022 and 2023, which were aimed at combating high inflation in the euro area, resulted in immediate increases in interest expenses on these liabilities, while interest income on the ECB’s assets, in particular on securities purchased under the asset purchase programme (APP) and the pandemic emergency purchase programme (PEPP), did not increase to the same extent.

    The ECB may still incur losses in the coming years. Should this be the case, any such losses are expected to be lower than those incurred in 2023 and 2024. Thereafter, the ECB is expected to return to making profits. In any case, the ECB can operate effectively and fulfil its primary mandate of maintaining price stability regardless of any losses. Its financial strength is further underlined by its capital and its substantial revaluation accounts, which together amounted to €59 billion at the end of 2024, €13 billion higher than at the end of 2023.

    The ECB’s interest income and expenses in 2024 were as follows:

    In 2024, as in 2023, the fact that interest expenses were higher than interest income was mainly driven by the significant interest expense on the ECB’s net TARGET liability. Since this liability was remunerated at the interest rate on the main refinancing operations (MRO rate), the higher average MRO rate of 4.1% in 2024 (2023: 3.8%) resulted in an increase in this expense. The higher average MRO rate also led to increases in the interest income on claims related to the allocation of euro banknotes in circulation and the interest expense payable to the NCBs as remuneration of their claims in respect of foreign reserves transferred to the ECB. The interest income on securities held for monetary policy purposes also increased, mainly on government securities held under the PEPP. The interest income on foreign reserves was higher, largely coming from securities denominated in US dollars.

    Write-downs amounted to €269 million (2023: €38 million) and resulted mainly from the decline in the market value of a number of securities held in the US dollar portfolio and the depreciation of the Japanese yen, which led to a reduction in the value of the related currency holding.

    Total staff costs increased to €844 million (2023: €676 million), mainly owing to the higher costs of post-employment benefits arising from an amendment to the rules governing the ECB’s pension plans in 2024. Other administrative expenses increased to €626 million (2023: €596 million), mainly owing to higher IT spending in relation to the digital transformation, while also reflecting the impact of inflation.

    Supervisory fee income (fees charged to supervised banks to recover expenses incurred by the ECB in the performance of its supervisory tasks) amounted to €681 million (2023: €654 million).

    The total size of the ECB’s balance sheet decreased by €33 billion to €641 billion (2023: €673 billion), mainly reflecting the gradual decline in APP holdings owing to redemptions.

    Consolidated balance sheet of the Eurosystem

    At the end of 2024 the size of the balance sheet of the Eurosystem, which comprises assets and liabilities of the euro area NCBs and the ECB vis-à-vis third parties, stood at €6,428 billion (2023: €6,887 billion). The reduction compared to 2023 was due to the decline in securities held for monetary policy purposes to €4,283 billion (2023: €4,694 billion), mainly owing to redemptions. APP holdings decreased by €353 billion to €2,673 billion, as reinvestment of maturing assets ceased in July 2023, while PEPP holdings decreased by €57 billion to €1,609 billion, with maturing assets being only partially reinvested in the second half of 2024. Furthermore, Eurosystem lending operations decreased to €34 billion (2023: €410 billion), largely as a result of the maturing of the third series of targeted longer-term refinancing operations (TLTRO III). The resulting decline was partially offset by the increase in the euro-equivalent value of the Eurosystem’s holdings of gold to €872 billion (2023: €649 billion) owing to the rise in the market price of gold in euro terms.

    For media queries, please contact William Lelieveldt, tel.: +49 69 1344 7316.

    Notes

    MIL OSI Europe News –

  • MIL-OSI Europe: Written question – Impact of Greece’s golden visa scheme on the housing market – E-000613/2025

    Source: European Parliament

    Question for written answer  E-000613/2025
    to the Commission
    Rule 144
    Afroditi Latinopoulou (PfE)

    According to recent data, Greece’s golden visa scheme has played a significant role in the increase in property and rental prices in the country’s urban centres and popular islands. Although the scheme generated around EUR 4.3 billion for the Greek economy between 2021 and 2023, there has been a sharp decline in the availability of long-term rental housing, forcing local residents to move away.

    In view of the above:

    • 1.Given the European Parliament’s 2022 decision to phase out golden visa schemes by 2025, what specific measures does the Commission intend to take to ensure a smooth transition for Member States that implement such schemes?
    • 2.How does it intend to address the social impact on the housing market resulting from these schemes, especially in areas where prices have risen considerably?

    Submitted: 11.2.2025

    Last updated: 20 February 2025

    MIL OSI Europe News –

  • MIL-OSI Europe: Slovakia receives €240 million EIB loan to co-finance green and digital projects supported by the EU

    Source: European Investment Bank

    • EIB provides €240 million loan to Slovakia to advance green and digital projects
    • Slovak government will use EIB long-term financing as national contribution mandatory for EU-financed development projects
    • Credit is first part of €800 million EIB facility approved to strengthen environmental sustainability and economic competitiveness of Slovakia

    The European Investment Bank (EIB) is providing a €240 million loan to Slovakia for co-funding of EU-supported green and digital projects across the country. The credit is the first part of an €800 million EIB loan approved to Slovakia for national contributions mandatory for European Union-supported project which bring billions of euros to member states annually.

    “We are increasing the country’s ability to tap EU grants, enabling Slovak citizens and businesses to benefit from accelerated economic growth and social development,” said EIB Vice-President Kyriacos Kakouris. “Our financing will strengthen cohesion and improve public services, the business environment and living standards in Slovakia.”

    Slovakia will use EIB funding for projects designed to improve research and innovation, digitization of economy, growth and competitiveness of SMEs, work skills for smart specialization, transition and digital connectivity, energy efficiency and renewable energy, climate change adaptation, sustainable water, circular economy and nature protection and biodiversity.

    In addition to helping green Slovakia’s economy, such projects will enhance the country’s living standards and strengthen its competitiveness on global markets.

     “This EIB loan will enable us to support projects that drive digital innovation, expand renewable energy, and enhance climate resilience. Our partnership with the EIB ensures that Slovakia remains at the forefront of the EU’s sustainability goals while fostering job creation and economic resilience in our regions. We are dedicated to using these funds wisely to build a smarter, cleaner, and more competitive economy,” said the Slovak Minister of Finance Ladislav Kamenický.

     EIB annual results in Slovakia for 2024

    In 2024, the EIB Group increased its financing in Slovakia by 21% to €355 million. Key initiatives last year included €50 million to support eco-friendly water and wastewater management in Bratislava and €65 million to help Slovak small and medium enterprises (SMEs) and Mid-Caps drive job creation, enhance competitiveness and advance climate action goals.

    “Our 2024 results are good news for Slovakia and the EU,” said EIB Vice- President Kakouris. “We financed projects of vital importance for a sustainable, green and prosperous future for Slovakia. Our commitment to Slovakia remains strong and, as the country pursues its development goals, it can continue to rely on the EIB for support.”

    EIB advisory activities in the country last year included addressing affordable-housing challenges in Bratislava. Expanding affordable housing across the EU is one of eight operational priorities for the EIB.

     Background information

     European Investment Bank: The European Investment Bank (ElB) is the long-term lending institution of the European Union, owned by its Member States. Built around eight core priorities, we finance investments that contribute to EU policy objectives by bolstering climate action and the environment, digitalisation and technological innovation, security and defence, cohesion, agriculture and bioeconomy, social infrastructure, the capital markets union, and a stronger Europe in a more peaceful and prosperous world.

     The EIB Group, which also includes the European Investment Fund (EIF), signed nearly €89 billion in new financing for over 900 high-impact projects in 2024, boosting Europe’s competitiveness and security. 

    All projects financed by the EIB Group are in line with the Paris Climate Agreement, as pledged in our Climate Bank Roadmap. Almost 60% of the EIB Group’s annual financing supports projects directly contributing to climate change mitigation, adaptation, and a healthier environment. 

    Fostering market integration and mobilising investment, the Group supported a record of over €100 billion in new investment for Europe’s energy security in 2024 and mobilised €110 billion in growth capital for startups, scale-ups and European pioneers

    Approximately half of the EIB’s financing within the European Union is directed towards cohesion regions, where per capita income is lower than the EU average.

    MIL OSI Europe News –

  • MIL-OSI Europe: Briefing – Japan’s Parliament and other political institutions – 20-02-2025

    Source: European Parliament

    Japan is a constitutional monarchy, with a parliamentary system of government based on the separation of powers. The Emperor is the symbol of the state and does not hold political functions, only performing ceremonial duties. Nevertheless, he can play an important diplomatic role. With Emperor Naruhito’s enthronement in 2019, following his father’s abdication, Japan has entered the Reiwa (beautiful harmony) era. The 2001 administrative reform strengthened the Prime Minister’s leadership in the cabinet. The Chief Cabinet Secretary also plays an important relevant role. Ishiba Shigeru, leader of the Liberal Democratic Party, has been the country’s Prime Minister since September 2024. The Supreme Court is at the top of the judicial system. It is not a constitutional court, despite handling appeals arising from actual disputes. The appointment of its Justices is reviewed by the people at the first general election of the Lower House following their appointment. Japan is a unitary state divided into 47 prefectures. A Metropolitan Government administers the capital, Tokyo. Japan’s 1947 Constitution recognises ‘local self-government.’ Local governments carry out many of the national policies and programmes. They have limited autonomy, also because of their dependence on financial resources from the central government. Japan has a bicameral parliament − the Diet. Although the two chambers share legislative powers, the Lower House (House of Representatives) prevails in the legislative process and is empowered to adopt the final decision on the budget and on the approval of international treaties. Changes in the regional geopolitical environment and in the country’s demographic structure have prompted debates on issues such as the revision of the ‘pacifist’ Article 9 of the Constitution and the distribution of seats among electoral constituencies. This is an update of a briefing published in December 2020.

    MIL OSI Europe News –

  • MIL-OSI Europe: Eurosystem expands initiative to settle DLT-based transactions in central bank money

    Source: European Central Bank

    20 February 2025

    • Eurosystem steps up efforts for innovative market infrastructures
    • Two-track approach: develop solution which is interoperable with existing infrastructures; look into long-term integrated solution

    The Governing Council of the European Central Bank (ECB) decided to expand its initiative to settle transactions recorded on distributed ledger technology (DLT) in central bank money. The initiative will follow a two-track approach. First, as soon as feasible, the Eurosystem will develop and implement a safe and efficient platform for such settlements in central bank money through an interoperability link with TARGET Services. A concrete time plan will be announced in due course. Second, the Eurosystem will look into a more integrated, long-term solution for settling DLT-based transactions in central bank money. This will also include international operations, such as foreign exchange settlement.

    The Eurosystem wants to support the use of innovative solutions in its market infrastructures while maintaining the safety and efficiency of TARGET Services. It will continue to further analyse new technologies and engage actively with public and private stakeholders.

    “We are embracing innovation without compromising on safety and stability,” said ECB Executive Board member Piero Cipollone, who oversees the initiative. “This is an important contribution to enhancing European financial market efficiency through innovation. Our approach will pay due attention to the Eurosystem’s goal of achieving a more harmonised and integrated European financial ecosystem.”

    The initiative will contribute to establishing an integrated European market for digital assets, in line with the Governing Council’s call for promoting a digital capital markets union in its statement of 7 March 2024.

    It will build on the Eurosystem’s exploratory work on new technologies for wholesale central bank money settlement, conducted between May and November 2024. This work gave 64 participants – comprising central banks, financial market participants and DLT platform operators –the opportunity to conduct over 50 trials and experiments. Trials included actual settlement in central bank money, while experiments were tests with mock settlement.

    For media queries, please contact Nicos Keranis, tel.: +49 172 757 7237.

    MIL OSI Europe News –

  • MIL-OSI: FactSet Schedules Second Quarter 2025 Earnings Call

    Source: GlobeNewswire (MIL-OSI)

    NORWALK, Conn., Feb. 20, 2025 (GLOBE NEWSWIRE) — FactSet (NYSE: FDS | NASDAQ: FDS), a global financial digital platform and enterprise solutions provider, announced today that it will release its financial and operating results for the second quarter fiscal 2025, ending February 28, 2025, on Thursday, March 20, 2025. FactSet will also host a conference call to discuss these results at 11:00 a.m. Eastern Time on Thursday, March 20, 2025.

    The following information is provided for investors who would like to participate in the conference call:

    Second Quarter Fiscal 2025 Conference Call Details

    Please register for the conference call using the above link in advance of the call start time. The conference call platform will register your name and organization and provide dial-in numbers and a unique access pin. The call will include a live Q&A session.

    The earnings presentation slides will be available on FactSet’s investor relations website at 10:30 a.m. Eastern Time on March 20, 2025, 30 minutes before the earnings call begins.

    A replay will be available on the Company’s investor relations website after 1:00 p.m. Eastern Time on March 20, 2025, through March 20, 2026. The earnings call transcript will be available via FactSet CallStreet.

    About FactSet

    FactSet (NYSE:FDS | NASDAQ:FDS) helps the financial community to see more, think bigger, and work better. Our digital platform and enterprise solutions deliver financial data, analytics, and open technology to more than 8,200 global clients, including over 218,000 individual users. Clients across the buy-side and sell-side, as well as wealth managers, private equity firms, and corporations, achieve more every day with our comprehensive and connected content, flexible next-generation workflow solutions, and client-centric specialized support. As a member of the S&P 500, we are committed to sustainable growth and have been recognized among the Best Places to Work in 2023 by Glassdoor as a Glassdoor Employees’ Choice Award winner. Learn more at www.factset.com and follow us on X and LinkedIn.

    Investor Relations:
    Yet He
    +1.212.973.5701
    yet.he@factset.com

    Media Relations:
    Megan Kovach
    +1.512.736.2795
    megan.kovach@factset.com

    The MIL Network –

  • MIL-OSI Europe: Briefing – Czechia’s National Recovery and Resilience Plan: Latest state of play – 20-02-2025

    Source: European Parliament

    Under the Recovery and Resilience Facility (RRF), Czechia’s national recovery and resilience plan (NRRP) had an initial value of €7 036 million in grants only. In June 2022, its initial RRF grant allocation was revised upwards to €7 673.7 million (+ 9.1 %). In June 2023, Czechia submitted a request to modify its NRRP. The amended plan totals €9 231.3 million and now includes a REPowerEU chapter with an additional grant allocation of €680.5 million. Czechia also requested to transfer its remaining share of the Brexit Adjustment Reserve to its plan (€54.9 million). The total EU contribution is €9 227.3 million, i.e. 4.1 % of the country’s 2019 gross domestic product (GDP), with €8 409.2 million in grants and €818.1 million in loans. Czechia’s NRRP comprises reforms and investment to help the Czech economy recover, while advancing the green and digital transition and addressing structural weaknesses. Measures under the plan are to be completed by 2026. In the 2024 country report, the European Commission assessed the implementation of the plan as being under way, albeit with a risk of some delays. In this context, the Council recommended accelerating investment, maintaining reform momentum and addressing emerging delays. In December 2024, a third payment, consisting of a fourth and fifth instalment of €1 482.5 million (net of pre-financing) in grants and a first instalment of €190.9 million in loans, was disbursed to Czechia. However, a payment of €162.7 million from the fourth instalment and of €97.6 million from the fifth instalment of the grant support was suspended, pending full implementation of the two remaining milestones. So far, Czechia has received €4 365.4 million (47.3 % of the modified plan), of which €1 061.7 million is in pre-financing, €3 112.8 million in grant payments, and €190.9 million in loans. This briefing is one in a series covering all EU Member States. Fourth edition. The previous edition was drafted by Marketa Pape. The ‘NGEU delivery’ briefings are updated at key stages throughout the lifecycle of the plans.

    MIL OSI Europe News –

  • MIL-OSI: Lantronix PoE++ Switches Help Power the World’s Largest DC-Powered Warehouse

    Source: GlobeNewswire (MIL-OSI)

    IRVINE, Calif., Feb. 20, 2025 (GLOBE NEWSWIRE) — Lantronix Inc. (NASDAQ: LTRX), a global leader of compute and connectivity for IoT solutions enabling AI Edge intelligence, today announced its case study on Mouser Electronics’ new 413,000-square-foot, three-story Global Distribution Center, the world’s largest new Class 4 DC-powered installation. The Lantronix PoE++ switches (SM24TBT2DPB and SM24TBT2DPB-DE) are a vital part of the PoE lighting installation for which Mouser won an IBCon 2024 Digie Award for the Most Intelligent DC-Powered Building.

    “Using Lantronix PoE++ switches, we distributed power and controls throughout the Mouser warehouse by using low-voltage DC, which is the best way to create a sustainable building that reduces energy costs while providing a lower carbon footprint and a more comfortable work environment,” said Hannah Walker, chief operating officer of Sinclair Digital, the Authorized Lantronix Valued-Added Reseller that provided the DC digital solution.

    Mouser’s dedication to environmental responsibility and adoption of innovative technologies played a role in its decision to incorporate PoE technology, which delivers DC power to devices over copper Ethernet cabling without the need for separate power supplies or outlets, and
    fault managed power, a DC power infrastructure that eliminates losses associated with AC-to-DC conversion.

    Within enclosures at the ceiling of the new facility, power distribution modules transfer the fault managed power to high voltage DC power for the Lantronix SM24TBT2DPB-DE switches, in turn delivering up to 90W of PoE++ power per port to lighting fixtures, occupancy sensors and other PoE-enabled endpoints. The SM24TBT2DPB switches are also used in racks within the facility to connect more lighting, cameras and wireless access points.

    The PoE lighting system was designed by Baird, Hampton & Brown, a leading electrical engineering firm using Sinclair Digital’s DC digital solution package. Installed by TriCO Electric and Polarity Networks, the PoE lighting fixtures were provided by HE Williams using PoE lighting drivers from MHT Technologies with fault managed power from VoltServer. This DC power infrastructure reduces Mouser’s carbon footprint while improving lighting control and operational costs.

    Benefits of Mouser’s all DC-powered PoE lighting solution include:

    • Reduced energy consumption and related cost savings
    • Minimized environmental impact
    • Enhanced flexibility by improving lighting control
    • Reduced operational costs with fewer maintenance requirements
    • Improved lighting environment for warehouse employees
    • Ability to move and change lighting as warehouse needs change

    “Our Dallas-Fort Worth distribution center now operates on the world’s largest Class 4 power system, providing state-of-the-art lighting for our employees while helping us reduce our energy usage over the long term. Moreover, it provides scalability and flexibility to move or add devices as our needs change, further reducing our long-term costs,” said Pete Shopp, senior vice president of Business Operations at Mouser Electronics.

    Visit the complete Mouser case study here.

    About Lantronix

    Lantronix Inc. is a global leader of compute and connectivity IoT solutions that target high-growth markets, including Smart Cities, Enterprise and Transportation. Lantronix’s products and services empower companies to succeed in the growing IoT markets by delivering customizable solutions that enable AI Edge Intelligence. Lantronix’s advanced solutions include Intelligent Substations infrastructure, Infotainment systems and Video Surveillance, supplemented with advanced Out-of-Band Management (OOB) for Cloud and Edge Computing.

    For more information, visit the Lantronix website.

    “Safe Harbor” Statement under the Private Securities Litigation Reform Act of 1995: This news release contains forward-looking statements within the meaning of federal securities laws, including, without limitation, statements related to Lantronix products or leadership team. These forward-looking statements are based on our current expectations and are subject to substantial risks and uncertainties that could cause our actual results, future business, financial condition, or performance to differ materially from our historical results or those expressed or implied in any forward-looking statement contained in this news release. The potential risks and uncertainties include, but are not limited to, such factors as the effects of negative or worsening regional and worldwide economic conditions or market instability on our business, including effects on purchasing decisions by our customers; our ability to mitigate any disruption in our and our suppliers’ and vendors’ supply chains due to the COVID-19 pandemic or other outbreaks, wars and recent tensions in Europe, Asia and the Middle East, or other factors; future responses to and effects of public health crises; cybersecurity risks; changes in applicable U.S. and foreign government laws, regulations, and tariffs; our ability to successfully implement our acquisitions strategy or integrate acquired companies; difficulties and costs of protecting patents and other proprietary rights; the level of our indebtedness, our ability to service our indebtedness and the restrictions in our debt agreements; and any additional factors included in our Annual Report on Form 10-K for the fiscal year ended June 30, 2024, filed with the Securities and Exchange Commission (the “SEC”) on Sept. 9, 2024, including in the section entitled “Risk Factors” in Item 1A of Part I of that report, as well as in our other public filings with the SEC. Additional risk factors may be identified from time to time in our future filings. In addition, actual results may differ as a result of additional risks and uncertainties of which we are currently unaware or which we do not currently view as material to our business. For these reasons, investors are cautioned not to place undue reliance on any forward-looking statements. The forward-looking statements we make speak only as of the date on which they are made. We expressly disclaim any intent or obligation to update any forward-looking statements after the date hereof to conform such statements to actual results or to changes in our opinions or expectations, except as required by applicable law or the rules of the Nasdaq Stock Market LLC. If we do update or correct any forward-looking statements, investors should not conclude that we will make additional updates or corrections.

    ©2025 Lantronix, Inc. All rights reserved. Lantronix is a registered trademark. Other trademarks and trade names are those of their respective owners.

    Lantronix Media Contact:        
    Gail Kathryn Miller
    Corporate Marketing &
    Communications Manager
    media@lantronix.com

    Lantronix Analyst and Investor Contact:        
    investors@lantronix.com

    The MIL Network –

  • MIL-OSI Europe: Written question – Radio Televisión Española and the Recovery and Resilience Facility – E-000571/2025

    Source: European Parliament

    Question for written answer  E-000571/2025
    to the Commission
    Rule 144
    Isabel Benjumea Benjumea (PPE), Dolors Montserrat (PPE)

    The Spanish Government has allocated over EUR 117 million in Recovery and Resilience Facility funding to the Spanish broadcasting company Radio Televisión Española (RTVE). This would make RTVE, a public entity, one of the main beneficiaries of those EU recovery funds.

    The various projects RTVE has financed using those EU funds have not had the impact expected – they have actually been very controversial owing to breaches of regulatory requirements, the return of some of the funding, and the state of RTVE’s finances.

    In light of the fact that RTVE is in such dire financial straits that it, firstly, has been forced by the unsustainable state of its accounts to turn to a government reserve fund, and secondly, continues to run up debt: should the Recovery and Resilience Facility be used to fund such a public entity – especially if the projects funded have not achieved the targets they were designed to?

    Submitted: 7.2.2025

    Last updated: 20 February 2025

    MIL OSI Europe News –

  • MIL-OSI: BigCommerce Announces Fourth Quarter and Fiscal Year 2024 Financial Results

    Source: GlobeNewswire (MIL-OSI)

    AUSTIN, Texas, Feb. 20, 2025 (GLOBE NEWSWIRE) — BigCommerce Holdings, Inc. (“BigCommerce” or the “Company”) (Nasdaq: BIGC), a leading provider of open, composable commerce solutions for B2C and B2B brands and retailers, today announced financial results for its fourth quarter and fiscal year ended December 31, 2024.

    “Over the last several months, we have focused on executing our go-to-market transformation, aligning our strategy, structure and messaging to reflect the full power of BigCommerce,” said Travis Hess, CEO of BigCommerce. “Transformations like this are not easy, and I am encouraged by the progress, feedback and traction we are seeing, and I am energized by the path ahead. I took on this role because of my belief in what BigCommerce is today and, more importantly, where we can take commerce into the future as a leader in modern commerce with a differentiated approach, a world-class team and an immense market opportunity.”

    Fourth Quarter Financial Highlights:

    • Total revenue was $87.0 million, up 3% compared to the fourth quarter of 2023.
    • Total annual revenue run-rate (“ARR”) as of December 31, 2024 was $349.6 million, up 4% compared to December 31, 2023.
    • Subscription solutions revenue was $62.3 million, up 3% compared to the fourth quarter of 2023.
    • ARR from accounts with at least one enterprise plan (collectively, “Enterprise Accounts”) was $261.6 million as of December 31, 2024, up 7% from December 31, 2023.
    • ARR from Enterprise Accounts as a percent of total ARR was 75% as of December 31, 2024, compared to 73% as of December 31, 2023.
    • GAAP gross margin was 78%, compared to 77% in the fourth quarter of 2023. Non-GAAP gross margin was 78%, compared to 79% in the fourth quarter of 2023.

    Other Key Business Metrics

    • Number of enterprise accounts was 5,884, down 2% compared to the fourth quarter of 2023.
    • Average revenue per account (ARPA) of enterprise accounts was $44,458 up 9% compared to the fourth quarter of 2023.
    • Revenue in the Americas grew by 4% compared to the fourth quarter of 2023.
    • Revenue in EMEA grew by 5% and revenue in APAC declined by 1% compared to the fourth quarter of 2023.

    Loss from Operations and Non-GAAP Operating Income (Loss)

    • GAAP loss from operations was ($0.8) million, compared to ($5.7) million in the fourth quarter of 2023.
    • Included in GAAP loss from operations was a restructuring charge of $1.2 million, including but not limited to the 2024 Restructuring.
    • Non-GAAP operating income was $10.1 million, compared to $5.4 million in the fourth quarter of 2023.

    Net Income (Loss) and Earnings Per Share

    • GAAP net loss was ($2.4) million, compared to ($3.2) million in the fourth quarter of 2023.
    • Non-GAAP net income was $8.4 million or 10% of revenue, compared to $7.9 million or 9% of revenue in the fourth quarter of 2023.
    • GAAP basic net loss per share was ($0.03) based on 78.4 million shares of common stock, compared to ($0.04) based on 76.2 million shares of common stock in the fourth quarter of 2023.
    • Non-GAAP basic net income per share was $0.11 based on 78.4 million of shares, compared to $0.10 based on 76.2 million shares in the fourth quarter of 2023.
    • Non-GAAP diluted net income per share was $0.11 based on 80.1 million shares of dilutive shares, compared to $0.09 based on 83.7 million dilutive shares in the fourth quarter of 2023.

    Adjusted EBITDA

    • Adjusted EBITDA was $11.0 million, compared to $6.5 million in the fourth quarter of 2023.

    Cash

    • Cash, cash equivalents, restricted cash, and marketable securities totaled $179.6 million as of December 31, 2024.
    • For the three months ended December 31, 2024, net cash provided by operating activities was $12.4 million, compared to $13.3 million provided by operating activities for the same period in 2023. The Company reported free cash flow was $11.6 million in the three months ended December 31, 2024.

    Debt

    • As of December 31, 2024 the Company had $63.1 million in outstanding aggregate principal amount of its 2026 Convertible Notes, and $150.0 million in outstanding aggregate principal amount of its 2028 Convertible Notes. Subsequent to year end the Company repurchased approximately $59.0 million in principal amount of the 2026 Convertible notes for $54.0 million in cash. The Company’s total outstanding debt is approximately $154.1 million.

    Fiscal Year 2024 Financial Highlights:

    • Total revenue was $332.9 million, up 8% compared to fiscal year 2023.
    • Subscription solutions revenue was $247.9 million, up 8% compared to fiscal year 2023.
    • GAAP gross margin was 77%, compared to 76% in fiscal year 2023. Non-GAAP gross margin was 78%, for both fiscal year 2024 and 2023.

    Operating Loss and Non-GAAP Operating Income (Loss)

    • GAAP operating loss was ($41.7) million, compared to ($72.4) million in fiscal year 2023.
    • Included in GAAP loss from operations was a restructuring charge of $13.7 million, including but not limited to the 2024 Restructuring.
    • Non-GAAP operating income (loss) was $19.5 million, compared to ($5.7) million in fiscal year 2023.

    Net Income (Loss) and Earnings Per Share

    • GAAP net loss was ($27.0) million, compared to ($64.7) million in fiscal year 2023.
    • Non-GAAP net income was $22.0 million or 7% of revenue, compared to $2.1 million or 1% of revenue in fiscal year 2023.
    • GAAP net loss per share was ($0.35) based on 77.6 million shares of common stock, compared to ($0.86) based on 75.1 million shares of common stock in fiscal year 2023.
    • Non-GAAP diluted net income per share was $0.28 based on 79.4 million shares of dilutive shares, compared to $0.03 based on 82.9 million dilutive shares in fiscal year 2023.

    Adjusted EBITDA

    • Adjusted EBITDA was $23.5 million, compared to ($1.6) million in fiscal year 2023.

    Cash

    • For the twelve months ended December 31, 2024, net cash provided by operating activities was $26.3 million, compared to ($24.2) million used in operating activities for the same period in 2023. The Company reported free cash flow of $22.5 million for the year ended December 31, 2024.

    Business Highlights:

    Corporate Highlights

    • The Company made several additions to its leadership team. In January, Michelle Suzuki joined as BigCommerce’s Chief Marketing Officer, Rob Walter joined as Chief Revenue Officer, and Marcus Groff started as Senior Vice President of Engineering. In November, Tracy Turner joined as Senior Vice President of Revenue Operations.
    • BigCommerce and its customers achieved another successful Cyber Week, the eleventh in a row with 100% uptime on the platform. Customers on BigCommerce experienced a 26% increase, year over year, in gross merchandise value (GMV) during the five-day period from November 28 through December 2. BigCommerce merchants also saw total orders increase 13% and average order value rise 11%, year over year.

    Customer Highlights

    • 4Patriots, a family-founded company that sells emergency preparedness products, launched a new headless ecommerce store with BigCommerce, utilizing BigCommerce APIs and open source checkout to run a custom tax app, offer their own installment plans to customers, and provide one-click, post-purchase upsell opportunities.
    • Lube-Tech, a longstanding engine fluid brand, partnered with BigCommerce agency partner Codal to launch their first of three enterprise-level stores. They incorporated StagingPro to mirror sandbox and production stores.
    • ABC Fine Wine & Spirits, a retail chain that specializes in wine, spirits, and beer, launched a new online storefront featuring custom pickup and delivery options implemented by BigCommerce partner Irish Titan.
    • Bunzl, a leading distributor in the food processing industry since 1883, launched their ecommerce store using BigCommerce’s B2B Edition, assisted by BigCommerce partner Groove Commerce.
    • Witmer Public Safety Group successfully launched four online stores for firefighters, EMTs, and police officers, and more on BigCommerce’s B2B Edition and using the platform’s Multi-Storefront functionality. Designed by BigCommerce partner Jamersan, the sites are integrated with Witmer’s NetSuite ERP and leverage Algolia’s search technology, resulting in a robust online experience for customers and increased uptimes.

    Partner Highlights

    • We finalized a new global preferred partnership with payments provider Klarna to provide buy now, pay later services to merchants on the BigCommerce platform, helping them optimize checkout and conversion.

    Q1 and 2025 Financial Outlook:

    For the first quarter of 2025, we currently expect:

    • Total revenue between $81.2 million to $83.2 million.
    • Non-GAAP operating income is expected to be between $4 million to $5 million.

    For the full year 2025, we currently expect:

    • Total revenue between $342.1 million and $350.1 million.
    • Non-GAAP operating income between $20 million and $24 million.

    Our first quarter and 2025 financial outlook is based on a number of assumptions that are subject to change and many of which are outside our control. If actual results vary from these assumptions, our expectations may change. There can be no assurance that we will achieve these results.

    We do not provide guidance for loss from operations, the most directly comparable GAAP measure to Non-GAAP operating income (loss), and similarly cannot provide a reconciliation between its forecasted Non-GAAP operating income (loss) and Non-GAAP income (loss) per share and these comparable GAAP measures without unreasonable effort due to the unavailability of reliable estimates for certain items. These items are not within our control and may vary greatly between periods and could significantly impact future financial results.

    Conference Call Information

    BigCommerce will host a conference call and webcast at 7:00 a.m. CT (8:00 a.m. ET) on Thursday, February 20, 2025, to discuss its financial results and business highlights. The conference call can be accessed by dialing (833) 634-1254 from the United States and Canada or (412) 317-6012 internationally and requesting to join the “BigCommerce conference call.” The live webcast of the conference call can be accessed from BigCommerce’s investor relations website at http://investors.bigcommerce.com.

    Following the completion of the call through 11:59 p.m. ET on Thursday, February 27, 2025, a telephone replay will be available by dialing (877) 344-7529 from the United States, (855) 669-9658 from Canada or (412) 317-0088 internationally with conference ID 9139950. A webcast replay will also be available at http://investors.bigcommerce.com for 12 months.

    About BigCommerce

    BigCommerce (Nasdaq: BIGC) is a leading open SaaS and composable ecommerce platform that empowers brands, retailers, manufacturers and distributors of all sizes to build, innovate and grow their businesses online. BigCommerce provides its customers sophisticated professional-grade functionality, customization and performance with simplicity and ease-of-use. Tens of thousands of B2C and B2B companies across 150 countries and numerous industries rely on BigCommerce, including Coldwater Creek, Harvey Nichols, King Arthur Baking Co., MKM Building Supplies, United Aqua Group and Uplift Desk. For more information, please visit www.bigcommerce.com or follow us on X and LinkedIn.

    Forward-Looking Statements

    This press release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. In some cases, you can identify forward-looking statements by terms such as “anticipate,” “believe,” “estimate,” “expect,” “intend,” “outlook,” “may,” “might,” “plan,” “project,” “will,” “would,” “should,” “could,” “can,” “predict,” “potential,” “strategy, “target,” “explore,” “continue,” or the negative of these terms, and similar expressions intended to identify forward-looking statements. However, not all forward-looking statements contain these identifying words. These statements may relate to our market size and growth strategy, our estimated and projected costs, margins, revenue, expenditures and customer and financial growth rates, our Q1 and fiscal 2025 financial outlook, our plans and objectives for future operations, growth, initiatives or strategies. By their nature, these statements are subject to numerous uncertainties and risks, including factors beyond our control, that could cause actual results, performance or achievement to differ materially and adversely from those anticipated or implied in the forward-looking statements. These assumptions, uncertainties and risks include that, among others, the anticipated benefits and opportunities related to the 2024 Restructure may not be realized or may take longer to realize than expected, our ability to pay the interest and principal on our indebtedness depends upon cash flows generated by our operating performance, our business would be harmed by any decline in new customers, renewals or upgrades, our limited operating history makes it difficult to evaluate our prospects and future results of operations, we operate in competitive markets, we may not be able to sustain our revenue growth rate in the future, our business would be harmed by any significant interruptions, delays or outages in services from our platform or certain social media platforms, and a cybersecurity-related attack, significant data breach or disruption of the information technology systems or networks could negatively affect our business. Additional risks and uncertainties that could cause actual outcomes and results to differ materially from those contemplated by the forward-looking statements are included under the caption “Risk Factors” and elsewhere in our filings with the Securities and Exchange Commission (the “SEC”), including our Annual Report on Form 10-K for the year ended December 31, 2023 and the future quarterly and current reports that we file with the SEC. Forward-looking statements speak only as of the date the statements are made and are based on information available to BigCommerce at the time those statements are made and/or management’s good faith belief as of that time with respect to future events. BigCommerce assumes no obligation to update forward-looking statements to reflect events or circumstances after the date they were made, except as required by law.

    Use of Non-GAAP Financial Measures

    We have provided in this press release certain financial information that has not been prepared in accordance with generally accepted accounting principles in the United States (“GAAP”). Our management uses these Non-GAAP financial measures internally in analyzing our financial results and believes that use of these Non-GAAP financial measures is useful to investors as an additional tool to evaluate ongoing operating results and trends and in comparing our financial results with other companies in our industry, many of which present similar Non-GAAP financial measures. Non-GAAP financial measures are not meant to be considered in isolation or as a substitute for comparable financial measures prepared in accordance with GAAP and should be read only in conjunction with our consolidated financial statements prepared in accordance with GAAP. A reconciliation of our historical Non-GAAP financial measures to the most directly comparable GAAP measures has been provided in the financial statement tables included in this press release, and investors are encouraged to review these reconciliations.

    Annual Revenue Run-Rate

    We calculate annual revenue run-rate (“ARR”) at the end of each month as the sum of: (1) contractual monthly recurring revenue at the end of the period, which includes platform subscription fees, invoiced growth adjustments, feed management subscription fees, recurring professional services revenue, and other recurring revenue, multiplied by twelve to prospectively annualize recurring revenue, and (2) the sum of the trailing twelve-month non-recurring and variable revenue, which includes one-time partner integrations, one-time fees, payments revenue share, and any other revenue that is non-recurring and variable.

    Enterprise Account Metrics

    To measure the effectiveness of our ability to execute against our growth strategy, we calculate ARR attributable to Enterprise Accounts. We define Enterprise Accounts as accounts with at least one unique Enterprise plan subscription or an enterprise level feed management subscription. These accounts may have more than one Enterprise plan or a combination of Enterprise plans and non-enterprise plans.

    Average Revenue Per Account

    We calculate ARPA for accounts in the Enterprise cohort at the end of a period by including customer-billed revenue and an allocation of partner and services revenue, where applicable. We allocate partner revenue, where applicable, primarily based on each customer’s share of GMV processed through that partner’s solution. For partner revenue that is not directly linked to customer usage of a partner’s solution, we allocate such revenue based on each customer’s share of total platform GMV. Each account’s partner revenue allocation is calculated by taking the account’s trailing twelve-month partner revenue, then dividing by twelve to create a monthly average to apply to the applicable period in order to normalize ARPA for seasonality.

    Adjusted EBITDA

    We define Adjusted EBITDA as our net loss, excluding the impact of stock-based compensation expense and related payroll tax costs, amortization of intangible assets, acquisition related costs, restructuring charges, depreciation, gain on convertible note extinguishment, interest income, interest expense, other expense, and our provision or benefit for income taxes. Acquisition related costs include contingent compensation arrangements entered into in connection with acquisitions and achieved earnout related to an acquisition.

    Restructuring charges include severance benefits, right-of-use asset impairments, lease termination gain, software impairments, accelerated depreciation and amortization, and professional services costs.

    Depreciation includes depreciation expenses related to the Company’s fixed assets.

    The most directly comparable GAAP measure is net loss.

    Non-GAAP Operating Income (Loss)

    We define Non-GAAP Operating Income (Loss) as our GAAP Loss from operations, excluding the impact of stock-based compensation expense and related payroll tax costs, amortization of intangible assets, acquisition-related costs, and restructuring charges. The most directly comparable GAAP measure is our loss from operations.

    Non-GAAP Net Income (Loss)

    We define Non-GAAP Net Income (Loss) as our GAAP net loss, excluding the impact of stock-based compensation expense and related payroll tax costs, amortization of intangible assets, acquisition-related costs, restructuring charges, and gain on convertible notes extinguishment. The most directly comparable GAAP measure is our net loss.

    Non-GAAP Basic and Dilutive Net Income (Loss) per Share

    We define Non-GAAP Basic Net Income (Loss) per Share as our Non-GAAP net income (loss), defined above, divided by our basic and diluted GAAP weighted average shares outstanding. The most directly comparable GAAP measure is our basic net loss per share.

    Free Cash Flow

    We define Free Cash Flow as our GAAP cash flow provided by (used in) operating activities less our GAAP purchases of property and equipment (Capital Expenditures). The most directly comparable GAAP measure is our cash flow provided by (used in) operating activities.

    Consolidated Balance Sheets
    (in thousands)
        December 31,   December 31,  
        2024   2023  
               
    Assets          
    Current assets          
    Cash and cash equivalents   $ 88,877   $ 71,719  
    Restricted cash     1,479     1,126  
    Marketable securities     89,283     198,415  
    Accounts receivable, net     48,117     37,713  
    Prepaid expenses and other assets, net     14,641     24,733  
    Deferred commissions     8,822     8,280  
    Total current assets     251,219     341,986  
    Property and equipment, net     9,128     10,233  
    Operating lease, right-of-use-assets, net     1,993     4,405  
    Prepaid expenses and other assets, net of current portion     3,146     1,240  
    Deferred commissions, net of current portion     5,559     7,056  
    Intangible assets, net     17,317     27,052  
    Goodwill     51,927     52,086  
    Total assets   $ 340,289   $ 444,058  
    Liabilities and stockholders’ equity          
    Current liabilities          
    Accounts payable   $ 7,018   $ 7,982  
    Accrued liabilities     3,194     2,652  
    Deferred revenue     46,590     32,242  
    Operating lease liabilities     2,438     2,542  
    Other liabilities     28,766     25,332  
    Total current liabilities     88,006     70,750  
    Convertible notes     216,466     339,614  
    Operating lease liabilities, net of current portion     1,680     7,610  
    Other liabilities, net of current portion     768     551  
    Total liabilities     306,920     418,525  
    Commitments and contingencies (Note 8)          
    Stockholders’ equity          
    Common stock, $0.0001 par value; 500,000 shares authorized at December 31, 2024 and 2023, respectively; 78,573 and 76,410 shares issued and outstanding at December 31, 2024 and 2023, respectively.     7     7  
    Additional paid-in capital     654,905     620,021  
    Accumulated other comprehensive income     145     163  
    Accumulated deficit     (621,688 )   (594,658 )
    Total stockholders’ equity     33,369     25,533  
    Total liabilities and stockholders’ equity   $ 340,289   $ 444,058  
    Consolidated Statements of Operations
    (in thousands, except per share amounts)
    (unaudited)
     
        Three months ended
    December 31,    		   Year ended
    December 31,    		  
        2024   2023   2024   2023  
    Revenue   $ 87,028   $ 84,149   $ 332,927   $ 309,394  
    Cost of revenue (1)     19,476     18,946     77,589     74,202  
    Gross profit     67,552     65,203     255,338     235,192  
    Operating expenses: (1)                  
    Sales and marketing     29,605     34,332     129,602     140,230  
    Research and development     19,763     19,509     80,879     83,460  
    General and administrative     14,994     13,574     61,794     58,838  
    Amortization of intangible assets     2,383     2,323     9,736     8,422  
    Acquisition related costs     333     935     1,334     10,252  
    Restructuring charges     1,225     219     13,677     6,434  
    Total operating expenses     68,303     70,892     297,022     307,636  
    Loss from operations     (751 )   (5,689 )   (41,684 )   (72,444 )
    Gain on convertible note extinguishment     0     0     12,110     0  
    Interest income     1,761     3,183     10,568     11,493  
    Interest expense     (2,703 )   (719 )   (6,051 )   (2,884 )
    Other expenses     (373 )   (503 )   (958 )   (836 )
    Loss before provision for income taxes     (2,066 )   (3,728 )   (26,015 )   (64,671 )
    Benefit (provision) for income taxes     (324 )   552     (1,015 )   0  
    Net loss   $ (2,390 ) $ (3,176 ) $ (27,030 ) $ (64,671 )
    Basic net loss per share   $ (0.03 ) $ (0.04 ) $ (0.35 ) $ (0.86 )
    Shares used to compute basic net loss per share     78,438     76,226     77,600     75,143  

    (1) Amounts include stock-based compensation expense and associated payroll tax costs, as follows:

        Three months ended
    December 31,    		   Year ended
    December 31,    		  
        2024   2023   2024   2023  
    Cost of revenue   $ 735   $ 1,147   $ 3,533   $ 4,949  
    Sales and marketing     920     3,415     9,252     13,474  
    Research and development     3,099     1,908     13,614     13,478  
    General and administrative     2,141     1,105     10,000     9,785  
    Consolidated Statements of Cash Flows
    (in thousands)
    (unaudited)
     
      Three months ended
    December 31,    		   Year ended
    December 31,    		  
      2024   2023   2024   2023  
                     
    Cash flows from operating activities                
    Net loss $ (2,390 ) $ (3,176 ) $ (27,030 ) $ (64,671 )
    Adjustments to reconcile net loss to net cash provided by (used in) operating activities:                
    Depreciation and amortization expense   3,329     3,500     13,811     12,480  
    Amortization of discount on convertible note   244     496     1,582     1,976  
    Amortization of premium on convertible note   (396 )   0     (636 )   0  
    Stock-based compensation expense   6,821     7,635     35,377     41,185  
    Provision for expected credit losses   206     (656 )   3,208     805  
    Real estate and internal-use software charges   502     70     3,533     70  
    Gain on lease modification   0     0     (988 )   0  
    Gain on convertible note extinguishment   0     0     (12,110 )   0  
    Other   6     (5 )   (31 )   167  
    Changes in operating assets and liabilities:                
    Accounts receivable   (5,273 )   534     (14,206 )   (3,877 )
    Prepaid expenses and other assets   5,477     4,581     6,493     2,063  
    Deferred commissions   757     (354 )   955     (2,128 )
    Accounts payable   (672 )   1,710     (895 )   962  
    Accrued and other liabilities   3,511     (1,083 )   2,843     (25,836 )
    Deferred revenue   238     27     14,348     12,561  
    Net cash provided by (used in) operating activities   12,360     13,279     26,254     (24,243 )
    Cash flows from investing activities:                
    Cash paid for acquisition   0     (7,891 )   (100 )   (7,891 )
    Purchase of property, equipment, leasehold improvements and capitalized internal-use software   (787 )   (1,043 )   (3,721 )   (4,179 )
    Maturity of marketable securities   53,603     36,960     205,238     243,167  
    Purchase of marketable securities   (10,167 )   (39,207 )   (96,124 )   (228,281 )
    Net cash provided by (used in) investing activities   42,649     (11,181 )   105,293     2,816  
    Cash flows from financing activities:                
    Proceeds from exercise of stock options   225     136     1,708     3,849  
    Taxes paid related to net share settlement of stock options   (38 )   (12 )   (2,449 )   (3,294 )
    Holdback payments related to business combination   (1,000 )   0     (1,000 )   0  
    Proceeds from financing obligation   0     0     0     1,081  
    Payment of convertible note issuance costs   (656 ) 0     (3,176 ) 0  
    Repayment of convertible notes and financing obligation   (139 )   (263 )   (109,119 )   (394 )
    Net cash provided by (used in) financing activities   (1,608 )   (139 )   (114,036 )   1,242  
    Net change in cash and cash equivalents and restricted cash   53,401     1,959     17,511     (20,185 )
    Cash and cash equivalents and restricted cash, beginning of period   36,955     70,886     72,845     93,030  
    Cash and cash equivalents and restricted cash, end of period $ 90,356   $ 72,845   $ 90,356   $ 72,845  
    Supplemental cash flow information:                
    Cash paid for interest $ 3   $ 21   $ 2,466   $ 894  
    Cash paid for taxes $ 106   $ 242   $ 381   $ 583  
    Noncash investing and financing activities:                
    Changes in capital additions, accrued but not paid $ 84   $ 168   $ 84   $ 168  
    Fair value of shares issued as consideration for business combinations $ 0   $ 496   $ 248   $ 1,417  
    Principal amount of 2028 Convertible Notes exchanged $ 0   $ 0   $ 150,000   $ 0  

    Disaggregated Revenue:

        Three months ended
    December 31,    		   Year ended
    December 31,    		  
    (in thousands)   2024   2023   2024   2023  
    Subscription solutions   $ 62,288   $ 60,613   $ 247,870   $ 229,265  
    Partner and services     24,740     23,536     85,057     80,129  
    Revenue   $ 87,028   $ 84,149   $ 332,927   $ 309,394  

    Revenue by Geography:

        Three months ended
    December 31,    		   Year ended
    December 31,    		  
    (in thousands)   2024   2023   2024   2023  
    Revenue:                  
    Americas – U.S.   $ 66,078   $ 64,055   $ 253,484   $ 236,502  
    Americas – other (1)     4,217     3,837     15,662     14,103  
    EMEA     9,994     9,475     38,031     34,661  
    APAC     6,739     6,782     25,750     24,128  
    Revenue   $ 87,028   $ 84,149   $ 332,927   $ 309,394  

    (1)Americas-other revenue includes revenue from North and South America, other than the U.S.

    Reconciliation of GAAP to Non-GAAP Results
    (in thousands, except per share amounts)
    (unaudited)
     
    Reconciliation of loss from operations to Non-GAAP operating income (loss):
     
        Three months ended
    December 31,    		     Year ended
    December 31,    		    
        2024     2023     2024     2023    
    (in thousands)                          
    Revenue   $ 87,028     $ 84,149     $ 332,927     $ 309,394    
                               
    Loss from operations   $ (751 )   $ (5,689 )   $ (41,684 )   $ (72,444 )  
    Plus: stock-based compensation expense and associated payroll tax costs     6,895       7,575       36,399       41,686    
    Amortization of intangible assets     2,383       2,323       9,736       8,422    
    Acquisition related costs     333       935       1,334       10,252    
    Restructuring charges     1,225       219       13,677       6,434    
    Non-GAAP operating income (loss)   $ 10,085     $ 5,363     $ 19,462     $ (5,650 )  
    Non-GAAP operating income (loss) as a percentage of revenue     11.6   %   6.4   %   5.8   %   (1.8 ) %

    Reconciliation of net loss & basic net loss per share to Non-GAAP net income & Non-GAAP net income per share:

        Three months ended
    December 31,    		     Year ended
    December 31,    		    
        2024     2023     2024     2023    
    (in thousands)                          
    Revenue   $ 87,028     $ 84,149     $ 332,927     $ 309,394    
                               
    Net loss   $ (2,390 )   $ (3,176 )   $ (27,030 )   $ (64,671 )  
    Plus: stock-based compensation expense and associated payroll tax costs     6,895       7,575       36,399       41,686    
    Amortization of intangible assets     2,383       2,323       9,736       8,422    
    Acquisition related costs     333       935       1,334       10,252    
    Restructuring charges     1,225       219       13,677       6,434    
    Gain on convertible note extinguishment     0       0       (12,110 )     0    
    Non-GAAP net income   $ 8,446     $ 7,876     $ 22,006     $ 2,123    
    Basic net loss per share   $ (0.03 )   $ (0.04 )   $ (0.35 )   $ (0.86 )  
    Non-GAAP basic net income per share   $ 0.11     $ 0.10     $ 0.28     $ 0.03    
    Non-GAAP diluted net income per share   $ 0.11     $ 0.09     $ 0.28     $ 0.03    
    Shares used to compute basic Non-GAAP net income per share     78,438       76,226       77,600       75,143    
    Shares used to compute diluted Non-GAAP net income per share     80,081       83,679       79,544       82,938    
    Non-GAAP net income as a percentage of revenue     9.7   %   9.4   %   6.6   %   0.7   %

    Reconciliation of net loss to adjusted EBITDA:

        Three months ended
    December 31,    		     Year ended
    December 31,    		    
        2024     2023     2024     2023    
    (in thousands)                          
    Revenue   $ 87,028     $ 84,149     $ 332,927     $ 309,394    
                               
    Net loss   $ (2,390 )   $ (3,176 )   $ (27,030 )   $ (64,671 )  
    Plus: stock-based compensation expense and associated payroll tax costs     6,895       7,575       36,399       41,686    
    Amortization of intangible assets     2,383       2,323       9,736       8,422    
    Acquisition related costs     333       935       1,334       10,252    
    Restructuring charges     1,225       219       13,677       6,434    
    Depreciation     946       1,177       4,075       4,058    
    Gain on convertible note extinguishment     0       0       (12,110 )     0    
    Interest income     (1,761 )     (3,183 )     (10,568 )     (11,493 )  
    Interest expense     2,703       719       6,051       2,884    
    Other expenses     373       503       958       836    
    Benefit (provision) for income taxes     324       (552 )     1,015       0    
    Adjusted EBITDA   $ 11,031     $ 6,540     $ 23,537     $ (1,592 )  
    Adjusted EBITDA as a percentage of revenue     12.7   %   7.8   %   7.1   %   (0.5 ) %

    Reconciliation of cost of revenue to Non-GAAP cost of revenue:

        Three months ended
    December 31,    		     Year ended
    December 31,    		    
        2024     2023     2024     2023    
    (in thousands)                          
    Revenue   $ 87,028     $ 84,149     $ 332,927     $ 309,394    
                               
    Cost of revenue   $ 19,476     $ 18,946     $ 77,589     $ 74,202    
    Less: stock-based compensation expense and associated payroll tax costs     735       1,147       3,533       4,949    
    Non-GAAP cost of revenue   $ 18,741     $ 17,799     $ 74,056     $ 69,253    
    As a percentage of revenue     21.5   %   21.2   %   22.2   %   22.4   %

    Reconciliation of sales and marketing expense to Non-GAAP sales and marketing expense:

        Three months ended
    December 31,    		     Year ended
    December 31,    		    
        2024     2023     2024     2023    
    (in thousands)                          
    Revenue   $ 87,028     $ 84,149     $ 332,927     $ 309,394    
                               
    Sales and marketing   $ 29,605     $ 34,332     $ 129,602     $ 140,230    
    Less: stock-based compensation expense and associated payroll tax costs     920       3,415       9,252       13,474    
    Non-GAAP sales and marketing   $ 28,685     $ 30,917     $ 120,350     $ 126,756    
    As a percentage of revenue     33.0   %   36.7   %   36.1   %   41.0   %

    Reconciliation of research and development expense to Non-GAAP research and development expense:

        Three months ended
    December 31,    		     Year ended
    December 31,    		    
        2024     2023     2024     2023    
    (in thousands)                          
    Revenue   $ 87,028     $ 84,149     $ 332,927     $ 309,394    
                               
    Research and development   $ 19,763     $ 19,509     $ 80,879     $ 83,460    
    Less: stock-based compensation expense and associated payroll tax costs     3,099       1,908       13,614       13,478    
    Non-GAAP research and development   $ 16,664     $ 17,601     $ 67,265     $ 69,982    
    As a percentage of revenue     19.1   %   20.9   %   20.2   %   22.6   %

    Reconciliation of general and administrative expense to Non-GAAP general and administrative expense:

        Three months ended
    December 31,    		     Year ended
    December 31,    		    
        2024     2023     2024     2023    
    (in thousands)                          
    Revenue   $ 87,028     $ 84,149     $ 332,927     $ 309,394    
                               
    General & administrative   $ 14,994     $ 13,574     $ 61,794     $ 58,838    
    Less: stock-based compensation expense and associated payroll tax costs     2,141       1,105       10,000       9,785    
    Non-GAAP general & administrative   $ 12,853     $ 12,469     $ 51,794     $ 49,053    
    As a percentage of revenue     14.8   %   14.8   %   15.6   %   15.9   %

    Reconciliation of net cash provided by (used in) operating activities to free cash flow:

        Three months ended
    December 31,    		     Year ended
    December 31,    		  
        2024     2023     2024     2023  
    (in thousands)                        
    Net cash provided by (used in) operating activities   $ 12,360     $ 13,279     $ 26,254     $ (24,243 )
    Purchase of property, equipment, leasehold improvements and capitalized internal-use software     (787 )     (1,043 )     (3,721 )     (4,179 )
    Free cash flow   $ 11,573     $ 12,236     $ 22,533     $ (28,422 )

    The MIL Network –

  • MIL-OSI: Kaltura Announces Financial Results for Fourth Quarter and Full Year 2024

    Source: GlobeNewswire (MIL-OSI)

    NEW YORK, Feb. 20, 2025 (GLOBE NEWSWIRE) — Kaltura, Inc. (“Kaltura” or the “Company”), the video experience cloud, today announced financial results for the fourth quarter and full year ended December 31, 2024, as well as outlook for first quarter and full year 2025.

    “We surpassed our guidance for the fourth quarter, delivering record total and subscription revenue, as well as the highest Adjusted EBITDA since the second quarter of 2020, fueled by record high gross margin. We also posted sequential and year-over-year growth in gross and net dollar retention rates, and in new bookings for the third quarter in a row,” said Ron Yekutiel, Co-founder, Chairman, President and Chief Executive Officer of Kaltura.

    “For the full year, we are pleased to report we achieved record annual subscription revenue, total revenue, and Adjusted EBITDA profit, surpassing our annual guidance for all. We also achieved record gross margin and cash flow from operations. We ended the year with record ARR and RPO, having delivered on our plans to reaccelerate new bookings and revenue throughout the second half of the year, and posted positive cash flow from operations for the year, for the first time since 2020.” Mr. Yekutiel continued, “As we look ahead to 2025 and beyond, we anticipate continued improvement in the market environment for enterprise video offerings, and believe our path to increased growth and profitability will be fueled by customer consolidation around our platform, maturity of our newer products, leveraging our exciting new generative artificial intelligence (“Gen AI”) capabilities, growth potential within our great customer base, and a regrowth of our sales force.”

    Fourth Quarter 2024 Financial Highlights:

    • Revenue for the fourth quarter of 2024 was $45.6 million, an increase of 3% compared to $44.5 million for the fourth quarter of 2023.
       
    • Subscription revenue for the fourth quarter of 2024 was $43.4 million, an increase of 6% compared to $40.8 million for the fourth quarter of 2023.
       
    • Annualized Recurring Revenue (ARR) was $173.9 million, an increase of 6% compared to $164.7 million in 2023.
       
    • GAAP Gross profit for the fourth quarter of 2024 was $32.3 million, representing a gross margin of 71% compared to a GAAP gross profit of $28.6 million and gross margin of 64% for the fourth quarter of 2023. 
       
    • Non-GAAP Gross profit for the fourth quarter of 2024 was $32.6 million, representing a non-GAAP gross margin of 71%, compared to a non-GAAP gross profit of $29.1 million and non-GAAP gross margin of 65% for the fourth quarter of 2023. 
       
    • GAAP Operating loss was $3.8 million for the fourth quarter of 2024, compared to an operating loss of $8.8 million for the fourth quarter of 2023.
       
    • Non-GAAP Operating income was $1.5 million for the fourth quarter of 2024, compared to a non-GAAP operating loss of $0.3 million for the fourth quarter of 2023.
       
    • GAAP Net loss was $6.6 million or $0.04 per diluted share for the fourth quarter of 2024, compared to a GAAP net loss of $12.1 million, or $0.09 per diluted share, for the fourth quarter of 2023.
       
    • Non-GAAP Net loss was $1.3 million or $0.01 per diluted share for the fourth quarter of 2024, compared to a non-GAAP net loss of $3.6 million, or $0.03 per diluted share, for the fourth quarter of 2023.
       
    • Adjusted EBITDA was $2.7 million for the fourth quarter of 2024, compared to Adjusted EBITDA of $0.8 million for the fourth quarter of 2023.
       
    • Net cash provided by operating activities was $4.3 million for the fourth quarter of 2024, compared to $1.6 million in the fourth quarter of 2023.

    Full Year 2024 Financial Highlights:

    • Revenue for the full year of 2024 was $178.7 million, an increase of 2% compared to $175.2 million for the full year of 2023.
       
    • Subscription revenue for the full year of 2024 was $167.7 million, an increase of 3% compared to $162.8 million for the full year of 2023.
       
    • GAAP Gross profit for the full year of 2024 was $119.1 million, representing a gross margin of 67% compared to a GAAP gross profit of $112.2 million and gross margin of 64% for the full year of 2023. 
       
    • Non-GAAP Gross profit for the full year of 2024 was $120.5 million, representing a gross margin of 67% compared to a non-GAAP gross profit of $113.8 million and gross margin of 65% for the full year of 2023. 
       
    • GAAP Operating loss was $24.1 million for the full year of 2024, compared to an operating loss of $38.7 million for the full year of 2023.
       
    • Non-GAAP Operating income was $2.7 million for the full year of 2024, compared a non-GAAP operating loss of $6.7 million for the full year of 2023.
       
    • GAAP Net loss was $31.3 million or $0.21 per diluted share for the full year of 2024, compared to a GAAP net loss of $46.4 million, or $0.34 per diluted share, for the full year of 2023.
       
    • Non-GAAP Net loss was $4.5 million or $0.03 per diluted share for the full year of 2024, compared to a non-GAAP net loss of $14.4 million, or $0.10 per diluted share, for the full year of 2023.
       
    • Adjusted EBITDA was $7.3 million for the full year of 2024, compared to an Adjusted EBITDA of negative $2.5 million for the full year of 2023.
       
    • Net cash provided by operating activities was $12.2 million for the full year of 2024, compared to $8.3 million net cash used in operating activities for the full year of 2023.

    Fourth Quarter 2024 Business Highlights:

    • Closed four new seven-digit deals and twenty-nine six-digit deals – the highest combined number of six and seven-digit deals since the third quarter of 2022.
    • Highest new subscription bookings since the fourth quarter of 2022 – third quarter in a row of sequential and year-over-year growth.
    • Sequential and year-over-year improvement in gross retention, and 103% Net Dollar Retention rate.
    • Launched Gen AI based “Class Genie” and “Work Genie” that power real-time hyper-personalized video-first experiences. Our Beta program for evaluating our Work and Class Genies saw strong interest from dozens of large organizations.
    • Kaltura’s Media and Telecom new Gen AI features for streaming services earned a place in the FEED Magazine 2024 Honors List, in the “Special Recognition in AI” category.

    Financial Outlook:

    For the first quarter of 2025, Kaltura expects:

    • Subscription Revenue to grow by 5%-7% year-over-year to between $43.4 million and $44.2 million.
    • Total Revenue to grow by 2%-4% year-over-year to between $45.7 million and $46.5 million.
    • Adjusted EBITDA to be in the range of $2.5 million to $3.5 million.

    For the full year ending December 31, 2025, Kaltura expects:

    • Subscription Revenue to grow by 2%-3% year-over-year to between $170.4 million and $173.4 million.
    • Total Revenue to grow 1%-2% year-over-year to between $179.9 million and $182.9 million.
    • Adjusted EBITDA to be in the range of $12.7 million to $14.7 million.

    The guidance provided above contains forward-looking statements and actual results may differ materially. Refer to “Forward-Looking Statements” below for information on the factors that could cause our actual results to differ materially from these forward-looking statements. Kaltura has not provided a quantitative reconciliation of forecasted Adjusted EBITDA to forecasted GAAP net loss within this press release because the Company is unable, without making unreasonable efforts, to calculate certain reconciling items with confidence. The reconciliation for Adjusted EBITDA includes but is not limited to the following items: stock-based compensation expenses, depreciation, amortization, financial expenses (income), net, provision for income tax, and other non-recurring operating expenses. These items, which could materially affect the computation of forward-looking GAAP net loss, are inherently uncertain and depend on various factors, some of which are outside of the Company’s control. The guidance above is based on the Company’s current expectations relating to the macro-economic climate trends.

    Additional information on Kaltura’s reported results, including a reconciliation of the non-GAAP financial measures to their most comparable GAAP measures, is included in the financial tables below.

    Investor Deck

    Our fourth quarter and full year 2024 Investor Deck has been posted in the investor relations page on our website at: www.investors.kaltura.com.         

    Conference Call

    Kaltura will host a conference call today on February 20, 2025 to review its fourth quarter and full year 2024 financial results and to discuss its financial outlook.

      Time: 8:00 a.m. ET  
      United States/Canada Toll Free: 1-877-407-0789  
      International Toll: 1-201-689-8562  
           

    A live webcast will also be available in the Investor Relations section of Kaltura’s website at: https://investors.kaltura.com/news-and-events/events

    A replay of the webcast will be available in the Investor Relations section of the company’s web site approximately two hours after the conclusion of the call and remain available for approximately 30 calendar days.

    About Kaltura

    Kaltura’s mission is to power any video experience for any organization. Our Video Experience Cloud offers live, real-time, and on-demand video products for enterprises of all industries, as well as specialized industry solutions, currently for educational institutions and for media and telecom companies. Underlying our products and solutions is a broad set of Media Services that are also used by other cloud platforms and companies to power video experiences and workflows for their own products. Kaltura’s Video Experience Cloud is used by leading brands reaching millions of users, at home, at school and at work, for communication, collaboration, training, marketing, sales, customer care, teaching, learning, virtual events, and entertainment experiences.

    Investor Contacts:
    Kaltura
    John Doherty
    Chief Financial Officer
    IR@Kaltura.com

    Sapphire Investor Relations
    Erica Mannion and Michael Funari
    +1 617 542 6180
    IR@Kaltura.com

    Media Contacts:
    Kaltura
    Nohar Zmora
    pr.team@kaltura.com

    Headline Media
    Raanan Loew
    raanan@headline.media
    +1 347 897 9276

    Forward-Looking Statements

    This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements contained in this press release that do not relate to matters of historical fact should be considered forward-looking statements, including but not limited to, statements regarding our future financial and operating performance, including our guidance; our business strategy, plans and objectives for future operations, including new products and capabilities and growth of our salesforce; our expectations regarding growth and profitability goals; and general economic, business and industry conditions, including expectations with respect to trends in customer consolidation and adoption of Gen AI technology.

    In some cases, you can identify forward-looking statements by terminology such as “aim,” “anticipate,” “assume,” “believe,” “contemplate,” “continue,” “could,” “due,” “estimate,” “expect,” “goal,” “intend,” “may,” “objective,” “plan,” “predict,” “potential,” “positioned,” “seek,” “should,” “target,” “will,” “would” and other similar expressions that are predictions of or indicate future events and future trends, or the negative of these terms or other comparable terminology, although not all forward-looking statements contain these words. Any forward-looking statements contained herein are based on our historical performance and our current plans, estimates and expectations and are not a representation that such plans, estimates, or expectations will be achieved. These forward-looking statements represent our expectations as of the date of this press release. Subsequent events may cause these expectations to change, and we disclaim any obligation to update the forward-looking statements in the future, except as required by law. These forward-looking statements are subject to known and unknown risks and uncertainties that may cause actual results to differ materially from our current expectations.

    Important factors that could cause actual results to differ materially from those anticipated in our forward-looking statements include, but are not limited to, the current volatile economic climate and its direct and indirect impact on our business and operations; political, economic, and military conditions in Israel and other geographies; our ability to retain our customers and meet demand; our ability to achieve and maintain profitability; the evolution of the markets for our offerings; our ability to keep pace with technological and competitive developments; risks associated with our use of certain artificial intelligence and machine learning models; our ability to maintain the interoperability of our offerings across devices, operating systems and third-party applications; risks associated with our Application Programming Interfaces, other components in our offerings and other intellectual property; our ability to compete successfully against current and future competitors; our ability to increase customer revenue; risks related to our approach to revenue recognition; our potential exposure to cybersecurity threats; our compliance with data privacy and data protection laws; our ability to meet our contractual commitments; our reliance on third parties; our ability to retain our key personnel; risks related to revenue mix and customer base; risks related to our international operations; risks related to potential acquisitions; our ability to generate or raise additional capital; and the other risks under the caption “Risk Factors” in our Annual Report on Form 10-K for the fiscal year ended December 31, 2023, filed with the Securities and Exchange Commission (“SEC”), as such factors are updated in our Quarterly Report on Form 10-Q for the quarterly period ended September 30, 2024, filed with the SEC, and as such factors may be updated from time to time in our other filings with the SEC, including our Annual Report on Form 10-K for the fiscal year ended December 31, 2024, to be filed with the SEC, which are accessible on the SEC’s website at www.sec.gov and the Investor Relations page of our website at investors.kaltura.com.

    Non-GAAP Financial Measures

    Kaltura has provided in this press release and the accompanying tables measures of financial information that have not been prepared in accordance with generally accepted accounting principles in the U.S. (“GAAP”), including non-GAAP gross profit, non-GAAP gross margin (calculated as a percentage of revenue), non-GAAP research and development expenses, non-GAAP sales and marketing expenses, non-GAAP general and administrative expenses, non-GAAP operating loss, non-GAAP operating margin (calculated as a percentage of revenue), non-GAAP net loss, non-GAAP net loss per share and Adjusted EBITDA. Kaltura defines these non-GAAP financial measures as the respective corresponding GAAP measure, adjusted for, as applicable: (1) stock-based compensation expense; (2) the amortization of acquired intangibles; (3) facility exit and transition costs; (4) restructuring charges; and (5) war-related costs. Kaltura defines EBITDA as net profit (loss) before financial expenses (income), net, provision for income taxes, and depreciation and amortization expenses. Adjusted EBITDA is defined as EBITDA (as defined above), adjusted for the impact of certain non-cash and other items that we believe are not indicative of our core operating performance, such as non-cash stock-based compensation expenses, facility exit and transition costs, restructuring charges and other non-recurring operating expenses. We believe these non-GAAP financial measures provide useful information to management and investors regarding certain financial and business trends relating to Kaltura’s financial condition and results of operations. These non-GAAP metrics are a supplemental measure of our performance, are not defined by or presented in accordance with GAAP, and should not be considered in isolation or as an alternative to net profit (loss) or any other performance measure prepared in accordance with GAAP. Non-GAAP financial measures are presented because we believe that they provide useful supplemental information to investors and analysts regarding our operating performance and are frequently used by these parties in evaluating companies in our industry.

    By presenting these non-GAAP financial measures, we provide a basis for comparison of our business operations between periods by excluding items that we do not believe are indicative of our core operating performance. We believe that investors’ understanding of our performance is enhanced by including these non-GAAP financial measures as a reasonable basis for comparing our ongoing results of operations. Additionally, our management uses these non-GAAP financial measures as supplemental measures of our performance because they assist us in comparing the operating performance of our business on a consistent basis between periods, as described above. Although we use the non-GAAP financial measures described above, such measures have significant limitations as analytical tools and only supplement but do not replace, our financial statements in accordance with GAAP. See the tables below regarding reconciliations of these non-GAAP financial measures to the most directly comparable GAAP measures.

    Key Financial and Operating Metrics

    Annualized Recurring Revenue. We use Annualized Recurring Revenue (“ARR”) as a measure of our revenue trend and an indicator of our future revenue opportunity from existing recurring customer contracts. We calculate ARR by annualizing our recurring revenue for the most recently completed fiscal quarter. Recurring revenues are generated from SaaS and PaaS subscriptions, as well as term licenses for software installed on the customer’s premises (“On-Prem”). For the SaaS and PaaS components, we calculate ARR by annualizing the actual recurring revenue recognized for the latest fiscal quarter. For the On-Prem components for which revenue recognition is not ratable across the license term, we calculate ARR for each contract by dividing the total contract value (excluding professional services) as of the last day of the specified period by the number of days in the contract term and then multiplying by 365. Recurring revenue excludes revenue from one-time professional services and setup fees. ARR is not adjusted for the impact of any known or projected future customer cancellations, upgrades or downgrades or price increases or decreases. The amount of actual revenue that we recognize over any 12-month period is likely to differ from ARR at the beginning of that period, sometimes significantly. This may occur due to new bookings, cancellations, upgrades or downgrades, pending renewals, professional services revenue, foreign exchange rate fluctuations and acquisitions or divestitures. ARR should be viewed independently of revenue as it is an operating metric and is not intended to be a replacement or forecast of revenue. Our calculation of ARR may differ from similarly titled metrics presented by other companies.

    Net Dollar Retention Rate. Our Net Dollar Retention Rate, which we use to measure our success in retaining and growing recurring revenue from our existing customers, compares our recognized recurring revenue from a set of customers across comparable periods. We calculate our Net Dollar Retention Rate for a given period as the recognized recurring revenue from the latest reported fiscal quarter from the set of customers whose revenue existed in the reported fiscal quarter from the prior year (the numerator), divided by recognized recurring revenue from such customers for the same fiscal quarter in the prior year (denominator). For annual periods, we report Net Dollar Retention Rate as the arithmetic average of the Net Dollar Retention Rate for all fiscal quarters included in the period. We consider subdivisions of the same legal entity (for example, divisions of a parent company or separate campuses that are part of the same state university system) ,as well as Value-add Resellers (“VARs”) (meaning resellers that directly manage the relationship with the customer) and the customers they manage, to be a single customer for purposes of calculating our Net Dollar Retention Rate. Our calculation of Net Dollar Retention Rate for any fiscal period includes the positive recognized recurring revenue impacts of selling new services to existing customers and the negative recognized recurring revenue impacts of contraction and attrition among this set of customers. Our Net Dollar Retention Rate may fluctuate as a result of a number of factors, including the growing level of our revenue base, the level of penetration within our customer base, expansion of products and features, and our ability to retain our customers. Our calculation of Net Dollar Retention Rate may differ from similarly titled metrics presented by other companies.

    Remaining Performance Obligations. Remaining Performance Obligations represents the amount of contracted future revenue that has not yet been delivered, including both subscription and professional services revenues. Remaining Performance Obligations consists of both deferred revenue and contracted non-cancelable amounts that will be invoiced and recognized in future periods. We expect to recognize 58% of our Remaining Performance Obligations as revenue over the next 12 months, and the remainder over the next four years. However, we cannot guarantee that any portion of our Remaining Performance Obligations will be recognized as revenue within the timeframe we expect or at all.

     
    Consolidated Balance Sheets (U.S. dollars in thousands; Unaudited)
     
        December 31,
          2024       2023  
    ASSETS        
    CURRENT ASSETS:        
    Cash and cash equivalents   $ 33,059     $ 36,684  
    Marketable securities     48,275       32,692  
    Trade receivables     19,978       23,312  
    Prepaid expenses and other current assets     9,481       8,410  
    Deferred contract acquisition and fulfillment costs, current     10,765       10,636  
             
    Total current assets     121,558       111,734  
    LONG-TERM ASSETS:        
    Marketable securities     3,379       5,844  
    Property and equipment, net     16,190       20,113  
    Other assets, noncurrent     2,983       3,100  
    Deferred contract acquisition and fulfillment costs, noncurrent     13,605       17,314  
    Operating lease right-of-use assets     12,308       13,872  
    Intangible assets, net     212       689  
    Goodwill     11,070       11,070  
             
    Total noncurrent assets     59,747       72,002  
    TOTAL ASSETS   $ 181,305     $ 183,736  
    LIABILITIES AND STOCKHOLDERS’ EQUITY        
    CURRENT LIABILITIES:        
    Current portion of long-term loans     3,110       1,612  
    Trade payables     3,265       3,629  
    Employees and payroll accruals     15,399       12,651  
    Accrued expenses and other current liabilities     14,262       17,279  
    Operating lease liabilities     2,504       2,374  
    Deferred revenue, current     63,123       62,364  
    Total current liabilities     101,663       99,909  
    NONCURRENT LIABILITIES:        
    Deferred revenue, noncurrent     67       369  
    Long-term loans, net of current portion     29,153       33,047  
    Operating lease liabilities, noncurrent     15,263       17,796  
    Other liabilities, noncurrent     10,772       2,295  
             
    Total noncurrent liabilities     55,255       53,507  
    TOTAL LIABILITIES   $ 156,918     $ 153,416  
    STOCKHOLDERS’ EQUITY:        
    Common stock     15       14  
    Treasury stock     (7,801 )     (4,881 )
    Additional paid-in capital     500,024       471,635  
    Accumulated other comprehensive income (loss)     959       1,047  
    Accumulated deficit     (468,810 )     (437,495 )
             
    Total stockholders’ equity     24,387       30,320  
             
    TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY   $ 181,305     $ 183,736  
     
    Consolidated Statements of Operations (U.S. dollars in thousands, except for share data; Unaudited)
     
        Three Months ended
    December 31    		   Twelve Months ended
    December 31,
         2024    2023     2024       2023  
                     
    Revenue:                
                     
    Subscription   $ 43,414   $ 40,787   $ 167,681     $ 162,750  
    Professional services     2,195     3,689     11,036       12,422  
                     
    Total revenue     45,609     44,476     178,717       175,172  
                     
    Cost of revenue:                
                     
    Subscription     9,852     11,118     42,552       44,224  
    Professional services     3,476     4,712     17,059       18,714  
                     
    Total cost of revenue     13,328     15,830     59,611       62,938  
                     
    Gross profit     32,281     28,646     119,106       112,234  
                     
    Operating expenses:                
                     
    Research and development     12,970     12,737     49,430       52,400  
    Sales and marketing     12,345     12,309     47,766       48,798  
    General and administrative     10,759     12,420     46,009       48,718  
    Restructuring     —     —     —       973  
                     
    Total operating expenses     36,074     37,466     143,205       150,889  
                     
    Operating loss     3,793     8,820     24,099       38,655  
                     
    Financial expenses (income), net     1,238     1,847     (434 )     (1,200 )
                     
    Loss before provision for income taxes     5,031     10,667     23,665       37,455  
    Provision for income taxes     1,574     1,400     7,650       8,911  
                     
    Net loss     6,605     12,067     31,315       46,366  
                     
    Net loss per share   $ 0.04   $ 0.09   $ 0.21     $ 0.34  
                     
    Weighted-average shares used in computing net loss per share     150,452,462     141,791,191     147,925,797       138,237,017  
     
    Consolidated Statements of Operations (U.S. dollars in thousands, except for share data; Unaudited)
     
    Stock-based compensation included in above line items:
     
        Three Months ended
    December 31,    		   Twelve Months ended
    December 31,
         2024    2023    2024    2023
                     
    Cost of revenue   $ 195   $ 301   $ 1,002   $ 1,128
    Research and development     1,178     1,295     4,775     4,734
    Sales and marketing     518     840     2,701     3,187
    General and administrative     3,308     5,588     17,786     20,931
                     
    Total   $ 5,199   $ 8,024   $ 26,264   $ 29,980
     
    Revenue by Segment (U.S. dollars in thousands; Unaudited):
     
        Three Months Ended
    December 31,    		   Twelve Months Ended
    December 31,
         2024    2023    2024    2023
                     
    Enterprise, Education and Technology   $ 32,958   $ 31,569   $ 128,704   $ 125,154
    Media and Telecom     12,651     12,907     50,013     50,018
                     
    Total   $ 45,609   $ 44,476   $ 178,717   $ 175,172
     
    Gross Profit by Segment (U.S. dollars in thousands; Unaudited):
     
        Three Months Ended
    December 31,    		   Twelve Months Ended
    December 31,
         2024    2023    2024    2023
                     
    Enterprise, Education and Technology   $ 25,901   $ 22,998   $ 96,928   $ 91,624
    Media and Telecom     6,380     5,648     22,178     20,610
                     
    Total   $ 32,281   $ 28,646   $ 119,106   $ 112,234
     
    Consolidated Statement of Cash Flows (U.S. dollars in thousands; Unaudited)
     
        Twelve Months Ended December 31,
          2024       2023  
    Cash flows from operating activities:        
    Net loss   $ (31,315 )   $ (46,366 )
    Adjustments to reconcile net loss to net cash provided by (used in) operating activities:        
    Depreciation and amortization     5,064       4,717  
    Stock-based compensation expenses     26,264       29,980  
    Amortization of deferred contract acquisition and fulfillment costs     11,447       11,669  
    Non-cash interest income, net     (1,219 )     (1,023 )
    Gain on foreign exchange     (90 )     (728 )
    Changes in operating assets and liabilities:        
    Decrease in trade receivables     3,334       5,475  
    Decrease (Increase) in prepaid expenses and other current assets and other assets, noncurrent     (949 )     648  
    Increase in deferred contract acquisition and fulfillment costs     (7,497 )     (6,561 )
    Decrease in trade payables     (534 )     (5,884 )
    Increase in accrued expenses and other current liabilities     5,376       797  
    Increase (Decrease) in employees and payroll accruals     2,748       (2,233 )
    Increase (Decrease) in other liabilities, noncurrent     (14 )     443  
    Increase in deferred revenue     458       1,626  
    Operating lease right-of-use assets and lease liabilities, net     (840 )     (863 )
             
    Net cash provided by (used in) operating activities     12,233       (8,303 )
             
    Cash flows from investing activities:        
             
    Investment in available-for-sale marketable securities     (50,874 )     (47,708 )
    Proceeds from maturities of available-for-sale marketable securities     38,981       51,976  
    Purchases of property and equipment     (521 )     (2,607 )
    Capitalized internal-use software development costs     —       (1,493 )
    Investment in restricted bank deposit     —       (1,751 )
             
    Net cash used in investing activities     (12,414 )     (1,583 )
             
    Cash flows from financing activities:        
             
    Proceeds from long-term loans     —       3,500  
    Repayment of long-term loans     (2,187 )     (4,500 )
    Proceeds from exercise of stock options     1,620       1,383  
    Payment of debt issuance costs     (17 )     (274 )
    Repurchase of common stock     (2,920 )     —  
    Payments on account of repurchase of common stock     (30 )     —  
             
    Net cash provided by (used in) financing activities     (3,534 )     109  
             
    Effect of exchange rate changes on cash, cash equivalents and restricted cash   $ 90     $ 728  
             
    Net decrease in cash, cash equivalents and restricted cash   $ (3,625 )   $ (9,049 )
    Cash, cash equivalents and restricted cash at the beginning of the year     36,784       45,833  
             
    Cash, cash equivalents and restricted cash at the end of the year   $ 33,159     $ 36,784  
     
    Reconciliation from GAAP to Non-GAAP Results (U.S. dollars in thousands; Unaudited)
     
        Three Months   Twelve Months
        Ended December 31,   Ended December 31,
          2024       2023       2024       2023  
    Reconciliation of gross profit and gross margin                
    GAAP gross profit   $ 32,281     $ 28,646     $ 119,106     $ 112,234  
    Stock-based compensation expense     195       301       1,002       1,128  
    Amortization of acquired intangibles     107       107       427       426  
    Non-GAAP gross profit   $ 32,583     $ 29,054     $ 120,535     $ 113,788  
    GAAP gross margin     71 %     64 %     67 %     64 %
    Non-GAAP gross margin     71 %     65 %     67 %     65 %
    Reconciliation of operating expenses                
    GAAP research and development expenses   $ 12,970     $ 12,737     $ 49,430     $ 52,400  
    Stock-based compensation expense     1,178       1,295       4,775       4,734  
    Amortization of acquired intangibles     —       —       —       —  
    Non-GAAP research and development expenses   $ 11,792     $ 11,442     $ 44,655     $ 47,666  
    GAAP sales and marketing   $ 12,345     $ 12,309     $ 47,766     $ 48,798  
    Stock-based compensation expense     518       840       2,701       3,187  
    Amortization of acquired intangibles     11       13       50       128  
    Non-GAAP sales and marketing expenses   $ 11,816     $ 11,456     $ 45,015     $ 45,483  
    GAAP general and administrative expenses   $ 10,759     $ 12,420     $ 46,009     $ 48,718  
    Stock-based compensation expense     3,308       5,588       17,786       20,931  
    Amortization of acquired intangibles     —       —       —       —  
    Facility exit and transition costs (a)     —       —       —       154  
    War related costs (b)     22       331       44       331  
    Non-GAAP general and administrative expenses   $ 7,429     $ 6,501     $ 28,179     $ 27,302  
    Reconciliation of operating loss and operating margin                
    GAAP operating loss   $ (3,793 )   $ (8,820 )   $ (24,099 )   $ (38,655 )
    Stock-based compensation expense     5,199       8,024       26,264       29,980  
    Amortization of acquired intangibles     118       120       477       554  
    Restructuring (c)     —       —       —       973  
    Facility exit and transition costs (a)     —       —       —       154  
    War related costs (b)     22       331       44       331  
    Non-GAAP operating income ( loss)   $ 1,546     $ (345 )   $ 2,686     $ (6,663 )
    GAAP operating margin     (8 )%     (20 )%     (13 )%     (22 )%
    Non-GAAP operating margin     3 %     (1 )%     2 %     (4 )%
    Reconciliation of net loss                
    GAAP net loss attributable to common stockholders   $ (6,605 )   $ (12,067 )   $ (31,315 )   $ (46,366 )
    Stock-based compensation expense     5,199       8,024       26,264       29,980  
    Amortization of acquired intangibles     118       120       477       554  
    Restructuring (c)     —       —       —       973  
    Facility exit and transition costs (a)     —       —       —       154  
    War related costs (b)     22       331       44       331  
    Non-GAAP loss attributable to common stockholders   $ (1,266 )   $ (3,592 )   $ (4,530 )   $ (14,374 )
                     
    Non-GAAP net loss per share – basic and diluted   $ 0.01     $ 0.03     $ 0.03     $ 0.10  

            

     
    Adjusted EBITDA (U.S. dollars in thousands; Unaudited)
     
      Three Months Ended December 31,   Twelve Months Ended December 31,
        2024       2023       2024       2023  
       
    Net loss $ (6,605 )   $ (12,067 )   $ (31,315 )   $ (46,366 )
    Financial expenses (income), net (d)   1,238       1,847       (434 )     (1,200 )
    Provision for income taxes   1,574       1,400       7,650       8,911  
    Depreciation and amortization   1,230       1,308       5,065       4,717  
    EBITDA   (2,563 )     (7,512 )     (19,035 )     (33,938 )
    Non-cash stock-based compensation expense   5,199       8,024       26,264       29,980  
    Facility exit and transition costs (a)   —       —       —       154  
    Restructuring (c)   —       —       —       973  
    War related costs (b)   22       331       44       331  
    Adjusted EBITDA $ 2,658     $ 843     $ 7,273     $ (2,500 )
    (a)   Facility exit and transition costs for the year ended December 31, 2023, include losses from sale of fixed assets and other costs associated with moving to our temporary office in Israel.
    (b)   The years ended December 31, 2024, and 2023 include costs related to conflicts in Israel. These costs are attributable to the temporary relocation of key employees from Israel for business continuity purposes, the purchase of emergency equipment for key employees, charitable donations to communities directly impacted by the war, and office fixes and modifications.
    (c)   The year ended December 31, 2023 includes employee termination benefits incurred in connection with our 2023 reorganization plan.
    (d)   The three months ended December 31, 2024 and 2023, and the year ended December 31, 2024 and 2023 include $551, $692, $2,682 and $3,178, respectively, of interest expenses and $902, $538, $3,355, and $2,735, respectively, of interest income.
    Reported KPIs
     
        December 31,
         2024    2023
        (U.S. dollars amounts in thousands)
    Annualized Recurring Revenue             $ 173,900   $ 164,723
    Remaining Performance Obligations             $ 203,379   $ 185,305
     
        Three Months Ended December 31,
        2024     2023  
    Net Dollar Retention Rate             103 %   98 %

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