TextMagic Group's revenue growth rate has slowed in recent years due to a combination of factors. In 2024, revenue increased by €0.21 million compared to 2023, reaching €15.18 million (2023: €14.97 million). The business focus in 2024 was to develop and expand the Textmagic platform to restore growth.

Textmagic has responded to regulatory changes in the U.S. as well as evolving market and customer dynamics by accelerating development efforts and temporarily expanding product development teams. In 2024, we launched a solution for high-volume messaging clients, enhanced the platform's communication channels and user management features, and improved the verification process for U.S. customers. In the second quarter of 2025, email and campaign management capabilities will be added to strengthen the product's value proposition and expand the customer base.

Groups's key figures of 2024

  2024 2023 Change
Revenue €15.18 M €14.97 M +1 %
EBITDA €6.15 M €6.23 M -1 %
Operating profit €1.80 M €2.56 M -30 %
The Group's operating profit for 2024 decreased compared to the prior year, primarily due to higher amortization of intangible assets, resulting from increased capitalized development costs. In addition, the increase in staff and operating expenses also had an impact. The EBITDA figure, which eliminates the effect of amortization, decreased by 1%. The EBITDA margin was 41% (2023: 42%), confirming the continued strong operating cash flows.

Key objectives of the Group for 2025

Get the latest news
delivered to your inbox
Sign up for The Manila Times newsletters
By signing up with an email address, I acknowledge that I have read and agree to the Terms of Service and Privacy Policy.

In 2025, the Group will focus primarily on marketing the Textmagic platform's extended functionality and expanding its customer base. An important focus is also on maximizing the satisfaction of existing customers to support sustainable growth.

In the coming period, the development team will be optimized and costs reduced as the rapid development phase comes to an end and the focus shifts to cost efficiency. The development team was reduced in the first quarter of 2025.

The goal is to increase both sales and profits by providing businesses with reliable and modern tools for fast, convenient and effective marketing and customer communication.

TextMagic AS's consolidated audited annual report for 2024 is attached to the announcement in PDF format.

There are no material differences with respect to the financial results of the audited consolidated annual report in comparison with the consolidated 12-month unaudited interim report published on February 25, 2025.

 Additional information:

        Getter Grünmann

         TextMagic AS, CFO

         investor@textmagic.biz

         https://investor.textmagic.com/

CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR 2024

CONSOLIDATED STATEMENT OF FINANCIAL POSITION 

(in thousands of euros) 31.12.2024 31.12.2023
Non-current assets    
Property, plant and equipment 581 105
Intangible assets and goodwill 32,972 32,854
Total non-current assets 33,553 32,959
Current assets    
Trade and other receivables 22 24
Prepayments 165 231
Financial Investments 0 2,500
Cash and cash equivalents 3,432 3,900
Total current assets 3,619 6,655
TOTAL ASSETS 37,172 39,614
     
Current Liabilities    
Current tax liabilities 270 232
Trade and other payables 913 791
Lease liabilities 107 0
Contract liabilities 1,669 1,659
Other provisions 384 1,117
Total current liabilities 3,343 3,799
Long-Term Liabilities  

 

Lease liabilities 309 0
Total long-term liabilities 309 0
Total liabilities 3,652 3,799
     
Equity    
Share capital 850 850
Share premium 141 51,242
Reserve capital 85 85
Voluntary reserve 27,710 0
Other reserve 1,235 2,035
Foreign currency translation reserve (35) (21)
Retained earnings 3,534 (18,376)
Equity attributable to owners of the parent 33,520 35,815
Total equity 33,520 35,815
TOTAL EQUITY AND LIABILITIES 37,172 39,614
  

CONSOLIDATED STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME

(in thousands of euros) 01.01.2024- 31.12.2024 01.01.2023-31.12.2023
Revenue 15,175 14,970
Other income 175 93
Goods, raw materials and services (4,764) (4,786)
Other operating expenses (1,887) (1,715)
Work performed by the entity and capitalized 4,327 2,651
Employee expenses (6,871) (4,801)
Depreciation, amortization and impairment of non-current assets (4,342) (3,670)
Other expenses (10) (180)
Operating profit (loss) 1,803 2,562
Discontinued Operations 0 (23,392)
Financial Income 258 183
Profit (loss) before tax 2,061 (20,647)
Income tax (8) (10)
Profit (loss) for the period 2,053 (20,657)
 

Other comprehensive income

   

 

Items that are or may be reclassified subsequently to profit or loss
Foreign currency translation differences (14) 20
Other comprehensive income for the period, net of tax (14) 20
Total comprehensive income for the period 2,039 (20,637)
  

CONSOLIDATED STATEMENT OF CASH FLOWS

(in thousand euros) 01.01.2024-31.12.2024 01.01.2023-31.12.2023
Cash flows from operating activities    
Profit (loss) for the period - continuing operations 2,053 2,735
Adjustments for:    
Depreciation and amortization 4,342 3,670
Financial Income (258) (183)
Other adjustments 318 489
Total adjustments 4,402 3,976
Changes in trade and other receivables 2 (25)
Changes in contract liabilities 10 (96)
Changes in prepayments 66 (102)
Changes in trade and other payables (573) 519
Cash flows from operating activities - continuing operations 5,960 7 007
Cash flows from operating activities - discontinued operations 0 (882)
Cash flows from operating activities 5,960 6,125
 

Cash flows from investing activities

   
Net cash flows from business combinations 0 (1,100)
Interest received 258 183
Fixed-term deposits 2,500 (2,500)
Acquisition of property, plant and equipment (140) (16)
Development expenditure (3,962) (2,278)
Cash flows used in investing activities - continuing operations (1,344) (5,711)
Cash flows used in investing activities - discontinued operations 0 (3,129)
Cash flows used in investing activities (1,344) (8,840)
 

Cash flows from financing activities

   
Lease liability principal repayments (55) 0
Payouts to shareholders (5,015) (2 550)
Cash flows from financing activities - continuing operations (5,070) (2 550)
Cash flows from financing activities - discontinued operations 0 0
Cash flows from financing activities (5,070) (2 550)
     
TOTAL CASH FLOWS (454) (5 265)
Cash and cash equivalents at the beginning 3,900 9 145
Effect of movements in exchange rates on cash held (14) 20
Cash and cash equivalents at the end 3,432 3 900

  

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

(in thousands of euros) Total equity attributable to owners of TextMagic AS
Share Capital Share premium Reserve capital Voluntary reserve Other reserve Foreign currency translation reserve Retained earnings Total equity
Balance at December 31, 2022 850 51,242 0 0 1,651 (41) 1,784 55,486
Loss for the period 0 0 0 0 0 0 (20 657) (20 657)
Other comprehensive income for the period 0 0 0 0 0 20 0 20
Other changes in equity 0 0 85 0 384 0 497    966
Balance at December 31, 2023 850 51,242 85 0 2,035 (21) (18,376) 35,815
Profit for the period 0 0 0 0 0 0 2,053 2,053
Other comprehensive income for the period 0 0 0 0 0 (14) 0 (14)
Covering loss 0 (18,376) 0 0 0 0 18,376 0
Transactions with shareholders 0 (5,015) 0 0 0 0 0 (5,015)
Other changes in equity 0 (27,710) 0 27,710 (800) 0 1,481  681
Balance at December 31, 2024 850 141 85 27,710 1,235 (35) 3,534 33,520

Attachments