Harte-Hanks, Inc. ( (HHS) ) has released its Q4 earnings. Here is a breakdown of the information Harte-Hanks, Inc. presented to its investors.
Harte Hanks, Inc., a global customer experience company, specializes in customer care, fulfillment and logistics, and marketing services, serving prominent brands worldwide. The company reported a decline in revenue for the fourth quarter and full year of 2024, with figures at $47.1 million and $185.2 million, respectively, reflecting a decrease from the previous year. Despite a challenging year marked by a net loss of $30.3 million, primarily due to pension plan termination charges, Harte Hanks maintained a strong financial position with $9.9 million in cash and no debt.
Key financial metrics for the fourth quarter included a net loss of $2.4 million, with an operating loss of $1.6 million, slightly improved from the previous year’s quarter. The company’s EBITDA was negative $0.3 million, though adjusted EBITDA stood at $3.5 million, indicating some operational resilience. Segment-wise, the Customer Care and Fulfillment & Logistics Services saw slight revenue declines, while Marketing Services experienced a more significant drop, impacted by goodwill and intangible asset impairments.
Harte Hanks is actively pursuing Project Elevate, a strategic initiative to optimize its cost structure and streamline operations, which has already shown progress in cost reduction. The company is also in a transitional phase, seeking a new CEO, while focusing on innovation and operational excellence to align resources with segment needs and modernize its business.
Looking forward, Harte Hanks is poised to leverage its strong financial position and strategic initiatives to drive growth in 2025 and beyond, despite the current economic challenges. The company’s management remains committed to enhancing customer experience and operational efficiency during this pivotal period.