Magic Software Reports Strong 2024 Financial Results

Magic Software ( (MGIC) ) has released its Q4 earnings. Here is a breakdown of the information Magic Software presented to its investors.

Magic Software Enterprises Ltd. is a global provider of IT consulting services and end-to-end integration and application development platform solutions, operating primarily in the technology sector.

In its latest earnings report, Magic Software announced a solid financial performance for the fourth quarter and the full year of 2024, showcasing growth in revenues and operating income despite a slight decrease in net income for the full year.

For the fourth quarter of 2024, Magic Software reported a 13.6% increase in revenues to $142.6 million and a 28.6% rise in operating income to $16.7 million. The net income attributable to shareholders also saw a significant increase of 25.2% to $10.6 million. However, on a non-GAAP basis, the net income slightly declined by 0.5% to $11.5 million. For the full year, revenues grew by 3.3% to $552.5 million, with operating income increasing by 7.2% to $61.2 million. Despite these positive figures, the net income for the year decreased marginally by 0.4% to $36.9 million.

Looking ahead, Magic Software has introduced a revenue guidance for 2025, projecting an annual growth of 7.3% to 9.1%. The company also announced a strategic merger with Matrix I.T, which is expected to create a more diversified entity with enhanced capabilities, potentially increasing the market value significantly. This merger is anticipated to strengthen Magic Software’s position in the global market, promising a robust future for the company and its shareholders.