Onespan ( (OSPN) ) has released its Q4 earnings. Here is a breakdown of the information Onespan presented to its investors.
OneSpan Inc. is a company specializing in secure authentication, identity, electronic signature, and digital workflow solutions, primarily serving the financial sector with a focus on protecting and facilitating digital transactions and agreements.
In its latest earnings report, OneSpan announced a significant turnaround in its financial performance for the year 2024, highlighting strong growth in subscription revenue and a return to profitability. The company reported an increase in full-year revenue and operating income, marking a stark contrast to the previous year’s losses.
Key financial metrics from the report include a 3% increase in full-year revenue to $243.2 million and a substantial rise in operating income to $44.8 million, compared to an operating loss of $28.9 million in 2023. Subscription revenue saw a notable increase of 31% year-over-year, contributing to an 8% growth in Annual Recurring Revenue (ARR). The company’s net income for the year was $57.1 million, a significant improvement from the previous year’s net loss.
OneSpan’s strategic focus on subscription services and operational efficiency has paid off, with the company achieving a 74% gross margin for the fourth quarter. The introduction of a quarterly cash dividend program further underscores its financial stability and commitment to returning value to shareholders.
Looking ahead, OneSpan’s management remains optimistic about sustained growth and profitability, with projected revenue and ARR increases for 2025. The company plans to continue disciplined investments and maintain its focus on operational excellence to drive long-term success.