TechTarget 2024 Q4 Earnings Revenue Increases 45.9% Despite Wider Net Loss
Daily EarningsWednesday, May 28, 2025 11:05 pm ET
35min readTechTarget (TTGT) reported its fiscal 2024 Q4 earnings on May 28th, 2025. Despite a significant revenue increase, the company faced challenges with a widening net loss. TechTarget's revenue growth of 45.9% to $115.88 million in Q4 2024 surpassed expectations, but its net loss increased by 66.6% to $-106.37 million. The company adjusted its guidance, projecting 2025 revenues to be broadly flat with a low to mid-single-digit decline in the first half. However, adjusted EBITDA is expected to rise due to operating cost synergies.
Revenue
The total revenue of increased by 45.9% to $115.88 million in 2024 Q4, up from $79.43 million in 2023 Q4.
Earnings/Net Income
TechTarget narrowed losses to $1.49 per share in 2024 Q4 from a loss of $2.25 per share in 2023 Q4, a 33.7% improvement. Nevertheless, the company's net loss widened to $-106.37 million in 2024 Q4, a 66.6% increase from the $-63.84 million loss recorded in 2023 Q4. The EPS improvement is overshadowed by the increased net loss.
Price Action
The stock price of TechTarget has edged down 0.42% during the latest trading day, has tumbled 10.99% during the most recent full trading week, and has dropped 7.52% month-to-date.
Post-Earnings Price Action Review
The strategy of buying TechTarget (TTGT) shares following a quarterly revenue drop and holding for 30 days proved detrimental, resulting in an 87.47% loss. This performance starkly contrasts with the benchmark return of 39.33%, leading to an excess return of -126.80%. The strategy's Sharpe ratio was -0.90, emphasizing poor risk-adjusted returns, and the maximum drawdown was a significant -88.82%, highlighting the high risk and substantial losses associated with this approach.
CEO Commentary
Gary Nugent, Chief Executive of Informa TechTarget, highlighted that 2024 experienced broadly flat underlying revenue performance due to geopolitical tensions and macroeconomic uncertainty. He announced that 2025 will serve as "The Foundation Year" for the company, focusing on leveraging strengths across Brands, Products, Go-To-Market, and Talent to enhance growth and operational efficiency. Nugent expressed optimism regarding the enhanced market position post-combination, emphasizing a commitment to delivering operating cost synergies and improving the sales pipeline throughout the year. He noted that while challenges persist, the company is well-positioned for long-term growth driven by innovation in enterprise technology.
Guidance
Informa TechTarget expects reported revenues for 2024 to be between $285 million and $295 million, with pro forma revenues anticipated to range from $490 million to $500 million. For 2025, the company anticipates revenues to be broadly flat, with a low to mid-single digit year-on-year decline projected for the first half, representing about 45% of annual revenues. However, adjusted EBITDA is expected to increase, supported by operating cost synergies and the non-recurrence of certain one-off costs, with a target to achieve $45 million in overall run rate synergies by Year 3.
Additional News
Informa TechTarget recently faced a financial investigation concerning potential securities law violations, as announced by several law firms, including Rosen Law Firm. This investigation follows TechTarget's disclosure of accounting errors related to goodwill impairment, contingent consideration, and intangibles amortization. The company received a Nasdaq notice regarding non-compliance due to a delayed 2024 Form 10-K filing, prompting further scrutiny. Meanwhile, TechTarget has been recognized for its leadership in multiple 2025 Account-Based Marketing (ABM) reports, underscoring its role as a key player in the B2B technology sector.
Revenue
The total revenue of increased by 45.9% to $115.88 million in 2024 Q4, up from $79.43 million in 2023 Q4.
Earnings/Net Income
TechTarget narrowed losses to $1.49 per share in 2024 Q4 from a loss of $2.25 per share in 2023 Q4, a 33.7% improvement. Nevertheless, the company's net loss widened to $-106.37 million in 2024 Q4, a 66.6% increase from the $-63.84 million loss recorded in 2023 Q4. The EPS improvement is overshadowed by the increased net loss.
Price Action
The stock price of TechTarget has edged down 0.42% during the latest trading day, has tumbled 10.99% during the most recent full trading week, and has dropped 7.52% month-to-date.
Post-Earnings Price Action Review
The strategy of buying TechTarget (TTGT) shares following a quarterly revenue drop and holding for 30 days proved detrimental, resulting in an 87.47% loss. This performance starkly contrasts with the benchmark return of 39.33%, leading to an excess return of -126.80%. The strategy's Sharpe ratio was -0.90, emphasizing poor risk-adjusted returns, and the maximum drawdown was a significant -88.82%, highlighting the high risk and substantial losses associated with this approach.
CEO Commentary
Gary Nugent, Chief Executive of Informa TechTarget, highlighted that 2024 experienced broadly flat underlying revenue performance due to geopolitical tensions and macroeconomic uncertainty. He announced that 2025 will serve as "The Foundation Year" for the company, focusing on leveraging strengths across Brands, Products, Go-To-Market, and Talent to enhance growth and operational efficiency. Nugent expressed optimism regarding the enhanced market position post-combination, emphasizing a commitment to delivering operating cost synergies and improving the sales pipeline throughout the year. He noted that while challenges persist, the company is well-positioned for long-term growth driven by innovation in enterprise technology.
Guidance
Informa TechTarget expects reported revenues for 2024 to be between $285 million and $295 million, with pro forma revenues anticipated to range from $490 million to $500 million. For 2025, the company anticipates revenues to be broadly flat, with a low to mid-single digit year-on-year decline projected for the first half, representing about 45% of annual revenues. However, adjusted EBITDA is expected to increase, supported by operating cost synergies and the non-recurrence of certain one-off costs, with a target to achieve $45 million in overall run rate synergies by Year 3.
Additional News
Informa TechTarget recently faced a financial investigation concerning potential securities law violations, as announced by several law firms, including Rosen Law Firm. This investigation follows TechTarget's disclosure of accounting errors related to goodwill impairment, contingent consideration, and intangibles amortization. The company received a Nasdaq notice regarding non-compliance due to a delayed 2024 Form 10-K filing, prompting further scrutiny. Meanwhile, TechTarget has been recognized for its leadership in multiple 2025 Account-Based Marketing (ABM) reports, underscoring its role as a key player in the B2B technology sector.
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