Gorilla Technology Group Inc (GRRR)

[WeTheMarket]

Gorilla Technology Group Reports Results Through Third Quarter 2023
February 5, 2024
https://investors.gorilla-technology.com/news-releases/news-release-details/gorilla-technology-group-reports-results-through-third-quarter

Summary
– Q3 revenues far exceeded total revenue of 2022 –
– High value Product driven & Services business model reflected in 76.5% gross margin –
– Won sales exceeded internal target of $68 million, standing at $300 million (a 441% increase) –
– Achieved discounted run rate revenues of $88 million in Q3 –
– Solid visibility with sales pipeline over $1 billion –

LONDON, Feb. 05, 2024 (GLOBE NEWSWIRE) -- Gorilla Technology Group Inc. (“Gorilla”) (NASDAQ: GRRR), a global provider of AI-based edge video analytics, IoT technologies, and security convergence, today reported financial results for the nine months ending September 30, 2023.

YTD Highlights

- Surging Revenue: Nine-month revenue of $37.9 million surged by over 2x versus the same period, last year.
- High and Expanding Margin Reflects Value of Business Model: The robust 76.5% gross margin underscores Gorilla's dynamic product-driven and services-oriented business model, a significant leap from the approximately 33% gross margin recorded in the previous year.
- Bottom Line Focus: Achieved an impressive turnaround, with total comprehensive income soaring to $7.2 million, a remarkable improvement from last year's comprehensive loss of ($86 million). This result underscores Gorilla's unwavering commitment to boosting profitability at the bottom line. The adjusted EBITDA experienced an extraordinary surge, reaching $13.4 million, marking an outstanding 431% YoY increase compared to an EBITDA loss of ($4 million) for the same period last year.
- Exceptional Visibility: With discounted run rate revenue over $88 million today, Gorilla affirms its target to achieve at least $90 million of revenue in 2024 and is on course to becoming cash flow positive.

Gorilla Chief Executive Officer Jay Chandan commented, “I am absolutely thrilled to announce stellar earnings for the first nine months of 2023! We’ve not just met our numbers for Q3, but exceeded expectations, showcasing the incredible dedication and hard work of every member of our team. It’s not just about the numbers; it’s a testament to our shared commitment to excellence.

“Our revenue soared to new heights, and in fact our revenue this quarter far exceeded analyst expectations of $21.8 million. This is due to the success of our innovative strategies and unwavering customer focus. We’re not just navigating the market, we’re shaping it. Gross margin more than doubled versus last year due to our relentless pursuit of quality, creativity, and customer satisfaction. Furthermore, comprehensive net income and adjusted EBITDA soared, showcasing our commitment to benefiting shareholders by driving profitability to the bottom line.”

Chandan continued, “We’re not just achieving financial milestones—we’re forging a path of sustained growth and industry leadership. A heartfelt thank you to our dedicated team, loyal customers, and supportive stakeholders. With our momentum building, we are confident that the full year 2023 results are expected to meet prior guidance and that we are primed to achieve our target 2024 revenue of $90 million. We entered 2024 with a $1 billion sales pipeline. This sales pipeline is not just a numerical milestone, it is a testament to our dedication to pushing boundaries, exploring new opportunities, and providing unparalleled value to our clients. There is still plenty of work to be done to convert those leads into contracts and revenue, but my confidence in our team has never been greater.”

Chandan concluded, “Our dedication to judicious cost management has produced remarkable outcomes. We have streamlined our expenses without compromising the quality and efficiency of our operations, making a substantial contribution to our positive financial results. Our cash flow continues to be resilient, affording us the financial flexibility to explore additional project opportunities, invest in innovation, and navigate potential economic uncertainties. Looking forward, we hold an optimistic view of the future and persist in upholding the highest standards of financial stewardship. Our unwavering focus on innovation, operational excellence and customer satisfaction will remain the driving forces behind our ongoing success.”

Earnings Call

Earnings Call The Company will host a pre-recorded conference call on Tuesday, February 6, 2024 at 8:00 a.m. EST to discuss the Company's financial results.

Webcast: https://edge.media-server.com/mmc/p/95an8tgp

Telephone: Click here to register and join the event. Upon registering, you will be emailed a dial-in number and unique PIN.