Synchronoss Technologies Inc (NASDAQ:SNCR) reported a strong fourth-quarter performance, with revenue growth driven by an increase in cloud subscribers and higher profitability.
The company, which specializes in personal cloud platforms, posted total revenue of $44.2 million for the quarter ended December 31, 2024, up from $41.4 million a year earlier, fueled by a 6% increase in cloud subscribers.
Net income for the quarter came in at $7.9 million, or $0.71 per diluted share, compared to a net loss of $35 million, or $(3.56) per diluted share, in the same period last year.
Income from operations surged to $7.3 million from $0.2 million, while adjusted EBITDA rose 38.9% to $13.9 million.
“We just completed a transformational year for Synchronoss, opening a new chapter for us as a high-margin, free cash flow-positive global cloud solutions provider,” CEO Jeff Miller said in a statement.
“Looking ahead to 2025, we now have over 90% of our revenue under contract for the year thanks to key contract renewals secured in 2024.”
Outlook
The company recently signed a three-year extension with a major US telecom provider to continue offering its white-labeled Synchronoss Personal Cloud solution. It also launched Capsyl, a new branded cloud platform designed for mobile operators and broadband providers and rolled out an enhanced version of its flagship personal cloud platform with AI-powered photo optimization and improved security features.
For the full year, Synchronoss reported a 5.7% rise in revenue to $173.6 million, with adjusted EBITDA jumping 60.6% to $50.4 million. Net income reached $4.6 million, reversing a net loss of $64.5 million in 2023.
Looking ahead, Synchronoss provided a 2025 revenue outlook of $170 million to $180 million, with at least 90% coming from recurring revenue.
The company expects adjusted EBITDA of $52 million to $56 million and free cash flow between $11 million and $16 million, excluding an anticipated $28 million federal tax refund plus interest.