Direct Communication Solutions (DCSX) released its FY-2024 audited financial results, showing a strategic shift towards SaaS solutions. Revenue decreased 51% to $6.4 million from $13 million in 2023, reflecting the company's prioritization of high-margin recurring revenue over one-time hardware sales. The net loss improved to $1.76 million from $5.09 million in 2023, while Adjusted EBITDA improved 19% to ($2.1 million). Key operational highlights include adding 1,404 new recurring revenue subscribers, maintaining a 34% gross margin, and securing a $3M customer backlog. The company won the IoT Product of the Year award and partnered with UScellular for video telematics. Post FY-2024, William Espley was appointed Chairman of the Board, allowing CEO Chris Bursey to focus on operations.
Direct Communication Solutions (DCSX) ha pubblicato i risultati finanziari annuali 2024 revisionati, evidenziando un cambiamento strategico verso soluzioni SaaS. Il fatturato è diminuito del 51%, passando da 13 milioni di dollari nel 2023 a 6,4 milioni di dollari, riflettendo la priorità dell'azienda su ricavi ricorrenti ad alto margine piuttosto che su vendite hardware una tantum. La perdita netta è migliorata a 1,76 milioni di dollari rispetto ai 5,09 milioni del 2023, mentre l'EBITDA rettificato è cresciuto del 19% attestandosi a (2,1 milioni di dollari). Tra i principali risultati operativi, l'acquisizione di 1.404 nuovi abbonati a ricavi ricorrenti, il mantenimento di un margine lordo del 34% e un backlog clienti di 3 milioni di dollari. L'azienda ha vinto il premio IoT Product of the Year e ha stretto una partnership con UScellular per la telematica video. Dopo l'anno fiscale 2024, William Espley è stato nominato presidente del consiglio, consentendo al CEO Chris Bursey di concentrarsi sulle operazioni.
Direct Communication Solutions (DCSX) publicó sus resultados financieros auditados del año fiscal 2024, mostrando un cambio estratégico hacia soluciones SaaS. Los ingresos disminuyeron un 51%, pasando de 13 millones de dólares en 2023 a 6,4 millones de dólares, reflejando la prioridad de la empresa en ingresos recurrentes de alto margen en lugar de ventas únicas de hardware. La pérdida neta mejoró a 1,76 millones de dólares desde 5,09 millones en 2023, mientras que el EBITDA ajustado mejoró un 19% hasta (-2,1 millones). Entre los aspectos operativos clave se incluyen la incorporación de 1.404 nuevos suscriptores de ingresos recurrentes, mantener un margen bruto del 34% y asegurar una cartera de pedidos de 3 millones de dólares. La compañía ganó el premio IoT Product of the Year y se asoció con UScellular para telemática de video. Tras el año fiscal 2024, William Espley fue nombrado presidente del consejo, permitiendo que el CEO Chris Bursey se enfoque en las operaciones.
Direct Communication Solutions(DCSX)는 2024 회계연도 감사 완료 재무 결과를 발표하며 SaaS 솔루션으로의 전략적 전환을 보여주었습니다. 매출은 2023년 1,300만 달러에서 640만 달러로 51% 감소했으며, 이는 일회성 하드웨어 판매보다 고마진 반복 수익에 집중한 결과입니다. 순손실은 2023년 509만 달러에서 176만 달러로 개선되었고, 조정 EBITDA는 19% 개선된 (-210만 달러)를 기록했습니다. 주요 운영 성과로는 1,404명의 신규 반복 수익 구독자 확보, 34%의 총이익률 유지, 300만 달러 규모 고객 수주 잔고 확보가 포함됩니다. 회사는 IoT 올해의 제품상을 수상했으며, UScellular와 영상 텔레매틱스 파트너십을 체결했습니다. 2024 회계연도 이후 William Espley가 이사회 의장으로 임명되어 CEO Chris Bursey가 운영에 집중할 수 있게 되었습니다.
Direct Communication Solutions (DCSX) a publié ses résultats financiers audités pour l'exercice 2024, montrant un virage stratégique vers les solutions SaaS. Le chiffre d'affaires a diminué de 51 %, passant de 13 millions de dollars en 2023 à 6,4 millions de dollars, reflétant la priorité donnée par l'entreprise aux revenus récurrents à forte marge plutôt qu'aux ventes ponctuelles de matériel. La perte nette s'est améliorée pour atteindre 1,76 million de dollars contre 5,09 millions en 2023, tandis que l'EBITDA ajusté a progressé de 19 % pour s'établir à (2,1 millions). Parmi les faits marquants opérationnels figurent l'ajout de 1 404 nouveaux abonnés à revenus récurrents, le maintien d'une marge brute de 34 % et un carnet de commandes clients de 3 millions de dollars. L'entreprise a remporté le prix IoT Product of the Year et s'est associée à UScellular pour la télématique vidéo. Après l'exercice 2024, William Espley a été nommé président du conseil d'administration, permettant au PDG Chris Bursey de se concentrer sur les opérations.
Direct Communication Solutions (DCSX) veröffentlichte die geprüften Finanzergebnisse für das Geschäftsjahr 2024 und zeigte dabei eine strategische Ausrichtung auf SaaS-Lösungen. Der Umsatz sank um 51 % von 13 Millionen US-Dollar im Jahr 2023 auf 6,4 Millionen US-Dollar, was die Priorisierung von margenstarken wiederkehrenden Einnahmen gegenüber einmaligen Hardwareverkäufen widerspiegelt. Der Nettoverlust verbesserte sich auf 1,76 Millionen US-Dollar gegenüber 5,09 Millionen im Jahr 2023, während das bereinigte EBITDA um 19 % auf (2,1 Millionen US-Dollar) stieg. Zu den wichtigsten operativen Highlights zählen die Gewinnung von 1.404 neuen Abonnenten mit wiederkehrenden Einnahmen, die Aufrechterhaltung einer Bruttomarge von 34 % sowie ein Kundenauftragsbestand von 3 Millionen US-Dollar. Das Unternehmen gewann den IoT Product of the Year Award und ging eine Partnerschaft mit UScellular für Video-Telematik ein. Nach dem Geschäftsjahr 2024 wurde William Espley zum Vorstandsvorsitzenden ernannt, wodurch sich CEO Chris Bursey auf das operative Geschäft konzentrieren kann.
Positive
Net loss improved significantly from $5.09M to $1.76M
Added 1,404 new recurring revenue subscribers
Strong customer backlog of $3M in purchase orders
Maintained stable gross margin at 34%
19% improvement in Adjusted EBITDA
Won IoT Product of the Year award
Negative
Revenue declined 51% year-over-year to $6.4M
Gross profit decreased 51% to $2.2M
Continued negative Adjusted EBITDA of ($2.1M)
San Diego, California--(Newsfile Corp. - May 1, 2025) - Direct Communication Solutions, Inc. (OTC Pink: DCSX) (CSE: DCSI) (FSE: 7QU0) ("DCS" or the "Company"), a leading provider of information technology solutions for the Internet of Things (IoT) market, is pleased to announce the posting of its Audited Annual Financial Statements for the fiscal year ended December 31, 2024 (the "FY-2024"), along with the corresponding Management Discussion & Analysis ("MD&A") on SEDAR+.
Significant Highlights
Ongoing Transition to SaaS Solutions: Continued executing on our strategy to transition to a SaaS-focused model with an emphasis on high-margin, recurring revenue. Added 1,404 new recurring revenue subscribers, including 402 MiFleet + Vision video telematics subscribers in Q4 of 2024.
Backlog of Customer Purchase Orders: Ended FY 2024 with a strong customer backlog of $3M in customer purchase orders for Smart Hardware products
IoT Project of the Year: First American based company to win the IoT Product of the Year for best IoT Innovation for Asset Protection.
MiFleet + Vision Promotion: Partnered with UScellular on a Q4 2024 video telematics promotion that resulted in record new subscribers.
Fuel Dispensing and Audit Solution: Delivered a custom designed IoT solution to manage and audit fuel dispensing for IT&E in Guam for the Guam Port Authority.
IoT Device Approvals: Approved multiple IoT devices on the major cellular network operators to position DCS as a leading provider of IoT solutions to our customers and partners.
Financial Performance
Direct Communication Solutions Inc. reported fiscal year 2024 revenues of $6.4 million (U.S.), compared to $13 million (U.S.) in 2023, representing a 51% year-over-year decrease. This decrease is attributed to our ongoing restructuring to prioritize long term, high-margin recurring SaaS revenue over lower-margin, one-time hardware sales.
The fiscal year 2024 gross profit was $2.2 million (U.S.), compared to $4.4 million (U.S.) in FY 2023, reflecting a 51% decrease. The gross margin stayed constant at 34% in both FY 2024 and FY 2023. The net loss for FY 2024 was $1.76 million (U.S.), a reduction from a net loss of $5.09million (U.S.) in FY 2023. Adjusted EBITDA for FY 2024 was ($2.1 million) (U.S.), compared to ($2.6 million) in FY 2023, marking a 19% improvement.
CEO Commentary
"In 2024, we continued to execute our strategic transition towards long term, high-margin, recurring SaaS revenues based on our industry leading IoT services and solutions," said Chris Bursey, CEO of Direct Communication Solutions. "Our efforts are reflected in the increased SaaS revenues and improved gross margins. We are making significant strides in reducing operating costs while growing our SaaS subscriber base. The strategic partnerships we have forged are set to enhance our IoT solutions and contribute to our ongoing growth."
Board Announcement
Subsequent events after FY- 2024, DCS also announces a change of duties within the Board of Directors. William Espley will assume the title and responsibilities of Chairman of the Board to allow Chris Bursey to fully focus on the key operational position as CEO of the company. Mr. Espley has over forty years of experience in Board positions for public companies in both the U.S. and Canada with an emphasis on finance and investor relations.
About Direct Communication Services Inc.
DCSI is a technology solutions integrator focusing on connecting the Internet of Things. We provide real solutions that solve real problems. Our software applications and scalable cloud services collect and assess business-critical data from all types of assets. DCSI is headquartered in San Diego, California and is publicly traded on the OTCQX ("DCSX"), Canadian Securities Exchange ("DCSI") and Frankfurt Stock Exchange ("7QU0"). For more information, visit www.dcsbusiness.com. DCSI and the DCSI logo are among the trademarks of DCSI in the United States. Any other trademarks or trade names mentioned are the property of their respective owners.
This release contains forward-looking statements reflecting management's current views of future events and operations. These statements are based on current expectations and assumptions, subject to risks and uncertainties that could cause results to differ materially. DCS believes that these potential risks and uncertainties include, without limitation: the ongoing COVID-19 pandemic, the Company's dependence on third-party manufacturers, suppliers, technologies, and infrastructure; risks related to intellectual property; industry risks, including competition, online security, government regulation, and global economic conditions; and the Company's financial position and need for additional funding. Statements in this release should be evaluated in light of these factors. These risk factors and other important factors that could affect our business and financial results are discussed in our Management's Discussion and Analysis, periodic reports, and other public filings available on SEDAR+ at www.sedarplus.ca and posted with the OTC Disclosure and News Service. DCS undertakes no duty to update or revise any forward-looking statements.
Neither the Canadian Securities Exchange nor its Regulation Services Provider (as that term is defined in the policies of the Canadian Securities Exchange) accepts responsibility for the adequacy or accuracy of this release.
What was DCSX's revenue and net loss for fiscal year 2024?
DCSX reported revenue of $6.4 million and a net loss of $1.76 million for fiscal year 2024.
How many new subscribers did Direct Communication Solutions add in 2024?
DCS added 1,404 new recurring revenue subscribers, including 402 MiFleet + Vision video telematics subscribers in Q4 2024.
Why did DCSX's revenue decrease in 2024?
The 51% revenue decrease was due to the company's strategic restructuring to prioritize long-term, high-margin recurring SaaS revenue over lower-margin, one-time hardware sales.
What was Direct Communication Solutions' gross margin in 2024?
DCSX maintained a gross margin of 34% in FY 2024, unchanged from FY 2023.
Who is the new Chairman of DCSX's Board of Directors?
William Espley was appointed Chairman of the Board, allowing CEO Chris Bursey to focus on operational duties.
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