Octopus Digital Ltd. (OCTOPUS) announced a robust 37.7% year-on-year increase in revenues for calendar year 2024 (CY24), reaching PKR 1.3 billion compared to PKR 0.9 billion in the same period last year. The company disclosed the details during an analyst briefing, outlining its financial performance and strategic roadmap. As seen in a report by AKD securities limited.
Gross margins also improved significantly, climbing to 48.3% from 40.8% in, highlighting operational efficiency gains. However, despite the higher topline and margins, net earnings fell sharply by 45% year-on-year to PKR 205 million (Earnings Per Share: PKR 1.28), compared to PKR 373 million (EPS: PKR 2.50) in the prior year. Management attributed the earnings decline to the absence of exchange gains, which had positively impacted profitability in the previous year.
The company, which currently operates in Pakistan and the Middle East, unveiled plans to raise capital and expand into the North American market as part of its global growth strategy.
Looking ahead, Octopus Digital projects CY25 revenues to reach PKR 2.1 billion, with PKR 1.75 billion expected from recurring revenue streams and PKR 0.35 billion from non-recurring revenues.
In terms of its service pipeline, the company estimates its AMS Middle East pipeline at approximately US$15 million, with expected orders totaling around US$8 million. Meanwhile, the AMS Pakistan pipeline stands at about US$2.2 million, with anticipated orders amounting to US$1.2 million.
It was also noted during the briefing that Octopus Digital’s stock is currently not under formal coverage by AKD Securities.
