Tribal, an education technology firm headquartered in Bristol, anticipates continued growth in 2025, despite facing existing market challenges. The AIM-listed software company revealed positive results for the fiscal year ending December 31, 2024.
Group revenue rose 6% to £90 million during that period, while adjusted EBITDA, a measure of financial performance, increased by 17.8% to £16.7 million. Statutory profit before tax decreased slightly to £5.9 million from £6.4 million in 2023, a figure impacted by increased exceptional costs. Net debt for the year decreased to £3.2 million, down from £7.2 million the previous year.
Mark Pickett, the firm’s chief executive, described the company’s performance as a “milestone” in its transformation into a software-as-a-service (SaaS) business. He noted that strong, long-term customer relationships and increasing cloud adoption position the company for continued growth in its core business.
“Despite market challenges, we delivered revenue and EBITDA higher than expectations, significantly reduced debt, and saw impressive ARR growth,” Pickett stated, emphasizing the positive outcomes of the past year. He added that the company is focused on optimizing operations to further enhance growth and cash flow generation.
Tribal announced on Thursday, March 27, that it is confident in achieving results aligning with the board’s expectations for the 2025 fiscal year. The company also proposed an annual dividend of 0.65p per share, slated for payment at the end of July, when combined with the 0.65p per share interim dividend paid in November 2024, the total FY24 dividend is expected to be 1.3p per share.
The company also highlighted its ongoing efforts to improve operational efficiency and organizational structure to support its SaaS goals. In 2024, Tribal implemented a cost reduction program to bolster group profit margins during the transition to SaaS, resulting in a reduction of 59 full-time equivalent employees in SIS, representing a 9.1% year-on-year decrease.
