(Oslo, Norway – August 21st, 2024) — Airthings (AIRX), a global leader in air quality monitoring and energy-saving solutions, reported revenues of USD 8.7 million in the second quarter of 2024, up 17 percent from the same period last year. Growth was driven by increased sales in the Consumer segment, which grew 37 percent year-on-year to USD 6.8 million in the quarter. ARR was USD 4.3 million at the end of the second quarter, up from USD 4.0 million in the same period last year.
“The Consumer and Business segments had opposite developments in the quarter: In the Consumer segment we achieved continued strong growth and increased customer loyalty, while sales in the Business segment lagged due to challenging market conditions and order postponements,” says CEO Emma Tryti.
Gross profit amounted to USD 5.4 million in the quarter, corresponding to a 62 percent gross profit margin (GPM), about the same level as the same quarter last year, despite a significantly higher share of revenues from the Consumer segment.
Performance and insights gained during the first half of 2024 triggered a review and update of the company’s strategy to make sure Airthings capitalizes on market trends and ensures the best possible return on investment in the short to medium term. Climate change and general health awareness contribute to increased focus on indoor air quality, and Airthings is well positioned to capture business in a rapidly growing market for health-tech devices and services.
“Since the Airthings 3.0 strategy, announced at the Capital Market Day last year, we have continued our progress towards profitability. To accelerate the process, we will simplify our organization and operations and focus on one, shared and customer-centric value proposition across segments. Airthings will empower people to breathe better at home, at school and at work,” says Tryti.
Going forward, building control will be developed and distributed through partners, and not as part of Airthings’ core offering. Proactive direct sales to non-scalable business customer segments will be halted. As part of establishing a leaner and more focused organization, the workforce will be reduced by 20 percent during the second half of 2024.
In addition to updating its strategy, the company has set a new target for profitability: Airthings aim to be EBITDA positive for the second half of 2025, and for the full year 2026, and expect that the current operating plans remain fully funded to break even.
“Our products and solutions meet the needs of individuals, families, businesses and authorities, all increasingly aware of the importance of health-driven indoor air quality. Our insights confirm that people in many parts of the world now consider indoor air quality as a “must have”, rather than a “nice to have”. We expect this trend to grow. And we will be there to capture market share, capitalizing on our position to ensure profitable growth,” said Tryti.
For the third quarter of 2024, Airthings guides for revenues within the range of
USD 9.5 – 11.5 million, with ARR of USD 4.3 – 4.5 million expected at the end of the quarter.
The interim report and presentation are attached to this release and available on www.airthings.com/investors.
Practical arrangements:
The results for Q2 2024 and a strategy update presentation will be presented by CEO Emma Tryti and interim CFO Magnus Bekkelund at 10:00 (CET) at Danske Bank’s offices, Aker Brygge, Oslo. The presentation is open to the public and can also be followed via the following link:
https://events.webcast.no/airthings/presentations/uidPqvaRnp4HSdSapIVg
For additional information or media requests, please contact:
Emma Tryti - CEO
T: +47 473 76 431
E: emma.tryti @airthings.com
Magnus Bekkelund – Interim CFO
T: +47 480 78 845
E: magnus.bekkelund@airthings.com
Airthings is a global technology company and producer of award-winning radon and indoor air quality monitors for homeowners, businesses, and professionals. Founded in 2008, Airthings is on a mission to ensure that people around the world recognize the impact of indoor air quality and take control of their health through simple, affordable, and accurate technology solutions while optimizing energy consumption in buildings. Airthings’ products have made radon detection and indoor air quality monitoring easy to deploy, accurate, and user friendly, and have received several accolades including the TIME's Best Inventions award and CES Innovation Award Honors. Headquartered in the heart of Oslo, Norway, and with offices in the US and Sweden the company has over 130 employees from more than 35 nationalities—and counting. To see the full range of Airthings indoor air quality monitors and radon detectors or to learn more about the importance of continuous air quality monitoring, please visit airthings.com