Tucows notes earnings, .IN registry win
Domain business chugs along and wins a sizable registry contract.
Tucows (NASDAQ; TCX) noted quarterly and full-year 2024 earnings following the market closed yesterday.
For Q4, revenue increased 7.1% to $93.1 million from $87.0 in the same quarter a year ago.
The firm posted a steep net loss of $45.3 million in the quarter, with a one-time impairment cost in Ting and restructuring charges contributing to the loss. Taking those out of the picture, the firm posted a loss of $15.8 million.
Tucows’ domain name business continues to be a bright spot. Q4 domain revenue was $65.7 million, up 6% from $61.8 million for the same quarter last year. The business grew 5% for the full year 2024 compared to 2023.
Revenue grew despite flat domains under management and a 1% decrease in fresh registrations. A bright spot in Q4 was the value-added services line item, which grew 36% year-over-year to $5 million. The firm credited strong revenue from selling expired domains.
Tucows disclosed it won the contract to run the backend registry services for India’s .in country code domain. The firm is migrating regarding 4 million .in domains to its platform. It didn’t disclose the actual contract terms but stated, “The pricing and margin contribution for this piece of business is typical of a sizable, high volume client.” (I attempted to check the website for NIXI, which oversees .in, for details. Its website isn’t fully resolving for me.)
