Truecaller AB Q4 2024 Earnings Call Transcript

The following is excerpted from the question-and-answer section of the transcript.

Question: Predrag Savinovic - Carnegie - Analyst : Rishit, and thanks for taking my questions. First one to you and congrats on the new role. Could you discuss the succession from your previous role? I mean, you've been influential in the establishment of Truecaller of business, the ads business as well, both of which are, for obvious reasons quite important, right. So we discuss this transition and make sure that this is smooth and on your appointments that you're going to make there and that you have made.

Question: Predrag Savinovic - Carnegie - Analyst : Alright, coming back to some of the numbers and I'm looking specifically on subscribers on premium when I do the math in [our poo] and backing out the users in absolute numbers, it looks like you almost go double digit compared to Q3. REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. FEBRUARY 18, 2025 / 12:00PM, TRUEb.ST - Q4 2024 Truecaller AB Earnings Call What has changed here with regards to user growth? What levers have you pulled to improve this is going to be a high figure then for the quarter.

Question: Predrag Savinovic - Carnegie - Analyst : Okay, and just finally then on your enterprise offering in the report, you say that you believe that you have only scratched the surface of this full potential. If you can elaborate on this claim and the ambitions you have going forward, what kind of new products you expect in the future, etc.

Question: Predrag Savinovic - Carnegie - Analyst : Brilliant, thank you very much.

Question: Ramil Koria - Danske Bank - Analyst : Yeah, thank you guys, and we should welcome aboard. It's going to be a ton of fun to interact with you moving forward. A few questions on my end. So, starting off on perhaps IOS and the rollout of it, if you could elaborate a little bit on the potential for, RRO changes as IOS sort of increase the share of total presumably in the future, which markets will you target? More specifically from the get-go and how will that evolve over time, any [color] on that would be quite helpful.

Question: Ramil Koria - Danske Bank - Analyst : That's very clear. And then, on the topic of this caller ID advertising solution, I'd love to hear a little bit more, what have been the hurdles to launch, such an ad inventory. Historically, why has that changed now, clearly if one believes that after call screen constitutes a fairly large share of your total ad inventory today, launching caller ID ads effectively means that your ad opportunity improves quite substantially. So, any additional color on that would be quite helpful.

Question: Ramil Koria - Danske Bank - Analyst : And now that you've run a few pilot campaigns, how should we think of the roll out of it? Scaling of it, so to say. REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. FEBRUARY 18, 2025 / 12:00PM, TRUEb.ST - Q4 2024 Truecaller AB Earnings Call

Question: Ramil Koria - Danske Bank - Analyst : Okay, very clear. And then if I may, guys, just a final question on the topic of, OpEx, perhaps for you or if you could shed some light on, the two main sort of variable OpEx buckets here. First off, what is the actual recruitment need if you could shed some light on that? You said selective recruitments, but what are we talking, in terms of numbers if you could provide us with anything there. And secondly, on the topic of growth-related costs, now with the IOS launch that you also alluded to will drive some marketing expenses, how should we calibrate our expectations numerically on that line item?

Question: Ramil Koria - Danske Bank - Analyst : I always am, I always am.

Question: Ramil Koria - Danske Bank - Analyst : Okay, that's very clear. Thank you guys.

Question: Stefan Gauffin - DNB Bank - Analyst : Yes, hello. Thanks for taking my questions and nice to talk to you, Rishit. So, Looking at the new IOS launch, can you provide some information on how many of your existing users have downloaded the new version? And our hands, possible to try the new version. Secondly, you've stopped the buyback programs I'm explaining that due to liquidity reasons, but that also. Increases your cash situation. So you now have SEK1.2 billion in cash or short term financial assets on your balance sheet and just how are you thinking about this position and yeah it's room to hand out more to the shareholders.

Question: Stefan Gauffin - DNB Bank - Analyst : Okay, if I can squeeze in one more question, and that relates to the [solid Mao nets ads] and how much of these are coming from pre-installment on smartphones and how has this trended recently.

Question: Stefan Gauffin - DNB Bank - Analyst : Okay, perfect. Thank you.

Question: Bharath Nagaraj - Cantor Fitzergald - Analyst : Thank you for taking my questions and congratulations on your appointment. The first question I have is, a question I asked historically as well. Please could you give us a flavor for the industrial sector mix with regards to your ad revenues? Is there like a focus sector in 2025?

Question: Bharath Nagaraj - Cantor Fitzergald - Analyst : Sure, thank you. Thanks for that color. REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. FEBRUARY 18, 2025 / 12:00PM, TRUEb.ST - Q4 2024 Truecaller AB Earnings Call On with regard to the second question, the ad impressions per user continue to grow, but probably this has a ceiling before it kind of worsens the customer experience. Given this context, and I bear in mind what you said that you're focusing on ad revenue per user rather than CPMs or anything else. I just want to understand how big a factor, the CPM is going to be for 2025 ad revenue growth.

Question: Bharath Nagaraj - Cantor Fitzergald - Analyst : Okay, understood. Thank you. The last one, if I may, is, do you have any feedback from customers and churn from your to call up a business customer outside of India?

Question: Bharath Nagaraj - Cantor Fitzergald - Analyst : Super. Thank you very much.

Question: Viktor Lindstr÷m - Nordea - Analyst : Hi Rishit Hi Odd, and congrats on a solid quarter. So, a few ones for me. First of all, you mentioned that you would like to invest and scale up in new countries in 2025. So which countries are you primarily evaluating here and also on a relative basis, how will these investments be compared to this year's growth investments in Nigeria and Colombia?

Question: Viktor Lindstr÷m - Nordea - Analyst : Great, thanks. And then just another one, I noticed that the [lation] was a bit higher here in the quarter, so it's something extra here or should we view this as a new normal based.

Question: Viktor Lindstr÷m - Nordea - Analyst : Great, thanks. That was all for me.