Innodata (INOD) Sees Significant Premarket Surge of 8.5%
Innodata Inc. (INOD) has captured the attention of investors with a remarkable premarket price change of $4.62, equating to an 8.5% increase, bringing the current premarket price to $59.18. This surge comes on the heels of the company's recently reported fourth-quarter results, which have significantly boosted investor confidence.
On February 20, 2025, Innodata announced its fourth-quarter results, revealing a staggering revenue of $59.2 million, marking a 127% increase from $26.1 million in the same period last year. This impressive growth reflects the company's strong operational performance and its ability to capitalize on industry trends.
In addition to the remarkable revenue growth, Innodata reported an adjusted EBITDA of $14.1 million for the fourth quarter, a significant increase from $4.3 million in the previous year. The net income for the quarter also saw a substantial rise, reaching $10.3 million, or $0.34 per basic share, compared to just $1.7 million, or $0.06 per basic share, in the same quarter last year.
CEO Jack Abuhoff expressed optimism about the company's future, stating, "Q4 was a record quarter and 2024 was a record year. Our Q4 revenues of $59.2 million were well above the high end of our Q4 revenue guidance of $52-$55 million." This statement reflects the company's strong business momentum and its commitment to continued growth.
Investors are particularly excited about Innodata's expanding relationships with major clients, including additional programs valued at approximately $24 million of annualized run rate revenue with its largest customer. The company also reported a 159% revenue increase from its other big tech customers in the fourth quarter, further validating its growth strategy.
With a strong balance sheet, including $46.9 million in cash and an undrawn $30 million credit facility, Innodata is well-positioned to invest in future growth opportunities. The company forecasts a revenue growth of 40% or more in 2025, driven by its recent wins and ongoing business momentum.
As investors react to these positive developments, the premarket surge in Innodata's stock price highlights the market's confidence in the company's ability to sustain its growth trajectory. With the current premarket price at $59.18, all eyes will be on how the stock performs in the coming trading sessions.
