Synchronoss Technologies Reports $173.6 Million Revenue and $6.2 Million Net Income for Fiscal Year 2024

Synchronoss Technologies, Inc. reported a net revenue of $173.6 million for the fiscal year ending December 31, 2024, marking an increase of $9.4 million from $164.2 million in 2023. The company achieved a significant turnaround in profitability, posting a net income of $6.2 million compared to a net loss of $34.1 million in the previous year. This improvement was attributed to a combination of increased cloud subscriber growth and reduced operational costs, particularly in research and development and selling, general, and administrative expenses.

The company underwent a strategic shift in October 2023, divesting its Messaging and NetworkX businesses to focus solely on cloud-centric solutions. This divestiture was recorded as discontinued operations and allowed Synchronoss to streamline its operations and enhance shareholder value. The sale generated $31.3 million in cash proceeds, which were partially used to repurchase its Series B Preferred Stock and a portion of its Senior Notes, further optimizing its capital structure.

Operationally, Synchronoss reported a decrease in costs and expenses, totaling $151.9 million in 2024, down from $174.8 million in 2023. This reduction was primarily due to lower hosting and telecom expenses, as well as workforce restructuring measures implemented in late 2023. The company’s focus on its core cloud services has led to a more efficient cost structure, with a notable decrease in restructuring charges from $4.0 million in 2023 to $1.3 million in 2024.

As of December 31, 2024, Synchronoss employed 802 full-time employees and 47 contingent workers, reflecting a commitment to maintaining a skilled workforce while managing costs. The company continues to expand its market presence, particularly in the telecommunications sector, where it serves major clients such as Verizon and AT&T, which together accounted for a significant portion of its revenue. The company anticipates that the ongoing demand for connected devices and cloud services will drive future growth, particularly as 5G technology becomes more widely adopted.

Looking ahead, Synchronoss aims to refinance its Senior Notes, which are due in June 2026, to ensure continued operational flexibility. The company is optimistic about its growth trajectory, driven by the increasing adoption of its cloud solutions and the strategic focus on enhancing customer engagement and monetization opportunities. However, it remains vigilant regarding potential market fluctuations and geopolitical uncertainties that could impact its operations and financial performance.