Urgent.ly Inc., a connected mobility assistance software platform, reported significant financial changes in its 10-Q filing for the quarter ending September 30, 2024. The company experienced a decline in revenue, with total revenue for the three months at $36.2 million, down 21% from $46.0 million in the same period of 2023. For the nine months ended September 30, 2024, revenue decreased to $110.9 million from $139.6 million in the prior year. This decline was attributed primarily to the non-renewal of a major auto manufacturer customer, which accounted for a loss of approximately $11.9 million, alongside reduced dispatch volumes from existing partners.

Gross profit for the third quarter was $7.8 million, a decrease from $9.2 million year-over-year, while gross profit for the nine-month period fell to $24.4 million from $27.7 million. Operating losses remained relatively stable, with a loss of $5.9 million for Q3 2024 compared to $5.8 million in Q3 2023, and a total operating loss of $22.6 million for the nine months, slightly up from $22.3 million in the previous year.

The net loss attributable to common stockholders for the third quarter was $10.6 million, significantly improved from $28.9 million in Q3 2023. For the nine months, the net loss was $35.3 million, down from $53.0 million in the same period last year. This improvement in net loss was partly due to a reduction in other expenses, particularly a $12.2 million decrease in interest expense.

Urgent.ly's cash and cash equivalents decreased to $17.1 million as of September 30, 2024, from $37.7 million at the end of 2023. The company reported total current liabilities of $82.8 million, a significant increase from $31.1 million at the end of the previous fiscal year. The accumulated deficit grew to $190.1 million, compared to $154.8 million at the end of 2023.

Strategically, Urgent.ly completed the acquisition of Otonomo Technologies Ltd. on October 19, 2023, which contributed $4.8 million in revenue and incurred a net loss of $1.7 million for the nine months ended September 30, 2024. The company also undertook significant restructuring, reducing its workforce by 110 employees across three quarters to streamline operations and cut costs.

The company continues to face challenges, including a material weakness in internal controls over financial reporting, which management is addressing by increasing resources in the finance department. Despite these challenges, Urgent.ly remains focused on enhancing its technology and expanding its customer partner base to drive future growth.