Intermap Technology ((TSE:IMP)) has held its Q2 earnings call. Read on for the main highlights of the call.
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Intermap Technologies’ recent earnings call presented a balanced sentiment, highlighting both promising developments and notable challenges. While the company is making strides in expanding its operations in Indonesia and advancing its commercial products, it faces hurdles such as a decline in revenue and currency volatility.
Improved Liquidity and Financial Position
Intermap Technologies has significantly improved its liquidity, reaching $8.6 million from $3.8 million in December. The company also reduced dilutive shares by 1.3 million, and its current assets minus current liabilities improved to $3.6 million from a negative position last year, indicating a stronger financial footing.
Indonesia Program Expansion
A major highlight from the call was the expansion of the Indonesia program, which is set to be approximately 10 times larger than current operations. The draft RFP for mapping 1.6 million square kilometers has been published, with a budget of $195 million to $200 million, offering substantial future revenue potential.
Increase in Cash from Operations
The company reported cash generated from operations of $2.1 million for the quarter, marking a 22% growth over the comparable 6-month period in 2024. This increase underscores Intermap’s operational efficiency and financial health.
Strong Commercial Business Performance
In Europe, Intermap’s agentic AI product is driving record volumes of GEOINT consumption, resulting in a 70% increase in average pricing across the European portfolio, showcasing strong commercial business performance.
New Product Launch – Insurance Risk Assistant Subsystem
Intermap launched a new AI/ML-driven SaaS solution, the Insurance Risk Assistant Subsystem (IRAS), which mitigates risk and improves risk evaluation by up to 30% for specialty lines. It is also compliant with the EU’s GDPR requirements, enhancing its appeal in the European market.
Decline in Revenue
The company experienced a decline in total revenue for the second quarter of 2025, reporting $3 million compared to $3.6 million in the second quarter of 2024. This decrease was largely attributed to timing issues related to contract execution.
Decrease in Value-Added Data Revenue
Value-added Data revenue also saw a decline, with figures dropping to $300,000 from $700,000 in the second quarter of 2024. This was mainly due to timing differences in the delivery of repeating products.
Currency Charge in Indonesia
Intermap faced a $1 million currency charge due to volatility in the IDR-U.S. exchange rate. However, this risk is expected to be mitigated by World Bank funding in U.S. dollars going forward.
Forward-Looking Guidance
CEO Patrick Blott reiterated the company’s 2025 guidance for revenue between $30 million and $35 million, with an adjusted EBITDA margin of approximately 28%. The call emphasized the significant upcoming program in Indonesia, with a 3-year tender covering 1.6 million square kilometers and a budget of $195 million to $200 million. Intermap is also investing $2 million in upgrading its processing platform in Indonesia and is actively pursuing opportunities in Southeast Asia and other regions.
In summary, Intermap Technologies’ earnings call reflected a balanced outlook, with significant opportunities in Indonesia and strong commercial performance in Europe. However, challenges such as revenue decline and currency volatility remain. The company is poised for growth with its strategic expansions and new product launches, aiming to achieve its 2025 financial targets.