Kaltura Unveils New Stock Buyback Initiative to Boost Growth
Kaltura Announces Exciting Stock Repurchase Program
In a significant move to reinforce its growth strategy, Kaltura, Inc. (Nasdaq: KLTR), a leader in video solutions, has unveiled a refreshed stock repurchase initiative worth up to $15 million. This decision marks a strategic step as the company looks to bolster shareholder value amidst a competitive market landscape.
Confidence in Long-Term Strategy
Ron Yekutiel, Kaltura's Chairman and CEO, expressed the board's unwavering confidence in the company's long-term vision. He emphasized that the decision to initiate this repurchase program reflects their belief that Kaltura's current stock price does not fully represent the company’s future growth opportunities. Yekutiel stated, "We remain confident in our ability to continue generating positive cash flow while strategically deploying capital for shareholder value.”
Details of the Stock Repurchase Program
The newly authorized buyback plan allows the company to repurchase its stock in various manners, such as open market purchases, block trades, or privately negotiated transactions. Importantly, these repurchases will comply with federal securities laws, ensuring transparency and adherence to market regulations.
Kaltura’s management is poised to oversee the timing, volume, and manner of these repurchases, all while being mindful of market conditions and other factors that could influence the timing of these transactions. The flexibility of this repurchase program, with no specific obligation or time constraints, showcases Kaltura's commitment to thoughtful capital management.
Financial Projections for 2025
As part of its announcement, Kaltura reaffirmed its revenue guidance for the first quarter and full year of 2025. The company expects:
First Quarter Expectations
- Subscription Revenue: A growth of 5% to 7% compared to the previous year, predicting between $43.4 million and $44.2 million.
- Total Revenue: Expected to increase by 2% to 4% year-over-year, forecasting between $45.7 million and $46.5 million.
- Adjusted EBITDA: Projected to be in a range of $2.5 million to $3.5 million.
Full Year Projections
- Subscription Revenue: Anticipated a growth rate of 2% to 3% yearly, estimating between $170.4 million and $173.4 million.
- Total Revenue: Expected growth of 1% to 2% year-over-year, with projections of between $179.9 million and $182.9 million.
- Adjusted EBITDA: Forecast to fall between $12.7 million and $14.7 million.
About Kaltura
Kaltura is renowned for its mission to establish AI-enhanced, hyper-personalized video experiences that engage audiences across various sectors. Its Video Experience Cloud is pivotal for businesses, offering an array of video solutions that cater to enterprise content management and innovative video products like virtual events, webinars, and streaming applications. Through these services, Kaltura enhances interactions in marketing, education, and entertainment, proving its pivotal role in today’s digital landscape.
Investor Contact Information
For investor inquiries, John Doherty, CFO of Kaltura, can be reached at IR@Kaltura.com. Sapphire Investor Relations representatives Erica Mannion and Michael Funari are also available at +1 617 542 6180 and IR@Kaltura.com.
Frequently Asked Questions
What is the purpose of Kaltura's stock repurchase program?
The stock repurchase program is designed to enhance shareholder value and demonstrate the company's confidence in its long-term strategies and financial health.
How much has Kaltura allocated for the repurchase initiative?
Kaltura has authorized a stock repurchase program of up to $15 million.
Who is Kaltura's current CEO?
Ron Yekutiel serves as the Chairman, President, and Chief Executive Officer of Kaltura.
What financial metrics does Kaltura project for 2025?
Kaltura expects notable growth in Subscription Revenue, Total Revenue, and Adjusted EBITDA for 2025, reflecting its ongoing commitment to expanding its market presence.
Where can I find more information about Kaltura?
For more information, visit Kaltura's official website at www.corp.kaltura.com.
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