Vista also said that a “capex bump” (as it was called today) outlined in its 2022 investor day (when it was called an “investing in R&D bump”) would now take place over four years instead of two.
“This updated, more stable, development programme should result in a modest reduction in the total spend over time and a lower cash consumption in the near term”.
Total capex is now expected to be around $20 million per year.
In its investor day presentation, the “bump” was put at $25m to $30m per year.
Vista said that as a result of the restructure, it now expects to be free cashflow positive during the fourth quarter of 2024, 12 months earlier than previous guidance.
The firm said it remains on target to achieve its long-term guidance of ARR (monthly recurring revenue extrapolated to an annual figure) of between $175m and $205m and ebidta margin above 15 per cent by the end of 2025.
In December, Vista said its longtime CEO Kimbal Riley was retiring, with Stuart Dickinson - NZ country manager for NYSE-listed IT services firm DXC Technology - named as the new chief executive.
In March, Vista reported a net loss that doubled to $21.4m for the 12 months to December 31, 2022, as spending on new products increased.
Revenue increased 38 per cent to $135m as the total global box office recovered to 60 per cent of its pre-Covid level.
Vista Group shares closed on Wednesday at $1.69.
The stock has staged a modest recovery this year, but is still off well off its pre-pandemic high of $5.84.
