UPDATE: NetBooster GROUP : NetBooster's Growth Path Continues in Q3, with Gross Margin Up 7%
Paris, Tuesday 25 October 2016
Press Release
NetBooster's Growth Path Continues in Q3, with Gross Margin Up 7%
NetBooster (FR0000079683 - ALNBT - PEA-PME eligible) , the leading independent international agency in digital performance marketing, today announces its results for the third quarter of 2016, showing an increase in Gross Margin.
During the third quarter of 2016, NetBooster achieved a Gross Margin of €9.4m from €8.8m during same period in 2015 ( growth of 6.8% ). Year to date Gross Margin shows a solid growth of 7.6%, due to successful delivery of the new client acquisition strategy and development of existing client accounts.
The Group recorded an EBITDA at €1.1m (€1.3m in Q3 2015), with the profitability level coming in at 11.7% . For the first nine months of 2016, EBITDA is stable at €3.4m compared to the same period in 2015. This planned stability, illustrated by a lower EBITDA margin (12.1% in 2016 vs 13.1% 2015) is due to specific investments to support the growth strategy and future ambitions of the Group.
|
Gross
Margin | 2015 | 2016 | Variation | |
| €m | ||||
| Q1 | €8.4m | €8.9m | +6% | |
| Q2 | €9.0m | €9.9m | +10% | |
| Q3 | €8.8m | €9.4m | +7% | |
| Total | €26.2m | €28.2m | +8% |
|
EBITDA
€m | 2015 | 2016 | Variation |
| Q1 | €0.9m | €0.8m | -11% |
| Q2 | €1.2m | €1.5m | +25% |
| Q3 | €1.3m | €1.1m | -15% |
| Total | €3.4m | €3.4m | 0% |
| EBITDA/ Gross Margin | 13.1% | 12.1% |
The focus in recent months was to complete the positioning of NetBooster in Europe with investments in marketing and public relations and to prepare for external growth.
In September 2016, NetBooster completed a €5.3m capital increase, with 2,437,730 new ordinary shares, representing 12.76% of NetBooster's share capital, fully subscribed by Fund Nobel; a private equity investment fund managed by Weinberg Capital Partners.
The combination of a €10m credit facility completed earlier this year and a €5.3m capital increase has provided NetBooster with the resources to pursue its envisaged growth strategy. This subsequently enabled the acquisition of London-based agency 4Ps Marketing , significantly increasing NetBooster's UK footprint and operations, making NetBooster Group one of the leading agencies in the UK.
Outlook
Major international and multi-channel existing clients, including Dubai Parks & Resorts and new clients signed during Q3 2016, such as recently announced car rental giant Hertz and an international brand in the music streaming industry, will also contribute to NetBooster's overall growth in the fourth quarter of 2016.
NetBooster is therefore confident to reach a 10% growth in 2016 and an EBITDA target of €5.5m. The Company will provide further details on the 2017 strategic plans in January 2017.
Tom Armbruster , newly appointed CEO of NetBooster , comments: "2016 has been a very exciting and fulfilling year so far, reaching its climax in the third quarter with a strong new investor coming in and the acquisition of a major performance marketing agency in the UK, 4Ps Marketing . Our Q3 results are in line with our expectations and thanks to new clients on board, I'm confident the company will deliver growing results in the next quarters".
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DISCLAIMER
This press release contain forward looking statements including statements regarding NetBooster's management intent, belief or current expectations with respect to NetBooster's businesses and operations, market conditions, results of operation and financial condition, specific provisions and risk management practices. These statements are based on the current expectations and assumptions of NetBooster's management and they are, therefore, subject to risks and uncertainties. Many factors can impact NetBooster's results and performance, thus forecasts and hypothetical examples are subject to uncertainty and contingencies outside NetBooster's control. Results and performance can be materially different from any future results or performance that may be expressed or implied by the forward looking statements contained in this press release. NetBooster does not undertake to implement any of the actions and operations that may be described in the forward looking statements. Moreover, we remind you that past performance is not a reliable indication of future performance.
This press release, including forecast financial information, should not be considered as advice or recommendation to investors or potential investors in relation to acquiring, selling or transfer by any means NetBooster's securities. Before acting on any information included into this presentation, one should consider the appropriateness of the information, any relevant offer document and especially should seek for independent financial advice. It is reminded that all securities involve financial risks.
About NetBooster Group | www.netbooster.com
NetBooster is the leading independent international agency in digital performance marketing that makes its comprehensive expertise of digital marketing available to its clients to achieve the best possible performance for their investments. The agency invests in technology and covers the entire chain of online marketing through its European network: search engine optimisation and marketing, data and analytics (DnA), GroundControl Technology, display, affiliation, online media, creation, eCRM and social networks, with a recognised expertise in tomorrow's digital marketing (Social Media, Video, Ad Exchange, etc.).
Information | For more information please contact:
Financial Communication
Press Contact
Alexia Cassini (Group Communication Manager) ALIZE RP
NetBooster S.A. Caroline Carmagnol / Wendy Rigal
Tel. 01 40 40 27 00 Tel. 00 33 (0)1 44 54 36 66
acassini@netbooster.com
netbooster@alizerp.com
The issuer of this announcement warrants that they are solely responsible for the content, accuracy and originality of the information contained therein.
Source: NetBooster GROUP via GlobeNewswire
