Robust growth for Netbooster during H1
Netbooster reports sales of €61.4 million for the 1st half of its 2012 financial year, i.e. twice the level of sales achieved over the same period of 2011.
As sales for Metapeople include the purchase of advertising space, gross profit is actually a better indicator of the company's business activity and growth. Gross profit continued to grow strongly by 32% to €8.6m, in Q2 2012, which represented the 6th consecutive quarter of Q-on-Q growth since the arrival of the new management team. For the 1st half-year, gross profit amounted to €16.5m, which represents a 33% increase over H1 2011. In a delicately-balanced economic climate that is generating a wait-and-see attitude on the part of some advertisers, the Netbooster group has achieved sustained growth and confirmed the relevance of its dynamic strategy in a market where numerous rivals are in decline.
In line with the group's announced strategy, sales growth benefited from high added-value offers aimed at social networks, and the Adexchange platform, which contributed a higher proportion to the business mix. The work achieved to energise sales development and raise brand awareness now means that the group is consulted systematically as part of the calls for tenders for awarding the market's largest budgets.
In international markets, Netbooster has strengthened its market positions in the United Kingdom and continues to benefit from the successful consolidation of Metapeople in Germany. The steady adoption of the group's best practices at each of its subsidiaries has enabled the latter to outperform their domestic markets.
Strong EBITDA growth in line with annual targets
EBITDA for the 1st half-year amounts to €1.2m and is a far cry from the -€0.3m loss reported in H1 2011. In addition to robust growth, overhead costs rationalisation and improved productivity as the result of deployment of state-of-the-art management tools have resulted in a significant strengthening of the group's profitability profile. These efforts form part of a continuous improvement initiative, and will be the subject of even greater focus over the forthcoming quarters.
Confirmation of 2012 targets
The group can now expect to sign significant contracts at the end of the summer break, in the light of the efforts invested in gaining market share in the 1st half-year.
Strengthened by this strong 1st half-year performance, and these expected developments, Netbooster is confident that it will achieve its 2012 targets: 25% growth in gross profit and an EBITDA to gross profit ratio in excess of 11%. For the medium term, the strong positions acquired by the group in the market's fastest-growing segments such as the Adexchange platform, mobility and social networks enable the management to aim for annual growth of 15%, and an EBITDA to gross profit ratio of 20%.
Raphael Zier, Chairman & CEO of Netbooster Group, comments: "This solid performance achieved despite a tough business climate, and the fine prospects for the group's future expansion, bear witness to the relevance of our strategic orientation. This performance also provides encouragement for Netbooster's teams, who remain committed to pursuing the work needed to achieve our targets, in terms of both business development and profitability."
About NetBooster Group (www.netbooster.com)
NetBooster, is an independent interactive communications group that makes its comprehensive expertise of digital marketing available to its clients to guarantee the best possible performance for their investments. The agency invests heavily in R&D and covers the entire chain of online marketing through its European network: search engine optimisation and marketing, display, affiliation, online media, creation, eCRM and social networks, with a recognised expertise in tomorrow’s digital marketing (Social Networks, Video, Ad Exchange, etc.). For the 2011 financial year, NetBooster Group reported consolidated gross profit growth of 21% to €27.7 million. It carries the OSEO seal of approval as an “Innovative Business” and thus its shares are eligible for FCPIs (French mutual funds). Shares in NetBooster are traded on the NYSE Alternext Paris.
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