CentralNic reported record gross revenue of $728 million

CentralNic Group plc (AIM: CNIC) announced its trading update for the full year 2022.

Trading Update

The Company now expects to report record gross revenue of c.USD 728 million, and net revenue and Adjusted EBITDA¹ of at least USD 177 million and USD 85 million respectively for the financial year 2022. These represent increases of c.77%, c.33% and c.84% respectively versus the prior year, ahead of the recently upgraded market consensus² for 2022. Adjusted for acquisitions and FX, year-on-year organic growth³ for 2022 was c.60%. This outperformance has been driven largely by the growth of the Online Marketing segment, reflecting increased demand for our privacy-safe online customer acquisition services, and the resulting economies of scale and consequent operating leverage.

Cash increased to c.USD 95m as at 31 December 2022 from c.USD 56m as at 31 December 2021, whilst Net Debt⁴ decreased to c.USD 57m as at 31 December 2022 from c.USD 81m as at 31 December 2021. Adjusted operating cash conversion continued to be in excess of 100%.

CEO, Michael Riedl, stated, “CentralNic ended the year 2022 on a high note, with record revenue and profit in a challenging economic environment. This is a testament to the outstanding business portfolio we have built as a team. We will continue to exhibit discipline and efficiency as we accelerate product rollouts, launch strategic partnerships, and enhance scalability in the year ahead. As a result, we anticipate another year of robust growth and shareholder returns. I look forward to updating on our continued progress throughout 2023.”

Board changes

The Company also announces today that William “Billy” Green, who was appointed Group CFO on 12 December 2022, has been appointed to the board of directors with immediate effect.

At the same time, Don Baladasan, Group Managing Director, steps down from the main board. Don has played a crucial role in the Company’s transformation, leading the team and systems that has helped position CentralNic to achieve its sustainable growth. He will continue to serve on the supervisory boards of CentralNic’s subsidiaries Team Internet AG and VGL Publishing AG.

Michael Riedl, Chief Executive Officer, commented: “I am pleased to welcome Billy Green to the Board and I am confident that his financial expertise and structured approach will make him a valuable member of the team.

I would like to thank Don for his contributions over the past years and his dedication and enthusiasm will be greatly missed. I and rest of the CentralNic Board express our sincere gratitude for his service and wish him the best for the future.”

Don Baladasan, Group Managing Director of CentralNic, stated: “I am proud of the transformation CentralNic has achieved over the last five and a half years. I am confident that the Company will continue to flourish and thrive under Michael’s leadership. I look forward to contributing to CentralNic’s continued success as a supervisory board member of Team Internet AG and VGL Publishing AG and being a supportive shareholder.”