Netgem: Growth of +30% in ARR guaranteed for 2023

Growth of +30% in Annual Recurring Revenue

already guaranteed for 2023

Trading Update of 19 October 2023

"Confirmation of the ARR* growth objective of 30% in 2023:

 ✓ Strong commercial activity for Netgem’s “Immersive TV” offer integrating Content and Cloud Gaming for operators 

✓ Continuing integration of the acquired Eclair subsidiaries to provide new offers from 2024, and an axis of profitability and complementary growth 

✓ ESG Gold mark (score 73/100) attributed by Ethifinance for year 2022

The group is also continuing to grow its subscriber base in its different geographic markets, in particular with its customers Zeop in France, Elisa in Finland and TalkTalk in the United Kingdom. British telecom operator brsk also launched its new television service"Better.TV" with the Netgem TV platform.

  France Channel launched its service on Amazon Channel. (...)"

*  Annual Recurring Revenue.

 
_________________________

Revenue:

Revenue in 2021 = 28.3 MEur

Revenue in 2022 = 36.3 MEur  (+28%)

Revenue in 2023 =~ ? MEur  (+?%) 

Revenue for H1 2023 amounts to €18.1M (H1 2022: €16.3M), up 11% on the same period in 2022. ARR H1 2023 was €10.1M (H1 2022: €6.1M), up 65%. This growth translates into a 4% increase in gross margin to €10M.

Continued control of operating costs combined with growth in gross margin resulted in a 21% increase in Ebitda H1 2023 to €3.8M (H1 2022: €3.2M).

Source:

https://www.netgem.com/en/investors/regulatory-press-releases

https://www.netgem.com/en/investors/regulatory-information

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24 OCTOBRE 2023:

Source

NETGEM Q3 2020 activity: growth continues!

 (20/10/2020)

NETGEM 3rd quarter 2020 activity:

Net income growth continues!s

NETGEM's activity in the third quarter of 2020 was marked by a continuation of

the commercial dynamics of the “as a service” model of its activity with

operators (in B2B and B2B2C) or with its direct customers (B2C), who represent

this quarter more than 90% of the activity. The highlights are:

• A growth in net income that is confirmed every quarter and more marked from one year to the next due to the integration of Vitis,
• The continued growth of the subscriber base in Finland with Elisa, by Great Britain with the various Very Broadband operators and in France including the integration of Comcable.
• The launch in early October of the new range of MESH products in France with VIDEOFUTUR customers.

In the 3rd quarter of 2020, despite an 11% drop in turnover stemming from the foreseeable decrease in Box's historical sales activities, the net income is up 2% from the previous quarter. This reflects the now predominant share of management services activities customer base in the Group's business. Consolidation of French activities (Vitis) contributes € 4.0m out of the total € 6.4m of Net Income, and thus enables to show 100% growth.

The group's gross cash flow amounted to € 8.0 million at the end of September. A line of credit of € 1.6 million was collected in early October in anticipation of future refunds under the research tax credit.

Financial communication calendar

• Q4 2020 turnover and net income: January 22, 2021, before market
•  Euronext Growth Paris - admission des titres de la Société aux négociations sur le marché (réserve de l'accord d'Euronext): janvier 2021 
• 2020 results: March 19, 2021, before market
• Q1 2021 turnover and net income: April 21, 2021, before market

Sources:
Fr : https://www.netgem.com/medias/document/other/1507/2020-10-21-pr-q3-2020-netgem-fr-def.pdf

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Interesting Q3 note from Sweden:

(https://www.broadbandtvnews.com/2020/10/26/mediavision-swedes-add-700-000-svod-subscriptions-netflix-with-loss-for-the-first-time/)

Russia OTT services & Cloud TV: Low cost opportunities for local opetatores! (virtualized networks 4G, 5G, with Netgemand ZTE)

"... the new Russian broadcasting and media legislation came into force in June 2017, which has already affected many" western "broadcasters and limits foreign ownership of online video services in Russia to 20 per cent !"

This, will open oportunities for new OTT services, to the local players ...! 

Low cost solutions, fast implementable, top high tec, and HI-FI, are needed quickly on Russia to local telecom operators !!!

Netgem has all solutions needed to this local operators, and should not be neglected!

THE CALCULATOR:
FIND OUT IN 2 MINUTES WHAT NETGEM #TELCO TV CAN DO FOR YOUR P&L!


"Previous laws restricting ownership of foreign broadcasting were promulgated in 2016 and some important names were needed to focus on local media players. However, Modern Times Group has withdrawn completely from Russia. Discovery, Disney, Viacom and Turner Broadcasting all local partners found .... "

Read:
(July 4, 2017) http://advanced-television.com/2017/07/04/netflix-distribution-uncertain-in-russia/


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Cloud TV / virtualized networks (4G, 5G, ZTE, Netgem)

(JUNE 28, 2017)

ZTE  sees growing opportunities in the virtualization space in emerging markets

SHANGHAI- Chinese vendor ZTE expects to end 2017 with approximately 300 commercial/POC virtualized networks globally, the company’s Principal Scientists of NFV/SDN solutions, told reporters during a press conference at Mobile World Congress Shanghai.

The executives said that the ZTE has already completed 240 virtualization network projects globally. “By February this year, we had 180 virtualized networks. We are seeing growing opportunities for virtualization projects involving the use of 5G technologies in 4G networks in emerging markets.” 

Read:

1. Cloud TV: Finding the value in the Cloud for Telcos - Netgem
2. http://www.rcrwireless.com/20170628/carriers/20170628carrierszte-commercial-virtualized-networks-tag23
3. http://www.zte.com.cn/global/about/press-center/news/201706ma/0627ma2