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.

 
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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

Digital and business transformation (similitudes entre Netgem & MTS Russie, for harvest profability?)

10 april 2017

"... MTS is hardly unique among telcos in trying to carve out a new identity amid concern about the prospects for the mainstream network business. Even in emerging markets, soaring adoption of smartphones has left operators with little familiar territory into which they can expand. Competition from rivals old and new is squeezing sales. Economies are foundering in some countries. And regulation is an ever-present headache.

In the case of MTS, growing pressure is evident in recent financial results. Thanks to rising usage of voice and data services, overall company revenues were up 2.1% last year, to 435.7 billion Russian rubles ($7.73 billion). Yet they shrank 0.5% in the final quarter of the year, and operating income (before depreciation and amortization) in 2016 fell by 4.4%, to RUB169.3 billion ($3 billion). So uncertain is the economic outlook that MTS cannot say whether sales and profits will rise or fall this year.

Source: MTS.


But few telcos, and arguably no other emerging-markets players, are more serious than MTS about digital and business transformation. During an investor presentation at London's Science Museum last month, the subject generated more debate among analysts and MTS executives than headline results. "We need to become a software company whose network is just a part of the entire business," said Andrei Dubovskov, the CEO of MTS. "This is the way we will harvest revenues and profitability."

Sources:

https://themoscowtimes.com/news/russian-cell-operator-mts-to-store-user-data-in-pilot-anti-terror-scheme-57947

http://www.lightreading.com/business-employment/business-transformation/russias-mts-to-sacrifice-connectivity-in-software-rebirth/d/d-id/731906?

http://telecom.economictimes.indiatimes.com/news/ericsson-mts-build-5g-prototype-network/58391045