Tradedoubler interim report January - March 2016

Continued positive gross profit developments.
THE FIRST QUARTER JANUARY - MARCH 2016

  · Net sales amounted to SEK 372 M (432). Net sales excluding change related
items were SEK 372 M (431), a decrease of 14%.
  · Gross profit excluding change related items was SEK 81 M (89). This was a
decrease of 10% and an improvement in the gross profit trend for the second
consecutive quarter. Gross margin excluding change related items increased to
21.7% (20.7).
  · Operating costs excluding depreciation and change related items were SEK 85
M (86), a decrease of 1%.
  · EBITDA amounted to SEK -5 M (-4). Excluding change related items, EBITDA was
SEK -4 M (3).
  · Capitalised expenses for product development were SEK 10 M (12).
  · Cash flow from operating activities was SEK -12 M (2) and the sum of cash
and interest-bearing financial assets was SEK 322 M (365) at the end of the
first quarter. Net cash in the first quarter decreased by SEK 25 M to SEK 75 M.
  · Earnings per share, before and after dilution were SEK –0.40 (-0.23).

  · In January 2016, Reworld Media S.A. increased its ownership in Tradedoubler
from 17.8% to 29.95%.
  · At an Extraordinary General Meeting on 11 February 2016, Pascal Chevalier
(chairman) and Gautier Normand were re-elected as board members and Nils
Carlsson, Jérémy Parola and Erik Siekmann were elected as new board members.
  · Tomas Ljunglöf, CFO of Tradedoubler resigned in December 2015 and will leave
the company after the Annual General Meeting on 3 May. Viktor Wågström,
presently Head of group accounting, will be interim CFO until a permanent CFO is
appointed.

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CEO Matthias Stadelmeyer's comments
“This is the second consecutive quarter in which the gross profit trend improved
year-on-year compared to previous quarters. This positive development is linked
to increasing business from key clients and a general positive underlying trend
across most countries. It is also the result of new product launches such as
ADAPT, User Journey Reporting and Fingerprint Tracking and overall improvements
to our systems and processes.

In April 2016 we launched TD ENGAGE which is a solution that helps online
retailers to find new customers and allows Tradedoubler to address a larger part
of the digital marketplace. TD ENGAGE uses a powerful combination of data and
artificial intelligence to understand purchase behaviour and to accurately
identify and reach both new and existing customers with relevant, targeted
advertising. It is currently being rolled out in the UK and Germany with
positive initial results and will be extended to our other markets over the rest
of 2016.

In April 2016 we also relaunched our affiliate and technology offerings under
the names of TD CONVERT and TD CONNECT, bringing greater clarity to how our
suite of solutions creates smarter results for our clients. To showcase all our
solutions in a more compelling way and drive increased engagement with clients
and prospects we have developed a new corporate website, tradedoubler.com.

During the second quarter 2016 Tradedoubler will launch an initial version of
Cross Device Tracking, a market-leading solution that will enable Tradedoubler
to track the online purchase journeys of individual customers across multiple
devices. To build on our heritage in innovation we recently launched TD
Ventures, a business accelerator programme with a fund of €5 million to invest
in digital start-ups. We are seeking companies that complement our existing
business or that are pioneering new digital technologies. The development of
these new client-led solutions and the launch of TD Ventures are integral to our
strategy to address a broader digital marketplace.

We are making good progress with our continued work to bring Tradedoubler back
to profitable growth.”


Other
Tradedoubler discloses the information provided herein pursuant to the Swedish
Securities Markets Act. The information was released for publication on the 3rd
of May 2016 at 08.00 a.m. CET. Numerical data in brackets refers to the
corresponding periods in 2015 unless otherwise stated. Rounding off differences
may arise.