NETBOOSTER -2012 FINANCIAL STATEMENTS:
OBJECTIVES ACHIEVED
SHARP RISE OF PROFIT MARGINS
CONFIRMATION OF MEDIUM AND LONG-TERM GOALS
FASTER GROWTH OF SALES AND PROFIT MARGINS IN 2013
Netbooster posted sales of €137.4 m in FY2012, up 62.5% from FY2011.
Gross earnings, which are a more accurate yardstick of business, rose to €34m, up 23% from the year before. Netbooster significantly outperformed the growth rates of the French and European markets, which amounted to 5% (source: Capgemini/Udecam) and 10.6%* (source: Capgemini/Udecam, Emarketer), respectively, on the back of four quarters of strong growth.
Commercial expansation was helped by the successful launch of innovative new offers, developed by combining Netbooster's know-how with the image of Smartsearch's offer, cross-fertilising the group's areas of expertise in search marketing and real-time display.
This performance was achieved despite a customer portfolio review to weed out low-profit contracts in order to maximise the use of resources for offers with higher value added. In addition to careful contract selection, the group stepped up efforts to optimise its organisation and lower breakeven.
As a result, EBITDA(2) practically doubled to €3.7 m (up 95%), i.e. an EBITDA/gross earnings margin of 10.8%, up 4 points from 2011, in line with the annual target.
| Profit and loss account (€m) French accounting standards(3) | 2011 | 2012 | Change (€m) |
| Sales | 84.5 | 137.4(4) | +52.9 |
| Gross earnings | 27.7 | 34.2 | +6.5 |
| EBITDA | 1.9 | 3.7 | +1.8 |
| As a % of gross earnings | 6.9% | 10.8% | - |
A NET PROFIT FOR CONSOLIDATED COMPANIES
The strong leverage of growth on operations also boosted operating profit to €3.2 m, up 77.8%, with amortisation, depreciation and provisions similar to the previous financial year.
Current earnings of consolidated companies came to €2.2 m, up from a loss of €0.3 m in 2011, helped by the decrease in financial charges after the financial restructuring completed last year.
Restructuring of the activities in the Nordic countries and France, combined with divestment of the Asian subsidiaries in the first half, boosted net profit of the consolidated companies to a profit oe €0.1 m, up €2 m in one year.
Despite a spectacular increase of €3 m, the group posted a net attributable loss of €4 m, hurt by the straight-line amortisation of goodwill according to French accounting standards.
| Profit and loss account (€m) French accounting standards(3) | 2011 | 2012 | Change (€m) |
| Gross earnings | 27.7 | 34.2 | +6.5 |
| Operating profit | 1.4 | 3.2 | +1.8 |
| As a % of gross earnings | 5.1% | 9.4% | - |
| Net financial profit (loss) | -1.7 | -1.0 | +0.7 |
| Current earnings of consolidated companies | -0.3 | 2.2 | +2.5 |
| Net exceptional profit (loss) | -1.1 | -1.0 | +0.1 |
| Corporate income tax | -0.5 | -1.0 | -0.5 |
| Net profit (loss) of consolidated companies | -1.9 | 0.1 | +2.1 |
| DAMO goodwill (badwill) | -4.9 | -4.1 | +0.8 |
| Net attributable profit (loss) | -7.0 | -4.0 | +3.0 |
CASH POSITION AND FINANCIAL STRUCTURE
A sound Operating cash flow of €1.8 m, ensuring a steady cash position of €8.4 m, confirming a significant improvement in the group's fundamentals.
The group further used the capital increase recognised in February 2012 to strengthen equity and to reduce net borrowings, dividing Netbooster's gearing by 3 to 0.59.
OUTLOOK
In 2013, Netbooster will remain cautious in Europe's difficult economic environment. However, the group will benefit from recent efforts to streamline the cost structure and from completion of its restructuring programme in Great Britain. It is also planning to strengthen its position in the MENA zone (Middle East and North Africa) on the back of the Emirates contract, which has already boosted sales in this zone. 2013 will see many innovative products, expected to boost sales from 2014 onwards.
Management therefore confidently expects sales and earnings to continue improving in 2013. Netbooster is in a better position than ever to achieve its ambitious objective of doubling his gross margin in five years, accompanied by an EBITDA/gross earnings margin of over 20%.
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About NetBooster Group (netboostergroup.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 201Z financial year, NetBooster Group reported consolidated gross earnings growth of 21% to €34.2 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.
| Press contact Pepper Menthe Communication Samira CHAKKAF ANDALOUCI samira@peppermenthe.com Tél. : 07.86.11.14.52 | Financial communication CM-CIC SECURITIES Stéphanie STAHR stephanie.stahr@cmcics.com Tél. : 01.45.96.77.83 |
