Business
Nexxen Reports Results for the Fourth Quarter and Year Ended December 31, 2023
Achieved full year 2023 Contribution ex-TAC and Adjusted EBITDA above the midpoints of the Company’s guidance Grew programmatic revenue 9% for full year 2023
About this update from Nexxen International Ltd.
[{"type":"text","content":"Achieved full year 2023 Contribution ex-TAC and Adjusted EBITDA above the midpoints of the Company’s guidance Grew programmatic revenue 9% for full year 2023 vs. 2022; expanded programmatic revenue to 90% of full year 2023 revenue from 82% in 2022 Launched new $20 million Ordinary share repurchase program NEW YORK, March 06, 2024 (GLOBE NEWSWIRE) -- Nexxen International Ltd. (AIM/NASDAQ: NEXN) (“Nexxen” or the “Company”), a global, unified advertising technology platform with deep expertise in video and Connected TV (“CTV”), announced today its financial results for the fourth quarter and year ended December 31, 2023. The Company’s financial results for the fourth quarter and year ended December 31, 2023, as well as the fourth quarter ended December 31, 2022, reflect the combined financial performance of Nexxen and Amobee, while comparative figures for the year ended December 31, 2022 include Amobee contribution only from September 12, 2022 through December 31, 2022. Financial Summary Contribution ex-TAC: Generated Contribution ex-TAC of $90.5 million in Q4 2023, reflecting a 12% decrease from $103.0 million in Q4 2022, and Contribution ex-TAC of $314.2 million for the year ended December 31, 2023, reflecting a 1% increase compared to $309.7 million for the year ended December 31, 2022. Weakness in Q4 2023 Contribution ex-TAC was a byproduct of reduced managed service, video, and CTV spending from some of the Company’s highest-spending agency customers it is heavily indexed to, as well as Nexxen discontinuing less profitable relationships with certain customers. Full year 2023 Contribution ex-TAC was also affected by challenging advertising conditions throughout the year which disproportionately impacted budgets and spending for several of the Company’s small- and mid-sized agency customers, a notable decline in the Company’s non-core business focused on legacy non-programmatic performance-related activities, and challenges stemming from the initial integration of Amobee’s and Nexxen’s sales teams, technology stack, and management teams. Nexxen believes its sales team is well-positioned to drive growth in 2024 as it is now exclusively focused on selling as opposed to integration initiatives and is equipped with a significantly enhanced platform featuring in-demand tech and data capabilities. Nexxen is cautiously optimistic that ...