Acroud Ab · OMXSTO:ACROUD
Acroud Ab — Q3 2023 Earnings Presentation
25 slides from Acroud Ab's earnings presentation, Nov 9, 2023
Slide 1: Q3 2023 Interim Report
Q3 2023 I N T E R I M R E P O R T Stronger balance sheet, reduced debt and improved cash-flows. 1
Slide 2: Q3 2023 Interim Report agenda
Q3 2023 I N T E R I M R E P O R T 1. Q3 Highlights 2. Q3 Key Figures 3. Q3 Summary 4. Financial Details 5. Q&A 2
Slide 3: Q3 Highlights
Q3 Highlights 9.9 MEUR 72,270 1.2 M 48% 114% EBITDA NDC YoY REVENUE Investor Presentation Q3 2023 3
Slide 4: Q3 Key Figures
Q3 Key Figures • Revenue amounted to . . . . . . . . . . . . . . . . . . . . . . . EUR 9 868 (6 683) • Adj. EBITDA amounted to . . . . . . . . . . . . . . . . . . . EUR .. 1 175 (1 496) • Profit after tax was . . . . . . . . . . . . . . . . . . . . . . . . . . EUR -1 874 (-598) • Adjusted profit aft
Slide 5: Q3 Summary
Q3 Summary • Stable Revenues EUR 9 868 • Another strong NDC number despite summer: 72 270 • New CFO: Andrzej Mieszkowicz • Restructuring of Finance Department • Execution of all changes in earn-out deals • Strengthen Balance Sheet Investor Presentation Q3 2023 5
Slide 6: Group Revenue Development
Group Revenue Development 12000 10019 10281 10000 9868 9300 8000 7003 7200 6540 6683 6000 4000 2000 0 Q4-21 Q1-22 Q2-22 Q3-22 Q4-22 Q1-23 Q2-23 Q3-23 iGaming Affiliation segment SaaS segment Investor Presentation Q3 2023
Slide 7: a Crowd of Companies
a Crowd of Companies Leading Affiliate SaaS Offering THE Super Affiliate Network Global Poker News Sweden’s Largest Sport Betting Community Traditional SEO Casino & Sport Affiliation ACORE Media Buying & Partnerships FAIRGROUNDS 7
Slide 8: Financial Details
Financial Details Investor Presentation Q3 2023 8
Slide 9: Balance Sheet QoQ
BALANCE SHEET MOVEMENT ANALYSIS Q3'23 Q2’23 Q3'23 MOVEMENT Balance Total non-current assets Total current assets 47 735 8 163 49 079 9 235 -1344 -1072 Sheet QoQ Total assets 55 898 58 314 -2416 Equity 25 621 2 380 23 241 Non-current liabilities Borrowing 16 834 18 173 -1339 Deferred tax liabilities
Slide 10: Group Revenue and NDC development
Group Revenue development NDC development 12000 120000 117365 10019 10281 10000 9868 100000 9300 92659 84086 8000 80000 7003 7200 72270 6540 6683 6000 60000 4000 40000 35134 32328 33538 33792 2000 20000 0 0 Q4-21 Q1-22 Q2-22 Q3-22 Q4-22 Q1-23 Q2-23 Q3-23 Q4-21 Q1-22 Q2-22 Q3-22 Q4-22 Q1-23 Q2-23 Q3-
Slide 11: Group Revenue Bridge QoQ
Group • Decrease in revenues by 4% QoQ to EUR 9 868 thousand. Revenue Bridge QoQ • QoQ Movements – EUR -413 thousand vs Q2-2023 Increase in SaaS Network model – EUR 639 thousand Decrease in Sports Betting – EUR 796 thousand Decrease in Casino - EUR 219 thousand. (7) (219) (29) (796) 639 10 281 9 868
Slide 12: Group Cost Bridge
Group Cost Bridge vs Q2-2023 • Increase in costs by 0.3% QoQ to EUR 8 693 thousand. • QoQ Movements - EUR 26 thousand Increase in SaaS Network payouts – EUR 893 thousand Decrease in Other External costs – EUR -936 thousand ( 936) 893 31 39 8 667 8 693 Q2-2023 SaaS Other Personnel Other Q3-2023 Cost
Slide 13: Group Adjusted EBITDA development
Group Adjusted EBITDA development 2492 2500 2141 2000 1781 1802 1614 1496 1500 1175 1062 1000 • Adjusted EBITDA – decrease by 27% QoQ to EUR 1 175 thousand – driven by lower revenues whilst maintaining constant cost base. 500 • Affiliation Segment – operating at an EBITDA margin of 24% • SaaS Segmen
Slide 14: iGaming Affiliation Revenue Development
iGaming Affiliation 8000 7000 6800 6340 6023 6000 5756 5000 4000 Revenue 3029 3000 Development 2000 1000 • Largest vertical - Sports betting – 85% of iGaming revenue • Poker vertical – 10% of iGaming revenue • Casino vertical – 5% of iGaming revenue 0 Q3-22 Q4-22 Q1-23 Q2-23 Q3-23 Casino Poker Sport
Slide 15: iGaming Affiliation Revenue Model
iGaming Affiliation 78% (77%) 21% (21%) Revenue share SEO Revenue Revenue 11% (11%) 4% (5%) CPA by Affiliation Social- and Model Community-based 11% (12%) Other type 75% (74%) Paid Media Investor Presentation Q3 2023
Slide 16: iGaming Affiliation NDC Development
iGaming Affiliation 120000 100821 100000 80000 76917 68601 NDC 60000 53478 Development 40000 21375 20000 • iGaming segment delivered 53 478 NDCs • YoY increase of 150% • QoQ decrease of 47% 0 Q3-22 Q4-22 Q1-23 Q2-23 Q3-23 NDCs Investor Presentation Q3 2023
Slide 17: iGaming Affiliation Adj. EBITDA Development
iGaming Affiliation 2500 2346 2000 1971 Adj. 1500 1231 1383 EBITDA 1000 1110 Development 500 • iGaming Affiliation Adjusted EBITDA - EUR1 383 thousand • 24% increase YoY • 12% increase QoQ 0 Q3-22 Q4-22 Q1-23 Q2-23 Q3-23 Adjusted EBITDA Investor Presentation Q3 2023
Slide 18: iGaming Affiliation Cost Base Development
iGaming Affiliation 6 000 5 000 4 000 Adj. 4 911 Cost Base 3 000 3 673 3 431 3 503 2 000 Development 1 575 1 000 • Personnel costs - increased QoQ by 5%. 547 527 627 655 430 • Other external costs – decreased QoQ 25% - -attributable to the Media business Q3-22 Q4-22 Q1-23 Q2-23 Q3-23 Personnel costs
Slide 19: SaaS Segment Revenue Development
SaaS Segment 5000 4112 4000 3654 3679 3480 3277 3000 Revenue 2000 Development 1000 • Network model – 3 835 thousand - 20% increase QoQ 0 Q3-22 Q4-22 Q1-23 Q2-23 Q3-23 • Subscription-model – 277thousand - 3% decrease QoQ Network Model Subscription Model Investor Presentation Q3 2023
Slide 20: SaaS Segment Adj. EBITDA Development
SaaS Segment 600 539 Adj. 500 420 464 463 EBITDA 400 300 Development 252 200 100 • SaaS Segment EBITDA - EUR 252 thousand • 53% decrease YoY 0 • 46% decrease QoQ Q3-22 Q4-22 Q1-23 Q2-23 Q3-23 Investor Presentation Q3 2023
Slide 21: SaaS Segment RGU Development
SaaS Segment 500 428 429 419 416 395 400 RGU 300 Development 200 100 • SaaS Segment delivered 429 thousand RGUs • YoY increase of 9% 0 • In line with QoQ Q3-22 Q4-22 Q1-23 Q2-23 Q3-23 Investor Presentation Q3 2023
Slide 22: Financing & Cash Flow
Financing & Cash Flow Gross Debt Net Debt / Adjusted EBITDA 22 000 20 949 21 083 20 909 20 121 3,5 20 000 18 254 3,0 18 000 2,5 16 000 2,0 3,0 14 000 2,5 2,3 2,2 2,2 12 000 1,5 10 000 1,0 Q3-22 Q4-22 Q1-23 Q2-23 Q3-23 Q3-22 Q4-22 Q1-23 Q2-23 Q3-23 • Bond to equity conversion amounted to SEK 25 milli
Slide 23: Cash Flow Development
EUR ’000 Q3’23 Q3’22 2023 Adjusted EBITDA 1 176 1 496 4 930 Non cash items (103) (2) (117) Change in NWC 85 (362) 597 Tax paid (51) (50) (577) Operating CF 1 107 1 082 4 833 CF from investments 38 (1 278) (19) CF from financing activities 716 707 (1 215) CF for the period 1 861 511 3 599 Financial D
Slide 24: Closing Comments and Q&A
Closing Comments and Q&A 24
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