- Criteo S.A. (NASDAQ:CRTO) reported a second-quarter FY22 contribution ex-TAC decline of 3% Y/Y to $215 million, missing the consensus of $220.81 million.
- Contribution ex-TAC from Marketing Solutions declined 8% to $177.97 million, and Retail Media grew 36% Y/Y to $36.56 million.
- Revenue decreased by 10% Y/Y, or 3% at constant currency, to $495 million.
- Criteo’s activated media spend rose 9% Y/Y in constant currency to $676 million.
- Adjusted EBITDA was $50 million (-26% Y/Y), and margin contracted 800 bps to 23%.
- Non-GAAP EPS of $0.58 (-8% Y/Y), beating the consensus of $0.43.
- Cash flow from operating activities decreased 47% year-over-year to $14 million in Q2.
- CRTO held cash and equivalents of $563 million as of June 30, 2022, after spending approximately $21 million on share repurchases in the quarter.
- Criteo completed the acquisition of AdTech platform company IPONWEB on August 1, 2022.
- “We are on pace to deliver sustainable and profitable growth in 2022, and we remain confident in our long-term growth outlook. With our strategic acquisition of IPONWEB and our share buyback program, we are deploying our capital to accelerate growth and drive near- and long-term shareholder value,” said CFO Sarah Glickman.
- 3Q22 Outlook: Criteo sees contributions ex-TAC of $223 million – $229 million, against the consensus of $225.15 million. Adjusted EBITDA of $48 million – $53 million.
- FY2 Outlook: Criteo expects Contribution ex-TAC to grow by 11% – 14% at constant currency, including the contribution from the IPONWEB acquisition.
- It sees an Adjusted EBITDA margin of ~30% – 31% of Contribution ex-TAC and a Free Cash Flow conversion rate of about 45% of Adjusted EBITDA.
- Price Action: CRTO shares traded higher by 6.24% at $26.74 on the last check Wednesday.
Berenberg Initiates Coverage On Cazoo Gr with Sell Rating, Announces Price Target of $0.49
Berenberg analyst Saim Saeed initiates coverage on Cazoo Gr (NYSE:CZOO) with a Sell rating and announces Price Target of $0.49.
