Team Internet Group Plc (LON:TIG), the global internet company that generates recurring revenue from creating meaningful and successful connections: business to domains, brands to consumers, publishers to advertisers, has announced its audited annual report for the financial year 2023 is now available on the Group’s website at the following link: https://teaminternet.com/annual-interim-reports/. The annual report will shortly be posted to those shareholders who have opted to receive a hard copy.
A record year for revenue, adjusted EBITDA and profit after tax
Financial summary:
· Revenue increased by 15% to USD 836.9m (FY2022: USD 728.2m)
· Organic revenue growth of 13%
· Net revenue (gross profit) increased by 8% to USD 191.1m (FY2022: USD 177.7m)
· Adjusted EBITDA increased by 12% to USD 96.4m (FY2022: USD 86.0m)
· Operating profit increased by 26% to USD 42.3m (FY2022: USD 33.6m)
· Profit before tax increased by 98% to USD 29.3m (FY2022: USD 14.8m)
· Profit after tax increased to USD 24.3m (FY2022: loss of USD 2.1m)
· Net debt increased by 31% to USD 74.1m as compared to USD 56.6m at 31 December 2022, following USD 39.7m of cash share repurchases, (including Employee Benefit Trust repurchases), USD 3.6m payment of dividends and USD 21.5m settlement of deferred contingent consideration during 2023
· Leverage increased to 0.96x adjusted EBITDA (31 December 2022: 0.84x), remaining under 1.0x
· Adjusted operating cash conversion of 96% (FY2022: 110%)
· Adjusted EPS for the year increased by 32% to 23.22 US cents (FY2022: 17.56 US cents)
· Proposed final dividend of 2.0p (FY2022: 1.0p), an increase of 100% as the group continues to pursue the progressive dividend policy launched in 2022
Operational and corporate highlights
· On 4 September 2023, to support our next phase of continued growth, the Group announced its rebranding from CentralNic Group to Team Internet Group, and effective that same day, the Group’s shares commenced trading under the ticker “TIG”.
· The Financial Times listed Team Internet among the top 250 fastest-growing companies and among the top 50 fastest-growing technology companies in Europe
· Acquisition of Adrenalads, a business which has a rich history with Zeropark, on 31 August 2023 for an initial consideration of USD 2.1 million; the acquisition included deferred consideration of USD 0.2 million payable in February 2025
· The Group adjusted its global office footprint to post-pandemic working realities, notably reducing cash outflow, lease liabilities and emissions
· Appointment of Marie Holive as Non-Executive Director and Chair of the Audit & Risk Committee on 24 April 2023
· The Group successfully completed its first share buyback programme of GBP 4.0 million worth of ordinary shares in January 2023, and a second share buyback programme commenced in May 2023 and was increased to GBP 34.0 million worth of ordinary shares in July 2023. By 31 December 2023, the Group had repurchased a total of GBP 28.4 million (USD 35.6 million) worth of ordinary shares across the two programmes, with GBP 9.6 million (USD 12.2 million) remaining of the share buyback scheme at 31 December 2023.
· On 16 June 2023, the Group paid its inaugural final dividend of 1.0 pence per share totalling USD 3.6 million, reflecting a renewed capital allocation geared towards greater return to Shareholders
Notice of Q1 2024 Results
The Company further announces that it will publish its results for the three months ended 31 March 2024 on Monday 13 May 2024.
Annual General Meeting
The Company also announces that its 2024 Annual General Meeting (“AGM) will be held at 09.00 GMT on Thursday, 18 April 2024 at the Company’s registered office at 4th Floor, Saddlers House, 44 Gutter Lane, London, ECV 6BR. The notice of AGM document will shortly be available on the Company’s website at https://teaminternet.com/constitutional-documents-and-circulars/
Dividend Timetable
Team Internet is proposing a final dividend of 2.0p per share to be approved at the AGM as the next step in the Group’s plan to return cash to shareholders. The dividend will be payable on 28 May 2024 for shareholders on the Company’s register of members at close of business on 26 April 2024.
Michael Riedl, CEO of Team Internet, commented: “This year has been a milestone for us with our revenues growing by 15% to USD 837 million, and our adjusted EBITDA increasing by 12% to USD 96 million. We have also seen a significant breakthrough in bottom-line profitability, delivering a profit after tax of USD 24.3 million, a notable improvement from the USD 2.1 million loss after tax in 2022.”
