# CentralNic reports an outstanding start to the year

- Link: https://www.directorstalkinterviews.com/centralnic-reports-an-outstanding-start-to-the-year/4121116316
- Published: 2023-04-24T07:20:37+01:00
- Author: Emily Johnson

**CentralNic Group plc** ([LON:CNIC](https://www.directorstalkinterviews.com/company/centralnic-group-plc/cnic.l)),
the global internet platform which helps online consumers make informed choices,
has provided an update for the three months ending 31 March 2023.

**Trading update**

The Group expects to report gross revenue of approximately USD 194.9 million, net
revenue / gross profit of approximately USD 45.8 million and Adjusted EBITDA^(1)
of approximately USD 21.3 million for the three months ending 31 March 2023, an 
increase of 24%, 15% and 15% respectively compared to the three months ending 31
March 2022. Year-on-year organic growth^(2) for the trailing twelve months ending
31 March 2023 is estimated at approximately 45%.

Cash increased to USD 102.9 million at 31 March 2023 from USD 95.0 million as at
31 December 2022, reducing Net Debt^(3) to USD 49.2 million at 31 March 2023 (USD
56.6 million at 31 December 2022), including the impact of the Company returning
USD 4.3 million to shareholders via the share buyback scheme announced on 30 December
2022.

Due to an expanding product range, the benefits of operating leverage, and a focus
on efficient execution, the Directors remain confident that the Group will continue
to trade at least in line with current market expectations.

**Microsoft contract**

The Group’s Online Marketing segment continues to thrive through our earnings-accretive
partnerships with leading global media groups, including our latest agreement with
Microsoft Bing, which will diversify and deepen our advertiser demand pool and provide
opportunities to acquire customers from a broader set of media. Teaming up with 
Microsoft Bing and leveraging our existing Artificial Intelligence capabilities 
with ChatGPT, complements our existing relationships with Google and Yahoo, and 
we are excited for the potential revenue growth opportunities that this strategic
partnership could bring.

**Notice of Results**

The Group will publish its unaudited interim report for the three months ending 
31 March 2023 on Monday, 15 May 2023.

> **Michael Riedl, CEO of CentralNic Group, said:**
> “As CEO, I am thrilled to announce that CentralNic has had an outstanding start
> to the year, achieving our best-ever first quarter. Our continued industry leadership
> and reputation for excellence have enabled us to secure key partnerships with 
> some of the world’s leading technology companies, including Microsoft.
> Today, we are excited to invite our shareholders to vote on our inaugural dividend
> at the annual general meeting. This is a significant milestone in our commitment
> to enhance shareholder value through a progressive dividend policy and continued
> share buybacks. We remain focused on delivering sustainable growth and driving
> long-term value for our investors.”

**About CentralNic Group plc**

CentralNic Group ([LON: CNIC](https://www.directorstalkinterviews.com/company/centralnic-group-plc/cnic.l))
is a fast-growing London-headquartered software company which helps online consumers
make informed choices through privacy-safe and AI-based customer journeys that convert
general interest internet users into high conviction buyers. It also operates a 
leading network for the automated distribution of domain names and associated services.
It has delivered 78% CAGR since its IPO in 2013 through a combination of organic
growth and acquiring and integrating cash generative businesses in its industry 
with annuity revenue streams and exposure to revenue markets. 

For more information please visit: www.centralnicgroup.com

^(1) Parent, subsidiary and associate earnings before interest, tax, depreciation,
amortisation, non-cash charges and non-core operating expenses. Non-core operating
expenses include items related primarily to acquisition, integration and other related
costs, which are not incurred as part of the underlying trading performance of the
Group, and which are therefore adjusted for, in line with Group policy.

^(2) Organic growth is calculated based on trailing twelve-month pro-forma revenue
adjusted for acquired revenue, constant currency FX impact and non-recurring and
non-cash items (approximately USD 771 million and approximately USD 529 million 
for the trailing twelve months ending 31 March 2023 and 31 March 2022 respectively).

^(3) Includes gross cash, interest-bearing debt and prepaid finance costs.

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