CLIQ Digital is a leading online performance marketing company selling subscription-based streaming services that bundle movies & series, music, audiobooks, sports and games globally. In FY23, 33% of sales were generated in Europe, 60% in North America, 4% in Latin America and 2% in other regions.
Demand for mobile entertainment has grown rapidly over the last decade, boosted by increased smartphone penetration, now at 84% of global mobile users (Statista). While boundaries between types of content are becoming increasingly blurred, mobile gaming is the largest segment. In H223 larger content subscription services saw a return to subscriber base growth despite increased subscription prices and more limited password sharing.
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edison tv
Ben Bos
Board member
Sebastian McCoskrie
Head of IR
Forecast net cash (€m)
16.5
Forecast gearing ratio (%)
N/A
% | 1M | 3M | 12M |
---|---|---|---|
Actual | (23.0) | (59.3) | (72.1) |
Relative | (20.7) | (58.8) | (75.7) |
52 week high/low | €25.2/€6.4 |
CLIQ Digital had a disappointing start to FY24 in Q124, as its membership base fell following a change in refund programmes from credit card providers, making it easier for subscribers to cancel. Revenues fell by 12%, while marketing expenses (a key growth driver for CLIQ) dropped by 9% as management sought to protect its gross margin. The adjusted EBITDA margin fell to 7%, driven by the decline in sales. Management has initiated its Fit for Future transformation strategy to drive operational efficiencies, while diversifying its marketing channels from traditional display advertising into search engine advertising, affiliation and B2B partnerships. CLIQ has cut FY24 revenue guidance by 13–17%, while EBITDA is now expected to be 48–50% lower than previously.
Y/E Dec | Revenue (€m) | EBITDA (€m) | PBT (€m) | EPS (fd) (c) | P/E (x) | P/CF (x) |
---|---|---|---|---|---|---|
2022A | 276.1 | 43.5 | 40.9 | 445.38 | 1.5 | 1.0 |
2023A | 326.4 | 50.3 | 45.0 | 483.96 | 1.4 | 0.8 |
2024E | 305.1 | 26.1 | 20.2 | 206.73 | 3.3 | 1.7 |
2025E | 329.3 | 29.5 | 24.6 | 253.79 | 2.7 | 1.5 |