Team Internet Group is a global internet company that derives recurring revenue from privacy-safe, AI-based customer journeys that help online consumers make informed choices, as well as from the distribution of domain names.
Team Internet’s largest addressable market is online marketing, with global spending reaching US$616bn in 2022 and forecast to grow at a CAGR of 10% to 2027, according to Statista. While Team Internet currently has a small share of this market, its proprietary digital marketing capabilities and blue-chip partnerships offer the potential for rapid growth. However, further market consolidation may result in heightened competition from larger competitors, namely marketing technology companies such as The Trade Desk and AppLovin.
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Billy Green
CFO
Iain McDonald
Chairman
Martin Surzyn
Head of investor relations
Michael Riedl
CEO
Forecast net debt (US$m)
72
Forecast gearing ratio (%)
40
% | 1M | 3M | 12M |
---|---|---|---|
Actual | (3.4) | 35.3 | 46.5 |
Relative | (3.1) | 32.5 | 37.1 |
52 week high/low | 199.8p/115.0p |
While the weak advertising market suppressed growth in Online Marketing in the (seasonally quiet) Q1, Online Presence continues to perform robustly and group margins continue to expand. The acquisition of Shinez is now complete and should add further robustness to Team Internet’s revenue profile, diversifying its partnership base and creating good opportunities to capture more value in the conversion funnel. We left our standalone estimates unchanged, but upgraded FY24 and FY25 EPS by 5% and 7% to reflect the acquisition of Shinez.
Y/E Dec | Revenue (US$m) | EBITDA (US$m) | PBT (US$m) | EPS (fd) (c) | P/E (x) | P/CF (x) |
---|---|---|---|---|---|---|
2022A | 728.2 | 86.0 | 64.3 | 15.44 | 15.1 | N/A |
2023A | 836.9 | 96.4 | 80.1 | 22.41 | 10.4 | N/A |
2024E | 983.6 | 109.8 | 89.6 | 27.06 | 8.6 | N/A |
2025E | 1081.8 | 116.8 | 96.6 | 29.02 | 8.0 | N/A |