TIDMCNIC
RNS Number : 0181D
CentralNic Group PLC
17 October 2022
This announcement contains inside information for the purposes
of Article 7 of the Market Abuse Regulation (EU ) 596/2014 as it
forms part of UK domestic law by virtue of the European Union
(Withdrawal) Act 2018 ( "MAR"), and is disclosed in accordance with
the Company's obligations under Article 17 of MAR.
17 October 2022
CentralNic Group plc
("CentralNic" or the "Company", or the "Group")
Q3 2022 Trading Update, Refinancing and Notice of Results
Continued momentum with 66% organic growth, resulting in
upgraded FY22 outlook
CentralNic Group plc (AIM: CNIC), the global internet platform
company that derives recurring revenues selling online presence and
marketing services, is pleased to provide an update for the 9
months ending 30 September 2022. The positive trading momentum
previously announced has continued, and the Company's organic
growth has further accelerated during the period.
Trading Update
The Company expects to report revenue of approximately USD 525
million, Net Revenue of at least USD 127m and Adjusted EBITDA(1) of
at least USD 61 million for the nine months ending 30 September
2022, an increase of 86%, 49% and 89% respectively. Adjusted
EBITDA/Net Revenue ratio improved to 48% as compared to 38% in the
same period last year. Year-on-year organic growth(2) for the
trailing twelve months ending 30 September 2022 is estimated at
c.66%. This outperformance has been driven predominantly by the
growth of the Online Marketing Segment, which continues to win
market share as a result of the ever-increasing demand for online
customer acquisition services that are privacy-safe.
Cash increased to USD 83m at 30 September 2022 from USD 56m as
at 31 December 2021, reducing Net Debt (3) to c.USD 63m at 30
September 2022 (USD 81m at 31 December 2021), despite the partially
debt financed acquisition of VGL (EUR 21m debt component) and the
recent cash settled acquisition of Aporia (USD 11m), being
testament to the strong cash conversion. Adjusted operating cash
conversion is estimated at approximately 100%.
While the Directors remain cognisant of the current global
macro-economic environment, they now have confidence that the Group
will materially exceed the current market expectations for the full
year(4) .
Refinancing
Post the period end, CentralNic has entered into a new Senior
Facilities Agreement ("SFA") under which USD 250 million of new
debt facilities will be provided by a syndicate of six banks.
The new debt facilities comprise a USD 150 million term loan
("TL") and a USD 100 million revolving credit facility ("RCF"). The
TL will be used in part to refinance the existing EUR 126 million
senior secured bonds (for which a corresponding bond call notice is
expected to be issued in short order) and repay drawings under the
Group's existing revolving credit facility.
The TL and RCF have an initial maturity date of October 2026,
with an option to extend by a further year. The borrowing cost of
the facilities is determined by CentralNic's net leverage, such
that this will initially be 2.75% above SOFR, a notable reduction
compared to the 7% above 3m EURIBOR for the senior secured bond (5)
it replaces. The Company intends to enter into an interest swap
transaction to fix part of the variable interest component. The
settlement of the payments is scheduled to be completed by the end
of October.
Ben Crawford, CEO of CentralNic, said : "CentralNic continues to
build momentum in the third quarter against typical seasonal
trends, with year-on-year organic growth now reaching a record 66%,
a further acceleration over the 62% reported for the twelve-month
period ending 30 June 2022.
"This continued reliable financial performance has allowed us to
refinance at a notably improved interest rate, with a pool of
quality lending banks which have the means to provide ongoing
support to CentralNic's growth strategy. We look forward to the
future with even greater confidence."
Notice of Results
The Company will publish its unaudited interim report for the
nine months ending 30 September 2022 on Monday, 22 November
2022.
There will be a webinar / conference call for equity analysts at
9:30am UK on the day of results, hosted by CEO Ben Crawford and CFO
Michael Riedl. Anybody wishing to register should contact Isabelle
Smurfit at centralnic@secnewgate.co.uk where further details will
be provided.
(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 (c.USD 682m and
c.USD 411m for the trailing twelve months ending 30 September 2022
and 30 September 2021 respectively)
(3) I ncludes gross cash, interest-bearing debt, prepaid finance
costs and Mark-To-Market (MTM) for the bond hedges
(4) Analyst consensus of revenue and adjusted EBITDA for the
financial year ending 31 Dec 2022 as of Sunday, 16 October 2022 is
USD 626.6m and USD 72.5m respectively
(5) The margin is a function of leverage and con be up to 3.55%
if Net Debt/EBITDA exceeds 2.5; the maximum leverage is 3.0x,
subject to conditions
-Ends-
For further information:
CentralNic Group Plc
Ben Crawford, Chief Executive Officer
Don Baladasan, Group Managing Director
Michael Riedl, Chief Financial Officer +44 (0) 203 388 0600
Zeus (NOMAD and Joint Broker)
Nick Cowles / Jamie Peel / James Edis
(Investment Banking) +44 (0) 161 831 1512
Dominic King (Corporate Broking) +44 (0) 203 829 5000
Berenberg (Joint Broker)
Mark Whitmore / Richard Andrews / Alix
Mecklenburg-Solodkoff +44 (0) 20 3207 7800
SEC Newgate (for Media) +44 (0) 203 757 6880
Bob Huxford / Isabelle Smurfit/ Max Richardson centralnic@secnewgate.co.uk
About CentralNic Group plc
CentralNic (AIM: CNIC) is a London-based AIM-listed company
which drives the growth of the global digital economy by developing
and managing online marketplaces allowing businesses globally to
buy subscriptions to domain names for websites and email, monetise
their websites, and acquire customers online. It supplements its
organic growth by identifying and acquiring cash-generative
businesses in its industry with annuity revenue streams and
exposure to growth markets and migrating them onto the CentralNic
software and operating platforms.
For more information please visit: www.centralnicgroup.com
This information is provided by RNS, the news service of the
London Stock Exchange. RNS is approved by the Financial Conduct
Authority to act as a Primary Information Provider in the United
Kingdom. Terms and conditions relating to the use and distribution
of this information may apply. For further information, please
contact rns@lseg.com or visit www.rns.com.
RNS may use your IP address to confirm compliance with the terms
and conditions, to analyse how you engage with the information
contained in this communication, and to share such analysis on an
anonymised basis with others as part of our commercial services.
For further information about how RNS and the London Stock Exchange
use the personal data you provide us, please see our Privacy
Policy.
END
TSTMFBRTMTMBBAT
(END) Dow Jones Newswires
October 17, 2022 02:00 ET (06:00 GMT)
Team Internet (LSE:TIG)
Gráfica de Acción Histórica
De Feb 2024 a Mar 2024
Team Internet (LSE:TIG)
Gráfica de Acción Histórica
De Mar 2023 a Mar 2024