Second quarter 2024
January - June 2024
Significant event after the end of the period
In July 2024 Cint announced that the company is carrying out an efficiency program resulting in a reduction of approximately 10 percent of the personnel costs. As part of the organizational changes, Jake Wolff, Cint’s Chief Revenue Officer, and Mike Misel, Chief Supply and Partnership Officer, have made the decision to leave the company.
CEO Giles Palmer comments:
We closed the second quarter of 2024 with steady sales performance and improved profitability. Net sales for the quarter amounted to EUR 42.1m, a slight decrease compared to EUR 42.9m pro forma in the same period last year. The decline was driven by a temporary reduction in supply due to the migration of panel providers to the new platform. These issues peaked in May and our estimation is that they caused a reduction in net sales of circa EUR 2m in the quarter. Our Media Measurement business continues to perform well, with growth from both existing customers and new client logos.
A gross margin of 87.0 percent combined with lower operating expenditures resulted in an improved EBITA margin of 16.9 percent (14.8 pro forma).
Net cash flow for the quarter was EUR -0.5m influenced by net working capital and the quarterly loan amortization payment of EUR 2.3m.
The consolidation of our technology platforms into the new unified Cint Exchange is progressing. Most of the work is on plan but two areas are delayed - the new front end is roughly three months behind plan and the hosted panel system is two months behind plan.
During the transition period, as we migrate our customers and panel providers to the new platform and phase out the legacy systems, we do not anticipate decisive year-on-year sales growth, especially given the persisting macroeconomic challenges. However, we expect the typical seasonal sales pattern to persist, with stronger performance in the second half of the year compared to the first. In conclusion, we expect the second half of 2024 to deliver improved profitability, due to higher seasonal sales combined with the impact of the cost reduction described above.
Presentation today at 10.00 a.m. CEST
The report will be presented by Giles Palmer, CEO and Niels Boon, CFO at 10.00 a.m. CEST today via a webcast conference call. Follow the webcasted presentation and conference call live at: webcast
For participation in the telephone conference, please make sure you are connected to the conference call by calling in and registering a few minutes before the conference begins.
Sweden: +46 10 884 80 16
International: +44 (0) 20 3936 2999
Access code: 878 175
The presentation material and a recorded version of the conference will be available at Cint™ Investors.
Patrik Linzenbold
Head of Investor Relations
[email protected]