21st Jan 2020 09:38
(Alliance News) - dotDigital Group PLC on Tuesday reported double-digit organic sales growth in its first half, with earnings set to meet expectations.
dotDigital, which provides marketing automation and customer engagement software, reported organic revenue growth of around 15% in the six months to December, with revenue at GBP23.1 million.
The London-headquartered firm said this was driven mainly by "strong" direct sales to both new and existing customers.
Average revenue per user climbed by 14% on the year before to GBP999 per month. This was helped by higher spending by existing customers as well as new customers signing up for a wider array of services.
dotDigital said adjusted earnings before interest, tax, depreciation and amortisation as well as adjusted pretax profit are both to meet market expectations for the full year ending June. Adjusted Ebitda a year prior was GBP12.5 million, and market consensus is for a figure of GBP17.0 million.
Chief Executive Milan Patel said: "The first half was a period of strong trading for dotdigital, with the continued execution of our organic growth strategy, centred around technology innovation, geographic expansion and strategic partnerships, delivering positive results.
"We saw good growth in our international markets, in particular Asia Pacific following the investments made in the region last year, and pleasing success monetising new product functionality as customers deepened and expanded their engagement with our platform, adding to our recurring revenues."
"Looking forward, the market opportunity remains substantial, with a growing number of brands recognising the critical value of harnessing customer data and insights to create personalised, omnichannel marketing campaigns," Patel continued.
"Against this backdrop, and with a robust strategy and business model, powerful technology platform and highly talented team in place, we find ourselves in our strongest position to date, and are confident of continuing to build on the momentum in the business as we move into the second half."
The company will release interim results on February 25. Shares were 3.6% higher on Tuesday morning in London at 109.85 pence each.
By George Collard; [email protected]
Copyright 2020 Alliance News Limited. All Rights Reserved.
Related Shares:
dotDigital Group