MGI’s organic growth rate reaches 25% in February 2024
Yesterday, MGI announced that its organic growth rate continued its impressive trajectory, increasing to 25% in February 2024. This follows an earlier announcement of an 18% organic growth rate in January 2024. The continued robust organic growth rate further sets up the start of the year and puts upward pressure on our near-term revenue estimates.
According to the company, February 2024 saw record revenues driven by new customer onboardings, increased budgets from existing customers, and growing demand for ID-less targeting solutions. The increase in new customers and increased spending from existing customers is a strong sign that ad demand has started recovering. In addition, it appears that MGI's investments in ID-less targeting solutions are further improving the competitiveness of its advertising platform and positioning it to take full advantage of the recovery.
Our current estimates assume revenue growth of 11% in Q1’24, which undoubtedly seems low compared to yesterday's announcement and will need to be revised upwards. The increased growth rate in February also increases confidence that a high growth rate can be maintained throughout the year, which subsequently also puts upward pressure on our full-year revenue estimate. Our current revenue estimate for 2024 is 358 MEUR, representing a growth of 11% year-on-year.
Verve
Verve (Ticker: VER) is a fast-growing, profitable, digital media company that provides AI-driven ad-software solutions. Verve matches global advertiser demand with publisher ad-supply, enhancing results through first-party data from its own content. Aligned with the mission, “Let’s make media better,” the company focuses on enabling better outcomes for brands, agencies, and publishers with responsible advertising solutions, with an emphasis on emerging media channels. Verve’s main operational presence is in North America and Europe. Its shares are listed on the Nasdaq First North Premier Growth Market in Stockholm and the Scale segment of the Frankfurt Stock Exchange. The company has three secured bonds listed on Nasdaq Stockholm and the Frankfurt Stock Exchange Open Market.
Read more on company pageKey Estimate Figures01.03
2023 | 24e | 25e | |
---|---|---|---|
Revenue | 322.0 | 357.7 | 390.0 |
growth-% | -0.76 % | 11.08 % | 9.04 % |
EBIT (adj.) | 76.9 | 78.5 | 74.5 |
EBIT-% (adj.) | 23.89 % | 21.96 % | 19.10 % |
EPS (adj.) | 0.15 | 0.16 | 0.18 |
Dividend | 0.00 | 0.00 | 0.00 |
Dividend % | |||
P/E (adj.) | 6.78 | 25.17 | 22.35 |
EV/EBITDA | 3.58 | 9.71 | 9.50 |