DJ BROADPEAK SA: Broadpeak publishes its annual results
BROADPEAK SA BROADPEAK SA: Broadpeak publishes its annual results 27-Apr-2023 / 18:00 CET/CEST Dissemination of a French Regulatory News, transmitted by EQS Group. The issuer is solely responsible for the content of this announcement.
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Broadpeak publishes its annual results . Revenue up 26.5%, to EUR41.9 M . EBIDTA remains positive, in line with target . A financial year of sustained investment in order to accelerate the momentum in terms of technology andsales . All 2026 financial targets confirmed Cesson-Sévigné (France), 27 April 2023 Broadpeak (ISIN: FR001400AJZ7 - Ticker: ALBPK), a leading provider of video streaming software solutions, today published its annual results as of 31 December 2022. Commenting, Jacques Le Mancq, CEO of Broadpeak, said: "In 2022, our Group delivered on the commitments it had made to investors at the time of its IPO on Euronext Growth. We met our financial objectives in terms of revenue growth (+26.5%) but also in terms of maintaining a positive EBITDA. This performance took place during an intense R&D and sales teams structuring phase for Broadpeak, whose workforce increased by 30% in one year. After the successful launch of the SaaS offering, the start of FY 2023 was marked by the release of the latest generation of the 'Advanced CDN' solution. The result, a streaming solution offering unparalleled environmental performance, enhanced monetisation opportunities for our clients, and an exceptional user experience. Buoyed by these innovations fuelling our sales momentum, Broadpeak starts 2023 with confidence and confirms all its objectives for 2026."
In EURk 2021 2022 Revenue 33,127 41,901 Gross margin 26,751 31,232 EBITDA^1 2,966 593 Operating profit (loss) 1,348 (1,567) CIR amount^2 2,902 3,992 Net income/(loss) 4,118 1,430 ^2 CIR: Research Tax Credit Solid growth, strengthening in the Americas and Asia zones In 2022, Broadpeak generated EUR41.9 million in revenue (EURM), a performance that was fully in line with the objective announced at the time of the IPO. Sales growth, obtained completely through internal growth, reached 26.5%. It included a positive Forex effect (+EUR2.6 M) associated with the rise in the dollar. At constant exchange rates, growth was 18.5% in 2022. During the financial year, the Group generated over 92% of its revenue outside of France. It significantly strengthened its positions in the Americas (+63% to EUR20.6 M), now the biggest market for Broadpeak, and in Asia (+58% to EUR3.8 M). In Europe, the Middle East & Africa region (EMEA), the change in activity (-3% to EUR17.5 M) reflected a particularly demanding comparison basis, associated with the posting in late 2021 of a very significant order from a major European operator. By nature, licences & services have remained the primary source of revenue, totalling 51.6% in sales over the financial year, while the maintenance & SaaS segment, which includes the initial income from the broadpeak.io platform, increased by 36%, now representing 21.6% of overall sales. The contribution of equipment sales (26.8% over the financial year) returned to a normal level in the second half of the financial year (to 24.9% of revenue), after an exceptionally high first half (29.9%) particularly associated with the preparations for the World Cup^® and the needs associated with new hardware. Net margin growth in the second half Positive EBITDA for the year The gross margin came to EUR31.2 M over the year, representing 74.5% of revenue. As announced, it rose markedly in the second half of 2022 (to EUR19.9 M, or 77.1% of revenue) compared to the first half (EUR11.3 M, or 70.6% of revenue). This anticipated change is directly linked to the normalising of the contribution of equipment sales between the two periods. EBIDTA totalled EUR0.6 M for the year. In line with the stated objective of maintaining a positive EBITDA, this level included the expenses needed to step up the acquisition of market share. Personnel expenses thus rose by 29.1%, to EUR20 M, following the increase in resources. In one year, the Broadpeak workforce increased from 241 to 312, including external contractors. The growth in external contractor services is reflected through the increase in other operating expenses (+56.9%), also associated with the marketing and sales investments due to the 2022 return of large international trade shows. The operating result totalled -EUR1.6 M (compared to +EUR1.35 M in 2021), after posting EUR2.2 M in interest, depreciation, and amortisation, an amount whose increase (+33.5%) reflects a sustained investment policy, resulting in an increase in R&D expenses invested. The net earning amounted EUR1.4 M, after recognition of a research tax credit (CIR) of EUR3.9 M (vs. EUR2.9 M in 2021). A solid financial structure As of 31 December 2022, equity totalled EUR28 M, versus EUR8.3 M one year earlier, thanks to the net proceeds from the capital increase conducted at the occasion of the IPO, in the amount of EUR18.3 M. Financial debt was reduced by over half in one year, to EUR5.9 M (vs. EUR13.7 M at the end of 2021). The establishment of a factoring agreement resulted in a contraction of the accounts receivable item (-33%) and a marked improvement in the Group's working capital requirement (WCR). Despite the sustained investment and substantial debt reduction, cash burn remained contained: free cash flow totalled
-EUR2.5 M for the year (vs. -EUR2.6 in 2021). As of 31 December 2022, the Group had a cash position of EUR10.8 M. A year of technological and commercial acceleration In 2022, Broadpeak steered a steady course on the strategic roadmap unveiled at the time of its IPO. The Group continued its policy of ongoing innovation, which resulted in particular in the December launch of the BkS450 software; this disruptive solution meets the growing environmental expectations surrounding digital, with high-performance streaming consuming up to four times less energy than the preceding generation. In parallel, the broadpeak.io platform (SaaS offering), launched in early 2022, was enriched throughout the year with new advanced applications (Content replacement, Virtual channel, Dynamic ad insertion). Such advances in technology maintained a strong commercial momentum. In 2022, Broadpeak managed to accelerate the development of earnings over its installed customer base, all while leading a record conquest, carried by the success of the CDN, Cloud PVR, and Multicast ABR offers, as well as by the first items in the SaaS offer. Overall, the Group's portfolio was enriched by 27 new references, for 152 clients in late 2022. Roadmap for 2026 confirmed Since early 2023, this commercial momentum has continued, in particular with the Group seeing an acceleration of orders for the SaaS offers (broadpeak.io) and Multicast ABR as well as the promising beginnings for the new "Advanced CDN" version launched in April. In a streaming market still carried by the explosion of video content and minimally exposed to cyclical developments, Broadpeak is confident in its capacity to pursue a trajectory of sustained growth in 2023. This trajectory will be more dynamic starting in Q2, as the start of the year was marked by the few-week lag of a significant order. The solid growth expected over the entire financial year should be accompanied by an increase in EBITDA over its 2022 level. Over the longer term, Broadpeak is renewing the roadmap presented to investors at the time of its IPO. By 2026, the Group is targeting EUR100 M in revenue, combined with an EBITDA margin of 20%. Powered by the acceleration of the broadpeak.io platform, the share of recurring revenue (maintenance and SaaS) is expected to reach 40% over this timeframe. Upcoming events: . Q1 2023 revenue: 16 May 2023, after market close . H1 2023 revenue: 25 July 2023, after market close CONTACTS
BROADPEAK FINANCIAL COMMUNICATION FINANCIAL / CORPORATE PRESS Investors@broadpeak.tv broadpeak@actifin.fr michael.scholze@actifin.fr + 33(0)2 22 74 03 50 + 33(0)1 56 88 11 25 + 33(0)1 56 88 11 14 Broadpeak, S.A. - Zone des champs blancs, 15 rue Claude Chappe, 35 510 Cesson-Sévigné, France VAT Number FR49 524 473 063 - SIREN 524 473 063 00054 avec un capital social de 250.615,60 euros Tel: +33 (0)2 22 74 03 50 www.broadpeak.tv About Broadpeak Since its creation, Broadpeak has grown with a sole purpose in mind: to roll out software solutions worldwide streaming content that people love with a compelling quality of experience. These solutions target the world's leading players, including large TV and telecom operators and global broadcasting platforms (OTTs), as well as new media in the corporate, sports and entertainment segments. At the end of 2022, Broadpeak had 150 customers across 50 countries, representing 200 million spectators worldwide These include leading players such as Bouygues Telecom, Orange, Telecom Italia, Deutsche Telekom, HBO, Mola TV, StarHub TV+ and Megacableò. Broadpeak has more than 320 employees in 23 countries. The company is mainly based in France (head office in Cesson Sévigné near Rennes) but is also present in the United States (Denver), Canada (Ottawa), Brazil (Sao Paulo), Singapore and Dubai. Broadpeak generates approximately 90% of its revenue internationally. Since 2015, Broadpeak has posted average annual growth of more than 30%. For 2026, the objective is to reach EUR100 million in sales, i.e. a more than threefold increase in activity compared to 2021, with an EBITDA margin of 20%.
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Regulatory filing PDF file File: Broadpeak publishes its annual results
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Language: English
Company: BROADPEAK SA
15 rue Claude Chappe
35510 CESSON SEVIGNE
France
Phone: 02 22 74 03 50
Internet: https://broadpeak.tv/
ISIN: FR001400AJZ7
Euronext Ticker: ALBPK
AMF Category: Inside information / News release on accounts, results
EQS News ID: 1619621
End of Announcement EQS News Service
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1619621 27-Apr-2023 CET/CEST
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April 27, 2023 12:00 ET (16:00 GMT)
