Verve Group SE reduces full-year outlook for 2025 based on platform unification and currency effects
Stockholm, 14 August 2025 - Verve Group SE (ISIN: SE0018538068) announces a reduced full-year outlook for 2025 in terms of net revenue and adjusted EBITDA. The revised outlook now assumes net revenue of EUR 485-515 million (previously EUR 530-565 million) and an adjusted EBITDA range of EUR 125-140 million (previously EUR 155-175 million).
The downward revision of the forecast is due to two factors, which stand in contrast to the development anticipated in the original outlook. First, a one-off impact from more severe technical issues arising from the platform unification leading to direct revenue impacts, and in particular prolonged recovery in revenue intake from supply side marketplace activities after the completion of technical unification. Secondly, the Company sees significantly stronger negative FX translation impacts as well as outlook than Management previously anticipated.
The technical challenges, which relate solely to platform unification of in-app marketplace activities on the supply side, have turned out to be much more demanding than anticipated in the extensive planning process of the project. In particular, noticeable delays in the onboarding of new customers meant that incremental new revenues could only be realized with considerable delays. Various technical issues in relation to load balancer performance, temporary interruptions in bidding volumes, and temporary asynchrony of AI algorithms, led to revenue reductions during the unification process. The process of unifying all in-app marketplace activities onto a single platform has now, however, been completed in July, which will lead to significantly improved platform performance, cost efficiency and scaling going forward. The recovery in revenue intake from supply side marketplace activities has proven slower than expected, as observed in onboarding of new customers and customer scaling. Management foresees only a low probability of catching up on the unforeseen adverse revenue impacts from the unification process. These circumstances are estimated to have an adverse effect of approximately EUR 34 million on net revenues, which translates into a negative impact on adjusted EBITDA of approximately EUR 19 million. Additionally, increased infrastructure and one-off support costs during the unification process have a further adverse effect on adjusted EBITDA of approximately EUR 4 million.
In addition, the development in the currency exchange rate between USD and EUR in recent months along with revised planning assumption for the remainder of the year leads to a changed and more material translation impact estimation for the full year. While the original outlook, published on 28 May 2025, foresaw a possibility of a lower conversion of USD into EUR, communicated as +/- 2 percent revenue translation effect for the full year, the current USD/EUR exchange rate is materially lower than the original planning assumption, and the Company has to factor in a USD/EUR exchange rate at the current level for the remainder of the year. This unfavorable development in exchange rates is estimated to have a translation effect lowering our full-year EBITDA outlook by approximately EUR 9 million.
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In order to provide markets with the best available information on the operational performance in the second quarter of 2025 - although not being the reason for the revision of the outlook for 2025 - the Company has decided to bring forward the publication of its half-year report 2025 to 15 August 2025.
This information constitutes inside information that Verve Group SE is obliged to make public in accordance with the (EU) Market Abuse Regulation 596/2014. The information in this press release has been made public through the agency of the responsible person set out below for publication at the time stated by Verve's news distributor EQS Newswire at the publication of this press release.
Contact:
Ingo Middelmenne
Head of European Investor Relations
+49 174 90 911 90
ingo.middelmenne@verve.com
Sören Barz
VP Corp. Communications & Strategic Initiatives
+49 170 376 9571
soeren.barz@verve.com
About Verve
Verve Group is a fast-growing software platform in the advertising technology industry, connecting advertisers seeking to buy digital ad space with publishers monetizing their content. Driven by its mission "Let's make media better." Verve provides responsible, AI-driven advertising solutions that deliver superior outcomes for advertisers and publishers. The company focuses on emerging media channels like mobile in-app, connected TV and others. In anticipation of growing demand from users and advertisers for greater privacy, Verve has developed cutting-edge ID-less targeting technology that enables efficient advertising within digital media without relying on identifiers such as cookies or IDFA. Thanks to its strong differentiation and execution, Verve has achieved a revenue CAGR of 33 percent over the past four years reaching net revenues of 437 million euros in 2024 with an adj. EBITDA margin of 30 percent. Verve's main operational presence is in North America and Europe, and it is registered as a Societas Europaea in Sweden (registration number 517100-0143). Its shares - with the ISIN SE0018538068 - are listed on the regulated market of the Frankfurt Stock Exchange (Ticker: VRV) and on Nasdaq First North Premier Growth Market in Stockholm (Ticker: VER). Verve has an outstanding bond with the ISIN: SE0023848429. The Companies certified advisor on the Nasdaq First North Premier Growth Market is FNCA Sweden AB; contact info: info@fnca.se.
