•     Total revenue amounted to SEK 459 M (404) an increase of 14% or 8% adjusted for changes in exchange rates compared to the same period last year.

•     Gross profit was SEK 98 M (83) an increase of 19% or 13% adjusted for changes in exchange rates. Gross margin was 21.4% (20.4). 

•     Operating costs excluding depreciation and adjusted for change related items were SEK 74 M (61), an increase of 21% or 17% adjusted for changes in exchange rates. 

•     EBITDA amounted to SEK 24 M (21). Adjusted for change related items, EBITDA was SEK 24 M (22).

•     Investments in immaterial assets, mainly related to product development, were SEK 8 M (7).

•     Cash flow from operating activities was SEK 40 M (8).

•     Earnings per share, before and after dilution were SEK 0.16 (0.19).

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Letter from the CEO

In the first quarter of 2023, Tradedoubler continued the trend of now seven consecutive quarterly results with double-digit Gross Profit growth - in Q1, 13% currency adjusted -, and continued increased EBITDA - in Q1, SEK 24,5 M. The gross margin has slightly increased to 21,4% while the EBITDA margin is stable at 5,3%.

Regions & Products
We were able to continue the growth in Gross Profit in all Tradedoubler regions with the Nordics & Poland and the DACH region being the main drivers, while France & Benelux, the UK & Ireland and the region "South" contribute in a material way.
Across all our offerings of Affiliate Marketing, Metapic, Grow and the Campaigns business including Appiness and Cost-per-Lead campaigns we generated continued good growth rates matching the expectations for each product. 

Margins
The increase of the Gross margin to 21,4% goes along-side the continued change in our product mix with the new products increasing their share of Tradedoubler's business. These products (Metapic, Grow, Campaigns) have a higher margin than the traditional Affiliate Marketing business.
The EBITDA margin has been stable at 5,3%. The increase in costs is solely related to investments into the new products and there especially into Metapic and product development itself.   

Market 
While the external market environment with high inflation, reduced consumer spendings and therefore increased challenges for our client's continues, we do not see an effect on our business for the time being. While there are obvious larger shifts in how digital marketing strategies are planned and operated, our portfolio of performance marketing solutions seems to match the needs of our clients for results-focused marketing campaigns.
  
Our vision is to generate more revenue for our clients than any other partner and we receive encouraging signals from our clients that we are on a good way. 

I want to thank our teams across all markets and units for their commitment to our strategy and their great contribution. I am amazed by the talent, the energy, and the dedication our colleagues put into the development of our business.
 

Contact information

Matthias Stadelmeyer, President and CEO, telephone +46 8 405 08 00   
Viktor Wågström, CFO, telephone +46 8 405 08 00   
E-mail: ir@tradedoubler.com
 

Other information

This information is information that Tradedoubler AB is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact persons set out above, at 08.00 CET on 5 May 2023. Numerical data in brackets refers to the corresponding periods in 2022 unless otherwise stated. Rounding off differences may arise.