Tremor International jumps following ‘record results’
Shares in (TRMR ) jumped on Thursday after the technology company reported record results amid strong growth as a result of ‘significant’ programmatic activity.
The London-listed firm which made its NASDAQ debut in the US back in June said half year revenues had doubled to $152.4m, up from the $74.2m reported in 1H20. In contrast to booking a loss of $31.5m in 1H20, the Company reported a profit of $36.4m for the period.
Commenting on the Company’s results, Ofer Druker, Chief Executive Officer of Tremor said:
"I am pleased to report that the first half of 2021 further validated Tremor's strategy of developing an end-to-end technology platform and our focus on Video, CTV and data.
This impressive revenue growth, which we believe is one of the highest across our peer group, affirms our continued investment in product innovation and business development.”
The Group said strong growth in programmatic activity has reinforced its strategy to create an end-to-end platform ‘while leveraging technology, data and business intelligence.’
It said momentum was buoyed by strong performance in video across all screens, fuelled by CTV. Programmatic revenue during 2Q21 increased by 196% to $67.5 million, compared to 2Q20, which the Company said was largely driven by continued strong performance in CTV.
On June 22, 2021, Tremor successfully raised $128.6 million (plus an additional $19.3 million in gross proceeds through underwriters' exercising of its over-allotment option), before deducting underwriting discounts and commissions when its American Depositary Shares (ADSs) began trading on the NASDAQ Global Market under the ticker symbol "TRMR."
Shares in Tremor International have more than doubled in value since the start of 2021. The stock saw its shares gain 8.95% during late morning trading to 787p following the news.
The Company said it expected its NASDAQ listing to provide the Company with greater visibility in the marketplace and to better position it to raise additional capital in the future.
Tremor intends to use the proceeds from this offering for working capital, general corporate purposes and to fund incremental growth, including possible acquisitions in the future.
As of 31 June, the Group held cash and cash equivalents of $275.5 million and zero debt.
Looking ahead, Tremor said it expects 3Q21 contribution ex-TAC to be at least $75 million while the Company has also forecasted adjusted EBITDA of around $37m for the period.
Tremor remains confident in its medium to long-term prospects and said it is well-placed to further benefit from the ongoing resurgence in the global digital advertising industry.
Druker said he is “equally proud that the entirety of the growth we achieved in the first half of 2021 was organic and as a result of increased client spending on programmatic advertising.”
Druker added, “Increasingly, Tremor is empowering our clients to deliver impactful brand stories to targeted, relevant audiences globally. "The successful capital raise through our U.S. IPO and concurrent listing of our shares on NASDAQ in June represents a milestone achievement for Tremor and a de-facto endorsement from our shareholders."
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