(Alliance News) - Nexxen International Ltd on Wednesday said it expects its adjusted earnings to recover in 2024, after it swung to a loss in 2023.
The New York-based advertising technology company, formerly known as Tremor International Ltd, said it swung to a pretax loss of USD19.0 million in 2023 from a profit of USD42.4 million in 2022.
Revenue edged down 1.0% to USD332.0 million from USD335.3 million.
Notably, operating costs increased 25% to USD286.7 million from USD229.8 million. Further, financing expenses more than doubled to USD10.2 million from USD4.6 million.
Looking ahead, Nexxen expects adjusted earnings before interest, tax, depreciation and amortisation to improve by 20% in 2024 to around USD100 million from USD83.2 million in 2023, but this still will be 31% below 2022's USD144.9 million.
Further, it expects contribution excluding traffic acquisition cost to improve by at least 8.2% to between USD340 million and USD350 million in 2024, from USD314.2 million in 2023. Nexxen defines contribution ex-TAC as gross profit plus depreciation and amortization attributable to cost of revenue and cost of revenues, exclusive of depreciation and amortization, minus Performance media cost, or TAC.
Nexxen shares were up 2.4% to 214.00 pence each on Wednesday afternoon in London.
By Tom Budszus, Alliance News slot editor
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Nexxen Int Ltd (NEXN)