HI-MEDIA : HI-MEDIA :€198 million pro forma sales in 2012
oConfirmation of a business upturn at the end of the year
oVery strong growth in new activities, driven by technological innovations
in advertising and payment
oReturn to growth forecast in 2013
Paris, January 24, 2013, 5.40pm- Online media group Hi-Media (Code ISIN
FR0000075988 - HIM, HIM.FR), a European leader in monetizing the Internet
audience, today published its sales figures for the 2012 financial year.
Main consolidated data (€ million)
2012 2011 Variation 2012 2011 Variation
Sales pro forma pro forma published published
Advertising 91 99 -8% 88 105 -16%
Payments gross 404 354 +14% 404 362 +12%
Payments 107 111 -4% 107 125 -15%
Total 198 210 -6% 195 230 -15%
Commenting on the full year 2012 sales figures, founder and CEO of Hi-Media
Group Cyril Zimmermann, said: "In a challenging market, Hi-Media during the
last quarter confirmed the positive upturn identified this summer and posted
improved performances. With stronger positions in both the four main growth
areas of online advertising - Ad Exchange, Video, Mobile, Special Operations -
and in the online banking activities, with the HiPay electronic wallet, the
Group now has powerful growth drivers in place and enters 2013 confidently
expecting a gradual return to growth."
During the full year 2012, Hi-Media generated a consolidated turnover of 198
million euros, down 6% on a pro forma basis (restated from carved out and new
entities within the Advertising perimeter UK, Netherlands and Ad Triple in
Spain as well as from the termination of the free to play lotteries activity
on the Payments side).
Q4 2012 Q4 2011 Variation
Sales pro forma
Advertising 26.2 28.5 -8%
Under IFRS, the company reports the gross volume of advertising space sales in
some instances, and in others reports the gross margin realized on space sales
(most notably in Sweden and on Group proprietary sites).
At €26.2 million, the downturn in Q4 sales was smaller than the previous
quarter, confirming the signs of recovery that emerged over the summer.
The upturn is the result not of any improvement in the advertising market,
which remains depressed and particularly so in Southern Europe, where relies
c.30% of the Group's business, but stems rather from the new growth drivers
provided by new products and services launched over the past 18 months. The ad
exchange, video, mobile and special campaigns businesses reported growth in
excess of 50% and at end of 2012 accounted for over 30% of total business.
The progressively growing contribution made by these new activities should
offset the downturn in the traditional display advertising market. The Group's
overall advertising business into a new growth cycle over the course of 2013.
Moreover, the Group businesses in Southern Europe demonstrate first signs of
stabilization and should also return toward a positive path thanks to the
impact of new products.
Q4 2012 Q4 2011 Variation
Sales pro forma
Payments gross sales 104.9 91.5 +15%
Paiements 25.6 27.5 -7%
Under IFRS, the company reports the gross volume of transactions in some
instances, and in others reports the gross margin realized on transactions
(particularly for its e-money activities).
During the fourth quarter the volume of transactions processed by Hi-Media is
up by 15%, testimony to the success of its range of services, especially in
the world of video games and in online news, most notably via the e-press
The payments sector is experiencing a transition similar to that described for
the advertising business, with new services gradually offsetting the
increasing maturity of some of the Group's more traditional activities, which
have felt the effects of the difficult economic environment.
Micropayment methods (in particular payment by SMS) are experiencing a
slowdown, while banking methods of payment based on the HiPay electronic
wallet have seen growth of over 40%. HiPay now has over two million open
accounts and is enjoying growing success with every quarter.
Similar to the advertising business, new activities are emerging based on
technological innovations introduced by the Group over the past 18 months. The
launch of new payment solutions is expected to confirm this trend over the
course of 2013.
Both market places - Hi-Media Ad eXchange for advertising and Hi-Media
Payments for payment solutions - are encountering changes with new services
driven by innovative technology and are enjoying very strong growth that
should gradually offset the effects of the depressed market environment for
the Group's traditional services. Thanks to the strategic choices made over
the last two financial years, Hi-Media should be in a position to return to
growth over the course of 2013.
About Hi-Media Group
Hi-Media is one of Europe's leading online media groups. Its business model
relies on two different revenue streams: online advertising via its dedicated
ad network Hi-Media Advertising and online content monetization via Hi-Media
Payments. The group, which operates in 9 European countries, employs some 470
people and posted sales of over €230 million in 2011.
Independent since its creation in 1996, the company is listed on NYSE Euronext
Paris - Compartment C and is included in the CAC Small and CAC All-Tradable
ISIN code: FR0000075988/Mnenomic: HIM.
Further information available on www.hi-media.com and on our blog
Next financial communication: 2012 annual results on March 14, 2013, before
Contact: Citigate Dewe Rogerson
Investor contact: Agnes Villeret: 01 53 32 78 95 - email@example.com.
Press contact: Servane Taslé: 01 53 32 78 94 - 06 66 58 84 28 -
This press release does not constitute an offer to sell, or a solicitation of
an offer to buy Hi-Media shares. If you wish to obtain further information
about Hi-Media, please refer to our website http://www.hi-media.com under the
Corporate Information heading.
This press release may contain some forward-looking statements. Although
Hi-Media considers that these statements are based on reasonable hypotheses at
the date of publication of this release, they are by their nature subject to
risks and uncertainties which could cause actual results to differ materially
from those indicated or projected in these statements. Hi-Media operates in a
continually changing environment and new risks emerge continually. Hi-Media
does not undertake and expressly disclaims any obligation to update or revise
any of these forward-looking statements, whether to reflect new information,
future events or circumstances or otherwise.
Hi-Media: €198 million pro forma sales in 2012
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Source: HI-MEDIA via Thomson Reuters ONE
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