Strong Preliminary Second Quarter Results & Robust Second Half Bus. Pipeline - Increases Revenues & Adjusted EBITDA Guidance ...
June 28 2021 - 6:00AM
Business Wire
Revised Full-Year Guidance: Projected Revenues
of $420 Million, 28% Year-over-Year Growth and Adjusted EBITDA of
$50 Million, 52% Year-over-Year Growth
Perion Network Ltd. (NASDAQ: PERI), a global advertising
technology company that delivers comprehensive solutions across the
three main pillars of digital advertising – ad search, social
media, and display / video / CTV – today announced preliminary
results for the second quarter of 2021, along with increased
guidance for full year 2021 revenues and Adjusted EBITDA. The new
guidance is based on a strong first half of 2021 coupled with a
robust revenues pipeline going into the second half of the
year.
Preliminary results
($M)
Q2 2020
Actual Results
Q1 2021
Actual Results
Q2 2021
Preliminary Results
Sequential
Quarterly Growth
Year Over
Year Growth
Total Revenues
$60.3
$89.8
$105
17%
74%
Adjusted EBITDA
$2.5
$8.8
$13.5
53%
440%
Main highlights:
- Perion’s Hub and Spoke business model which successfully
connects both demand and supply sides of the “open internet” is
driving efficiencies which improve Adjusted EBITDA margins;
- Video advertising and CTV are key growth drivers for our
year-over-year increase in projected advertising revenue;
- Increase in our clients’ performance marketing initiatives is
driving record search revenues.
($M)
2020
2021
Actual Annual Results
Revised Annual
Guidance
Annual Growth*
Revenues
$328.1
$410-$430
28%
Adjusted EBITDA
$32.8
$49-$51
52%
Adjusted EBITDA Margin
10%
12%
* At guidance midpoint
“Perion's accelerating growth further validates our
diversification strategy and the success of our holistic solutions
approach,” said Doron Gerstel, Perion’s CEO. “The key driver of our
growth is the strong performance of our advertising business, which
outpaced the industry’s organic growth rates, as brands and
agencies expand the adoption of our solutions. Our investments in
R&D are delivering significant returns and driving Adjusted
EBITDA margin expansion. Our strong business visibility into the
second half of 2021 gives us the confidence to increase our
full-year outlook.”
Second Quarter Results and Conference Call
Perion will release its financial results for the second quarter
and six months ended June 30, 2021, on Tuesday, August 3, 2021,
prior to the opening of the financial markets. Perion management
will host a conference call to discuss the results at 8:30 a.m. ET
that day. Details are as follows:
- Conference ID: 9985661
- Dial-in number from within the United States:
1-866-548-4713
- Dial-in number from Israel: 1809 212 883
- Dial-in number (other international): 1-323-794-2093
- Playback available until Tuesday, August 10, 2021 by calling
1-844-512-2921 (United States) or 1-412-317-6671 (international).
Please use PIN code 9985661 for the replay.
- Link to the live webcast accessible at
https://www.perion.com/ir-info/
About Perion Network Ltd.
Perion is a global technology company that provides agencies,
brands and publishers with innovative solutions that cover the
three main pillars of digital advertising. From its data-driven
Synchronized Digital Branding platform and high-impact ad formats
in the display domain; to its powerful social media platform; to
its branded search network, Perion is well-positioned to capitalize
on any changes in marketers’ allocation of digital advertising
spend. More information about Perion can be found at
www.perion.com.
Non-GAAP measures
Adjusted Earnings Before Interest, Taxes, Depreciation and
Amortization ("Adjusted EBITDA") is defined as operating income
excluding stock-based compensation expenses, depreciation,
restructuring costs, acquisition related items consisting of
amortization of intangible assets and goodwill and intangible asset
impairments, acquisition related expenses, gains and losses
recognized on changes in the fair value of contingent consideration
arrangements and certain accounting entries under the business
combination accounting rules that require us to recognize a legal
performance obligation related to revenues arrangements of an
acquired entity based on its fair value at the date of acquisition.
The purpose of such adjustments is to give an indication of our
performance exclusive of non-cash charges and other items that are
considered by management to be outside of our core operating
results. These non-GAAP measures are among the primary factors
management uses in planning for and forecasting future periods.
Furthermore, the non-GAAP measures are regularly used internally to
understand, manage and evaluate our business and make operating
decisions, and we believe that they are useful to investors as a
consistent and comparable measure of the ongoing performance of our
business. However, our non-GAAP financial measures are not meant to
be considered in isolation or as a substitute for comparable GAAP
measures and should be read only in conjunction with our
consolidated financial statements prepared in accordance with GAAP.
Additionally, these non-GAAP financial measures may differ
materially from the non-GAAP financial measures used by other
companies. A reconciliation of guidance and of the preliminary
results from a GAAP to Non-GAAP basis is not available due to the
unpredictability and uncertainty associated with future events that
would be reported in GAAP results and would require adjustments
between GAAP and Non-GAAP financial measures. Accordingly, a
reconciliation of the guidance and of the preliminary results based
on Non-GAAP financial measures to corresponding GAAP financial
measures for future periods, is not available without unreasonable
effort.
Forward Looking Statements
This press release contains historical information and
forward-looking statements within the meaning of The Private
Securities Litigation Reform Act of 1995 with respect to the
business, financial condition and results of operations of Perion.
The words “will”, “believe,” “expect,” “intend,” “plan,” “should”
and similar expressions are intended to identify forward-looking
statements. Such statements reflect the current views, assumptions
and expectations of Perion with respect to future events and are
subject to risks and uncertainties. Many factors could cause the
actual results, performance or achievements of Perion to be
materially different from any future results, performance or
achievements that may be expressed or implied by such
forward-looking statements, or financial information, including,
among others, the failure to realize the anticipated benefits of
companies and businesses we acquired and may acquire in the future,
risks entailed in integrating the companies and businesses we
acquire, including employee retention and customer acceptance; the
risk that such transactions will divert management and other
resources from the ongoing operations of the business or otherwise
disrupt the conduct of those businesses, potential litigation
associated with such transactions, and general risks associated
with the business of Perion including intense and frequent changes
in the markets in which the businesses operate and in general
economic and business conditions, loss of key customers,
unpredictable sales cycles, competitive pressures, market
acceptance of new products, inability to meet efficiency and cost
reduction objectives, changes in business strategy and various
other factors, whether referenced or not referenced in this press
release. Various other risks and uncertainties may affect Perion
and its results of operations, as described in reports filed by
Perion with the Securities and Exchange Commission from time to
time, including its annual report on Form 20-F for the year ended
December 31, 2020 filed with the SEC on March 25, 2021. Perion does
not assume any obligation to update these forward-looking
statements.
Source: Perion Network Ltd.
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version on businesswire.com: https://www.businesswire.com/news/home/20210628005316/en/
Perion Network Ltd. Rami Rozen, VP of Investor Relations
+972 (52) 5694441 ramir@perion.com
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