OSLO, Norway, Dec. 21, 2020 /PRNewswire/ -- Trading update AdColony

Since we reported our 3Q20 numbers on October 27, we have seen accelerating revenue growth in November, and so far in December which are significantly above our expectations. The above-expected results come from the Brand part of AdColony which contributes around 80% of revenue and is across all geographies, including APAC, EMEA and the US and fueled in particular by our programmatic business. Gross margins quarter to date are slightly above expectations and what we saw in 3Q20.

Trading update Bemobi

Due to the ongoing IPO process which had launched when we reported out 3Q20 results, we did not provide any guidance for Bemobi.

Bemobi have in 4Q20 delivered in line with management's expectations and are on track to deliver both increased revenue and increased adj. EBITDA in 4Q20 vs 3Q20.

Updated financial outlook for 2020  

Reference is made to Otello's 3Q20 report where we provided guidance for AdColony for 4Q20 and 2020. We said we expected AdColony to grow 10-15% vs. 4Q19 (which was $55.2 million). We also reiterated the annual guidance of around 10% growth for FY 2020 vs. FY 2019 (which was $183.9 million). Based on the trading update above and expected continued strong momentum for the rest of December, we now expect AdColony to deliver revenue growth of around 30% (vs. 10-15% prior) in 4Q20 vs. 4Q19 and around 14% (vs. 10% prior) in FY 2020 vs. FY 2019.

Otello expects to publish 4Q 2020 interim results on 19 February 2021 as planned, with a webcast for investors and analysts on the same day.

Petter Lade, CFO
Phone: +47 91143878
E-mail: petterl@otellocorp.com 

About Otello:

Otello holds shares in several different businesses, including (i) AdColony which helps publishers monetize their content through advertising and advertisers reach the audiences that build value for their businesses, capitalizing on a global consumer audience reach that exceeds 2 billion; (ii) Bemobi, a Mobile Media and Entertainment company which integrate people and mobile content through technology and offers a leading subscription-based discovery service for mobile apps in Latin America and beyond; (iii) Skyfire which offers cloud-based network solutions for mobile operators and (iv) Vewd which offers OTT services in the Connected TV space.

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SOURCE Otello Corporation ASA

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