Quarterly Report • Jul 27, 2012
Quarterly Report
Open in ViewerOpens in native device viewer
(The Group's numbers in this interim report are recognised excluding discontinued operations unless otherwise stated) (Numerical data in brackets refer to the corresponding period in 2011 unless otherwise stated).
The interim report will be presented at a press and analyst conference on 27 July at 10.00 a.m. in Tradedoubler's premises at Sveavägen 20. The presentation may also be followed via a webcast using the link: http://financials.tradedoubler.com/.
In the coming Capital Markets Day this autumn, the new management will present a strategy update focusing on market positioning, sales actions, and cost efficiency measures going forward.
| Apr-Jun | Apr-Jun | Jan-Jun | Jan-Jun | Full year | |
|---|---|---|---|---|---|
| MSEK | 2012 | 2011 | 2012 | 2011 | 2011 |
| Net sales | 573.7 | 604.8 | 1,213.9 | 1,257.3 | 2,612.7 |
| Gross profit | 140.8 | 149.5 | 287.2 | 306.8 | 626.5 |
| Operating profit | -2.8 | 22.2 | 9.9 | 57.1 | 127.1 |
| Net profit | -10.8 | 14.0 | -0.7 | 34.0 | 92.2 |
| Cash-flow from operating activities | -12.7 | -31.9 | -21.8 | 9.9 | 123.6 |
| Earnings per share, SEK | -0.25 | 0.33 | -0.02 | 0.80 | 2.16 |
| Cash-flow per share, SEK | -2.02 | -0.93 | -2.53 | -0.06 | 1.60 |
| Operating profit/Gross profit (%) | neg | 14.9 | 3.4 | 18.6 | 20.3 |
| Return on equity (12 months) (%) | 10.7 | 13.0 | 10.7 | 13.0 | 16.8 |
CEO's comments on the second quarter of 2012
The weak start to 2012 continued during the second quarter. The tight budgetary situation and the weak economies in Southern Europe are restraining consumption which is also resulting in lower activity among advertisers. We see that the Internet advertising and e-commerce markets are decreasing in Southern Europe.
The economies in Northern Europe continue to perform better than those in Southern Europe. Increasing competition is now starting to have an impact on our numbers. Price pressure is increasing and some players have enticed customers by offering very attractive prices. Some players have been prepared to do business involving a loss for the sole purpose of gaining volumes, while others have focused on delivering at lower margins and with higher efficiency. So far we have opted to defend our profitability in individual deals.
During the past year, we have invested in systems and processes in order to boost efficiency further. This work continued during the second quarter including investments in a more efficient delivery organisation and a higher rate of automation.
The outlook for the travel sector that is so important for us continues to weaken. The World Travel & Tourism Council expects to adjust downwards its forecast for travel in Europe in 2012 from the decline of 0.3 per cent it announced previously.
The weak consumption pressed our second largest sector Shopping & Retail, which saw a decrease in revenues.
An important task ahead is to win business and thereby ensure a strong market position, particularly in the large markets UK, France and Germany. We currently have a good position in the UK and France while we could benefit from a stronger position
in the German market. We are investing resources in sales and marketing in order to provide the market units with better support in their efforts to gain business.
The ongoing work is yielding results. Industry accolades such as winning the prize of 'Publishers' Choice of Network' at the Performance Marketing Awards 2012 is an endorsement that the work on simplifying and strengthening relationships with our publishers is making a difference.
Another important focus area for us is to ensure a leading position in mobile channels and generate revenue from this area. On average, 5.7 per cent of the traffic in our network in the various countries currently comes from mobile devices, which is more than twice as much as one year ago. Consumer behaviour in a mobile device is different than in a computer, which means that marketing activities also need to be designed differently than in traditional e-commerce. We are also adapting our technology and partnering with several customers in order to generate better business in this area.
This is my final report as President and CEO. Next week, I will pass the baton to Rob Wilson who was recruited to our British operations last year and who has extensive experience from performance-based marketing. Tradedoubler will continue to meet challenges and seize the opportunities that arise. My conviction is that the company with all its capable employees has a good basis to be a winner.
Urban Gillström President and CEO
The tough climate that characterised Tradedoubler's markets during the first quarter of 2012 also persisted during the second quarter. The weak economic performance in Southern Europe including France meant that the company's market in these countries showed no growth or negative growth. The Group is considered to have performed better or in line with the markets as a whole.
The more favourable economic situation in Northern Europe is contributing to higher volumes, both as regards Internet advertising and e-commerce. However, these markets are more mature than those in Southern Europe and are also expected to face continued consolidation. In the present situation, certain players are prioritising volumes over profitability, which is leading to mobility among customers. So far, Tradedoubler has opted to defend its profitability.
The outlook weakened for the travel sector ― Tradedoubler's most important sector. This sector has displayed strong growth for many years with a significant and increasing portion of bookings via Internet. The trade organisation World Travel & Tourism Council (WTTC) which predicted in March that the European travel and tourism sector would decline by 0.3 per cent during 2012, flagged in June that it will lower this forecast.
Tradedoubler's revenues from the sector fell during the second quarter to account for approximately one quarter of sales. The Internet is an important channel for many travel companies and the price pressure in the sector is considerable.
The activity in Tradedoubler's second largest sector Shopping & Retail decreased. The sector accounts for approximately 15 per cent of sales. Price pressure is also evident here, but to a lesser extent than in the travel sector.
Business volume in the sector Media & Entertainment, which accounted for 6 per cent of Tradedoubler's sales, increased very strongly in the network. Also Tradedoubler's revenues increased sharply from the sector, although to a lower extent.
For many advertisers the Internet is now one of the largest channels, if not the largest of all. This is the case in the travel industry, but also for more and more players in other sectors. As the experience of performance-based marketing grows and the Internet becomes more important as a channel, companies are increasingly adopting a strategic perspective to this and are building up greater competence of their own in the field. This means that demand for system solutions is increasing, which at Tradedoubler is reflected by increased activity in the Technology business segment. The unit accounted for 12.1 per cent of gross profit during the second quarter, compared to 9.2 per cent one year ago.
The mobile channel is growing and developing at a rapid rate, although still from very low levels. A research study among 2,000 smartphone users in France, the UK, Sweden and Germany commissioned by Tradedoubler during the spring showed that the increased availability of information is changing consumer behaviour.
More than half of the users have purchased other things than downloadable material via their phone and a total of 70 per cent use their mobile to seek information before a purchase. They check the selection available and prices, take advantage of local offers and download voucher codes. More and more types and even larger purchases are being made via mobile.
A considerable part of the product development work is focused on creating the basis for Tradedoubler to capture a strong position in mobile channels, while a series of investments are being made to maintain the Group's leading position in Network, particularly within Affiliate.
During the second quarter, new products were released in order to handle discount coupons or voucher codes that were rolled out in the entire network. Voucher codes are a powerful way to get consumers to execute purchases when they visit certain websites, for instance, for price comparisons. Offers can e.g. be designed for consumers that are found within a certain geographical area. For Tradedoubler, it is important that the tracking works so that the right affiliate gets paid for driving traffic. Since many people make price comparisons via mobile, voucher codes are an especially important sales tool in such devices. Advertisers have rapidly learned to appreciate the opportunities and voucher codes currently account for over five per cent of sales in Network.
App download tracking was released during the second quarter, which makes it possible to monitor the number of consumers who download a certain app, their activity in that app and how they move between various apps.
The launch of AdCodes continued during the second quarter and the service is currently used in all large markets. AdCodes allows publishers to set aside a special area on their website for automated dynamic adverts from Tradedoubler. Tradedoubler then continually fills this space with optimised content.
Concurrently, quality enhancement work is also being carried out involving improved product feeds. These feeds contain more detailed information about products and services from different advertisers, which make it easier for consumers who visit sites that gather information such as price comparison and travel sites.
Consolidated net sales during the period amounted to SEK 1,213.9 M (1,257.3), a fall of 4 per cent adjusted for changes in exchange rates. During the second quarter, consolidated net sales amounted to SEK 573.7 M (604.8), a fall of 6 per cent adjusted for changes in exchange rates. Volumes in Tradedoubler's two largest sectors, Travel and Shopping & Retail fell during the quarter while volumes grew strongly within Media & Entertainment.
Gross profit during the period amounted to SEK 287.2 M (306.8), a fall of 7 per cent adjusted for changes in exchange rates. Gross profit during the quarter amounted to SEK 140.8 M (149.5), which was also a decline of 6 per cent adjusted for changes in exchange rates. Network's gross profit decreased during the quarter to SEK 123.8 M (135.8), which explained more than all of the total decline in consolidated gross profit.
Technology continued to develop strongly during the quarter and increased its gross profit to SEK 17.0 M (13.7).
The gross margin during the period decreased to 23.7 per cent from 24.4 per cent during the same period of last year. The gross margin was 24.5 per cent during the quarter compared to 24.7 per cent during the same quarter last year. The gross margin was positively impacted by a relatively high business volume within Technology.
Operating costs including depreciation amounted to SEK 277.3 M (249.7) during the period, an increase of 10 per cent adjusted for changes in exchange rates, of which approx. SEK 15 M related to change-related costs. Operating costs during the quarter amounted to SEK 143.5 M (127.2), an increase of 11 per cent adjusted for changes in exchange rates. During the second quarter, operating costs included approx. SEK 10 M in changerelated costs, of which SEK 6.8 M is reserved for termination benefits to the CEO.
Higher administration costs in both the period and the quarter are mainly explained by the above-mentioned change-related costs and by extra provisions for possible losses on trade receivables in light of the very uncertain macroeconomic scenario for several of the Group's large markets. Higher costs for sales and marketing also contributed to the increased costs.
Operating profit (EBIT) amounted to SEK 9.9 M (57.1) during the period. During the second quarter, operating profit was SEK -2.8 M (22.2).
Financial income and expenses during the period amounted to SEK -0.8 M (-6.8). During the quarter, financial income and expenses amounted to SEK -1.1 M (2.1). The negative figure for net financial items during the period and during the quarter was due to currency translation of intra-group loans. The Group had no interest-bearing loans at the end of the quarter (0.0).
Profit after tax during the period amounted to SEK -0.7 M (34.0). During the second quarter, profit after tax was SEK -10.8 M (14.0). The tax expense during the period was SEK -9.8 M (-16.2) and SEK -7.0 M (-10.4) during the quarter. The tax expense during the quarter was mainly due to adjustments attributable to previous years.
Gross profit during the second quarter amounted to SEK 123.8 M (135.8), a decline of 10 per cent adjusted for changes in exchange rates. Gross profit fell in all market units, with the exception of North East where gross profit was stable. The largest decrease was in North West and Central which together accounted for more than half of the decline.
Operating profit (EBIT) amounted to SEK -10.2 M (17.6). Operating profit weakened in all units and the units in Northern Europe; Central, North East and North West reported an operating loss while the units in Southern Europe; France, South East and South West reported an operating profit, which was significantly lower, however, than the corresponding period of last year.
The market unit, Central, achieved a gross profit of SEK 28.4 M (31.2) during the quarter, a fall of 9 per cent adjusted for exchange rates. Operating profit amounted to SEK -3.5 M (4.1). The competition has intensified in all countries in the region with low margins as a result. The competitive situation is particularly intense in the German market where certain players are prioritising volume over profitability. Switzerland, which is the second largest market for Tradedoubler in the region, continued to perform well.
France continued to be inhibited by the weak economy, but the market improved during the quarter. The activity within retail was low. Gross profit amounted to SEK 20.6 M (22.9) during the quarter, a fall of 9 per cent adjusted for changes in exchange rates. Operating profit amounted to SEK 1.1 M (6.0).
Gross profit in North East, amounted to SEK 30.3 M (30.6) during the quarter, which was unchanged adjusted for changes in exchange rates. Operating profit was SEK -5.9 M (0.3). The two largest markets in the region, Sweden and Norway declined. Both markets are relatively mature. The Russian market developed strongly, although from low levels.
The North West market unit reported a lower gross profit of SEK 22.1 M (26.3) during the quarter, a fall of 22 per cent adjusted for changes in exchange rates. Operating profit was SEK -4.3 M (-0.1). The British market is the most mature of the Group's markets, which contributed to the pressure on margins. The unit also has a high proportion of large international clients where the price pressure is generally higher. Some larger customer contracts expired during the quarter, while others have been renegotiated.
The South East market unit achieved gross profit of SEK 13.5 M (15.5) during the quarter, a fall of 12 per cent adjusted for changes in exchange rates. Operating profit amounted to SEK 1.5 M (6.1). The market declined due to the weak economy and several large customers reduced their activity. However, the unit gained several new customers, which partly offset the negative trend.
Gross profit for the quarter in the South West market unit amounted to SEK 8.9 M (9.3), a fall of 3 per cent adjusted for changes in exchange rates. Operating profit was SEK 0.9 M (1.3). The travel sector was seasonally strong, while the unit gained several customers outside this sector. The Brazilian operation is starting to contribute to gross profit with several active customers.
Gross profit during the second quarter amounted to SEK 17.0 M (13.7), an increase of 25 per cent adjusted for changes in exchange rates. Operating profit (EBIT) amounted to SEK 7.5 M (4.6). The operating profit/gross profit margin rose to 44.1 (33.8) per cent.
The operations developed well generally, with increasing volumes from larger existing clients. During the quarter, the operations grew primarily in Spain and France. The interest in Technology is increasing in line with customers' experience of online marketing.
| MSEK | Apr-Jun | Apr-Jun | Jan-Jun | Jan-Jun | Full year |
|---|---|---|---|---|---|
| Gross profit (GP) | 2012 | 2011 | 2012 | 2011 | 2011 |
| Market Unit Central | 28.4 | 31.2 | 60.0 | 63.5 | 131.4 |
| Market Unit France | 20.6 | 22.9 | 44.2 | 50.8 | 99.7 |
| Market Unit North East | 30.3 | 30.6 | 60.2 | 62.1 | 127.8 |
| Market Unit North West | 22.1 | 26.3 | 48.1 | 54.5 | 112.4 |
| Market Unit South East | 13.5 | 15.5 | 25.9 | 32.0 | 63.1 |
| Market Unit South West | 8.9 | 9.3 | 17.5 | 18.3 | 36.3 |
| Total Network | 123.8 | 135.8 | 255.9 | 281.2 | 570.6 |
| Business Unit Technology | 17.0 | 13.7 | 31.2 | 25.6 | 55.9 |
| Total gross profit | 140.8 | 149.5 | 287.2 | 306.8 | 626.5 |
| Operating profit (EBIT) | |||||
| Market Unit Central | -3.5 | 4.1 | -2.2 | 9.4 | 19.7 |
| Market Unit France | 1.1 | 6.0 | 6.6 | 17.6 | 34.6 |
| Market Unit North East | -5.9 | 0.3 | -11.8 | 1.8 | 4.1 |
| Market Unit North West | -4.3 | -0.1 | -2.9 | 2.1 | 12.2 |
| Market Unit South East | 1.5 | 6.1 | 3.3 | 13.6 | 25.6 |
| Market Unit South West | 0.9 | 1.3 | 1.8 | 2.5 | 6.0 |
| Total Network | -10.2 | 17.6 | -5.2 | 47.0 | 102.2 |
| Business Unit Technology | 7.5 | 4.6 | 15.1 | 10.1 | 24.8 |
| Total EBIT | -2.8 | 22.2 | 9.9 | 57.1 | 127.1 |
| Operating profit/Gross profit, % | |||||
| Market Unit Central | neg | 13.0 | neg | 14.7 | 15.0 |
| Market Unit France | 5.5 | 26.2 | 14.8 | 34.7 | 34.7 |
| Market Unit North East | neg | 0.9 | neg | 2.9 | 3.2 |
| Market Unit North West | neg | neg | neg | 3.8 | 10.9 |
| Market Unit South East | 11.2 | 39.4 | 12.9 | 42.4 | 40.6 |
| Market Unit South West | 9.9 | 13.7 | 10.4 | 13.8 | 16.6 |
| Business Unit Technology | 44.1 | 33.8 | 48.4 | 39.5 | 44.4 |
Tradedoubler's operations, particularly within Network, fluctuate with the development of e-commerce and online advertising. Although these areas are showing positive underlying growth, there are fluctuations during the year particularly within e-commerce. The highest level of activity is before Christmas, which implies that the fourth quarter is normally the strongest for Tradedoubler.
The parent company's net sales amounted to SEK 45.0 M (38.4) during the second quarter. Revenue primarily consisted of licensing revenue and remuneration from subsidiaries for centrally performed services. The higher net sales are primarily due to non-recurring adjustments in licensing revenue during the first quarter of 2011.
Financial income and expenses amounted to SEK 1.4 M (16.0). Profit after tax amounted to SEK –0.1 M (11.4).
The parent company's receivables from group companies amounted to SEK 150.4 M (302.5), at the end of the quarter, of which none (0.0) were non-current. The parent company's liabilities to group companies amounted to SEK 144.6 M (132.8), of which none (0.0) were non-current. Cash and cash equivalents amounted to SEK 28.4 M (50.2).
Cash flow from operating activities during the second quarter amounted to SEK -12.7 M (-31.9), after a change in working capital of SEK -30.0 M (-53.8). The negative change in working capital was mainly due to lower sales than the first quarter of 2012. Cash flow from operating activities before changes in working capital amounted to SEK 17.2 M (21.9) during the quarter.
Net investments in intangible assets increased to SEK 12.2 M (6.1). These investments mainly consist of improvements to production and management information systems.
A dividend of SEK 64.0 M (0.0) in total was paid during the quarter. Accordingly, cash flow during the period amounted to SEK -86.4 M (-39.8).
Cash and cash equivalents amounted to SEK 179.4 M (214.3) at the end of the quarter. The Group had no interest-bearing loans (0.0).
Consolidated shareholders' equity amounted to SEK 522.3 M (551.1) at end of the quarter. For the latest 12-month period, the return on equity amounted to 10.7 (13.0) per cent.
No transactions between Tradedoubler and related parties impacting the company's financial position and results have taken place, aside from remuneration to senior executives.
At the end of the quarter, Tradedoubler's staff corresponded to 488 (541) full-time equivalents (FTEs), which includes full-time, temporary and contract employees. The number of full-time equivalents decreased by 60 due to the discontinuation of Search and outsourcing of parts of the IT operations in December 2011.
Tradedoubler divides risks into market-related risks, operational risks, financial risks and legal risks. These risks are described on pages 15-17 of the 2011 Annual Report.
It is assessed that no significant risks or uncertainties have arisen other than greater uncertainty about the future economic and market trend in Europe and, consequently, the possibility of increased customer credit risks.
Rob Wilson has been appointed as new President and CEO to succeed Urban Gillström. Rob Wilson is currently head of the market unit North West. Jonas Ragnarsson has been recruited as new CFO to succeed Erik Skånsberg. Both managerial changes will take place on 1 August 2012.
No significant events have occurred after the end of the reporting period.
This interim report is prepared in accordance with IAS 34, Interim Financial Reporting and the Swedish Annual Accounts Act. The key ratio 'equity per share' is calculated on equity on the balance sheet date unlike previous interim reports when the key ratio was calculated on the average equity for the period. Accounting policies and methods of calculation are otherwise unchanged, compared with the 2011 Annual Report.
For information on the accounting policies applied, see the 2011 Annual Report.
The total number of shares at the end of the period was 42,807,449, of which 130,000 were in own custody. The average number of outstanding shares during the interim period was 42,677,449.
Earnings per share amounted to SEK -0.25 (0.33) during the second quarter and to SEK -0.02 (0.80) during the first halfyear. Equity per share amounted to SEK 12.24 (12.91) at the end of the quarter.
The share price closed at SEK 16.90 on the final trading day in June 2012, which was lower than at the end of June 2011 when the share price was SEK 40.50. At year-end, the share price closed at SEK 27.30.
Both an English version and a Swedish version of this report have been prepared. In the event of a difference between the two reports, the Swedish version shall prevail.
The interim report is presented at a press and analyst conference on 27 July at 10.00 a.m. in Tradedoubler's premises at Sveavägen 20, Stockholm.
The presentation may be followed via webcast on the website: http://financials.tradedoubler.com/, and by telephone:
| Sweden | +46 8 5055 9812 |
|---|---|
| UK | +44 207750 9950 |
| US | +1 866 6765870 |
The presentation material will be published concurrently with the interim report.
Interim report January-September 2012 31 October 2012 Year-end report 2012 6 February 2013
Urban Gillström, President and CEO, telephone +46 70 785 76 00 Erik Skånsberg, CFO, telephone +46 70 264 70 35 E-mail: [email protected]
This year-end report has not been subject to review by the company's auditor Ernst & Young AB.
The Board of Directors and the CEO declare that the interim report for the period January – June 2012 provides a true and fair overview of the Parent Company's and the Group's operations, financial position and results of operations as well as describing the material risks and uncertainties facing the Parent Company and other companies in the Group.
Stockholm, 27 July 2012
| Mats Sundström | Kristofer Arwin |
|---|---|
| Chairman | Board member |
| Martin Henricson | Caroline Sundewall |
| Board member | Board member |
| Heléne Vibbleus Bergquist | Simon Turner |
Board member Board member
Urban Gillström President and CEO
| Apr-Jun | Apr-Jun | Jan-Jun | Jan-Jun | Full year | |
|---|---|---|---|---|---|
| SEK 000s | 2012 | 2011 | 2012 | 2011 | 2011 |
| Net Sales | 573,660 | 604,760 | 1,213,866 | 1,257,321 | 2,612,701 |
| Cost of goods sold | -432,873 | -455,283 | -926,690 | -950,564 | -1,986,163 |
| Gross profit | 140,786 | 149,477 | 287,176 | 306,758 | 626,539 |
| Selling expenses | -88,332 | -81,532 | -176,787 | -165,295 | -335,928 |
| Administrative expenses | -46,322 | -35,042 | -81,803 | -63,435 | -120,840 |
| Development expenses | -8,892 | -10,665 | -18,702 | -20,965 | -42,711 |
| Operating profit | -2,761 | 22,237 | 9,885 | 57,063 | 127,060 |
| Net financial items | -1,088 | 2,094 | -815 | -6,834 | -12,693 |
| Profit before tax | -3,849 | 24,331 | 9,070 | 50,228 | 114,367 |
| Tax | -6,988 | -10,352 | -9,800 | -16,237 | -22,201 |
| Net profit for continued operations | -10,837 | 13,979 | -729 | 33,992 | 92,166 |
| Net profit for discontinued operations | - | 6,366 | - | 4,996 | -143,069 |
| Total net profit for continued and discontinued operations | -10,837 | 20,346 | -729 | 38,988 | -50,904 |
All earnings accrue to the parent company's shareholders.
| Apr-Jun | Apr-Jun | Jan-Jun | Jan-Jun | Full year | |
|---|---|---|---|---|---|
| SEK 000s | 2012 | 2011 | 2012 | 2011 | 2011 |
| Profit for the period, after tax | -10,837 | 20,346 | -729 | 38,988 | -50,904 |
| Other comprehensive income | |||||
| Translation difference, net after tax | 9,545 | 540 | 6,231 | 4,525 | 21,060 |
| Exchange difference on increased net inv estment, net after tax* | - | -635 | - | -9,176 | -8,130 |
| Reversal of exchange difference on increased net investment, net | - | - | - | - | 98,077 |
| after tax* | |||||
| Reversal of translation difference, net after tax* | - | - | - | - | 3,765 |
| Total comprehensive income for the period, after tax | -1,292 | 20,251 | 5,502 | 34,337 | 63,868 |
| Comprehensive income attributable to: | |||||
| Parent company shareholders | -1,292 | 20,251 | 5,502 | 34,337 | 63,868 |
*These items are related to discontinued operations.
| Apr-Jun | Apr-Jun | Jan-Jun | Jan-Jun | Full year | |
|---|---|---|---|---|---|
| SEK | 2012 | 2011 | 2012 | 2011 | 2011 |
| Profit per share for continued operations | -0.25 | 0.33 | -0.02 | 0.80 | 2.16 |
| Total profit per share (including discontinued operations) | -0.25 | 0.48 | -0.02 | 0.91 | -1.19 |
| Number of Shares | |||||
| Weighted average | 42,677,449 | 42,677,449 | 42,677,449 | 42,677,449 | 42,677,449 |
The earnings per share above apply before and after dilution.
| Apr-Jun | Apr-Jun | Jan-Jun | Jan-Jun | Full year | |
|---|---|---|---|---|---|
| 2012 | 2011 | 2012 | 2011 | 2011 | |
| Gross profit (GP) / revenue (%) | 24.5 | 24.7 | 23.7 | 24.4 | 24.0 |
| Operating profit (EBIT ) / revenue (%) | neg | 3.7 | 0.8 | 4.5 | 4.9 |
| Operating profit (EBIT) / gross profit (GP) (%) | neg | 14.9 | 3.4 | 18.6 | 20.3 |
| Net profit/gross profit (GP) (%) | neg | 9.4 | neg | 11.1 | 14.7 |
| Equity/assets ratio (%) | 41.1 | 40.9 | 41.1 | 40.9 | 40.4 |
| Return on equity (12 months) (%) | 10.7 | 13.0 | 10.7 | 13.0 | 16.8 |
| Average number of employees | 487 | 541 | 490 | 543 | 544 |
| Return on Capital Employed (12 months) (%) | 15.2 | 22.1 | 15.2 | 22.1 | 23.4 |
| Cash-flow per share, SEK | -2.0 | -0.9 | -2.5 | -0.1 | 1.7 |
| Equity per share, SEK | 12.2 | 12.9 | 12.2 | 12.9 | 13.6 |
| Stock price at the end of the period, SEK | 16.9 | 40.5 | 39.5 | 40.5 | 27.3 |
| 30 Jun | 30 Jun | 31 Dec | |
|---|---|---|---|
| SEK 000s | 2012 | 2011 | 2011 |
| Assets | |||
| Intangible fixed assets | 427,356 | 405,883 | 404,054 |
| Tangible fixed assets | 9,831 | 14,857 | 10,968 |
| Financial fixed assets | 3,709 | 2,725 | 3,549 |
| Deferred tax assets | 28,737 | 29,945 | 21,111 |
| Total fixed assets | 469,633 | 453,410 | 439,683 |
| Accounts receivables | 567,535 | 604,856 | 642,432 |
| Tax assets | 9,959 | 20,148 | 28,632 |
| Other current receivables | 44,824 | 56,002 | 35,149 |
| Cash & cash equivalents | 179,352 | 214,260 | 290,745 |
| Total current assets | 801,669 | 895,266 | 996,957 |
| Total assets | 1,271,302 | 1,348,676 | 1,436,640 |
| Shareholders' equity and liabilities | |||
| Shareholders' equity | 522,329 | 551,122 | 580,843 |
| Deferred tax liabilities | 7,443 | 10,346 | 7,625 |
| Other provisions | 1,036 | 1,074 | 1,044 |
| Total long-term liabilities | 8,479 | 11,420 | 8,669 |
| Accounts payable | 22,937 | 48,979 | 29,407 |
| Current liabilities to publishers | 442,544 | 402,551 | 498,346 |
| Tax liabilities | 4,550 | - | 9,251 |
| Other current liabilities | 270,463 | 336,985 | 310,124 |
| Total current liabilities | 740,494 | 786,134 | 847,128 |
| Total shareholder´s equity and liabilities | 1,271,302 | 1,348,676 | 1,436,640 |
| Apr-Jun | Apr-Jun | Jan-Jun | Jan-Jun | Full year | |
|---|---|---|---|---|---|
| SEK 000s | 2012 | 2011 | 2012 | 2011 | 2011 |
| Opening balance | 587,636 | 530,871 | 580,843 | 516,784 | 516,784 |
| Total comprehensive income for the period, continued operations | -1,292 | 15,824 | 5,502 | 39,958 | 112,914 |
| Total comprehensive income for the period, discontinued operations* | - | 4,427 | - | -5,620 | -49,046 |
| Equity-settled share-based payments | - | - | - | - | 191 |
| Dividend | -64,016 | - | -64,016 | - | - |
| Closing balance | 522,329 | 551,122 | 522,329 | 551,122 | 580,843 |
All capital accrues to the parent company's shareholders.
*See disclosure regarding discontinued operations, page 19.
| Apr-Jun | Apr-Jun | Jan-Jun | Jan-Jun | Full year | |
|---|---|---|---|---|---|
| SEK 000s | 2012 | 2011 | 2012 | 2011 | 2011 |
| Operating activities | |||||
| Profit before tax | -3,851 | 24,331 | 9,070 | 50,228 | 114,367 |
| Adjustments for items not included in cash flow | 21,373 | 8,789 | 23,142 | 16,897 | 16,098 |
| Income taxes paid | -291 | -11,174 | -3,370 | -14,726 | -14,463 |
| Cash flow from operating activities before changes in working | |||||
| capital | 17,231 | 21,946 | 28,842 | 52,399 | 116,002 |
| Changes in working capital | -29,978 | -53,804 | -50,626 | -42,458 | 7,626 |
| Cash flow from operating activities | -12,747 | -31,858 | -21,784 | 9,941 | 123,628 |
| Investing activities | |||||
| Net investments in intangible assets | -12,242 | -6,148 | -20,383 | -8,368 | -25,828 |
| Net investments in tangible assets | -822 | -1,490 | -1,485 | -3,294 | -3,877 |
| Net investments in financial assets | 3,468 | -306 | -224 | -716 | -1,394 |
| Net investments in stocks and subsidiaries | - | - | - | - | -24,421 |
| Cash flow from investing activities | -9,596 | -7,944 | -22,092 | -12,378 | -55,520 |
| Financing activities | |||||
| Dividend paid to parent company's shareholders | -64,016 | - | -64,016 | - | - |
| Cash flow from financing activities | -64,016 | - | -64,016 | - | - |
| Cash flow for the period from continuing operations | -86,359 | -39,802 | -107,892 | -2,437 | 68,108 |
| Cash flow from discontinued operations | |||||
| Cash flow from operating activities | - | 1,115 | - | 2,548 | 3,903 |
| Cash flow from investing activities | - | - | - | - | -51 |
| Cash flow from financing activities | - | - | - | - | - |
| Cash flow for the period from discontinued operations | - | 1,115 | - | 2,548 | 3,852 |
| Cash flow for the period | -86,359 | -38,687 | -107,892 | 111 | 71,960 |
| Cash and cash equivalents | |||||
| On the opening date | 268,222 | 245,633 | 290,745 | 209,744 | 209,744 |
| Translation difference in cash and cash equivalents | -2,511 | 7,314 | -3,501 | 4,405 | 9,041 |
| Cash and cash equivalens on the closing date | 179,352 | 214,260 | 179,352 | 214,260 | 290,745 |
| Adjustments for non-cash items | |||||
| Depreciation | 2,405 | 5,242 | 7,256 | 8,908 | 16,776 |
| Other | 18,968 | 3,547 | 15,886 | 7,989 | -678 |
| Total non-cash items | 21,373 | 8,789 | 23,142 | 16,897 | 16,098 |
* Attributable to discontinued operations.
| Apr-Jun | Apr-Jun | Jan-Jun | Jan-Jun | Full year | |
|---|---|---|---|---|---|
| SEK 000s | 2012 | 2011 | 2012 | 2011 | 2011 |
| Net Sales | 45,007 | 38,365 | 77,167 | 92,575 | 193,554 |
| Cost of goods sold | -1,942 | -1,943 | -3,783 | -3,786 | -7,931 |
| Gross profit | 43,065 | 36,422 | 73,385 | 88,789 | 185,623 |
| Selling expenses | -831 | -2,259 | -1,865 | -3,979 | -6,010 |
| Administrative expenses | -43,772 | -32,870 | -78,984 | -64,826 | -119,216 |
| Development expenses | -4,931 | -8,305 | -14,053 | -16,352 | -32,140 |
| Operating profit | -6,469 | -7,013 | -21,517 | 3,632 | 28,257 |
| Net financial items | 1,410 | 16,043 | 2,388 | 19,751 | -363,513 |
| Profit before tax | -5,059 | 9,030 | -19,129 | 23,383 | -335,256 |
| Tax | 4,958 | 2,389 | 8,974 | -1,427 | -113 |
| Net profit | -101 | 11,419 | -10,155 | 21,956 | -335,369 |
| 30 Jun | 30 Jun | 31 Dec | |
|---|---|---|---|
| SEK 000s | 2012 | 2011 | 2011 |
| Assets | |||
| Intangible fixed assets | 43,353 | 11,480 | 26,601 |
| Fixed tangible assets | 4,239 | 9,579 | 5,520 |
| Financial fixed assets | 206,331 | 377,507 | 206,327 |
| Deffered tax assets | 14,331 | - | - |
| Total fixed assets | 268,254 | 398,565 | 238,449 |
| Accounts receivables | 2,046 | 3,579 | 6,339 |
| Receivables from Group companies | 150,358 | 302,486 | 157,307 |
| Tax assets | 3,295 | 16,783 | 7,191 |
| Other current receivables | 12,109 | 10,674 | 11,100 |
| Cash & cash equivalents | 28,356 | 50,176 | 52,224 |
| Total current assets | 196,164 | 383,698 | 234,161 |
| Total assets | 464,418 | 782,263 | 472,610 |
| Shareholders' equity and liabilities | |||
| Shareholders equity | 200,026 | 532,208 | 274,198 |
| Accounts payable | 13,346 | 9,346 | 10,299 |
| Liabilities to Group companies | 144,592 | 132,775 | 71,119 |
| Other liabilities | 106,453 | 107,935 | 116,994 |
| Total current liabilities | 264,391 | 250,055 | 198,412 |
| Total shareholder´s equity and liabilities | 464,418 | 782,263 | 472,610 |
| 30 Jun | 30 Jun | 31 Dec | |
|---|---|---|---|
| SEK 000s | 2012 | 2011 | 2011 |
| Group | |||
| Pledged assets | none | none | none |
| Rent deposits | 3,709 | 2,722 | 3,549 |
| Contingent liabilities | none | none | none |
| Parent company | |||
| Pledged assets | none | none | none |
| Contingent liabilities | 6,675 | 111,468 | 6,939 |
| Apr-Jun | Jan-Mar | Oct-Dec | Jul-Sep | Apr-Jun | Jan-Mar | Oct-Dec | Jul-Sep | |
|---|---|---|---|---|---|---|---|---|
| SEK 000s | 2012 | 2012 | 2011 | 2011 | 2011 | 2011 | 2010 | 2010 |
| Net Sales | 573,660 | 640,206 | 701,455 | 653,926 | 604,760 | 652,561 | 679,448 | 605,250 |
| Cost of goods sold | -432,873 | -493,816 | -534,213 | -501,386 | -455,283 | -495,280 | -506,877 | -458,166 |
| Gross profit | 140,786 | 146,390 | 167,241 | 152,540 | 149,477 | 157,281 | 172,571 | 147,084 |
| Total costs | -143,549 | -133,742 | -128,505 | -121,280 | -127,239 | -122,455 | -138,816 | -122,537 |
| Operating profit | -2,763 | 12,648 | 38,737 | 31,260 | 22,237 | 34,826 | 33,755 | 24,547 |
| Net financial items | -1,088 | 273 | -888 | -4,970 | 2,094 | -8,929 | -4,133 | -14,191 |
| Profit before tax | -3,851 | 12,921 | 37,849 | 26,290 | 24,331 | 25,897 | 29,622 | 10,356 |
| Tax | -6,988 | -2,811 | 405 | -6,369 | -10,352 | -5,886 | -8,166 | 2,830 |
| Net profit | -10,839 | 10,109 | 38,254 | 19,921 | 13,979 | 20,012 | 21,455 | 13,187 |
| 30 Jun | 31 Mar | 31 Dec | 30 Sep | 30 Jun | 31 Mar | 31 Dec | 30 Sep | |
|---|---|---|---|---|---|---|---|---|
| SEK 000s | 2012 | 2012 | 2011 | 2011 | 2011 | 2011 | 2010 | 2010 |
| Assets | ||||||||
| Intangible fixed assets | 427,356 | 406,048 | 404,054 | 428,644 | 405,883 | 406,738 | 423,123 | 431,530 |
| Other fixed assets | 42,277 | 38,581 | 35,629 | 47,854 | 47,527 | 45,560 | 45,654 | 52,356 |
| Current receivables | 622,317 | 668,812 | 706,213 | 717,459 | 681,006 | 691,012 | 737,204 | 698,827 |
| Cash & cash equivalents | 179,352 | 268,222 | 290,745 | 261,636 | 214,260 | 245,633 | 209,744 | 136,212 |
| Total assets | 1,271,302 | 1,381,663 | 1,436,640 | 1,455,593 | 1,348,676 | 1,388,944 | 1,415,725 | 1,318,924 |
| Shareholders' equity and liabilities | ||||||||
| Shareholders' equity | 522,329 | 587,636 | 580,843 | 592,667 | 551,122 | 530,870 | 516,784 | 500,409 |
| Long-term non-interest bearing debt | 8,479 | 8,576 | 8,669 | 10,685 | 11,420 | 12,199 | 18,926 | 20,399 |
| Current non-interest bearing debt | 740,494 | 785,451 | 847,128 | 852,241 | 786,134 | 845,875 | 880,015 | 798,117 |
| Total shareholder´s equity and | ||||||||
| liabilities | 1,271,302 | 1,381,663 | 1,436,640 | 1,455,593 | 1,348,676 | 1,388,944 | 1,415,725 | 1,318,924 |
| Apr-Jun | Jan-Mar | Oct-Dec | Jul-Sep | Apr-Jun | Jan-Mar | Oct-Dec | Jul-Sep | |
|---|---|---|---|---|---|---|---|---|
| SEK 000s | 2012 | 2012 | 2011 | 2011 | 2011 | 2011 | 2010 | 2010 |
| Operating activities | ||||||||
| Profit before tax | -3,851 | 12,921 | 37,849 | 26,289 | 24,331 | 25,897 | 29,610 | 10,356 |
| Adjustments for items not included in | ||||||||
| cash flow | 21,373 | 1,769 | -5,473 | 4,675 | 8,789 | 8,108 | 5,481 | 2,036 |
| Tax paid | -291 | -3,079 | 8,283 | -8,020 | -11,174 | -3,552 | 24,925 | 5,568 |
| Cash flow from changes in working capital |
-29,978 | -20,648 | 27,263 | 22,821 | -53,804 | 11,346 | 16,003 | 1,226 |
| Cash flow from operating activities | -12,747 | -9,037 | 67,922 | 45,765 | -31,858 | 41,799 | 76,019 | 19,186 |
| Cash flow from investing activities | -9,596 | -12,496 | -33,739 | -9,403 | -7,944 | -4,434 | -3,477 | -1,092 |
| Cash flow from financing activities | -64,016 | - | - | - | - | - | - | - |
| Cash flow from continued | ||||||||
| operations | -86,359 | -21,533 | 34,183 | 36,362 | -39,802 | 37,365 | 72,542 | 18,094 |
| Cash flow from discontinued | ||||||||
| operations | - | - | -2,058 | 3,362 | 1,115 | 1,433 | 1,543 | 1,190 |
| Cash flow for the period | -86,359 | -21,533 | 32,125 | 39,724 | -38,687 | 38,798 | 74,085 | 19,284 |
| Cash and cash equivalents | ||||||||
| On the opening date | 268,222 | 290,745 | 261,636 | 214,260 | 245,633 | 209,744 | 136,212 | 121,469 |
| Translation difference | -2,511 | -990 | -3,016 | 7,653 | 7,314 | -2,909 | -553 | -4,541 |
| Cash and cash equivalens on the | 179,352 | 268,222 | 290,745 | 261,636 | 214,260 | 245,633 | 209,744 | 136,212 |
| closing date |
| Apr-Jun | Jan-Mar | Oct-Dec | Jul-Sep | Apr-Jun | Jan-Mar | Oct-Dec | Jul-Sep | |
|---|---|---|---|---|---|---|---|---|
| 2012 | 2012 | 2011 | 2011 | 2011 | 2011 | 2010 | 2010 | |
| Gross profit (GP) / revenue (%) | 24.5 | 22.9 | 23.8 | 23.3 | 24.7 | 24.1 | 25.4 | 24.3 |
| Operating profit (EBIT ) / revenue (%) | neg | 2.0 | 5.5 | 4.8 | 3.7 | 5.3 | 5.0 | 4.1 |
| Operating profit (EBIT) / gross profit (GP) (%) |
neg | 8.6 | 23.2 | 20.5 | 14.9 | 22.1 | 19.6 | 16.7 |
| Net profit/gross profit (GP) (%) | neg | 6.9 | 22.9 | 13.1 | 9.4 | 12.7 | 12.4 | 9.0 |
| Equity/assets ratio (%) | 41.1 | 42.5 | 40.4 | 40.7 | 40.9 | 38.2 | 36.5 | 37.9 |
| Return on equity (12 months) (%) | 10.7 | 14.7 | 16.8 | 13.8 | 13.0 | 16.5 | 14.6 | 22.5 |
| Average number of employees | 487 | 491 | 536 | 553 | 541 | 545 | 534 | 551 |
| Return on Capital Employed (12 months) (%) |
15.2 | 19.0 | 23.4 | 22.4 | 22.1 | 21.4 | 18.8 | 28.5 |
| Cash-flow per share, SEK | -2.0 | -0.5 | 0.8 | 0.9 | -0.9 | 0.9 | 1.7 | 0.5 |
| Equity per share, SEK | 12.2 | 13.8 | 13.6 | 13.9 | 12.9 | 12.4 | 12.1 | 11.7 |
| Stock price at the end of the period, SEK |
16.9 | 31.1 | 27.3 | 23.0 | 40.5 | 46.8 | 49.5 | 35.0 |
| Apr-Jun | Jan-Mar | Oct-Dec | Jul-Sep | Apr-Jun | Jan-Mar | Oct-Dec | Jul-Sep | |
|---|---|---|---|---|---|---|---|---|
| MSEK | 2012 | 2012 | 2011 | 2011 | 2011 | 2011 | 2010 | 2010 |
| Market Unit Central | ||||||||
| Gross profit | 28.4 | 31.5 | 36.2 | 31.8 | 31.2 | 32.3 | 35.7 | 27.5 |
| Operating profit | -3.5 | 1.4 | 6.0 | 4.3 | 4.1 | 5.3 | 4.8 | 0.5 |
| Market Unit France | ||||||||
| Gross profit | 20.6 | 23.5 | 26.1 | 22.7 | 22.9 | 27.9 | 30.1 | 24.9 |
| Operating profit | 1.1 | 5.4 | 10.2 | 6.8 | 6.0 | 11.6 | 8.0 | 6.7 |
| Market Unit North East | ||||||||
| Gross profit | 30.3 | 30.0 | 34.3 | 31.4 | 30.6 | 31.5 | 36.0 | 29.2 |
| Operating profit | -5.9 | -6.0 | 0.4 | 1.9 | 0.3 | 1.5 | 3.2 | 1.1 |
| Market Unit North West | ||||||||
| Gross profit | 22.1 | 26.0 | 30.6 | 27.3 | 26.3 | 28.2 | 29.9 | 26.7 |
| Operating profit | -4.3 | 1.4 | 7.0 | 3.2 | -0.1 | 2.2 | 6.1 | 2.9 |
| Market Unit South East | ||||||||
| Gross profit | 13.5 | 12.5 | 16.0 | 15.0 | 15.5 | 16.6 | 15.5 | 13.4 |
| Operating profit | 1.5 | 1.8 | 6.2 | 5.8 | 6.1 | 7.5 | 4.0 | 3.9 |
| Market Unit South West | ||||||||
| Gross profit | 8.9 | 8.6 | 8.1 | 9.8 | 9.3 | 9.0 | 10.9 | 12.2 |
| Operating profit | 0.9 | 0.9 | 1.2 | 2.3 | 1.3 | 1.3 | 1.2 | 3.2 |
| Technology | ||||||||
| Gross profit | 17.0 | 14.3 | 15.9 | 14.5 | 13.7 | 11.9 | 14.4 | 13.3 |
| Operating profit | 7.5 | 7.6 | 7.8 | 6.9 | 4.6 | 5.5 | 6.5 | 6.3 |
| Total | ||||||||
| Gross profit | 140.8 | 146.4 | 167.2 | 152.5 | 149.5 | 157.3 | 172.6 | 147.1 |
| Operating profit (EBIT) | -2.8 | 12.6 | 38.7 | 31.3 | 22.2 | 34.8 | 33.8 | 24.5 |
| Apr-Jun | Jan-Jun | Full year | |
|---|---|---|---|
| SEK 000s | 2011 | 2011 | 2011 |
| Net Sales | 89,680 | 186,491 | 343,990 |
| Cost of goods sold | -81,957 | -169,390 | -312,178 |
| Gross profit | 7,723 | 17,101 | 31,812 |
| Total costs | -9,775 | -20,414 | -39,536 |
| Operating profit | -2,052 | -3,313 | -7,724 |
| Net financial items | 321 | 211 | 270 |
| Profit before tax | -1,731 | -3,101 | -7,454 |
| Tax | 8,097 | 8,097 | 11,272 |
| Net profit excl capital loss for the year for discontinuing operations | 6,366 | 4,996 | 3,818 |
| Capital loss | - | - | -146,887 |
| Net profit for the year for discontinuing operations | 6,366 | 4,996 | -143,069 |
| Other comprehensive income | |||
| Net profit from discontinued operations | 6,366 | 4,996 | -143,069 |
| Translation difference on equity net after tax | -1,304 | -1,440 | 311 |
| Exchange difference on increased net investment, net after tax | -635 | -9,176 | -8,130 |
| Reversal of exchange difference on increased net investment, net after tax | - | - | 98,077 |
| Reversal of translation difference on equity, net after tax | - | - | 3,765 |
| Total other comprehensive income from discontinued operations | 4,427 | -5,621 | -49,046 |
Discontinued operations refers to the operations in the Search market unit, which were transferred to Netbooster during the fourth quarter of 2011.
Return on equity. Net profit as a percentage of average equity calculated as opening plus closing equity divided by two.
Return on capital employed. Operating profit plus interest income as a percentage of average capital employed calculated as opening plus closing capital employed divided by two.
Equity per share. Equity divided by the number of outstanding shares on the balance sheet date.
Earnings per share. Net profit for the year attributable to the parent company's shareholders divided by the average number of shares.
Earnings per share after full dilution. Net profit/loss for the year divided by the average number of shares calculated after full dilution.
Cash flow per share. Cash flow divided by the average number of outstanding shares
Operating margin. Operating profit as a percentage of sales.
Equity/assets ratio. Equity as a percentage of the balance sheet total.
Capital employed. Total assets less current and noncurrent non interest-bearing liabilities including deferred tax liabilities.
AdCode. An ad display system which is used in order to optimise and display the best ad on a publisher's website.
Affiliate. (Means 'connected' or 'linked' in English) Used for a website which via adverts directs Internet visitor traffic to the advertising company's website.
Affiliate network. A system where advertisers who want to boost their Internet sales are matched together with website owners who want to boost their advertising revenue by means of an affiliate programme.
Affiliate programme. An agreement where the advertiser pays a fee to the publisher in order to relay traffic to the advertiser's website.
App download tracking. Software that enables the advertiser to monitor and obtain statistics about when the consumer downloads and installs software from the advertiser and how the consumer uses the software afterwards.
Cost-per-action (CPA). Means that the advertisers pay a fee which either is based on the sales generated by the advertising or on the number of leads (principally registrations) generated by the advert.
Cost-per-click (CPC). This pricing model means that advertisers pay a fee based on the number of clicks or unique visitors generated by the advertising.
Cost-per-lead (CPL). Means that the advertisers pay a fee which is based on the number of leads (primarily registrations) generated by the advert.
Cost-per-thousand impressions (CPM). A pricing model where the advertisers pay a fee based on the number of views of an advert.
E-mail publishers. Use e-mail to send out targeted offers to a list of recipients.
Full-time equivalents (FTE) or full-time employees. The total number of full-time and temporary as well as contract employees.
Performance-based. Collective term for marketing activities on the Internet where publishers only get paid when a predetermined transaction is generated.
Product feed. A distribution system where advertisers can upload their product databases in order to enable publishers to create content and ads on their websites.
Publisher. (Also called affiliate) Websites that agree on display of adverts and direct Internet visitor traffic to the Advertising company's website.
Trackability. The process and method for follow-up of website traffic, primarily through use of cookies.
Portals. Websites which act as a gateway to the Internet and offer broad content and large volumes of traffic. On the portal, there are several links, a search engine and other services, for instance, free email or filters and blocking possibilities.
Search engine optimizing publishers. Own websites which use search engines, e.g. Google and Yahoo!, in combination with their own knowledge about the search engine and the advertiser in order to display the advertiser high up in the search results list. These publishers help to generate greater volumes.
Voucher code. Voucher codes that are created and easily distributed to consumers via a publisher's website. The consumer can then use the voucher code when purchasing a product/service from the advertiser.
Tradedoubler creates results by improving the clients' digital marketing. This happens through our performance-based advertising network, our tools which help advertisers to make the most of their campaigns as well as our services within search engine marketing.
Tradedoubler operates on the growing and dynamic market for Internet marketing. The measured results are crucial in this market for determining how campaigns are designed and how advertising rates are set. Digital marketing now has a greater reach than TV advertising in the case of many countries and target groups.
Tradedoubler has a presence in 18 countries in Europe and reaches about 75 per cent of European e-commerce consumers. The core business is to arrange adverts between advertisers and websites. This mainly takes place through Tradedoubler's affiliate network which consists of 2,000 advertisers and 140,000 active publishers.
The core business is conducted in the segment Network which accounts for 90 per cent of the group's gross profit. The Technology unit licenses Tradedoubler's technology platform for Internet marketing to major advertisers.
Tradedoubler's business model is based on the company:
The basis of the operations is that Tradedoubler arranges and optimises ads and campaign space between advertisers and publishers of websites. Through its knowledge of Internet marketing, technology platforms for handling transactions and tracking visitors, advanced administrative system and affiliate network, Tradedoubler improves business for both advertisers and publishers. Tradedoubler is able to receive payment in relation to the result generated since the outcome is clearly measurable.
A large portion of Tradedoubler's revenue is performancebased. Remuneration from advertisers to publishers – and to Tradedoubler – is only payable when the visitor performs a certain activity, such as clicking on an ad or executing a purchase.
The activities which determine the remuneration are CPM (costper-thousands impressions), CPC (cost-per-click), CPL (cost-perlead) and CPA (cost-per-action). Which one or combination of these activities forms the basis for the remuneration is decided on a case-by-case-basis. CPA and CPC are the most common. Tradedoubler's system tracks the customer activities generated by a certain advert in order to calculate the remuneration.
Tradedoubler discloses the information provided herein pursuant to the Swedish Securities Markets Act. The information was submitted for publication on 27 July 2012 at 8.00 a.m. CET.
Building tools?
Free accounts include 100 API calls/year for testing.
Have a question? We'll get back to you promptly.