DGAP-News: CLIQ Digital AG announces figures for the first quarter 2018 - Intensified marketing activities lay the foundation for a successful 2018 financial year

Corporate News

CLIQ Digital AG announces figures for the first quarter 2018 - Intensified marketing activities lay the foundation for a successful 2018 financial year

- Revenue in first quarter 2018 at EUR 15.2 million (Q1 2017: EUR 17.6 million)
- Revenue after deduction of payment provider costs increased by 5% compared to Q4 2017
- Adjusted EBIT stable at EUR 1.1 million (Q1 2017: EUR 1.1 million)
- Marketing spend in Q1 2018 significantly higher compared to Q4 2017
- US activities started

Dusseldorf, May 8, 2018 - CLIQ Digital AG (ISIN DE000A0HHJR3, GSIN A0HHJR), a leading direct marketing and sales organization for digital products with its own global payment and distribution platform, today announced its business development for the first three months in 2018.

Revenue and earnings development

In the period January to March 2018, the CLIQ Digital Group generated revenues of EUR 15.2 million (Q1 2017: EUR 17.6 million). As expected and already communicated with the publication of the audited consolidated financial statements on April 9, 2018, revenues of the company were below the same period of the previous year. The decline in revenues in the first quarter of 2018 was due to lower marketing spend in the fourth quarter of 2017 related to temporary delays in new product launches. These delays were successfully resolved during the reporting period. The revenue generated after payment provider costs increased to EUR 9.9 million (Q4 2017: EUR 9.4 million). The CLIQ Digital Group increased its total marketing spend by approximately 30% to EUR 4.6 million (of which EUR 3.9 million have been capitalized) in the first quarter of 2018 compared to EUR 3.5 million in the fourth quarter of 2017, which will already have a positive impact on revenues in the second quarter of 2018.

EBITDA adjusted for depreciation, amortization and impairment losses on capitalized customer acquisition costs - a key indicator for the success of CLIQ Digital AG - was at EUR 1.0 million in the reporting period, almost at the level of the previous year (Q1 2017: EUR 1.1 million) despite the lower level of revenues. Earnings before interest and taxes (EBIT) of EUR 0.9 million were below the figure of the previous year of EUR 1.1 million due to the acquisition costs of the French media buying specialist AffiMobiz. Net profit in the first quarter of 2018 was EUR 0.5 million after EUR 0.6 million in the first quarter of 2017. Cumulative earnings per share (EPS) amounted to EUR 0.08 in the reporting period (Q1 2017: EUR 0.09).

Adjusted for the acquisition costs, the view on the earnings side is more positive: the adjusted EBIT in the first quarter of 2018, at EUR 1.1 million, was at the level of the previous year (Q1 2017: EUR 1.1 million). The adjusted EBIT margin rose to 7.2% (Q1 2017: 6.0%). Net profit before non-controlling interests (adjusted for acquisition costs) increased by 26% to EUR 0.8 million (Q1 2017: EUR 0.6 million). After non-controlling interests and adjusted for acquisition costs, CLIQ Digital generated a net profit of EUR 0.6 million in the first quarter of 2018 (Q1 2017: EUR 0.6 million).

Development of KPI's

The CLIQ factor declined slightly by around 1% to 1.42 in the first quarter of 2018, compared with 1.44 in the same quarter of the prior year. The CLIQ factor represents the ratio of revenue to costs per customer and is a key indicator for measuring the profitability of new customers. At the same time, the customer base value, an important indicator for estimating the expected cash inflow based on existing customers, increased year-on-year, amounting to EUR 26.5 million at the end of the first quarter of 2018 after EUR 20.5 million as of March 31, 2017.

Foundation of a subsidiary in the USA

CLIQ Digital is continuing its internationalization and founded a new subsidiary in the US during the reporting period. With Netacy Inc., the Group is particularly pursuing the expansion of its business in the US. For the US market, CLIQ Digital has also exclusively licensed the rights for specific concepts and content from the US company Hippo Investments, a long-standing partner of CLIQ Digital. In addition to the start of these licensed concepts, CLIQ Digital will soon launch its streaming content portals in the US, which will be marketed through the licensed alliances and other media channels.

The 3-month figures for 2018 are unaudited and were not subject to review.
About CLIQ Digital:
CLIQ Digital (www.cliqdigital.com) is a leading direct marketing and sales organization for digital products with its own global payment and distribution platform. The core business of the Group is the direct marketing of its digital entertainment products to consumers via mobile and online marketing channels. CLIQ Digital is a valuable strategic business partner for networks, content owners, publishers and brands. The Group, based in Dusseldorf, employs +100 staff. The shares of CLIQ Digital AG are listed in the Scale 30 segment at the Frankfurt Stock Exchange (ISIN DE000A0HHJR3).

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