Press release according to CONSOB 11971/1999 Rule
DADA TURNOVER IN JAN-SEPT 2004 EXCEEDED EURO 33,5 MILLION (+79%)
GROSS OPERATING MARGIN (EBITDA) OVER EURO 4,4 MILLION
DADA FORECASTS BETTER THAN EXPECTED ECONOMIC-FINANCIAL TARGETS FOR 2004
Q3 2004 revenues amounted to Euro 12,1 million: +79% compared to Q3 2003.
Consumer Division revenues increased by 9% compared to Q2 2004.
Gross Operating Margin (EBITDA) for Q3 2004 was positive for Euro 1,4 million, compared to Euro 0,3 million of Q3 2003.
Result net of amortization of goodwill amounted to Euro -0,2 million, compared to -1,9 million in Q3 2003.
Q3 2004 pre-tax result amounted to Euro -1,2 million, with an improvement of 64% compared to Q3 2003.
Q3 2004 Net Financial Position amounted to over Euro 19,1 million.
Florence, November 12, 2004 The Board of Directors of DADA (TechSTAR of the Nuovo Mercato, Borsa Italiana: DA.MI), under the chairmanship of Paolo Barberis, approved the Quarterly Report as of September 30, 2004.
DADA Group consolidated revenues in the first 9 months of 2004 increased by 80% compared to the same period of 2003, amounting to over Euro 33,5 million, while the Gross Operating Margin significantly improved from Euro 0,8 million to over Euro 4,4 million.
In spite of the fact that Q3 is always a stable period, DADA Group significantly increased its consolidated Gross Operating Margin up to Euro 1,4 million.
The generation of free cash flow in Q3 2004 was equal to Euro 1,3 million and resulted from a much better revenue mix - with an increase in the revenues with higher margins - and from the good results of the optimization of the Group structure.
Q3 2004 consolidated Net Financial Position was positive for Euro 19,1 million, with an increase in the quarter by over 7% and an increase over the first 9 months of 2004 by 16,5% (it was equal to Euro 16,4 million at December 31, 2003).
In light of the encouraging results of the first 9 months of 2004 and of the signals received up to now regarding October and November trends, DADA forecasts an increase of the consolidated revenues of the overall 2004 equal to Euro 45-47 million (with an increase by 52-59% compared to 2003, in which revenues amounted to Euro 29,7 million ).
Considering the same assumptions, the impact of the Gross Operating Margin on the overall 2004 revenues is expected to be equal to 13-16%, compared to the value of 5,6%, which was registered in 2003.
On September 15, 2004 DADA was admitted to TechStar, the new segment within the Nuovo Mercato of the Italian Stock Exchange, which identifies the companies meeting higher requirements of sustainable growth and transparency: on December 2nd DADA S.p.A. will join the first TechSTAR Road Show, which has been organized by the Italian Stock Exchange in Milan, to present the economic-financial and business results achieved by DADA Group in the first 9 months of 2004 together with its future expectations.
- Consumer Division revenues were equal to about 52% of the Groups turnover in the first 9 months of 2004. This Division is mainly focused on the historical brands superEva e Clarence with an offering made up by a wide range of pay Community & Infotainment product and services, which can be enjoyed both through the Groups web portals, and through mobile, thanks to the unique number SMS to the Telcos TIM, Vodafone, Wind and/or through the presence in the new generation web portals TRE and iMode.
- Business Division is focused on the offering of advanced web services and net marketing solutions: its revenues were equal to 34% of the Groups turnover in the first 9 months of 2004. In this context DADA is leader in the development of Interactive Marketing projects for large and medium companies, with particular reference to SEO and pay per click campaigns.
- Self-Provisioning Division, headed by the controlled company Register.it S.p.A., represented about 14% of the Groups turnover. In Q3 2004 Register.it registered, transferred and renewed about 40.000 domain names; it also sold over 18.000 mailbox, thus being able to reach the total amount of 150.000 managed mailboxes.