Dotdigital Group plc Announces Full Year Results

Dotdigital Group plc

(“Dotdigital”, the “Company”, or the “Group”)

Full Year Results

Enhanced technology platform paving the way for higher value opportunities

Dotdigital Group plc (AIM: DOTD), the leading SaaS provider of an all-in-one customer experience and data platform (CXDP), announces its final audited results for the year ended 30 June 2024 (“FY24”).

Financial Highlights:

  • Group revenue increased 14% to £79.0m (FY23: £69.2m):

– Organic revenue (excluding Fresh Relevance) increased 9% in constant currency (7% on a reported basis) to £74.3m.

– Recurring and repeating revenue as a percentage of total revenue of 94% (FY23: 94%).

– Organic average revenue per customer (ARPC) growth of 15% to £1,861 per month (not materially affected by the Fresh Relevance acquisition).

– Contracted ARR growth of 13%. Recognised contracted revenue remained at 79% of total.

  • Adjusted EBITDA increased 10% to £24.3m (FY23: £22.0m).
  • Adjusted profit before tax increased 10% to £16.8m (FY23: £15.4m).
  • Adjusted diluted earnings per share increased 6% to 4.71p (FY23: 4.43p).
  • Cash balance at 30 June 2024 of £42.2m (31 December 2023: £37.1m), following acquisition of Fresh Relevance (of which £18.9m was paid in cash) and strong cash generation.
  • Proposed final dividend of 1.1p per ordinary share (FY23: 1.0p) in line with progressive dividend policy.

Operational Highlights

  • Acquisition and integration of Fresh Relevance, bringing web personalisation and advanced omnichannel capabilities to the Group.
  • Combined Dotdigital and Fresh Relevance offering now contributing to higher value deals, with a c. 60% increase in average order value from new customer wins.
  • Functionality recurring revenues increased 27% to £31.6m due to the acquisition and increased engagement across the platform.
  • Growth in all geographic regions, with international revenue growth of 12% to £25.4m (inclusive of Fresh Relevance), with a significantly enhanced proposition in the Japanese market and continued growth in North America.
  • Revenue from the Group’s strategic partners increased 9% to £34.1m (FY23: £31.2m), and the Group’s active partner ecosystem has grown significantly with over 600 active agency partners and nearly 190 technology partners.
  • Product innovation delivering further enhancements to Dotdigital’s platform and functionality, enabling more sophisticated campaigns and touchpoints with customers.
  • The Group enters FY25 with a larger pipeline of higher value opportunities.

Milan Patel, CEO of Dotdigital, commented:

“We are pleased to have delivered a strong performance in FY24, which saw growth across all geographic regions and continued robust cash generation to support further investment and acquisitions.

“Our CXDP offering has developed substantially during the year through further product innovation and the acquisition of Fresh Relevance, which brings sought-after personalisation technology and opens doors to larger market opportunities. With Fresh Relevance now primed to scale outside of its core EMEA market, we anticipate further larger value opportunities and increased engagement from our customer base with the platform.

“As we enter FY25, with market drivers continuing to work in our favour and an enhanced product offering, we are positioned well for further growth.”

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