On August 1, 2024, Criteo SA (CRTO, Financial) released its 8-K filing for the second quarter ended June 30, 2024. Headquartered in Paris, Criteo is a leading ad-tech company in the digital advertising market, enabling retailer advertisers to launch multichannel and cross-device marketing campaigns in real time.
Financial Highlights
Criteo SA (CRTO, Financial) reported revenue of $471 million for Q2 2024, a slight increase from $469 million in Q2 2023. The company achieved a gross profit of $233 million, up 17% year-over-year, and a net income of $28 million, or $0.46 per diluted share, compared to a net loss of $2 million in the same period last year.
Key Metrics and Achievements
Adjusted EBITDA for Q2 2024 was $93 million, a 67% increase from $56 million in Q2 2023. Adjusted diluted EPS was $1.08, more than double the $0.53 reported in the same period last year. The company's gross profit margin improved to 49%, up from 43% in Q2 2023.
| Metric | Q2 2024 | Q2 2023 | YoY Change |
|---|---|---|---|
| Revenue | $471 million | $469 million | 1% |
| Gross Profit | $233 million | $200 million | 17% |
| Net Income | $28 million | $(2) million | NM |
| Adjusted EBITDA | $93 million | $56 million | 67% |
| Adjusted Diluted EPS | $1.08 | $0.53 | 104% |
Operational Highlights
Criteo's Retail Media segment showed robust growth, with revenue increasing by 23% year-over-year. The company expanded its platform adoption to 2,900 brands and 225 retailers and marketplaces, including notable names like Dollar General and QVC. Additionally, Criteo announced a strategic collaboration with Microsoft Advertising to drive further growth in Retail Media.
"Our transformation is coming to life and we continue to seize the exciting opportunities in front of us, positioning ourselves for a promising future,” said Megan Clarken, Chief Executive Officer of Criteo. “Our focus remains on executing our plan to drive sustainable growth and maximize shareholder value.”
Financial Position and Liquidity
As of June 30, 2024, Criteo had $217 million in cash and cash equivalents, a slight decrease from $223 million at the end of 2023. The company generated $17 million in cash from operating activities in Q2 2024, compared to $1 million in Q2 2023. Free Cash Flow was $(4) million, a significant improvement from $(44) million in the same period last year.
Outlook
Following a record quarter, Criteo has raised its full-year 2024 guidance. The company now expects Contribution ex-TAC to grow by 10% to 12% at constant currency, up from its previous guidance of high-single-digit growth. Adjusted EBITDA margin is anticipated to be approximately 32% of Contribution ex-TAC, compared to the prior guidance of 31%.
For more detailed financial information, please refer to the full 8-K filing.
Explore the complete 8-K earnings release (here) from Criteo SA for further details.
