CentralNic said strong trading momentum has continued into the final quarter of 2022 and management is confident it will “materially exceed the current market expectations for the full year”.
For the nine months to end-September net revenue will be at least US$127mln and underlying profits [adjusted EBITDA] at least US$61mln, with gains of 49% and 89% respectively.
Consensus forecasts for the full year are for underlying profits of US$72.5mln.
Organic growth is up by 66% on a trailing 12-month basis, added the internet domain and marketing specialist, and led by its online marketing segment.
Net debt has reduced to US$83mln after cash holdings over the quarter rose to US$83mln even after acquisitions of VGL and Aporia.
In addition, CentralNic has entered into a new senior debt agreement under which US$250mln of new facilities will be provided by a syndicate of six banks and includes up to a US$100mln revolving facility.
CentralNic's net leverage determines the interest and initially, it will be 2.75% above the overnight rate or SOFR, which compares to 7% above 3m EURIBOR for the existing senior bond.
Ben Crawford, CentralNic’s chief executive, said: "CentralNic continues to build momentum in the third quarter against typical seasonal trends, with year-on-year organic growth now reaching a record 66%, a further acceleration over the 62% reported for the 12-month period ending 30 June 2022.
"This continued reliable financial performance has allowed us to refinance at a notably improved interest rate, with a pool of quality lending banks.”