Targetspot published its activity for the first half of 2022.
Activity increased by nearly 20% in the first half of 2022
- 1% increase in revenue in the first six months of the year
- 12 new business partnerships signed
- Doubled the monetisable advertising space
- The Group will announce a strategic plan on 18 October
Targetspot (formerly AudioValley), a global player in AdTech and digital audio monetisation, published its activity for the first half of 2022.
The Group’s revenue amounted to €14.7 million (€m), compared with €12.3 million a year earlier. It was up 19.1% on a reported basis compared to the same period last year.
At constant exchange rates, revenue increased by 12.6%. The impact of the exchange rate effect was thus +6.5% in the first half (+0.8 million euros). It is linked to the appreciation of the dollar against the euro.
In addition to the solid growth recorded, significant progress has been made in the deployment of the Group’s technology offerings on an international scale. Targetspot signed 12 new partnerships in the first half of the year, compared to 11 signed throughout 2021. These include a series of agreements with leading publishers (SBS, ShowHeroes etc.), which notably opened the doors of the Latin American market to the Group.
Another positive development that will drive growth in the coming months is the doubling of the monetisable advertising space available to advertisers (the inventory), through both these new partnerships and the existing portfolio.
|Turnover in €k (unaudited figures)||H1 2022||H1 2021||Change||Change on CER|
*Constant exchange rates
The Targetspot division (92% of total activity for the half-year), dedicated to monetising all digital audio channels (podcasts, web radios, music platforms…) was €13.6m, up 21.5% (+14.4% at CER). The growth observed in the second quarter of 2022 (+12.4%) reflects a particularly demanding basis of comparison. The second quarter of 2021 saw an exceptional level of activity, linked to the catch-up in advertising spending in the wake of lifted health restrictions.
The Winamp division (including other activities such as the Jamendo musical catalogue) generated revenue of €1.1m in the first half of 2022, down 4.2%. As announced, a process of disposing of this business, which is now non-strategic and requiring significant investments in order to envisage a ramp-up in revenue, has been initiated.
Remarkable performance of Targetspot in Europe
|Revenue of the Targetspot division (in thousands of euros)||H1 2022||H1 2021||Change|
|Rest of the world||985||599||64.6%|
In Europe, Targetspot’s growth remained very strong throughout the first half of the year, coming out at +36.1%, thanks to a ramp-up in all digital audio media. In line with the performance recorded over the past few months, this strong increase reflects the growing support of European advertisers for digital audio as a driver of consumer awareness.
In North America, first-half revenue rose by 13.1% on a reported basis and 1.2% in CER. Growth was hampered by the moderation in advertising investments in certain sectors including the automotive sector, and by recruitment difficulties – particularly commercial profiles – linked to tensions on the US labour market. The redeployment of Targetspot’s offer to new partners also temporarily weighs on the volume of business in the United States.
These economic factors do not call into question the fundamentally favourable trends in the North American market for digital audio. The dynamic is rich in opportunities for Targetspot, ideally positioned thanks to its historic presence in the area, the strength of its proprietary technologies and the quality of its portfolio of advertisers and publishers.
Mario Cabanas, General Manager at Targetspot, comments:
“Market dynamics remain excellent in digital audio, particularly in the podcast monetisation segment, where our revenue has tripled compared to the first half of 2021. The Targetspot division posted a remarkable performance in Europe in the first half of the year; it began a second half of the year under good conditions in the United States, where the recent redeployment of our offer is expected to have its full effect.”
Alexandre Saboundjian, Chairman and Founder of Targetspot, states:
“Our commercial successes confirm our strategy of refocusing on our core business, which, as announced on 24 May, will continue through the upcoming sale of Winamp. Our ambitions for Targetspot will be clarified as part of a new strategic plan to be presented on 18 October, thus paving the way for a new profitable growth cycle.”