Core Insights - Nexxen International Ltd. achieved all-time quarterly records in Contribution ex-TAC, programmatic revenue, and CTV revenue in Q4 2024, with year-over-year growth rates of 16%, 15%, and 86% respectively [1][5] - The company reported a 38% year-over-year growth in Adjusted EBITDA for Q4 2024, increasing the Adjusted EBITDA Margin on Contribution ex-TAC to 42% from 35% [1][5] - Nexxen's Board of Directors approved a new $50 million Ordinary Share repurchase program following the completion of the ongoing program [1][11] Q4 2024 Financial Highlights - Contribution ex-TAC reached $105.2 million, a 16% increase from Q4 2023 [5][12] - Programmatic revenue was $98.7 million, reflecting a 15% year-over-year growth [5][12] - CTV revenue hit $37.0 million, marking an 86% increase year-over-year [5][12] - Adjusted EBITDA for Q4 2024 was $44.3 million, up 38% from the previous year [5][12] - The company had cash and cash equivalents of $187.1 million as of December 31, 2024, with no long-term debt [5][12] Full Year 2024 Financial Highlights - Total revenue for 2024 was $365.5 million, a 10% increase from 2023 [5][12] - Annual Contribution ex-TAC was $343.5 million, up 9% year-over-year [5][12] - Annual programmatic revenue reached $324.5 million, also a 9% increase [5][12] - CTV revenue for the full year was $113.8 million, reflecting a 33% increase from 2023 [5][12] - Adjusted EBITDA for the full year was $114.6 million, a 38% increase compared to 2023 [5][12] Operational Highlights - The company simplified its trading structure by transitioning to a single U.S. Ordinary Share listing on Nasdaq [1][9] - Nexxen's DSP added 112 new actively spending first-time advertiser customers in Q4 2024 [9][6] - The company onboarded 73 new supply partners across various verticals in Q4 2024 [9][6] - Nexxen launched a Deal Marketplace within its DSP to enhance campaign planning and execution [9][6] Financial Guidance for 2025 - Nexxen anticipates Contribution ex-TAC of approximately $380 million for the full year 2025 [9] - Programmatic revenue is expected to represent about 90% of total revenue in 2025 [9] - Adjusted EBITDA is projected to be around $125 million for 2025 [9] - The company plans to increase investments in technology, data, and Generative AI in 2025 [9]

Core Viewpoint - Nexxen International Ltd. is set to release its financial results for the year ending December 31, 2024, on March 5, 2025, before the U.S. market opens [1] Company Overview - Nexxen is a global advertising technology platform specializing in data and advanced TV, providing a flexible and unified technology stack that includes a demand-side platform (DSP) and supply-side platform (SSP) [4] - The company is headquartered in Israel and has offices across the United States, Canada, Europe, and Asia-Pacific, and is publicly traded on Nasdaq under the ticker NEXN [5] Financial Results Discussion - A webcast and conference call will be held on March 5, 2025, at 6:00 AM PT / 9:00 AM ET / 2:00 PM GMT to discuss the financial results and outlook [2][6]

Core Points - Nexxen International Ltd. has completed its transition to a full U.S. Ordinary Share listing on Nasdaq, effective February 18, 2025 [1] - The company executed a reverse split of its Ordinary Shares, consolidating every two shares into one New Ordinary Share to facilitate a one-to-one ADR exchange [2] - Nexxen's AIM-listed Depository Interests were cancelled, and trading of New Ordinary Shares on Nasdaq commenced under the ticker "NEXN" [3] - The company has a $50 million Ordinary Share repurchase program that will continue on Nasdaq until May 19, 2025, or until completion [4] - The CEO of Nexxen believes that the new trading structure will enhance the company's ability to attract U.S. investors and improve its market presence [5] Company Overview - Nexxen is a global advertising technology platform specializing in data and advanced TV, offering a unified technology stack that includes a demand-side platform (DSP) and supply-side platform (SSP) [6] - The company is headquartered in Israel and has offices across the United States, Canada, Europe, and Asia-Pacific [7]

Core Insights - Nexxen has enhanced its live sports offerings and formed key partnerships with publishers to capitalize on the growing demand for live sports advertising [1][2] - The company reported a significant 315% increase in spending on live sports deals through StackAdapt campaigns in 2024, indicating strong market engagement [2][3] Company Developments - Nexxen's live sports packages allow advertisers to reach highly engaged audiences across both linear and streaming channels, addressing the fragmented nature of live sports viewing [1][4] - The partnerships with premium publishers and demand-side platforms, including FOX Sports and FanDuel Sports Network, have enabled Nexxen to boost campaign engagement and drive advertising spend [2][3] Market Position - The collaboration with StackAdapt has demonstrated the value of strategic partnerships in enhancing campaign outcomes and maximizing return on investment for advertisers [3] - FanDuel Sports Network has reported increased revenue due to its partnership with Nexxen, highlighting the effectiveness of Nexxen's technology in streamlining monetization efforts [4] Technology and Capabilities - Nexxen's technology stack includes both demand-side and supply-side platforms, with a focus on data and advanced TV capabilities, allowing for comprehensive solutions in advertising [5] - The company emphasizes its ability to provide flexible and unified technology that supports various advertising goals, from discovery to optimization [5]

Core Insights - Nexxen has launched Nexxen U, a global education program focused on linear, Connected TV (CTV), and digital convergence, featuring industry experts from various companies [1][2] - The program aims to address the knowledge gap among CTV and digital buyers, with 56% of surveyed buyers feeling they have little-to-no knowledge of programmatic linear advertising [3] - Nexxen U's designed outcomes include building cross-channel media plans and understanding current industry challenges and opportunities [4] Group 1: Program Overview - Nexxen U is a first-of-its-kind education initiative aimed at enhancing knowledge in converged media for buyers [1] - The program includes an Honors Council of industry thought leaders to shape Nexxen's product roadmap and create value for clients [2] Group 2: Industry Challenges - A survey conducted by Nexxen revealed that only 37% of buyers feel "very comfortable" in creating programmatic linear, CTV, and digital video plans [3] - The survey also indicated that 48% of buyers can only dedicate one hour or less per week to learning about these topics [3] Group 3: Educational Goals - The program's outcomes focus on equipping students with the skills to tackle identity, media waste, and measurement challenges in media planning [4] - Courses will be supplemented with exclusive research reports, playbooks, and webinars to enhance learning [4] Group 4: Industry Perspective - Industry leaders emphasize the importance of holistic campaigns for audience-centric reach, highlighting the complexities involved [6] - KINESSO's commitment to simplifying media, data, and measurement aligns with Nexxen's educational initiatives [6] Group 5: Company Background - Nexxen operates a flexible advertising technology platform that integrates a demand-side platform (DSP) and supply-side platform (SSP) [6] - The company is headquartered in Israel and has a global presence with offices in the United States, Canada, Europe, and Asia-Pacific [7]

Core Insights - Nexxen has appointed Carine Spitz as Vice President of Sales and Client Services for the West Coast, aiming to enhance engagement with premium brands and holding companies [1][4] - Spitz brings over 20 years of industry experience, particularly in online video, and has established connections across various sectors including entertainment, media, technology, telecommunications, automotive, and quick service restaurants [2][3] - The company emphasizes its flexible advertising technology platform, which integrates a demand-side platform (DSP) and supply-side platform (SSP), with a focus on data and advanced TV capabilities [5] Company Overview - Nexxen is a global advertising technology platform that empowers advertisers, agencies, publishers, and broadcasters to utilize data and advanced TV effectively [5] - The company’s technology stack includes a robust data platform that supports discovery, planning, activation, monetization, measurement, and optimization [5] - Nexxen is headquartered in Israel and has offices in the United States, Canada, Europe, and Asia-Pacific, and is publicly traded on the London Stock Exchange and NASDAQ [6] Leadership and Vision - Carine Spitz is recognized for her strategic vision and client-first mindset, which aligns with Nexxen's mission [4] - Spitz expressed enthusiasm about joining Nexxen, highlighting the company's commitment to flexible advertising solutions and its data-centric offerings [4] - The leadership at Nexxen believes Spitz will play a crucial role in shaping the company's future success [4]

Company Performance - Nexxen (NASDAQ: NEXN) shares have increased by over 80% since the initial bullish coverage in April, indicating strong market confidence in the company [1] - The positive market reaction was driven by accelerated growth in Q3 earnings, particularly due to contributions from Connected TV (CTV) [1] Analyst Background - The analyst has over 10 years of experience in investment banking and focuses on undercovered companies, with a watchlist of more than 50 companies across technology, software, electronics, and energy transition sectors [1] - The analyst has a Master's degree in Electrical Engineering and currently works as an automotive battery R&D engineer in Sweden, providing a technical perspective on investment opportunities [1] Investment Strategy - The analyst aims to identify asymmetric investment opportunities in small to mid-cap companies, seeking to achieve market-beating returns through diligent research and analysis [1]

Financial Data and Key Metrics Changes - In Q3 2024, the company generated contribution ex-TAC of $85.5 million, achieving a 12% growth from Q3 2023 [40] - Adjusted EBITDA was $31.6 million, reflecting a 49% year-over-year increase from Q3 2023 [47] - The adjusted EBITDA margin increased to 37% from 28% in Q3 2023 [48] - The company reported non-IFRS diluted earnings per ordinary share of $0.14 in Q3 2024 compared to $0.09 in Q3 2023 [49] Business Line Data and Key Metrics Changes - Programmatic revenue was $81.6 million in Q3, reflecting a 10% growth from Q3 2023 [40] - CTV revenue generated $29.7 million, representing a 52% growth from Q3 2023, and accounted for 36% of programmatic revenue, up from 26% in Q3 2023 [42] - Contribution ex-TAC from display grew 21% year-over-year, while self-service contribution ex-TAC increased 15% [45] - Contribution ex-TAC from PMP grew 52% and contribution ex-TAC from mobile grew 4% year-over-year [45] Market Data and Key Metrics Changes - The company observed strength in CTV, video, display, mobile, and PMPs, with increases across 10 of 11 industry verticals, particularly in governance, finance, health, and automotive [41] - A year-over-year decrease was noted in the travel vertical [41] Company Strategy and Development Direction - The company aims to incorporate GenAI across its platform to enhance tech and data capabilities [16][34] - The strategy focuses on connecting robust data solutions to a flexible platform to improve customer outcomes [13] - The company is positioned as a leader in CTV advertising data and technology, capitalizing on the growth in ad-supported TV content [25] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in continuing to accelerate growth, expecting strong performance in Q4 2024 and 2025 [38][52] - The company plans to boost data and technology investments to enhance platform differentiation and advantages [54] - Management highlighted the importance of data in driving campaign performance and achieving better results [73] Other Important Information - The company announced a new $50 million ordinary share repurchase program expected to begin on November 19 [50] - Proposed changes to the stock exchange structure aim to attract U.S. investors and reduce regulatory complexity [57][58] Q&A Session Summary Question: How does the company get customers to see the new Nexxen and its capabilities? - Management highlighted the Discovery tool as a powerful means to connect and integrate data sets, allowing advertisers to learn about audiences and measure results effectively [62][64] Question: What factors contributed to the strong growth in CTV? - Growth was attributed to advanced technology, an increasing publisher list, and partnerships that enhanced media acquisition [66][68] Question: Why do end-to-end platforms have an advantage despite slower growth compared to single-sided platforms? - Management emphasized the efficiency, privacy, and data synchronization benefits of a fully functional end-to-end solution [72][77] Question: What are the expectations for political contributions in Q4? - Management indicated that political contributions would not be material but expected a record annual contribution based on current trends [84] Question: What is the outlook for CTV growth compared to PMP growth? - Management noted that while CTV is growing rapidly, PMP will continue to be larger due to its broader scope [91]

© 2024 Nexxen International. All rights reserved. Confidential information of Nexxen. Nexxen Third Quarter 2024 Earnings Call November 15, 2024 Introduction to Speakers & Safe Harbor Statement This presentation has been prepared by Nexxen International Ltd. (the "Company" or "Nexxen"). This presentation and the accompanying oral presentation contain forward-looking statements. These statements may relate to, but are not limited to: statements regarding anticipated financial results for full year 2024, full ...

Generated 12% year-over-year Contribution ex-TAC growth in Q3 2024, fueled by record Q3 CTV revenue which increased 52% year-over-year Achieved 49% year-over-year Adjusted EBITDA growth in Q3 2024 while expanding Adjusted EBITDA Margin as a percentage of Contribution ex-TAC to 37% from 28% in Q3 2023 Reaffirming full year 2024 Contribution ex-TAC guidance and raising full year 2024 Adjusted EBITDA guidance NEW YORK, Nov. 15, 2024 (GLOBE NEWSWIRE) -- Nexxen International Ltd. (AIM/NASDAQ: NEXN) (“Nexxen” or ...