Criteo S.A.(US:CRTO)2025-05-02 11:02Financial Performance - Q1 2025 revenue was $451 million, a 0.3% increase year-over-year, with gross profit at $237 million, up 9%[3] - Net income for Q1 2025 reached $40 million, a significant increase of 367% compared to $9 million in Q1 2024, resulting in diluted EPS of $0.66[3][8] - Contribution ex-TAC for Q1 2025 was $264 million, reflecting a 4% year-over-year increase, or 7% at constant currency[6][7] - Adjusted EBITDA for Q1 2025 was $92 million, representing a 30% increase year-over-year, with an adjusted EBITDA margin of 35%[9][10] - Free Cash Flow (FCF) increased to $45 million in Q1 2025, compared to $1 million in Q1 2024, with a trailing 12-month FCF of $226 million[12][25] - Revenue for Q1 2025 was $451.4 million, a slight increase from $450.1 million in Q1 2024, representing a growth of 0.3%[38] - Gross profit for Q1 2025 increased to $237.0 million, up from $217.2 million in Q1 2024, reflecting a growth of 9.1%[38] - Net income for Q1 2025 was $40.0 million, compared to $8.6 million in Q1 2024, marking a significant increase of 366.5%[38] - Adjusted EBITDA rose to $92,148,000, reflecting a 30% increase from $70,679,000 in the previous year[49] Operating Expenses and Efficiency - Operating expenses decreased by 9% year-over-year to $189 million, driven by effective resource allocation[10] - Operating expenses decreased to $188.8 million in Q1 2025 from $206.9 million in Q1 2024, a reduction of 8.7%[38] - Total operating expenses decreased by 9% to $188,809,000 from $206,869,000 year-over-year[51] Cash Flow and Liquidity - Cash provided by operating activities for Q1 2025 was $62.3 million, compared to $14.0 million in Q1 2024, indicating a substantial increase[40] - Cash from operating activities increased to $62,341,000, a 345% year-over-year change from $14,017,000[41] - Free cash flow reached $45,250,000, compared to $793,000 in the previous year, indicating significant growth[41] - As of March 31, 2025, the company had total financial liquidity of approximately $810 million, including cash, marketable securities, and a revolving credit facility[13] - Cash and cash equivalents at the end of Q1 2025 were $286.2 million, down from $341.9 million at the end of Q1 2024, a decrease of 16.3%[40] - The net cash position decreased by 16% year-over-year to $286,171 million, with a 2% decline quarter-over-quarter[61] Shareholder Returns - The company repurchased $56 million in shares during Q1 2025[4][12] Future Outlook - For fiscal year 2025, the company expects low-single-digit growth in Contribution ex-TAC at constant currency, with guidance for adjusted EBITDA between $60 million and $66 million[20][21] - The company anticipates continued growth opportunities despite macroeconomic challenges, including inflation and fluctuating interest rates[29] Assets and Liabilities - Total assets as of March 31, 2025, were $2.13 billion, down from $2.27 billion as of December 31, 2024, a decrease of 6.1%[36] - Total liabilities decreased to $1.03 billion as of March 31, 2025, from $1.19 billion as of December 31, 2024, a reduction of 13.0%[36] Client and Revenue Segmentation - Retail Media Contribution ex-TAC grew 18% year-over-year at constant currency, with a same-retailer retention rate of 120%[4] - Retail Media revenue grew by 17% to $59,498,000, while Performance Media revenue decreased by 2% to $391,936,000[46] - The number of clients decreased by 4% year-over-year to 17,084, down from 17,269 in Q4 2024[61] - Contribution ex-TAC decreased by 1% year-over-year to $264,372 million, with a 21% decline quarter-over-quarter[61]