Nexxen Reports First Quarter 2025 Financial Results

Core Insights - Nexxen International Ltd. reported record financial results for Q1 2025, driven by a 40% year-over-year growth in Connected TV (CTV) revenue and a 95% increase in Adjusted EBITDA [1][3][5] - The company completed a $50 million Ordinary Share repurchase program and initiated a new $50 million repurchase program in April 2025 [1][11] - Nexxen will host an investor day on May 22, 2025, to discuss its growth strategies and innovations [1][3] Financial Performance - Q1 2025 Contribution ex-TAC reached $75.0 million, an 8% increase year-over-year [5][10] - Programmatic revenue for Q1 2025 was $71.8 million, up 10% year-over-year, and accounted for 92% of total revenue compared to 88% in Q1 2024 [5][10] - Adjusted EBITDA for Q1 2025 was $23.1 million, reflecting a 95% increase year-over-year, with an Adjusted EBITDA margin of 31% on a Contribution ex-TAC basis [5][10][12] Operational Highlights - The company added 101 new actively spending first-time advertiser customers in Q1 2025 across various sectors, including travel and financial services [11] - Nexxen expanded its partnerships with major players in the industry, enhancing its advanced TV offerings and programmatic advertising capabilities [11] - The launch of nexAI, an AI-powered suite of tools, is expected to improve data usability and performance for clients [3][11] Financial Guidance - Nexxen reaffirmed its full-year 2025 financial guidance, projecting Contribution ex-TAC of approximately $380 million and Adjusted EBITDA of around $125 million [6][7] - The company remains confident in its guidance despite potential market softness due to economic uncertainties [6][7]