Dun & Bradstreet(US:DNB)2021-08-03 17:41Financial Data and Key Metrics Changes - Revenues for Q2 2021 were $521 million, an increase of 24% year-over-year, with a 23% increase on a constant currency basis [39] - Adjusted EBITDA for Q2 2021 was $198 million, a 13% increase from the previous year, with an adjusted EBITDA margin of 38.1% [42] - Net loss for Q2 2021 was $52 million, compared to a net loss of $208 million in the prior year quarter [39] Business Line Data and Key Metrics Changes - North America revenues were $357 million, a 1% increase year-over-year, with organic revenue growth of 1% [43] - International segment revenues increased 147% to $164 million, primarily driven by the Bisnode acquisition, with organic growth of approximately 13% excluding Bisnode [46] - Sales and marketing revenues in the International segment increased 383% due to the Bisnode acquisition, with a 22% increase excluding its impact [47] Market Data and Key Metrics Changes - The company reported strong sales in the building pipeline for new solutions, with significant wins in both domestic and international markets [7] - The D&B product marketplace now includes 36 partner datasets, up from 22 at the end of Q1 2021, indicating growth in the SMB market [24] - D&B.com site visits grew to over 46 million in Q2, an 84% increase year-over-year, with e-commerce sales reaching over $2 million, up 73% from the prior year [25] Company Strategy and Development Direction - The company aims to grow its share of wallet with strategic customers and monetize the finance and business (F&B) space in innovative ways [12] - New product launches and localization of existing products globally are key priorities, with a focus on integrating the Bisnode acquisition [12] - The establishment of a new global headquarters in Jacksonville, Florida, is expected to enhance innovation and growth [10] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in continued organic revenue growth, expecting Q3 to be slightly below the midpoint of the 3% to 4.5% range and Q4 to be at the high end [49][51] - The company anticipates a continued ramp in growth as it executes its near-term strategy and strengthens its business for the long term [8] - Management highlighted strong retention rates and a solid pipeline of new products as positive indicators for future performance [58] Other Important Information - The company celebrated its 180th anniversary, emphasizing its longstanding value to businesses globally [11] - The integration of Bisnode is progressing well, with revenue coming in better than anticipated [86] Q&A Session Summary Question: Confirmation on organic growth guidance for Q3 and Q4 - Management confirmed that Q3 is expected to be slightly below 3% and Q4 slightly above 4.5%, with headwinds from Data.com diminishing [55][56] Question: North America revenue acceleration - Management acknowledged the need for new product creation in North America and expressed optimism about future growth as new products are launched [61][62] Question: Margins and data costs - Management indicated that higher data costs impacted margins but expects continued margin expansion as new assets flow through the data cloud [63][64] Question: Competitive dynamics in sales and marketing - Management noted discrete competitors in the sales and marketing space and emphasized the strength of their marketing technology stack [73][74] Question: Cross-sell opportunities - Management sees significant opportunities for cross-selling, particularly by integrating capabilities into suites for easier client consumption [82][84] Question: Bisnode integration and revenue transition - Management reported that the integration is on track, with revenue from new D&B products expected to replace sunsetting Bisnode revenues [85][89] Question: ESG opportunity and differentiation - Management highlighted the unique company-level data focus of their ESG offerings, differentiating from larger competitors [99][100]