CM.com (CMCOM) CMD 2025 summary

Strategic direction and market positioning

• Transitioned from a mobile-first to an AI-first engagement platform, integrating messaging, payments, and AI-driven customer engagement across multiple channels and touchpoints.

• Entering a new growth phase (2025–2028) focused on becoming an AI-first, global customer engagement platform, leveraging agentic AI and expanding high-margin product offerings.

• Focused on mid-market, best-of-suite solutions, targeting eight key verticals and 15 countries, with a strong emphasis on cross-selling, customer retention, and multi-product adoption.

• International expansion prioritized, with 71% of business/revenue in 2024 from outside the home market, and strong traction in the US and Middle East.

• Emphasized consolidation and simplification for clients, reducing vendor complexity and enabling seamless integration of communication, data, and payments.

Financial performance and guidance

• Shifted from top-line growth to value and profitability, increasing gross margin from 25–26% in 2021 to over 30% in 2024, and reducing OpEx by more than 30% since 2022.

• Achieved a turnaround from negative EBITDA (minus €22M in 2022) to positive (€18M in 2024), and free cash flow from minus €34M to plus €3M.

• Refinanced €100M convertible bond early, reducing net debt and leverage from 4.4x to 2.8x EBITDA, and secured an €80M credit facility plus €20M equity raise.

• 2028 targets: gross profit growth of at least 15%, gross margin of ~35%, EBITDA margin of 12–15%, leverage below 2x EBITDA, and cash conversion of at least 50%.

• Every additional euro of gross profit expected to convert to €0.70 in cash, reflecting operational leverage.

Product innovation and operational efficiency

• Launched Halo, an agentic AI platform, integrated across all communication channels and business functions, enabling rapid deployment and process automation.

• Demonstrated use cases in retail, leisure, government, and financial services, with AI agents driving customer engagement, loyalty, and operational improvements.

• Embedded AI agents internally, promoting an AI-first culture and operational model, with virtual colleagues and dedicated AI teams accelerating efficiency.

• Product portfolio designed for modular adoption, with multi-product clients generating significantly higher margins and retention rates.

• New resale platform for LIVE and offline payment features introduced, with in-house processing of most online card payments and ongoing investments in proprietary payment processing, offline PIN, shopper recognition, and intelligent commerce.