Digital Network (DIG) Q4 2024 earnings summary

Executive summary

• Achieved record financial results in 2024, with revenue up 16% year-over-year and net profit up 17% year-over-year, driven by leadership in the Digital Out of Home (DOOH) advertising market.

• Strengthened market position, expanded national advertising reach, and increased the number of digital screens, including high-profile locations.

• Successfully implemented a dividend policy, distributing over PLN 17 million from 2023 profits and a PLN 10 million advance for 2024.

• Maintained a strong focus on technological innovation, including proprietary sales systems and 3D campaign capabilities.

Financial highlights

• Consolidated revenue: PLN 74.7 million (+16% year-over-year); operating profit: PLN 31.7 million (+39% year-over-year); EBITDA: PLN 43.7 million (+31% year-over-year); net profit: PLN 28.2 million (+17% year-over-year).

• Excluding one-off events in 2023, net profit rose 54% year-over-year.

• Operating margin: 42% (+7 p.p. year-over-year); EBITDA margin: 59% (+7 p.p. year-over-year); net margin: 38%.

• Parent company revenue: PLN 18.8 million (+48% year-over-year); net profit: PLN 18.4 million (+27% year-over-year).

• Cash flow from operations: PLN 34.0 million; net cash flow: PLN -12.2 million, mainly due to dividend payments.

Outlook and guidance

• 2025 expected to be another strong year, supported by favorable macroeconomic forecasts (GDP growth, lower inflation, stable currency, increased investments from EU funds).

• DOOH market share in Poland projected to exceed 40% within two years, with continued digital transformation and expansion into new markets considered.

• Dividend policy for 2025-2026 targets annual payouts of 75-100% of standalone net profit.