Inderes (INDERES) Q4 2021 earnings summary

Executive summary

• FY2021 revenue rose 36% to €11.819m; EBITDA was €2.427m, EBITA €2.307m and net profit €1.296m, up 16% YoY despite listing costs.

• Growth came from all business lines; recurring revenue increased 21%, while project revenue rose 55%.

• At year-end, there were 188 listed-company clients, 83 employees and 75,000 active community members.

Financial highlights

• FY2021 operating profit rose 42% to €1.966m; financial income and expenses were -€0.232m versus +€0.202m in 2020, partly reflecting listing costs.

• Q4 revenue rose 16% to €3.433m; recurring revenue increased 22% and project revenue 11%.

• Q4 EBITDA increased 66% to €0.705m and EBITA rose 71% to €0.680m; EBITA margin improved to 19.8% from 13.5%.

• FY2021 EBITA margin was 19.5% versus 19.9% in 2020; recurring revenue was 51% of revenue versus 57%.

• Q4 recurring revenue was €1.7m versus €1.4m; lower external production services and studio/equipment costs supported the quarter's cost profile.

Outlook and guidance

• FY2022 revenue guidance is €14.0–15.5m and EBITA guidance is €1.9–2.8m.

• Q1 is expected to be the weakest quarter due to seasonality; Finland profitability is expected to remain stable, while Sweden investment will weigh on FY2022 profitability.

• Virtual events revenue is expected to continue growing, but at a slower pace than in 2021; listing activity and stronger competitiveness support analysis and IR solutions growth.

• Sweden investment is expected to exceed €1m in 2022, with less than €0.5m capitalized.