The Digital Box achieved record results for early 2017

Sprint start for the innovative Italian SME that develops innovative solutions for marketers, with a 243% growth in the second quarter of 2017 compared to the same period of 2016.

Consolidated results as of 30th June 2017

  • Revenues for  Q2 2017: 1,684 thousand Euros (491 thousand Euros in the second quarter of 2016), a 243% growth
  • EBIDTA: 336,000 Euro (32,000 Eurosin the second quarter of 2016), a 941% growth
  • Revenues for the first Half of 2017: 3,067 thousand Euros (1,151 thousand Euros in the first Half of 2016), a 166% growth
  • EBIDTA: 551,000 Euros (171,000 Euros in first Half of 2016), a  223% growth

 

Gravina in Puglia (Bari), 25th July 2017 – The Digital Box, the company that designed and developed ADA, an innovative integrated platform for Mobile Engagement based on Artificial Intelligence, today announced the financial results for the Second Quarter of 2017. Revenues from sales amounted to € 1,684K, with a 243% growth compared to the second quarter of 2016, a linear increase compared to the first quarter and in line with the company’s aim to exceed 100% growth every year. Total costs were lower than budgeted, with an EBITDA of € 336k, up 941% compared to the second quarter of 2016.

Revenues for the first semester of the year reached € 3,067K, up 166% on the first semester of 2016, exceeding the 2016 figures shown in the financial statements. In the first Semester of 2017, costs amounted to € 2,516k and the EBIDTA to € 551k, respectively -12% and +198% compared to our plan. The results of the second quarter and first semester of 2017 marked new records for the company, with high margins, especially when compared to previous Quarters and Semesters.

“In the second quarter of 2017, The Digital Box achieved new records with a significant margin. Not only have we grown by 243% compared to the same Quarter in 2016, but we have also overcome the exceptional results of the first Quarter by 22%. An excellent performance of our strategic plan of expansion on the market and Artificial Intelligence solutions, are generating the expected results” said Roberto Calculli, CEO of The Digital Box. “Our distribution channel, which has significantly consolidated over the last year with targeted acquisitions fully integrated with our business, is starting to be fully operational”.

In the second quarter, the company focused its attention on Research and Development (R & D), integrating ADA with Artificial Intelligence technologies and expanding its activities at an international and national level.

In addition to the excellent sales performance, the exceptional results in terms of EBITDA come in part from a larger number of subscriptions compared to the sale of consumables (especially SMS). This is significantly due to a market trend, since Social Media are widespread as the first distribution channel for marketing campaigns carried out with ADA.

In the second Semester, the group’s cash position improved to € 452k, 30% more than expected.

The company’s management team is cautiously starting the third quarter of 2017, which falls in a period with lower performance for the entire year, but it remains confident on the growth prospect of the top line from 2016 to 2017 slightly above 100%.

“We are having a great feedback in all the countries where we operate and the market is showing that ADA is striking the right target as for both SMEs and large retailers in which we focus our activity” commented Marco Landi, president of the Board of The Digital Box.

The Digital Box Group – Balance Sheet, Second Quarter 2017 (sums in K €)

Q2-2017

Q2-2016

Variation %

Total Revenue

1684

491

243%

Memberships

1017

181

462%

Special projects

261

42

517%

Consumables (SMS, Mail, Etc.)

374

252

48%

Maintenance

32

16

92%

Sales Cost

608

213

185%

Industrial margin

1075

278

287%

Operational costs

739

245

201%

EBITDA

336

32

941%

The Digital Box Group – Profit and Loss Account, First Quarter 2017 (Sums in K €)

1H-2017

1H-2016

Variation %

Total Revenue

3067

1151

166%

Memberships

1800

541

233%

Special projects

606

99

510%

Consumables (SMS, Mail, Etc.)

585

462

27%

Maintenance

76

49

53%

Sales Cost

1135

508

123%

Industrial margin

1932

643

200%

Operational costs

1381

472

192%

EBITDA

551

171

223%

The Digital Box S.p.A.

The Digital Box S.p.A. was founded in Puglia by a group of Marketing visionaries and experts in digital technologies. The company has developed ADA, the most innovative integrated platform for Mobile Engagement based on Artificial Intelligence solutions. Driven by a unique and advanced technology,a highly profitable and scalable sales model  based on a network of Marketing Agencies, and by the focus on Mobile Devices, The Digital Box has grown very rapidly and is developing also in Europe and Latin America. ADA allows Agencies to generate more Leads, more Conversions, more revenues for lower costs, more information for sales plans aimed at customer loyalty.

The company boasts a consolidated presence in Italy, Spain, the United Kingdom, Latin America, and France. In 2017, the company landed in the USA and took over three major Italian retailers, thereby backing a strategic and technological acquisition in the Artificial intelligence field. Led by highly experienced team management, since 2017 The Digital Box has planned to expand sales activities in Northern Europe and start business in North America.

* Subscriptions

Subscriptions are not recorded according to the monthly accounting of revenues as required by the reference accounting principles. Revenues from subscriptions are accounted for when the contract is signed. The Company believes that accounting for recurring revenues when the contract is signed provides a better understanding of the growth strategy.

Some of the statements in this press release, future expectations or other information or forecasts, are subject to known and unknown risks. The advanced information is based on various factors and many hypotheses. In light of the risks, assumptions and uncertainties, there can be no guarantee that the information in this document will actually be implemented.
The Company makes no statements and undertakes no obligation to update the information on the basis of the final results or any changes in assumptions, hypotheses or other factors that could influence the statements themselves.

FINANCIAL INFORMATION:
Investor Relations
Saverio Merlo
E-mail: s.merlo@thedigitalbox.net
Tel: +39 3484909235

CFO
Virgilio Picca
E-mail: v.picca@thedigitalbox.net
Tel. +39 3346624325