Nexxen's Strong Performance and Strategic Partnerships Lead to Growth in Q1 2024

Nexxen Q1 2024 Earnings Call Highlights

Nexxen's Q1 2024 earnings call underscored the company's focus on strategic partnerships, enhanced technology platforms, and market positioning. The integration of acquired companies, rebranding efforts, and product innovation are driving growth and expanding market share.

Financial Performance

Revenue increased by 4% with a simultaneous decrease in cost of revenue, reflecting improved cost efficiencies. The company generated $69.7 million in contribution ex-TAC, representing a 4% organic growth from the previous year.

Political Spending & Market Outlook

• Nexxen's suite of services, including the discovery tool for audience segmentation and planning tools, has positioned the company well for political spending in 2024. Partnerships with leading platforms and a strong media presence ensure access to a diverse range of audiences.

CTV and Data Strategy

• Nexxen's focus on connected TV partnerships with leading OEMs like LG, TCL, and Roku, along with enhanced ACR data capabilities, are driving growth in the CTV segment. The launch of Nexxen Data Platform and proprietary identity graph is enhancing audience insights and targeting capabilities for clients.

Outlook & Strategic Positioning

Nexxen remains confident in its growth prospects for the rest of the year, with the strategic partnerships and product innovations expected to accelerate growth in H2 2024. The company's debt-free balance sheet and operating model provide flexibility for strategic investments and value creation for shareholders.