CLIQ Digital - Guidance raised with growth momentum

CLIQ Digital (CLIQ) raised its FY21 gross revenue and EBITDA guidance on Friday (17 September), following its strong H121 results and management’s expectation for a dynamic market environment to at least the end of 2021. CLIQ now expects to generate gross revenue of c €145m (previously at least €140m) and EBITDA of c €26m (c €22m), representing year-on-year growth of 36% and 60%, respectively. This would lead to a margin of 17.9%, significantly ahead of our current FY21 forecast of 15.7% and CLIQ’s reported FY20 margin of 15%. Improved EBITDA guidance also highlights its robust financial position, indicated by a net debt to EBITDA ratio of 0.1x for FY21e using our net debt forecast of €2.7m. Management has left all other guidance for FY21 unchanged, which include marketing spend of €46m and a CLIQ factor of 1.6x. We will adjust our forecasts after its Q3 results are released.