2Performing - growing revenues and lower losses in the first nine months

2Performant, the company that operates the affiliate marketing platform with the same name, reported, for the first nine months of the year, operating income of 36.5 million lei, 37% more than in the first three quarters of last year, while the loss net profit decreased by 72%, from almost 1.2 million lei to 0.35 million lei, according to the company's results published yesterday on the website of the Bucharest Stock Exchange (BVB).

"Seasonality has an important impact on the results recorded by the company, the fourth quarter being the one in which the company mainly generates the highest revenues", the report states.

Of the turnover of 32.2 million lei achieved in the first nine months of 2023, the activity in our country contributed 87%, while the remaining 13% of the turnover was generated by the foreign market, a ratio that remains constant compared to the same period of the previous year.

In the first three quarters, the company saw 36 percent growth in the domestic market and 41 percent growth in the foreign market, according to the document. The share of revenues generated by advertisers who have a pre-paid payment method was 55%, and the post-paid payment method represented 45%, after in the first nine months of last year the ratio between pre-paid and post-paid payments paid was the opposite, 45-55%. One of the factors that determined the increase in the share of pre-paid payments was the implementation of the Direct Debit functionality by online stores, the report states.

Operating income (turnover minus affiliate commissions) for the first nine months of the year amounted to 8.2 million lei, following a 36% increase compared to the same period last year, the report states. On the other hand, operating expenses reached 36.9 million lei, increasing by 33%, a slower pace compared to operating income. The largest contribution to this category was represented by other operating expenses, which reached 27.5 million lei, an increase of 30% compared to the first nine months of 2022. This cost is represented, in proportion to 88% , from affiliate commissions, which were 24.1 million lei, up 33% compared to the same period last year, dynamic in line with the increase in turnover, according to the document.

For the first nine months of the year, 2Performant reported a negative operating result of 0.34 million lei, 70% below that of the same period last year.

Since the beginning of the year, the share price of 2P has increased by almost 90%. In the middle of the year, Dorin Boerescu, the CEO of 2Performant, owned 32% of the company that operates the marketing platform, whose stock market valuation amounts to almost 33 million lei.