Claranova: H1 2022-2023 Revenue

Regulatory News:

With Q2 2022-2023 (October to December 2022) revenue of €218m, up 13% at real exchange rates and 2% at constant scope and exchange rates year-on-year, Claranova’s (Paris:CLA) positive growth momentum is now back on track. Reflecting this trend, the Group had H1 revenue of €315m, up 12% at real exchange rates (up 1% like-for-like).

Revenue trends by division for H1 2022-2023:

Revenue trends by division for Q2 2022-2023:

PlanetArt: organic growth back on track

Maintaining the momentum of the first quarter, PlanetArt, the e-commerce subsidiary for personalized objects, reported a return to growth with revenues of €187m in Q2, up 14% at real exchange rates and 3% at constant exchange rates. And despite the limited scope of this gain, it nevertheless confirms the benefits of the new customer acquisition strategy being implemented by PlanetArt's teams in a sector where marketing constraints related to Apple’s ATT (App Tracking Transparency) continue to have a significant impact. Bolstered by this positive business trend, this division reported revenue of €225m for H1 2022-2023, up 12% at real exchange rates (+ 1% at constant exchange rates). The efforts and investments of the past year to support direct marketing and optimize customer acquisition costs are expected to produce their full benefits and positively contribute to the division's H2 2022-2023 results.

In conjunction with the marketing transformation initiated a year ago, the division is also continuing to make significant investments in R&D, including developments in artificial intelligence designed to make PlanetArt's products even more accessible. For example, the division has just announced ChatGPT technology’s integration into its Ink Cards® application to make it easier for users to write greeting cards. PlanetArt will continue to integrate the newest technologies in our product lines to keep providing simpler, better and unique solutions to our customers.

Avanquest: H1 revenue of €57m, up 13%

Avanquest, the software publishing division reported Q2 2022-2023 revenue of €30m, up from €28m year-on-year, with 8% growth at real exchange rates. For H1, revenue rose to €57m, up 13% at real exchange rates (+1% like-for-like).

At constant scope (excluding contributions of PDFforge and Scanner App⁵), the division’s revenue remained robust with 8% growth at real rates compared to last year, driven by sales of proprietary software on a SaaS² basis for Security, PDF and Photo applications. During the first half, the division also ramped up its marketing investments to expand its SaaS customer base, which is expected to generate future growth and profitability. PDFforge’s integration is progressing and should start delivering synergies in the coming quarters.

myDevices: 30% growth in recurring revenue

The IoT (Internet of Things) division generated H1 revenue of €3m, up 27% at real exchange rates (13% at constant exchange rates) while myDevices continued to strengthen its distribution network in the period by increasing the number of partners to nearly 190 compared to 143 the previous year. Reflecting this positive momentum, the division's Annual Recurring Revenue (ARR) for the six-month period ended December 31, 2022 rose to €2.6m, up 30% from one year earlier at constant exchange rates.

Financial calendar:
March 29, 2023: H1 2022-2023 results

Telephone number for individual shareholders available from Tuesday to Thursday between 2 p.m. and 4 p.m. for calls within France: 0805 29 10 00 (local rate).

About Claranova:

As a diversified global technology company, Claranova manages and coordinates a portfolio of majority interests in digital companies with strong growth potential. Supported by a team combining several decades of experience in the world of technology, Claranova has acquired a unique know-how in successfully turning around, creating and developing innovative companies and proven its capacity to turn a simple idea into a worldwide success in just a few short years.

Present in 15 countries and leveraging the technology expertise of its 800+ employees across North America and Europe, Claranova is a truly international company, with 95% of its revenue derived from international markets.

Claranova’s portfolio of companies is organized into three unique technology platforms operating in all major digital sectors. As an e-commerce leader in personalized objects, Claranova also stands out for its technological expertise in software publishing and the Internet of Things, through its businesses PlanetArt, Avanquest and myDevices. These three technology platforms share a common vision: empowering people through innovation by providing simple and intuitive digital solutions that facilitate everyday access to the very best of technology.

For more information on Claranova Group: https://www.claranova.com or https://twitter.com/claranova_group

Disclaimer:

All statements other than statements of historical fact included in this press release about future events are subject to (i) change without notice and (ii) factors beyond the Company’s control. Forward-looking statements are subject to inherent risks and uncertainties beyond the Company’s control that could cause the Company’s actual results or performance to be materially different from the expected results or performance expressed or implied by such forward-looking statements.

CODES
Ticker:  CLA
ISIN: FR0013426004
www.claranova.com

¹ At real exchange rates.
² Internet of Things
³ Restatement for the accounting adjustment of the Avanquest Software division’s revenue arising from the application of IFRS 15 on the recognition of revenue over time from Soda PDF subscriptions transferred to a cloud-based model in August 2020 as reported in the Appendix to the press release of August 5, 2022.
⁴ Restatement for the accounting adjustment of the Avanquest Software division’s revenue arising from the application of IFRS 15 on the recognition of revenue over time from Soda PDF subscriptions transferred to a cloud-based model in August 2020 as reported in the Appendix to the press release of August 5, 2022.
⁵ Press release of July 4, 2022 and October 10, 2022

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