OrderYOYO A/S publishes continued strong performance in Q3 showing 38% ARR growth and strong improvement in EBITDA. 2023 guidance raised for the fourth time
Company Announcement No. 66 - 2023
OrderYOYO A/S
Inside Information
Copenhagen, October 18, 2023
Highlights
Business continues to perform strongly. Highly focused strategy solving digital challenges for our Restaurant Partners is reaping rewards
2023 ARR, Net Revenue and EBITDA guidance raised for the fourth time. December ARR guidance raised to DKK 260-270m (original guidance of DKK 215-230m). Full year Net Revenue 2023 guidance raised to DKK 230-240m (original guidance of DKK 190-205m), and EBITDA guidance raised to DKK 20-23m (original guidance of DKK 5-15m). EBITDA margin guidance is raised to 8-10%
2024 guidance released. December 2024 ARR guidance of DKK 300-310m. Full year 2024 Net Revenue guidance of DKK 260-270m and full year 2024 EBITDA guidance of DKK 23-28m corresponding to an EBITDA margin of 9-11%
Strong performance in Q3 2023 with September ARR of DKK 256m, growing 38% compared to September 2022 ARR under continued challenged market conditions
EBITDA for 9M 2023 of DKK 16.5m compared to 9M 2022 EBITDA loss of DKK (4.1)m – an improvement of DKK 20.6m
EBITDA for Q3 2023 of DKK 7.5m corresponding to an EBITDA margin of 11.5%
June was the first month where our profitability strategy showed a positive Cash EBITDA1). A development that has continued into Q3 with all months showing a positive Cash EBITDA. A very important milestone for OrderYOYO as the organic operations is now self-sustaining and independent of external capital
Financial Highlights
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Consolidated 9M |
Q3 |
||||
|
(DKKm) |
2023 |
2022 |
(%) |
2023 |
2022 |
(%) |
|
Annual Recurring Revenue (ARR - Annualized Sept MRR) |
256 |
185 |
38% |
256 |
185 |
38% |
|
GMV (Annualized September GMV) |
2,438 |
1,868 |
31% |
2,438 |
1,868 |
31% |
|
Net Revenue (9M 2022 pro forma) |
181 |
132 |
37% |
65 |
45 |
44% |
|
EBITDA before other extraordinary items (9M 2022 pro forma) |
16.5 |
(4.1) |
nm |
7.5 |
1.9 |
295% |
|
Accounting Net Revenue* |
181 |
96 |
89% |
65 |
45 |
44% |
|
*app smart consolidated from 1 July 2022 and onwards |
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|
|
|
|
|
1) Cash EBITDA defined as EBITDA before other extraordinary items minus capitalized R&D expenditures
• Annualized September ARR of DKK 256m vs. DKK 185m September 2022 corresponding to a growth of 38%
• 9M 2023 Net revenue of DKK 181m vs. DKK 132m in 9M 2022 (proforma consolidated) corresponding to a growth of 37%
• Q3 2023 Net Revenue of DKK 65m vs. DKK 45m in Q3 2023 corresponding to a growth of 44%
• Annualized September GMV of DKK 2,438m vs. DKK 1,868m in September 2022 corresponding to a growth of 31%
• Positive EBITDA before other external costs for 9M 2023 of DKK 16.5m vs. an EBITDA loss of DKK (4.1)m in 9M 2022 (proforma consolidated)
• Q3 2023 EBITDA before other external costs of DKK 7.5m corresponding to an EBITDA margin of 11.5% vs. an EBITDA of DKK 1.9m in Q3 2022
Consolidated 2023 guidance raised
Due to our strong performance in Q3 2023, consolidated 2023 guidance is changed as follows:
|
|
2023 Guidance |
|
|
(DKKm) |
Updated |
Current |
|
December 2023 Annualized Annual Recurring Revenue |
260-270 |
250-260 |
|
December 2023 Annualized GMV |
2,500-2,700 |
2,500-2,700 |
|
Net Revenue 2023 |
230-240 |
220-235 |
|
EBITDA before other extraordinary items 2023 |
20-23 |
15-20 |
• December 2023 annualized ARR guidance is raised from DKK 250-260m to DKK 260-270m
• Net revenue 2023 guidance is raised from DKK 220-235m to DKK 230-240m
• EBITDA before other external costs 2023 guidance is raised from DKK 15-20m to DKK 20-23m
Consolidated 2024 guidance released
|
|
Consolidated Guidance |
||
|
(DKKm) |
FY 2024 |
FY 2023 |
Growth (%)* |
|
Annual Recurring Revenue (Annualized December MRR) |
300-310 |
260-270 |
15% |
|
GMV (Annualized December GMV) |
2,800-3,000 |
2,500-2,700 |
12% |
|
Net Revenue |
260-270 |
230-240 |
13% |
|
EBITDA before other extraordinary items |
23-28 |
20-23 |
19% |
|
* Growth calculation based on mid of range in guidance |
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|
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• December 2024 annualized ARR guidance of DKK 300-310m corresponding to a growth of 15% compared to current raised 2023 guidance
• Positive EBITDA before other external costs full-year 2024 guidance of DKK 23-28m corresponding to a growth of 19% compared to current raised 2023 guidance
• 2024 EBITDA margin guidance of 9-11% vs. current raised 2023 EBITDA margin guidance of 8-10%
• Net revenue full-year 2024 guidance of DKK 260-270m corresponding to a growth of 13% compared to current 2023 raised guidance
• December 2024 annualized GMV guidance of DKK 2,800-3,000m corresponding to a growth of 12% compared to current 2023 guidance
OrderYOYO consolidation strategy and focus on profitability
As European market leader, we keep seeing increased consolidation opportunities in our markets. Our consolidation strategy focuses on two types of acquisition targets:
- Local market leaders in European countries where OrderYOYO is currently not present to expand our European market leading position, and
- Local participants in the markets where OrderYOYO is already market leader to drive economies of scale and increased profitability for the Group
OrderYOYO has been EBITDA profitable for 15 consecutive months since July 2022. A strategic milestone for us driven by market leadership focus, strong commitment to profitable growth, increased economies of scale resulting from OrderYOYO’s consolidation strategy and a strict focus on cost management. For 9M 2023 EBITDA was DKK 16.5m vs. a loss of DKK (4.1)m 9M 2022 – an increase of DKK 20.6m.
It is our goal to continue to be EBITDA profitable and our raised guidance for 2023 EBITDA of DKK 20-23m corresponds to an EBITDA margin guidance of 8-10% - an increase from earlier EBITDA margin guidance of 6-9%. For 2024 our EBITDA margin guidance is 9-11%.
As we continue our growth, both organically and through consolidation, economies of scale and cost control will increase EBITDA. In addition, acquisitions of local participants in markets where we are already market leader will provide the opportunity to increase profitability through cost savings and efficiency gains.
We are confident that our strategy will result in a continued expansion of our EBITDA margin in the coming years.
Video presentation
The Q3 2023 Report will be presented at an online conference call on 19 October 2023 at 10.00am CET.
Register for the conference call at:
https://www.inderes.dk/videos/orderyoyo-presentation-of-q3-2023-trading-update
For additional information, please contact
OrderYOYO A/S
Jesper Johansen, CEO
Mobile (+45) 21 67 84 92
Email [email protected]
OrderYOYO A/S Masnedøgade 26, 2100 Copenhagen Ø
Certified Advisor
Grant Thornton
Jesper Skaarup Vestergaard
Mobile (+45) 31 79 90 00
Grant Thornton Stockholmsgade 45, 2100 Copenhagen Ø
About OrderYOYO
OrderYOYO is the market leading European online ordering, payment, and marketing software solution provider. OrderYOYO’s solution is offered as Software-as-a-Service (SaaS) and enables small independent takeaway restaurants to have their own-branded online presence direct to consumers. OrderYOYO helps takeaway restaurants drive online takeaway orders through their own tailored software solution in the individual takeaway restaurant’s own brand. We liberate restaurants.