Samba Digital announces the first bi-annual results of 2024

Strong Growth Driven by New Offerings

• Revenue: €3.9M (+56%)

• Net Profit: €0.6M (16.4% of Revenue)

Lisbon (Portugal) – August 20, 2024 – 1800: Samba Digital (ISIN PTDGL0AM0003, Ticker MLSMB), a global player in sports marketing, announces its 25^th consecutive quarter of uninterrupted revenue growth since its inception.

Accelerated Growth in H1 2024

In the first half of 2024, Samba Digital achieved revenue of €3.93M, a strong increase of 56% compared to the same period of the previous year. Organic growth at constant exchange rates is slightly lower at +54%, due to the appreciation of the US dollar against the euro.

Samba Digital benefited from a high renewal rate of its client contracts, coupled with the successful launch of new activities such as Data Analytics and iGaming, announced last April.

Improved Profitability Amid Investments in New Offerings

The first half of 2024 saw an increase in personnel costs related to the expansion of teams dedicated to new offerings, with a significant contribution to revenue expected from the second half of 2024. The launch of these two new commercial offerings explains the temporary decrease in operational profitability, which stands at 21.1% compared to 26.2% for the first half of 2023. However, operating profit showed sustained growth of 26% (+25% at constant exchange rates), reaching €828K. This level of profitability remains in line with the 2024 budget target of 20%.

Net profit amounted to €645K, reflecting a net margin of 16.4%.

Key Events Expected in S2 2024:

The company is working on the creation of a Research & Development center dedicated to Artificial Intelligence, which will bring several applications to market within 24 months, aimed at saving 30% of the working time of community managers employed by sports organizations. Samba Digital is currently exploring the best location for this center, which could be either in Portugal or Brazil.

A new Information Document intended for the transfer from the Euronext Access market segment to Euronext Growth is being drafted and will be submitted to Euronext by the end of the month. The transfer is expected to take place before the end of the year and would be accompanied, if market conditions permit, by a capital increase of around €3M to finance the aforementioned Research & Development center.

2024 Revenue Target of €10M Confirmed

Thanks to the performances already achieved in the first part of the year and a strong roster of clients, Samba Digital reaffirms its confidence in reaching a revenue of around €10M in 2024 and an operating profit of approximately €2M, provided that the already highly uncertain global economic environment does not deteriorate further in the coming months. This assumption is based on parity between the dollar and euro.

ABOUT SAMBA DIGITAL
Founded in 2018 in the United States, Samba Digital assists clubs and players in the sports and eGaming industry with their internationalization strategy by developing their  digital audiences worldwide. The company is present on four continents: America (USA and LATAM), Europe, Africa, and Asia. Samba Digital works with the biggest English football clubs (Liverpool, Tottenham, Manchester United, Chelsea…), French football (Ligue 1, PSG, OM, OL, AS Monaco…), Italian football (Serie A, Juventus, Napoli…), German football (Bundesliga, Eintracht, Bayern Munich…) and, since 2022, the Portuguese Primeira Liga.

The company develops its expertise in many other sports such as basketball (Orlando Magic in the NBA and FIBA), rugby (World Rugby), golf (Ryder Cup), Formula 1, tennis (Roland-Garros, US Open, etc.). Based in Portugal, Samba Digital also owns Sports Translate and Sport Influencers, two platforms dedicated to the sports industry with over 300 translators and 5,000 influencers available worldwide. Sports Translate provides translation and adaptation of content in 50 languages and dialects and offers video subtitling and dubbing services.

Samba Digital is the world’s first sports marketing company to offer these diverse services with an economic model based on flexibility, no bank debt, and a comfortable cash position allowing it to self-finance its investments.

Samba Digital is listed on Euronext Lisbon under ISIN PTDGL0AM0003, Mnemonic MLSMB.