Bightcom Group hits upper circuit after reporting best quarterly results in Q3

27 Jan 2022 , 09:26 AM

Brightcom Group Limited, the AdTech major, has put forward impressive performance in its third-quarter results for the financial year 2022. The company reported its best quarter this year, with the consolidated revenues surging forward to Rs2021cr, up by 130.08 % yoy leading to a higher Net Profit at Rs371cr, up by 167.99% yoy.

EBITDA rose 126.44% yoy at Rs578cr due to better cost management and higher yields.

At around 9.30 am, Brightcom Group Ltd was trading at 5% upper circuit Rs171.90 per share up by Rs8.15 from its previous closing of Rs163.75 per share on the BSE.

The company said in a filing that overall performance was impressive owing to increased consumer usage of digital media and digital channels to conduct commerce across the world, post the pandemic. Filtering technologies across the industry have reached a steady-state, cutting down the spurious traffic, thereby contributing to higher eCPMs (effective Cost per Impression).

The company announced that in order to reward our shareholders further, it has declared an issue of Bonus Shares in the ratio 2:3, meaning for every three shares owned, two bonus shares will be issued. The move will not only improve liquidity but also unlock the value of the company.

The target Future Cashflows FCF for FY22 remains at Rs250cr, and as stated in earlier communication, is slated to reach Rs500cr by June quarter, 2022. Improving Free Cash generation is a key financial target for management.

The company’s Return on Equity(ROE), on an annualized basis, has improved to 21.74 %approximately. Value additions during the quarter: 43 new publishers; 12 new Ad agencies; 10 new direct advertisers; and 14 new newspaper relationships for local news platform ‘Blocal’ exchange. The network traffic touched 90 Billion impressions by quarter end.