Online marketing and domain name services provider Team Internet (LON: TIG) continues to beat expectations. Both divisions are growing in double digits and the full year trading statement reveals that EBITDA was $96m in 2023, up from $86m the previous year.
AIM-quoted Team Internet is market leader in both of its divisions. Overall revenues improved from $728.2m to $835m. A one cent/share dividend is forecast.
The online marketing division generated revenues of $656m, up 14% on the year. Google does not support third-party cookies on its Chrome browser late last year and that provides further growth prospects for the division.
The online presence division is benefitting from growing demand for alternative top level domains. Revenues were 16% ahead at $179m.
Net debt was $74m after $40m of share buy backs and $22m of contingent consideration. A further 153,281 shares have been acquired at an average price of 130.5107p each.
The new year has started well, but Zeus has not changed its 2024 forecast ahead of the full 2023 figures, which will be published on 18 March.
Share buy backs will help earnings grow faster than profit and they are forecast at 25.1 cents/share, up from 22.4 cents/share. Net debt is expected to fall to $21.8m.
At 131.1p, the shares are trading on less than seven times prospective earnings. The share price is lower than one year ago even though good progress has been made.
