Release Date: July 17, 2025
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
- Cint Group AB (OSTO:CINT, Financial) achieved a pivotal milestone with the substantial completion of its platform migration, marking the end of the heavy lifting of the consolidation phase.
- The company reported a stronger growth in its media measurement business, contributing positively to its financial performance.
- Operating cash flow was supported by higher profitability and a reduction in accounts receivables, demonstrating a focus on cash flow management.
- Cint Group AB (OSTO:CINT) announced a new commercial agreement with a large research partner, Cantar, which is expected to enhance its technology integration and innovation.
- The company has a stronger balance sheet following a rights issue, resulting in a much better net debt position.
Negative Points
- The transition phase impacted the company's top line as expected, with a decline in net sales.
- There was a decline in revenues, particularly in the syn exchange, which affected overall sales performance.
- The company experienced a decline in transactional volumes in the exchange business, with completed surveys down by 15-16%.
- Cint Group AB (OSTO:CINT) faced challenges with customer migration, impacting sales in the cent exchange during the transition.
- The company is not expecting a material impact on profitability from the planned platform deprecation in early 2026.
Q & A Highlights
Q: How do you view recruitment and total costs for the rest of the year? Do you need to invest more to see growth recovery in 2026?
A: Patrick Comer, CEO: We are not holding back on costs or investments. We've been effective in cost management and will continue this efficiency. Savings from last year will be redeployed for growth initiatives. Niels Boon, CFO: We are exploring ways to accelerate growth but remain cautious. If good opportunities arise, we will invest.
Q: What is driving the organic decline, and is it due to a lower number of customers?
A: Patrick Comer, CEO: The decline is mainly due to the migration impacting sales in the Cint exchange. As customers transition, there is a change in volumes. We expect top-line growth to rebound post-migration.
Q: With a stronger balance sheet, what are your plans for deploying cash in 2026 and beyond?
A: Patrick Comer, CEO: We are not announcing new acquisitions yet, but we are in a positive cash position. We may reinvest in the company or explore external opportunities. The consolidation milestone allows us to consider new growth avenues.
Q: Can you elaborate on the visibility for organic growth in the second half of 2025 and any green shoots in client activity?
A: Patrick Comer, CEO: The migration story impacts our top line, but we believe the revenue impact is mostly behind us. We've seen growth in our Study Creator tool and in the EMEA region, indicating positive trends.
Q: What new products and services are planned for the coming years, and which customer groups will benefit?
A: Patrick Comer, CEO: Our strategic plan focuses on premium supply, especially B2B audiences. We are expanding our measurement business outside the US and adding new channels and integrations, such as with Snowflake and Trade Desk, to serve our customers better.
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
