December 29th, 2022 | 09:27 CET
Aspermont, Amazon, flatexDEGIRO - In the frenzy of customer growth
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Born in Bielefeld, she studied German, English and psychology. The emergence of the Internet in the early '90s led her from university to training in graphic design and marketing communications. After years of agency work in corporate branding, she switched to publishing and learned her editorial craft at Hubert Burda Media.
Aspermont: With a strong plus into the new fiscal year
Most people turn to the experts in their respective industries for advice. To become that authority with expertise and influence, one must be creative, persuasive and well-informed. Aspermont is an example of an authority in international mining.
The long-established Australian company started as a trade publisher in print and has provided its customers with insider knowledge through high-value content for over 60 years through over 30 industry-leading B2B media brands in the mining, energy and agriculture sectors. These are precisely the sectors that will continue to grow rapidly in the wake of the energy transition. In addition, the publisher has digitized its business, offers research analysis and has its own investment arm to finance new projects in the abovementioned sectors.
As a result, they can look back on a fiscal year (ending Sept 2022) in which they generated total revenues of AUD 18.7 million (fiscal year 2021 AUD 16.1 million). That is an increase of 17.2%. Adjusted EBITDA grew by 40% YOY (fiscal year 2022: AUD 2.8 million compared to AUD 2.0 million in 2021). Net cash changed from AUD 3.3 million (2021) to AUD 4.7 million (2022) and grew 43%. As Aspermont's fiscal year restarts in October, continued growth is on the horizon as the latter part of the 2022 calendar year is one of the most productive quarters to date. It is not only valuable for value investors to note that Aspermont is debt-free. Thanks to its revenue from subscriptions and prepaid events, the Company is in good shape for 2023.
Amazon: Sports app in planning
Big tech corporations like Apple, Google and Amazon are gradually taking over the world's largest sector of otherwise standard TV entertainment. For years, sports broadcasts were a key marketing advantage over competing pay-TV providers. The rise in the number of Internet users around the world and advances in various sectors are the key factors influencing the sports online live video streaming market.
What Jeff Bezos started by selling books online has grown into one of the world's largest retail groups. Amazon Prime is known primarily for streaming movies and series, but now sports is to be decoupled as a standalone app to become a separate division and brand.
Apple's nascent sports business has contracts with Major League Baseball and a 10-year deal with Major League Soccer that kicks off in 2023 and is estimated to be worth more than USD 2 billion. Amazon has acquired the rights to the National Football League's "Thursday Night Football" broadcast for USD 1 billion a year through 2023.
But the NFL is also willing to negotiate. NFL Sunday Ticket is a sports package that broadcasts National Football League (NFL) regular-season games unavailable on local stations. Now the NFL has awarded the package to Google. More specifically, YouTube. YouTube beat out Amazon, Disney and Apple for the package. The Sunday Ticket acquisition is the online video giant's most significant foray into live sports.
Sunday Ticket will be available both as an add-on for YouTube TV and as a standalone offering on YouTube Primetime Channels. Google will pay an average of about USD 2 billion a year for the package, about USD 500 million more than DirecTV currently pays, according to the Wall Street Journal. Amazon needs to step on the gas to avoid being left behind by its Big Tech competitors.
flatexDEGIRO: 500% customer growth leads directly into BaFin's sights
flatexDEGIRO (ISIN DE000FTG1111) is one of Europe's leading online brokers, handling more than 90 million securities transactions in 2021. The brand serves more than 2.2 million customers and offers a wide range of independent products at competitive prices. The flatex acquisition of DEGIRO in July 2020 made flatexDEGIRO the largest online retail broker in Europe. Over 91 million transactions were executed on the platform in 2021 by over 1 million users.
Frank Niehage, Chief Executive Officer of flatexDEGIRO AG affirms, "External factors drove retail investor trading activity in early 2021 to a record low in 2022, making it the most challenging year for the online brokerage industry in Europe. However, even in this extremely unfavorable environment, we expect 2022 to be the highest EBITDA and net profit ever."
By the end of September 2022, customer accounts have grown by over 500%, from 390,000 in 2019 to 2.4 million. As of now, this also interests BaFin. A group-wide regulatory program was set up at the Management Board level, and initial measures were implemented. These include the appointment of Dr Matthias Heinrich as the new Chief Risk Officer of flatexDEGIRO Bank AG, as well as organizational changes in the management of the Internal Controls, Risk Management and Regulatory Reporting departments.
Furthermore, the Supervisory Board and the Management Board have decided to provide flatexDEGIRO Bank AG with an additional EUR 50 million from its own funds. Given the current flatexDEGIRO Group CET1 of approximately EUR 180 million and the fully retained net income in 2022, the management sees all future growth efforts sufficiently funded, with solid regulatory resources and without the need for capital measures. The development of this broker is another example of how rapid customer growth in the digital age leads to changes in internal processes - and to rapid scaling.
Aspermont offers an expanded portfolio for all customer lifetime value chain needs. As a result of its expansion, the Company has hired more employees to streamline internal processes and become even more efficient. A sporting achievement for the publicly traded family-owned company. Amazon suffers a defeat in the sports market to competitor YouTube. Reason enough to prioritize the in-house project of the independent sports app. Otherwise, the Seattle-based company will go down in the battle for streaming rights and Apple and Co. will have their noses in front. Sports are also a big topic in North Rhine-Westphalia: flatexDEGIRO is sponsoring the German soccer club Borussia Mönchengladbach for the next five years. Not only is the brand name thus visible to their main target group of new customers, but there will also be sport at its best for the board of directors, as long as BaFin gives the nod to the sponsorship process and ticket allocation provided for this purpose.
Conflict of interest
Pursuant to §85 of the German Securities Trading Act (WpHG), we point out that Apaton Finance GmbH as well as partners, authors or employees of Apaton Finance GmbH (hereinafter referred to as "Relevant Persons") may hold shares or other financial instruments of the aforementioned companies in the future or may bet on rising or falling prices and thus a conflict of interest may arise in the future. The Relevant Persons reserve the right to buy or sell shares or other financial instruments of the Company at any time (hereinafter each a "Transaction"). Transactions may, under certain circumstances, influence the respective price of the shares or other financial instruments of the Company.
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