Better Collective A/S has announced that it will enter a ‘streamlining process’ to optimize its group performance following major acquisitions and changes in key market outlooks.
The Stockholm-and-Copenhagen listed media group made this decision after leadership’s assessment of Q3 trading.
Preliminary Q3 2024 results show Better Collective reporting unaudited revenues of €81m, combined with an EBITDA before special items of €22m.
The anticipated Q3 results remain above 2023 figures, which saw Better Collective generate revenues of €75m and an operating EBITDA of €20m
Investors were notified that Better Collective had revised down its full-year guidance to a revenue range of €355m-to-€375m, from its previous target of over €395 million.
Leadership expects EBITDA before special items to be maintained at €100m-to-€110m, a downgrade from the previous forecast of €130m-to-€140m
Group performance continues to be impacted by lower-than-expected commercial activities from US partners. Further headwinds include a slowdown in activity in the Brazilian market, which is heading into expected regulation in 2025.
Management will lead the streamlining process to identify new cost synergies from recent acquisitions and operations within markets. H2 directives see Better Collective upgrade the systems and operating capacities of its acquisitions of Playmaker Capital and Playmaker HQ.
Streamlining objectives are expected to result in over €50 million in annualised operational cost savings. The initiatives will be implemented in the coming months and are anticipated to achieve full impact by 2025.
Jesper Søgaard, CEO and Co-Founder of Better Collective, stated: “Since 2017, Better Collective has grown significantly, both organically and through 35 acquisitions, expanding our team while adding increased complexity to our organisation. As external market conditions shift, it’s important for us to recalibrate our spending and investment strategies to ensure sustainable long-term success.
We are currently implementing adjustments that will better prepare us for the future, and I am confident that Better Collective will emerge even stronger following this exercise. We operate in a market with strong underlying growth, despite being subject to volatility, and we are well-equipped to adapt and are strategically positioned to sustain our growth in the future.”