Financial strength and Blackstone investment set the foundations for future growth
HH Global, the world's fastest-growing and most innovative outsourced marketing execution partner, announces its unaudited financial results for the third quarter of fiscal year 2020, ended December 31, 2019.
Third quarter 2020 financial highlights
- 19.5% revenue increase, from £110.9 million in the same period last fiscal year to £132.5 million. Year-to-date revenue was £347.9 million, a 19.5% increase compared to £291.5 million in the same period of FY 2019
- 22.4% net revenue increase, from £25.9 million in the same period last fiscal year to £31.7 million. Year-to-date net revenue was £87.1 million, a 28.8% increase compared to £67.6 million in the same period of FY 2019
- 15.9% increase of non-GAAP adjusted EBITDA, from £7.5 million in the same period last fiscal year to £8.7 million. Year-to-date non- GAAP adjusted EBITDA was £21.8 million, a 43.4% increase compared to £15.2 million in the same period of FY 2019
- Closed a strategic £100M minority stake investment by Blackstone Tactical Opportunities to fuel growth both organically and by acquisitions to broaden service lines to support evolving needs of marketers in our enterprise clients
- Secured commitments for enterprise contracts with the collective total of over £74 million of annual gross revenue at full run rate, the largest of which include new agreements with a consumer products company in APAC, Co-op and Nisa in the UK, and GNC in the US
- Witnessed accelerated adoption of its broader service offerings. Approximately 75% of enterprise contract commitments include newer services, such as content development, customer experience or promotional products procurement
- Completed full acquisition of Veriteva and renamed the entity as HH Global Interactive to extend our full end-to-end data and digital marketing delivery capabilities to a broader set of client companies, expanding HH Global's overall total addressable market for its services
"This quarter was very exciting to us," said Robert MacMillan, HH Global Chief Executive Officer. "We received commitment and recently closed the transaction with Blackstone, putting us in a great position to continue growth both organically and by acquisition. Our core marketing materials outsourced procurement business continues to outperform that of our peers and our clients are starting to see real value from our new service lines."
Edward Parsons, Group Chief Financial Officer of HH Global, said: "We set another company record across revenue, net revenue, and EBITDA. Forecasts for the remainder of our fiscal year are strong. We believe the growth trends established over the past year will continue for the foreseeable future."