Israeli digital ad firm Matomy posts sharply higher profit
TEL AVIV Aug 27 (Reuters) - Israeli digital advertising firm Matomy Group, which began trading on the London Stock Exchange last month, said on Wednesday its first-half net profit quadrupled, boosted by increased mobile and video activity and a gain from an acquisition.
Its six-month net profit jumped to $12.6 million from $3.2 million a year earlier as revenue grew 11 percent to $107.6 million.
The London listing came after a failed attempt in March when Matomy, which counts American Express and HSBC among its clients, could not raise enough money from EU investors following a poor performance of high-profile Internet stocks. The company decided to try again when the LSE made its investment requirements more accommodating.
Revenue in the Americas increased by $14.4 million to $65.9 million, more than offsetting a $4.4 million decline in European revenue, which mainly reflects a decline in activity in Spain.
"We believe that the digital advertising market will continue to undergo rapid change and significant consolidation and it is therefore essential that we continue to evolve, innovate and not stand still," Matomy Chief Executive Ofer Druker said in a statement.
He said the company was allocating more resources to its mobile and video divisions, improving media buying capabilities and acquiring a controlling stake in Germany's Team Internet in June.
"These business developments, together with the planned additional investments in the second half of the year in our media capabilities, partnerships and acquisitions, will strengthen our market position and drive our long-term profitable and sustainable growth," Druker said. (Reporting by Tova Cohen)