Vertoz Advertising Limited (NSE: VERTOZ), an AI-driven MadTech and CloudTech platform, is pleased to report its audited financial results for the fourth quarter and fiscal year ending March 31, 2024.

Q4FY24 Highlights:

• Quarterly Revenue: Reached Rs. 45.66 crore in Q4 FY24, marking a 33.05% year-over-year increase, primarily driven by the recent merger of PayNX and Qualispace businesses.
• EBITDA: Stood at Rs. 6.66 crore in Q4 FY24, showing a 3.06% year-over-year growth. The EBITDA margin was 14.58% in Q4 FY24. Investments in workforce, technology, and other merger-related expenses affected the margins.
• PAT: Reported at Rs. 4.69 crore in Q4 FY24, compared to Rs. 4.10 crore in Q4 FY23, resulting in a PAT margin of 10.28%.

FY24 Highlights:

• Annual Revenue: For FY24, revenue reached Rs. 155.37 crore, reflecting an 87.61% year-over-year increase. This significant growth was driven by strong performance in the existing business, supplemented by successful inorganic initiatives.
• EBITDA: The company reported an EBITDA of Rs. 21.48 crore for FY24, marking a 25.93% year-over-year increase. The EBITDA margin stood at 13.82% for FY24. The margin was impacted by strategic investments in IT infrastructure, workforce expansion, and the integration of recently merged businesses.
• PAT: Profit After Tax (PAT) for FY24 was Rs. 16.12 crore, up from Rs. 11.04 crore in FY23. The PAT margin was 10.37%.
• Revenue Drivers: The substantial revenue increase was fueled by both organic growth in the core business and strategic acquisitions that enhanced the company’s market position.
• Strategic Investments: Investments in IT systems, employee development, and newly merged entities played a crucial role in supporting growth but also influenced operating margins.
• Profit Growth: Despite significant investments, the company managed to increase its PAT, reflecting efficient management and strong operational performance.
• Overall Performance: The financial results for FY24 showcase the company’s robust growth trajectory and strategic execution, positioning it well for future opportunities and challenges.

Particulars (Rs Crores)	Q4 FY24	Q4 FY23	YoY%	FY24	FY23	YoY%
Revenue	45.66	34.32	33.05%	155.37	82.81	87.61%
EBITDA*	6.66	6.46	3.06%	21.48	17.06	25.93%
EBITDA Margin (%)	14.58%	18.82%		13.82 %	20.60%
PAT	4.69	4.10	14.34%	16.12	11.04	46.04%
PAT Margin (%)	10.28%	11.96%		10.37 %	13.33%

Recent Key Developments:

• Successful Mergers: In March 2024, Vertoz merged Qualispace Web Services and PayNX Technologies into the company. This strategic move aimed to integrate product offerings and expand into Cloud services.
• Expanded Offerings: Post-merger, Vertoz’s offerings are categorized under MadTech and CloudTech. This expansion broadens the company’s market reach and service portfolio.
• CloudTech Portfolio: The new CloudTech portfolio includes a range of domain hosting and related services, enhancing Vertoz’s position as a comprehensive provider of Cloud and Digital Advertising services.
• Market Positioning: With the addition of Cloud services, Vertoz positions itself as a go-to provider for businesses seeking integrated Cloud and digital advertising solutions.
• Notable Campaign: In April 2024, Vertoz successfully executed a coupon campaign on Zomato for Happilo, a leading health food brand. This campaign highlights Vertoz’s capability to deliver effective digital marketing solutions.
• Integration Benefits: The integration of Qualispace and PayNX is expected to streamline operations, reduce costs, and improve service offerings, thereby attracting a wider customer base.
• Future Prospects: These strategic initiatives are anticipated to drive growth and enhance Vertoz’s competitive edge in both the MadTech and CloudTech markets.

Strategic Growth: Acquisitions and Market Expansion

Geographical Market Expansion

• International Client/Project Opportunities: The company is actively scouting for new client and project opportunities in international markets.
• Overseas Operations: Expanding operations in countries such as Vietnam and Hong Kong to penetrate further into Asian markets.

Inorganic Expansion & Fund Raise Initiatives

• Recent Mergers: Vertoz has recently merged PayNX Technologies and Qualispace Web Services to enhance its Digital Advertising Solutions with Cloud Services.
• Future Expansion Plans: The company is planning its next phase of expansion through inorganic opportunities to bolster organic growth.
• Fundraising: Considering raising funds to support both organic growth and inorganic opportunities.

CloudTech Integration & Other Investments

• Cloud Services Integration: Recently integrated Cloud Services (CloudTech) into its solutions portfolio, aiming to be a PAT Partner for digitally enabling businesses.
• Cloud Security: Exploring Cloud security as a high-potential vertical.
• Strategic Investments: Actively seeking investment opportunities that align with the company’s vision of enhancing the digital landscape.

About Vertoz Advertising

Vertoz, listed on the National Stock Exchange under the ticker symbol VERTOZ, is a dynamic player in the realm of digital advertising, marketing, and monetization. Their services extend into two primary domains: MadTech (Marketing and Advertising Technology) and CloudTech (Cloud Technology).

In the MadTech sector, Vertoz caters to a diverse clientele including businesses, digital marketers, advertising agencies, digital publishers, and technology companies. Their offerings encompass a wide range of services designed to optimize digital advertising strategies and enhance monetization opportunities. This includes Omnichannel Advertising, which ensures seamless promotion across various digital platforms, as well as Performance Advertising, aimed at maximizing the effectiveness of ad campaigns. Additionally, Vertoz provides services such as Ad Exchange, facilitating the buying and selling of digital ad inventory, and representation of digital media properties to enhance visibility and engagement.

On the CloudTech front, Vertoz offers solutions tailored to meet the needs of cloud providers and technology companies. This includes Cloud Infrastructure services such as domain name registration, cloud hosting, and a suite of cloud-based services aimed at enhancing operational efficiency and scalability.

Overall, Vertoz’s comprehensive suite of offerings in both MadTech and CloudTech underscores their commitment to empowering businesses and digital stakeholders with innovative solutions for effective digital advertising, marketing, and cloud infrastructure management.

Conclusion In conclusion, Vertoz’s Q4 results demonstrate its continued momentum and strategic focus in the digital advertising and cloud technology sectors. With robust revenue growth and a diverse clientele spanning businesses, digital marketers, advertising agencies, and technology companies, Vertoz’s offerings in MadTech and CloudTech have proven instrumental in driving value for its stakeholders. The company’s commitment to innovation and customer-centric solutions positions it well for sustained growth and market leadership in the dynamic digital landscape. Overall, Vertoz’s Q4 performance underscores its resilience and potential for further expansion in the digital advertising and cloud technology markets.