(CercleFinance.com) – Netgem headed higher on the Paris Stock Exchange on Wednesday after a milestone during which the technology solutions provider confirmed its growth trajectory.
Around 11:10 am, the title advances by 1.5% in a Parisian market which only shows a small increase of 0.2%.
The digital entertainment specialist says the total number of subscribers to its services reached 400,000 at the end of May, compared to 363,000 at the end of 2021.
The group stresses that it expects even more significant growth in the second half of the year thanks to the recent launch of a series of partnerships, which pushes it to aim for a target of half a million subscribers by the end of 2022.
Netgem – whose platform allows telecommunications operators and content publishers to boost their offers in ‘streaming’ mode – explains that it has already obtained price readjustments from its customers to preserve the profitability of its contracts in the current inflationary context.
Under these conditions, the growth of the subscriber base should lead to growth in revenue and gross margin this year, with a positive effect on EBITDA and on cash generation.