TradeDoubler announces profitable 2003 fiscal year end results

TradeDoubler increases revenues by 86 per cent year-on-year and expands network to cover 16 European countries

STOCKHOLM, Sweden - March 29, 2004: TradeDoubler, the leading provider of solutions for managing online marketing and sales activities on the Internet, today announced fiscal year end financial results for 2003. Audited results demonstrate a total revenue of €28 million (£19 million), an increase from €15 million (£10 million) in 2002. This growth represents a percentage increase in revenue of 86 percent from 2002 to 2003. The rise reflects the growth that the company has experienced year-on-year since it was founded in 1999, and the increase has surpassed company expectations of 50 to 75 per cent revenue growth for 2003.

Since first achieving profitability during 2002, TradeDoubler has now maintained a full year of profitability due to strong revenue streams from the affiliate programme business and an increase in new clients across all product areas. The earnings results show that the company increased its client base by over 50 per cent from a portfolio of 443 clients in 2002 to the 665 clients retained in 2003.

TradeDoubler's revenues remained extremely strong within the affiliate programme business, historically the company’s predominant focus. With 16 European networks generating over 380 million unique visitors throughout the year, the affiliate programme has become TradeDoubler’s most well-recognised business stream and an area where the company is leading the industry across Europe.

These results represent a positive outlook for all clients, as the business model generates success throughout the TradeDoubler publisher network. During 2003 TradeDoubler generated sales of €400 m and over 4.2 m leads for its clients. These impressive results were delivered through its network of 450,000 registered publishers and through effective European consultancy and account management.

"Our performance over the last year was outstanding - exceeding our own revenue forecasts. Affiliate marketing showed strong year-on-year growth reflecting the continued, strong adoption of TradeDoubler’s affiliate programmes," said Martin Henricson, CEO, TradeDoubler. "Our success in achieving higher affiliate programme revenue drove improved operating margins and profit."

These results reflect a positive outlook for the entire industry with Jupiter Research indicating a significant increase in spending that will continue to rise through 2004. As the Internet continues to take market share from other media and online budgets are increasing in Europe and the US, these growth trends show a promising future for TradeDoubler’s European business.

TradeDoubler will continue to strive towards increased growth and profitability throughout the next financial year and forecasts an annual revenue growth of between 60 and 75 per cent. The company is confident that it will achieve its forecasts taking into account the fact that it has outperformed the heavy Christmas trading period in the first two months of 2004.

"These are fantastic results but that doesn’t mean that we will be resting on our laurels," said Martin Henricson, CEO, TradeDoubler. "We have already set some ambitious growth goals for 2004 and we have exceeded our budget forecast for the first three months of this year. This year will be exciting but also challenging. We aim to become the world's largest affiliate network provider by the end of 2004 whilst continuing to strengthen the position of our other marketing and sales solutions."

TradeDoubler is a private company with a 110-strong team across 16 countries. TradeDoubler recently opened an office in Lithuania and is planning to expand into Poland during the next quarter. Headquartered in Stockholm, Sweden, TradeDoubler was founded in 1999. By November 2000 the following year, the company had expanded to open ten offices across Europe. Soros Private Equity Partner invested $10 million in 2000, at the same time as the former CEO at the telecom operator Telia was appointed as Chairman of the TradeDoubler board.

About TradeDoubler

TradeDoubler provides soluions for managing online marketing and sales activities on the Internet. The solutions provide companies with the tools to administer online partnerships, drive sales online, carry out branding and promotional campaigns and other direct marketing activities. The company operates in 16 countries, and has more than 660 active clients in Europe that are a mix of local and international companies, including Vodafone, Dell, Apple, Sony, British Telecom and eBay.


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further information, please contact:Belinda Tewson or Gia Goodman
Bite Communications
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