Brief: Opera Software warns on 2017 earnings as AdColony unit lags

Otello ASA

24/08/2017 06:00

Aug 24 (Reuters) - Opera Software Asa  OPERA.OL  
    * q2 revenues $109.9 million (Reuters poll $117 million) 
    * q2 adjusted ebitda $3.1 million (Reuters poll $5.4 
million) 
    * Ramp in AdColony revenue slower than earlier expected 
    * Overall, we expect to be below the guidance we put out in 
the beginning of the year 
    * Speed of transformation to more programmatic revenue 
streams for AdColony makes predictability lower on revenue and 
margin, thus we decided not to guide for the the remainder of 
the year 
    * All 4 companies expected to be profitable (adjusted 
ebitda) in 2h17 
    * Cost base reduced by over $30m ($25m adcolony & $5m 
skyfire) entering 2h17 versus entering 1h17 
    * For AdColony the focus now is to grow month over month and 
week over week as well at getting new products to market that 
accelerates the revenue growth 
    * Expects adcolony business to generate revenue growth in h2 
2017 versus h1 2017 
    * Expects to see revenue growth in Bemobi in 2017 versus 
2016, as Bemobi takes the success in Brazil to a global arena 
    * Expects to see strong growth in Surfeasy in 2017 versus 
2016 
    * Aims to make Skyfire profitable in 2017Source text for 
Eikon:  urn:newsml:reuters.com:*:nObiYF0gwaFurther company coverage:  OPERA.OL  
 
 
 (Reporting By Joachim Dagenborg) 
 ((joachim.dagenborg@thomsonreuters.com;))