Perion Network Ltd. (PERI) stock prices surged by 25.56% shortly after market trading commenced on October 26th, 2021. This brought the price per share up to USD$27.80 early on in the trading day.
Revenue Breakdown
Revenues for the third quarter of fiscal 2021 were reported in the among of USD$121 million. This is a 45% year over year increase from the USD$83.4 million reported in the prior year quarter. This yearly increase is largely driven by an 82% increase in Display Advertising revenues, which resulted from a 245% increase in video and CTV. The yearly difference was also facilitated by a 30% increase in average revenues per client, as well as a 12% increase in the number of clients. Search revenues were up by 14% as a result of 14.7 million average daily monetizable search queries. This is compared to the 12.8 queries reported in the prior year quarter. The addition of 17 publishers also added to the year over year impact.
Net Income Reports
PERI stock reported net income in the amount of USD$10.6 million on a GAAP basis for the third quarter of fiscal 2021. This is a 399% increase from the net income of USD$2.1 million reported in the prior year quarter. Non-GAAP net income was reported at USD$15.4 million, representing 12.7% of the company’s revenues. This is comparable to the USD$5.9 million reported for the prior year quarter, representing 7.1% of revenues.
PERI Stock’s Adjusted EBITDA
Adjusted EBITDA for the third quarter of fiscal 2021 was reported at USD$17.6 million, representing 14.5% of total revenues for the quarter. This is comparable to the USD$8.7 million reported for the prior year quarter, which accounted for 10.5% of revenues.
Solid Liquidity Position
The company reported a solid liquidity position as of September 30th 2021. PERI stock reported cash and cash equivalents and short-term bank deposits in the amount of USD$156.2 million. Net cash provided by operating activities for the third quarter of fiscal 2021 was reported at USD$14.2 million. This is comparable to the USD$6.6 million in the prior year quarter.
Future Outlook for PERI Stock
PERI stock reported a promising quarter, as evidenced by the strength of its financial reports for the third quarter of fiscal 2021. The company is keen to maintain the momentum it has generated through to the upcoming quarters. Current and potential investors are hopeful that management will be able to effectively leverage the resources at their disposal. This is hoped to facilitate consistent and organic increases in shareholder value over the long term.
