Cloud Technologies has adopted a development strategy for 2023-2025, the company announced. Within three years, it intends to invest up to PLN 100 million in further development and continue to increase its share in the global market. The company wants to grow primarily organically, increasing data sales, but also plans new acquisitions and investments. It also announces recommending a dividend of approx. 20% of adjusted EBITDA.
“We have successfully achieved the goals of the strategy for 2021-2023. We are growing faster than the market, we have achieved the position of one of the leading providers on the global data market and we successfully compete with the largest companies in the world. The new strategy, which is an evolution of our proven business development model, will allow us to take advantage of our competitive advantages to an even greater extent. These include technology and data, which are increasingly fueling AI systems,” said Cloud Technologies CEO Piotr Prajsnar, quoted in the release.
The strategic goal of Cloud Technologies in the 2023-2025 perspective is further dynamic development of data sales in current and new areas with high growth potential. By acquiring new channels and optimizing the current ones, the company intends to increase revenues on the online advertising market, which, according to Insider Intelligence, will grow at a double-digit rate by 2025, reaching USD 735 billion. The artificial intelligence market, to which the company is already providing data, will also be an intensively developed area with great development potential. This market is expected to grow at an average annual rate of over 38% by 2030.
As part of the new investment plan, whose budget for 2023-2025 is PLN 100 million, Cloud Technologies plans to allocate up to PLN 60 million for acquisitions and investments. Acquisitions will concern entities with a proven ability to generate revenues that will contribute to increasing the growth dynamics of sales of high-quality data. The investments planned by the company will concern companies at an early stage of development, which, thanks to data and Cloud Technologies technology, will contribute to an increase in data consumption in new areas of application, which will enable further dynamic development of the company also in the long term.
“Cloud Technologies plans to spend up to PLN 10 million on research and development. They are aimed at increasing the efficiency of data processing and are used to explore new application areas for data, such as tools based on artificial intelligence algorithms.
In the presented strategy, the Management Board also presented a proposal to introduce a dividend policy, recommending a dividend payment of approximately 20% of the adjusted EBITDA result.
“We are a company with high growth potential, whose data is effectively used in two dynamically developing markets, i.e. in online advertising and among AI tools. Therefore, we want to reinvest 80% of the adjusted EBITDA result in order to increase the scale of operations and market share. At the same time, taking advantage of the very good financial situation and appreciating the trust of our shareholders, we intend to recommend a regular dividend payment of approximately 20% of the adjusted EBITDA result. In addition, due to the surplus of funds from the share buyback under the previous strategy, we recommend the payment of a dividend of PLN 4.6 million already for 2022,” added Piotr Soleniec, member of the management board and CFO of the Cloud Technologies Group.
In connection with its ambitious plans, the company also plans to continue buying shares for the purposes of the incentive program in the 2023-2025 horizon, aimed at retaining the key management staff in the company. Cloud Technologies intends to buy up to 250,000 shares, and for this purpose it wants to allocate a total of up to PLN 30 million for this purpose in two tranches. The acquisition of shares by the managerial staff will be possible if KPIs amount to 110 million EBITDA in total for the years 2023-2025, net of the costs of the incentive scheme.
Cloud Technologies is a Warsaw-based company from the new technologies segment. He deals with big data, marketing and data monetization. Cloud Technologies has created one of the world’s largest data warehouses and Big Data Platform (DMP) – OnAudience.com. The company has been listed on the NewConnect market since 2012, and in December 2022 it moved to the main market of the Warsaw Stock Exchange.