CRTO Euros to Dollars

Investment Analysis Clubs Saul’s Investing Discussions
1

CRTO gives us EBITDA numbers which grew 64% this fiscal year.
In euros, EPS grew 46.5%.
In dollars, EPS grew 22.1%.

I’m pulling these numbers from the bevy of financial statements listed in today’s presser. Please check them as this isn’t my forte.

http://criteo.investorroom.com/2016-02-10-Criteo-Reports-Rec…

I wanted to start thinking of CRTO in terms of EPS, PE and 1YPEG as they will begin reporting in US dollars.

CRTO lists EPS of $1.38 for the TTM.
After today’s bump, the PE is 24.2.

This would yield of 1YPEG of greater than 1 in US dollars.

It “seems” CRTO is growing a lot faster than this analysis shows.
If you check the 1YPEG screen, the EPS numbers don’t match with what the company is now reporting.

Anyone care to comment? Am I looking at something wrong?

The big bounce today was nice. I wish I could say I’m anywhere close to my cost basis. Bought this one at the exact wrong time before - TWICE!!!

Take care,
A.J.

5 Likes
2

Hi AJ - I think the results speak for themselves.

My only other perspectives amount to:

  1. There is a lot of discussion around ad blockers that clearly affect investor sentiment
  2. Criteo are THE global gorilla in this space. They are hiring everywhere, setting up offices everywhere and appear like a fully established business that is growing very fast
  3. The American competitors (like rocket or fuel or whatever they are called) appear to get a lot of coverage from a silicon valley “unicorn” angle but don’t appear to touch Criteo from a global business point of view.
    (Not intending to trash talk US businesses and nor for that matter cheerlead French corps).
    Ant
3

Ant,

Hi AJ - I think the results speak for themselves.

Yes, they most certainly do. I was just trying to get a better handle on things. On the SA CRTO board, it was pointed out that the US dollar earnings of $1.38 I listed is incorrect.

Here’s the post if you are an SA member.
http://discussion.fool.com/1081/aj-in-their-presentation-section…

CRTO has a slide deck about reconciliation to US dollars where they list diluted EPS of $0.91 US.

I’m still confused by what I read in the financial statements appended to the press release. They clearly list FY 15 EPS of $1.38 and FY 14 of $1.11. However, as the link above shows, I’m wrong.

And Ant, I liked your other perspectives about CRTO as well. They seem to be firing on all cylinders. Here is the main point I can gather. Businesses who use CRTO must be seeing a high return on their investment. If that continues, they will be in a very strong position for quite some time.

Take care,
A.J.