Dalenys Achieved Its 2016 Target and Had a Run Rate (*) of €2.6 Billion in January 2017

2016 turnover of €64.5 million, up 20%

Payment turnover: Up 44%

€1.7 billion processed during 2016: Up 77%

BRUSSELS--()--Regulatory News:

Dalenys (Brussels:NYS) (Paris:NYS) (ISIN BE0946620946 -- Mnemo NYS) has published its annual turnover for 2016, which amounted to €64.5 million, up 20% versus 2015.

2016 operations

  Fourth quarter   2016
In thousands of euros   Q4 2016   Q4 2015


  Change   2016, 12 m   2015, 12 m (1)   Change
Dalenys   15,579   17,485   -11%   64,493   53,859   +20%
Payment   4,537   4,100   +11%   17,070   11,862   44%
Marketing   1,365   1,544   -12%   5,344   5,713   -6%
Telecom   9,677   11,841   -18%   42,079   36,284   16%

Note 1: Pro forma turnover:
- Excluding the B to C division, which was sold as of 1 July 2015. 2015 turnover published as regards the B to C division amounted to €16.1 million.
- Excluding Repu7ation (Marketing division) which was sold with effect as of 30 June 2016 – the turnover published for the second semester of 2015 as regards Repu7ation amounted to € 0.4 million and was restated for comparison purposes.

Thibaut Faurès Fustel de Coulanges, Chief Executive Officer of Dalenys states:
"The performance, the reliability and the agility of our solutions enable us to continue with our strategy of gaining market share from large merchants in Europe. Now 15% of the top 100 french e-commerce merchants trust us, only four and half years after our launch. Our achievement of a €2.6 billion Run rate(*) in January 2017 means that we are quickly getting closer to our 2018 target of €5 billion. "


Payment Division: good commercial traction

The turnover of the Payment Division was €17.1 million across the year, an increase of 44% versus 2015.

Payment Division achieved in December a Run rate(*) of almost €2.3 billion, thus exceeding the announced target. The volume of payments processed continued to grow strongly – it was €1.7 billion across the year, up 77% versus 2015.

Dalenys has strong commercial traction, thanks to the winning of new large merchants as clients and into ever-larger volumes being entrusted by existing clients, such as Interflora, Made.com or Burger King-Quick. Thus, the new record day was 11 January 2017, when €9.0 million was processed (versus €6.7 million on 6 July 2016). The client mix is balanced between different business sectors, as Retail accounts for 63% of Dalenys's volume of business. Furthermore, more than 16% of the volume of business is processed outside France.

The performances of the Be2bill solution in terms of increasing the conversion rate and lowering the fraud rate have again been excellent in 2016. Since it was launched, Be2bill has been the subject of 17 A/B performance tests, which have been designed by our clients, all of which were characterised by noticeable optimisation of the conversion rate and by the reduction of chargebacks. Larger merchants strongly appreciates the technical sturdiness of the Be2bill solution, which is based on a proprietary platform which is 100% active/active, thus ensuring absolute minimum downtime.

In 2016, the product offering got considerably richer, which now enables Be2bill to resolve complex issues which combine online, mobile and in-store payments (providing multi-channel services), in France and in Europe, and also Marketplace issues. Be2bill, thanks to its positioning both as a PSP and an acquirer, offers Marketplaces – including PixMania, Atlas For Men or Animalis – a comprehensive offering which covers, in a systematic manner, on a full service basis, all KYC, Cash-In, Escrow and Cash-Out services.

As forecasted, the average commission rate is dropping and was 0.98% in 2016 versus 1.18% in 2015. Increases in volumes from large merchants and very dynamic commercial traction in the in-store offer accounting for more than 10% of transactions processed in January 2017, move Dalenys's average commission rate closer to standard rates of the industry leaders.

Buoyed by this progress on a technical and a commercial level, the Run rate(*) in January 2017 came to €2.6 billion, ie €1 billion more (up 63%) than in January 2016, in line with our 2018 target of €5 billion.

Marketing Division: ready for 2017 after the implementation of an action plan

Turnover in the fourth quarter was €1.4 million, down 12% versus Q4 2015, reflecting a decrease in Cashback business and growth of the email re-targeting operations of Eperflex which are in phase with the growth of the Payment Division.

For the whole year, turnover amounted to €5.3 million, down 6% versus 2015 (corrected for the sale of Repu7ation in the middle of the year, for € 0.4 million, for comparison purposes).
Following the action plan that was implemented, which was mainly based on re-energising the offering during the second half of the year, Cashback operations are now going to be focused on profitable growth.

Development will continue, moreover, on the email re-targeting operations, entailing significant synergies with the Payment Division. Thus, the mechanisms put in place by Eperflex (email re-targeting) enabled merchants to generate more than €150 million in additional sales over the course of the year.

Telecom Division: the impact of strategic refocusing

The turnover of the Telecom Division was down 18% in the fourth quarter of 2016, to €9.7 million, which was the direct result of the strategy to refocus on operations with greater added value, which Dalenys started to implement in Q3. Across the year, the turnover for the Division amounted to €42.1 million, up 16% versus 2015.
The action plan decided for the Telecom Division was quickly rolled out and is beginning to produce tangible effects as regards to the profitability of the Division.

Next financial communication:
Publication of 2016 results: 28 March 2017 before market opening.

Read the press release on the Dalenys website:

About Dalenys
Founded in 2002 by Jean-Baptiste Descroix-Vernier, Dalenys -NYS- (formerly Rentabiliweb) offers Payment Marketing solutions that aim to increase revenues for online and point-of-sale merchants. Ranked #1 of French Fintech by Frenchweb in June 2016, Dalenys offers solutions that integrate transactional and marketing data to increase the conversion of the customers during their purchasing path. With over 200 employees in France and abroad, publicly traded on Euronext Brussels and Paris (C compartment), the company rigorously applies the ten principles laid out by the UN Global Compact and is eligible to the FCPI investment funds and to the French PEA-PME savings plan. Dalenys website: www.dalenys.com

(*) Run rate: volume of sales received during the final month extrapolated over the entire year.


Investor Relations / Press Relations
Mathieu Calleux, +33 (0) 153 653 791


Investor Relations / Press Relations
Mathieu Calleux, +33 (0) 153 653 791