Pureprofile made this possible at scale via the internet in 2002, when it disrupted the telephone research industry and delivered a world leading internet driven technology solution.
We have now collected hundreds of millions of answers globally, and this number is growing daily. This proprietary data serves as a solid foundation and competitive advantage when used by our fast growing businesses in the market research and programmatic media industries.
Pureprofile was founded in 2000 by the company’s current CEO Paul Chan. Paul realised that personal profiles were key to turning mass marketing on its head and creating a meaningful, customised online experience for users. He saw a way for people to value their time and attention by volunteering their own data in exchange for tailored messages or paid responses via their personal media devices.
Built on proprietary technology that was first patented in 2003, Pureprofile has evolved into a global data, insights and programmatic media company.
Headquartered in Sydney, the company now employs over 170 people in seven regions around the world (Australia, NZ, UK, US, Greece, India and Poland). Pureprofile was listed on the ASX in July 2015.
Via web-based and mobile apps, Pureprofile gathers data from consenting consumers who are rewarded for sharing information about themselves, their purchasing decisions and intentions. These rewards are either financial or by way of privileged access to content and insights.
Pureprofile combines this valuable consumer data with programmatic advertising technology to give brands, marketers and publishers a significant competitive advantage through a far more strategic and targeted approach than traditional methods.
This model also better serves consumers, whose experience and engagement is greatly enhanced by receiving content and advertising that is highly relevant to them.
Pureprofile has two complementary and scalable business divisions: Data & Insights and Programmatic Media. In FY 2017 the company is pursuing a global growth strategy designed to build massive scale via its publishing partners while enhancing its consumer-driven media model.
Pureprofile intends to execute this strategy in three key ways: acquire, build and expand.
Following the end of FY 2016, and as announced on 22 September 2016, the company was pleased to advise that it had entered into an agreement to acquire Cohort Global, a leading digital marketing group with a business model that is highly complementary to Pureprofile’s. The company is confident that this acquisition, will deliver significant synergies, benefits and growth opportunities. (Further details about Cohort Global and this transaction are outlined in the CEO’s report).
Pureprofile maintains its ongoing strategy to build on its existing technology platform and develop new product offerings. A significantly enhanced version of the Pureprofile platform for businesses, which will allow engagement with a greater range of potential clients in a self service capacity, is expected to be launched progressively in FY 2017.
In addition, the Programmatic Media division recently launched a beta version of its Insights Dashboard for advertisers and agencies, which it is currently trialling with selected clients. This version, which provides clients with even deeper insights into their audience’s behaviours, is expected to be available to all clients in the coming months.
The company also maintains a focus on expansion through organic growth in Australasia and key international regions, in particular, North America and Europe. During FY 2016 Pureprofile expanded its geographic footprint by establishing and/or expanding operations in Melbourne, Auckland and New York, with all offices now contributing to revenue growth.
Pureprofile has been particularly encouraged by the number of new publishers the AdSparc business has acquired in the US in recent months. These relationships support the company’s overall expansion strategy in this market and other targeted regions.
The company is also pleased with its strong and ongoing relationship with News Corp Australia, and through this the potential to expand the partnership globally.
I was both humbled and honoured to be appointed as Chairman following Fred’s passing, and his valuable legacy will be remembered by all.
Financial year 2016, our first as a publicly listed company, has been a year of positive growth and progress for Pureprofile. We have fast tracked the integration of our acquisitions and are now seeing the benefits of a streamlined operation with two clearly defined business divisions.
Pureprofile’s strong pro forma revenue result for FY 2016 of $28.5 million was a solid increase on FY 2015 and exceeded the Prospectus forecast, reflecting the continuing growth trajectory that the business is now on.
New product developments and an exciting roadmap is winning new clients at an accelerating rate. Pureprofile secured more than 100 new clients in FY 2016 and increased spend with the majority of its largest clients.
The Sparc Media business was successfully integrated into the group with a focus on growing the core business units in Australia, New Zealand, the UK and the United States, all of which are high growth target markets for the company.
The addition and integration of Effective Measure, acquired by Pureprofile in February, will significantly scale up our operations and also brings a number of potential publisher alliances and business opportunities.
We maintain our focus on fast tracking the growth of the business through a combination of targeted and accretive acquisitions, organic and geographic expansion, and the development of new service offerings by leveraging our best-of-breed technology.
Pureprofile operates in two of the most exciting and dynamic sectors that are currently evolving – global market research and programmatic media. Having now been involved in these sectors for 16 years, we have a distinct first mover advantage, along with world beating technology.
The changing media landscape, with the growing trend for consumers to seek their news, information and entertainment online, while ‘owning’ and protecting their digital profiles, delivers Pureprofile an unprecedented opportunity – our time is now.
We recently made the announcement (22 September 2016) that Pureprofile had entered into an agreement to acquire 100% of Cohort Global, a leading digital marketing group providing lead generation solutions that operates with a highly complementary business model to our own. This transaction represents a huge milestone for the company, and will immediately deliver a significant increase in our scale, reach and global footprint.
Pureprofile enters FY 2017 well positioned for further growth across the business, and with a well -defined strategy to achieve this. The acquisition and integration of Cohort Global will certainly transform the company into a world leader in its field – this promises to be an exciting time for the company.
I thank my fellow board members for their support, and on their behalf I thank our entire team for their hard work and dedication. The board and management of Pureprofile are committed to driving growth and delivering value for you, our shareholder.
Andrew Edwards Non-Executive Chairman
29 September 2016, Sydney
The technology company that I founded in 2000 has evolved into a global leader in consumer insights and programmatic media. As a product driven company, we maintain a strong focus on the ongoing development and improvement of this proprietary technology in order to deliver on our exciting consumer vision.
Pureprofile delivered a solid pro forma revenue result of $28.5 million for FY 2016, representing an increase of 31% on the previous year and exceeding IPO Prospectus guidance by $0.4 million. Highlighting the company’s strong margins, gross profit for the year was $15.2 million while operating EBITDA was $2.6 million*, increases of 41% and 333% respectively on the previous year.
Revenue growth was solid across the business, with the Data & Insights division recording revenue of $11.1 million -an increase of 21% on FY 2015 ($9.2 million). Additionally, Programmatic Media revenue increased by 39% to $17.4 million (up from $12.5 million in FY 2015).
These results prove a highly successful integration of the Sparc Media business into the group following its acquisition in FY 2015. They also reflect the highly complementary nature of our two core offerings. We are confident that we can sustain this strong and ongoing revenue growth throughout FY 2017, while managing costs and improving overall profitability.
FY 2016 has been a significant year on many fronts for Pureprofile, with the integration of Sparc Media a key focus, leading to the development of the highly complementary business divisions in Data & Insights and Programmatic Media.
Our initial expansion into the US has delivered encouraging results, allowing Pureprofile to secure agreements with a number of high profile publishers for the fast growing AdSparc business division focused on delivering client publishers with higher yields through programmatic media. This has created a solid foundation for accelerated growth into the US and Europe.
Closer to home, our recently established operation in Auckland - made possible through our partnership with AA Smartfuel (One of New Zealand’s largest loyalty programs with 2.1 million members) - is showing promising growth. Similarly, the opening of our Melbourne office in May has already resulted in a number of new key client relationships and business opportunities. This will certainly help to underpin the growth in FY 2017 of our combined ANZ business.
Pureprofile’s relationship with News Corp Australia has strengthened over the past year, and we continue to work closely with them to assess ways in which we may broaden this alliance globally. This partnership has also been the defining publisher case study for our company. We look forward to exciting new opportunities with News Corp and other large alliance partners in FY 2017.
The integration of the ANZ business assets of Effective Measure, acquired in February 2016, has been highly successful. We have accelerated our big data capabilities with this proven technology that is capturing approximately 38 million device profiles per month in the ANZ region. The company can monetise this data by enhancing it with our proprietary data and technology, allowing exciting new targeting capabilities to support our Data & Insights and Programmatic Media businesses.
A large part of our growth has come from securing over 100 new clients during FY 2016, while also witnessing increased spend from a number of existing clients, both of which illustrate the strong growth and momentum that we are now achieving.
We intend to scale our business aggressively via our proprietary technology platform, while continuing to improve and enhance the way in which we interact with consumers to collect the highest quality data of its kind. We believe we are achieving true competitive advantages and the large number of new client wins is real validation.
As noted above, on 22 September 2016 the company announced that it had executed an agreement to acquire Cohort Global, a leading digital marketing group that delivers millions of leads to large brands via innovative consumer interactions. This is a highly complementary business and will in fact become a new major source of Pureprofile Account Holders. It will also enable further monetisation at little cost to either business. The acquisition of Cohort Global will be completed by way of a capital raising to institutional investors under a share placement and a share purchase plan, which will be open to existing Pureprofile shareholders.
This accretive acquisition will not only bring obvious synergies and benefits to both businesses, it will immediately deliver Pureprofile significantly greater scale and numerous opportunities through an enlarged and diverse global client base. This transaction delivers another significant growing revenue stream and is a solid leap for Pureprofile towards its strategic vision.
Pureprofile maintains a sharp focus on investing in its growth strategies, throughout FY 2017 and beyond. Through our proprietary technology and well-defined product offerings, we have created a solid platform for further growth and development.
The integration of Pureprofile and Cohort Global will give us an unprecedented opportunity to become a world leading Data & Insights and Programmatic Media company, with unrivalled reach and unique product offerings.
As we look to the future, I take this opportunity to acknowledge the contribution of Fredrick Swaab, our former Chairman Fred became one of my dearest friends and sadly passed away in February this year. Fred was there from the beginning, helping me navigate what seemed like insurmountable odds, was always available and never stopped believing. I cannot thank him enough and I truly miss his friendship and wisdom.
I would like to warmly welcome and thank our current Chairman Andrew Edwards, who stepped into this role following Fred’s passing. Andrew’s leadership and wisdom have been invaluable as the company has continued to accelerate into its rapid growth trajectory. Andrew has also been a great supporter and contributor to Pureprofile from the beginning, introducing us to Australia Post who was a critical founding alliance.
I look forward to providing further updates as we enter this exciting new chapter in the company’s history, and it remains to thank you, our shareholders, for your ongoing loyalty and support.
Paul Chan Managing Director & Chief Executive Officer
29 September 2016 Sydney
Andrew has more than 30 years of marketing experience behind him and until recently was the Chairman and CEO of internationally-renowned advertising and marketing agency Leo Burnett Group UK and President of Leo Burnett Central Europe, having held several senior roles within the company since joining in 2003.
Prior to his roles for Leo Burnett, Andrew ran Australia’s most-awarded direct marketing company, Cartwright Williams.
Andrew now focusses his time on his expanding portfolio of business interests.
Paul founded Pureprofile in 2000, after coming up with the idea for the business while working on a startup in Sydney, LA and Silicon Valley during the dotcom boom of the late 90s. His vision was to provide a service to allow consumers to create, enrich and monetise their own unique profiles.
Paul set up his first business – a real estate company – when he was 22, and has held the position of Managing Director and CEO of Pureprofile since its inception. He has extensive expertise in developing the Pureprofile suite of online applications, including user experience, database and profile architectures.
Geoff was appointed as CFO in September 2014 and oversees all aspects of Pureprofile’s financial operations, including working capital, capital expenditures, debt levels, taxes, budgets and general accounting. In addition, Geoff also leads the Group's M&A strategy and deliverables.
During his career, Geoff has managed an extensive list of M&A transactions across Asia-Pacific, the US and UK. He played an integral role in the initial public offer while CFO of Enero Group Limited (EGG) (Formerly Photon Group Limited) in 2004.
Cliff has spent more than 20 years working at digital companies leading innovation and change in the industry, both as an entrepreneur and senior executive. He is currently the Managing Director for LinkedIn South-East Asia, Australia and New Zealand.
Prior to joining LinkedIn, Cliff was the Managing Director of Yahoo! Australia and New Zealand, and previously the Founder and Managing Director of iTouch Australia and New Zealand, one of the largest mobile content and application service providers in Australia.
The details of the annual general meeting of Pureprofile Ltd. are:
Monday 31 October 2016 at 11am at:
Level 12, 225 George Street
Tel: +61 2 9333 9700
Level 1, 35 Reservoir Street
Tel: +61 2 9333 9700
Level 1, 35 Reservoir Street
Tel: +61 2 9333 9700
Boardroom Pty Limited
Level 12, 255 George Street
Tel: +61 2 9290 9600
Pitcher Partners Sydney
Level 22, MLC Centre
19 Martin place
Sydney, NSW 2000
Tel: +61 2 9221 2099
Pureprofile Ltd. shares are listed on the Australian Securities Exchange (ASX code: PPL)
Pureprofile Ltd. has used cash and cash equivalents held at the time of listing, in a way consistent with its stated business objectives.
StatementThe Corporate Governance Statement was approved by the Board of Directors at the same time as the Annual Report and can be found on the Investor Relations page at www.businesses.pureprofile.com