Classification of GBC AG to Aspermont Ltd.

Preliminary Figures: H2 2024 better than first half – Revenues returned to growth; Recurring Revenues are growing YoY

On October 14th, Aspermont published its Q4 and H2 2024 preliminary financial results. The main three highlights are as follow: the Company underlined that in H2 2024, their revenues returned to growth, their business returned to profitability and their cash reserves balanced with inward investment.

Aspermont has skillfully managed its cash reserves, balancing inward investment in its Data business with maintaining cash liquidity. As of the most recent quarter, the company holds $1.4 million in cash and cash equivalents, positioning it well to continue investing in growth initiatives and push products rollout.

The company stands at a pivotal moment in its 189-year history as the leading media services provider to the global resource industries. With a solid business model transformation over the past decade and a continued focus on subscriptions, data monetization, and content-as-a-service (CaaS), the company is well-positioned for substantial growth.

Aspermont has undergone a significant transformation over the past eight years, transitioning from a traditional media company to a highly scalable, digital-first B2B media provider. Central to its success has been the strategic shift toward a subscription-based revenue model, which now accounts for over 55% of its total revenue.

The company’s Content-as-a-Service (CaaS) model not only addresses information gaps in the mining, energy, and agriculture sectors but also unlocks new avenues for revenue by monetizing specialized content. This model allows Aspermont to provide tailored, gated content, including news, research, analysis, and data, to a growing global audience. The company’s emphasis on building high-recurring revenue from subscriptions has resulted in 33 consecutive quarters of growth, with impressive 17% compound annual growth in Average Revenue Per Unit (ARPU).

Aspermont is at an inflection point in its history. The strategic initiatives laid out over the past two years, including the shift toward data monetization and a stronger focus on high-value subscriptions, are beginning to bear fruit. With an established global presence, a highly scalable digital model, and a growing portfolio of data products, the company is well-positioned for sustainable growth in the coming years.

The next 3-5 years will be critical as Aspermont seeks to expand its market share, increase ARPU, and fully commercialize its Data division. We will closely monitor the execution of new product rollouts and the company’s ability to penetrate key geographic markets. With careful management of resources and continued innovation, Aspermont could become a dominant player not just in B2B media for resource sectors but also in global data and intelligence services.

Based on our DCF model, we maintain our price target to AUD 0.03 / 0.02 EUR per share and maintain a buy rating.