Buongiorno SpA, a leading multinational entertainment and services for the mobile environment, has announced results for the third quarter of fiscal 2010. The company builds in the first nine months, sales of 190.2 million euros compared to 198.5 million last year, and revenues of EUR 63.2 million between July and September. Buongiorno has been a significant 51% increase in profit before tax, from 10.3 million euros to 15.7 million. In addition, the consolidated net profit reached 7.7 million euros in the period, exceeding the 7.1 million the first three quarters of 2009.

The 4% decline in revenue was primarily due to rationalization of the product portfolio of the company, which has resulted in the elimination of certain products which did not involve a significant contribution to company performance, especially related interactive television.

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The B2C and mobile CRM segment has shown strong performance over the first nine months of the year. Buongiorno has risen to over 12 million in 13 countries the number of customers to mobile content 1.0 and 2.0. Revenues stood at nearly 109 million euros, representing growth of 12%, confirming the expectations of growth projected for 2010. Brazil, Mexico, Russia, Africa and Germany are the countries or regions where the increase was more significant.

As to business (B2B services for operators, media and businesses), the growth of loyalty programs with operators, which Buongiorno has become the world leader in contrast to the reduction in sales for the elimination of various agreements with media. Overall, revenues declined by 20% through September compared to the same period in 2009. The third quarter also continued the path of the previous quarters with a gradual reduction of the interactive television business in some regions, mainly UK and International.

Moreover, it is remarkable growth has occurred in Italy, France, Australia and the United States, mainly due to a remarkable increase in the development of loyalty programs for prepaid customers on proprietary platform RAW (Recharge and Win). In 2010, agreements have been signed with the Belgian Proximus, with Telefonica O2 in Germany and Mobinil in Egypt, which complement the already managed to Telefonica O2 in England and Optus in Australia. You have reached a strategic alliance for outsourcing with Wind in Italy.

On the other hand, mobile marketing division B! Digital is confirmed as the most dynamic within the B2B business area of Buongiorno. The firm had revenues of 13.2 million euros, 32% more than in the first nine months of last year.

In area of new business, such as the launch of the digital platform gaming Wing, which currently only operates in Italy, although several additional countries are expected, and also plans to expand its offering to mobile arena. On the other hand, continues to develop HelloTxt, the personnel manager of Buongiorno social networks, which already has new applications for iPhone and Android phones, and whose application for iPad has been at the iTunes store as one of the first 10 category. Finally, Buongiorno has reached an agreement with CartaSi for the development of innovative mobile payment services.

“The third quarter ended positively, mainly due to the growth of B2C business and overall profitability of different lines of business,” said Fernando González Mesones, Global B2C Business Buongiorno. “We ended the year with consolidated revenues stable but slightly below our expectations at the beginning of the year, due mainly to the divestment program in interactive TV services in some regions, that has meant going from 50 million euros in 2009 about 20 million euros so far this year, to the signing of several contracts have been postponed and B2B will materialize in 2011, and the strength of the euro against the dollar and other currencies.

We anticipate a level of profitability in line with our expectations, creating a strong cash flow and mobile coupons, therefore, improved our net financial position. During the fourth quarter, we will continue with the pace of investment in new marketing campaigns, which, together with new initiatives (such as Wing and mobile payment services), support our growth and profitability in the medium term, “he adds.

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