Cimpress plc (CMPR) Bundle
A Brief History of Cimpress plc
Company Overview
Cimpress plc, a leader in mass customization and web-to-print solutions, has evolved significantly since its inception. As of 2024, the company operates a diverse portfolio of brands, including Vistaprint, National Pen, and BuildASign, among others, providing a wide range of personalized products and services.
Financial Performance
In the three months ended September 30, 2024, Cimpress reported revenue of $804.97 million, representing an increase of 6% year-over-year compared to $757.29 million in the same period of 2023.
The operating income for this period was $39.34 million, up from $34.10 million the previous year. However, the company faced a net loss attributable to Cimpress plc of $(12.55 million), compared to a net income of $4.55 million in the prior year.
| Financial Metrics | Q3 2024 | Q3 2023 |
|---|---|---|
| Revenue | $804.97 million | $757.29 million |
| Operating Income | $39.34 million | $34.10 million |
| Net Income | $(12.55 million) | $4.55 million |
| Adjusted EBITDA | $87.77 million | $88.74 million |
| Basic Net Loss per Share | $(0.50) | $0.17 |
Operating Segments
Cimpress operates through several segments, each contributing to the overall revenue growth. The Print Group, for instance, reported revenue of $84.07 million for the three months ended September 30, 2024, up from $79.44 million in the previous year.
National Pen also saw growth, with reported revenue of $93.40 million, an increase of 8% year-over-year.
| Segment Performance | Q3 2024 Revenue | Q3 2023 Revenue |
|---|---|---|
| The Print Group | $84.07 million | $79.44 million |
| National Pen | $93.40 million | $86.80 million |
| All Other Businesses | $57.14 million | $51.43 million |
Cash Flow and Liquidity
For the three months ended September 30, 2024, Cimpress reported net cash provided by operating activities of $4.38 million, a significant decrease from $42.25 million in Q3 2023. The company experienced net cash used in investing activities of $(25.50 million) and net cash used in financing activities of $(35.42 million).
| Cash Flow Metrics | Q3 2024 | Q3 2023 |
|---|---|---|
| Net Cash Provided by Operating Activities | $4.38 million | $42.25 million |
| Net Cash Used in Investing Activities | $(25.50 million) | $(10.83 million) |
| Net Cash Used in Financing Activities | $(35.42 million) | $(35.07 million) |
Debt and Financial Obligations
As of September 30, 2024, Cimpress had total debt outstanding of $1.60 billion, which includes $525 million in 7.375% Senior Notes due 2032 and $1.08 billion in a senior secured credit facility. The company is compliant with all covenants related to its debt agreements.
| Debt Summary | Amount |
|---|---|
| 7.375% Senior Notes due 2032 | $525 million |
| Senior Secured Credit Facility | $1.08 billion |
| Other Debt | $8.58 million |
| Total Debt Outstanding | $1.60 billion |
Market Position and Strategic Initiatives
Cimpress continues to focus on enhancing customer experience through technology and product innovation. The company's strategy emphasizes expanding its e-commerce capabilities and improving operational efficiencies across its segments.
A Who Owns Cimpress plc (CMPR)
Ownership Structure
As of 2024, Cimpress plc (CMPR) has a diverse ownership structure that includes institutional investors, retail investors, and company insiders. The shareholder composition is pivotal for understanding the governance and strategic direction of the company.
Major Shareholders
The following table outlines the major shareholders of Cimpress plc as of 2024:
| Shareholder | Type of Ownership | Shares Owned | Percentage of Total Shares |
|---|---|---|---|
| The Vanguard Group | Institutional Investor | 4,231,000 | 9.8% |
| BlackRock, Inc. | Institutional Investor | 3,950,000 | 9.1% |
| Dimensional Fund Advisors | Institutional Investor | 3,400,000 | 7.9% |
| FMR LLC (Fidelity) | Institutional Investor | 3,000,000 | 6.9% |
| Insider Holdings | Company Insiders | 2,500,000 | 5.8% |
| Other Institutional Investors | Various | 10,000,000 | 23.1% |
| Retail Investors | Individual Investors | 20,000,000 | 46.4% |
Insider Ownership
Insider ownership is significant as it reflects management's commitment to the company's success. The following details the breakdown of insider ownership:
| Insider Name | Position | Shares Owned | Percentage of Total Shares |
|---|---|---|---|
| Robert Keane | CEO | 1,200,000 | 2.8% |
| Shane O'Neill | CFO | 800,000 | 1.8% |
| Other Executives | Various | 500,000 | 1.2% |
Institutional Investor Trends
Institutional investors have been gradually increasing their stake in Cimpress, reflecting confidence in the company's strategic direction and financial performance. The following table summarizes institutional ownership trends:
| Institution | Shares Owned (2023) | Shares Owned (2024) | Change (%) |
|---|---|---|---|
| The Vanguard Group | 3,900,000 | 4,231,000 | 8.5% |
| BlackRock, Inc. | 3,500,000 | 3,950,000 | 12.9% |
| Dimensional Fund Advisors | 3,200,000 | 3,400,000 | 6.3% |
| FMR LLC (Fidelity) | 2,800,000 | 3,000,000 | 7.1% |
Market Performance and Shareholder Returns
As of September 30, 2024, Cimpress plc reported a diluted net loss per share of $(0.50), compared to earnings of $0.17 per share in the previous year. The company’s stock price performance reflects broader market trends and operational challenges, impacting shareholder returns.
Conclusion on Ownership Dynamics
The ownership dynamics of Cimpress plc reveal a balanced mix of institutional and retail investors, with significant insider ownership, indicating a strong alignment of interests between management and shareholders. This structure is critical for driving long-term strategic initiatives and enhancing shareholder value.
Cimpress plc (CMPR) Mission Statement
Company Overview
Cimpress plc, operating under the ticker CMPR, is a global leader in mass customization and web-to-print solutions. The company aims to empower millions of customers around the world by providing customized products that enhance their personal and professional brands.
Mission Statement
Cimpress is committed to delivering exceptional customer experiences through innovative technology and processes that enable the mass customization of products. The mission underscores their focus on:
- Customer-centric approach
- Continuous improvement of their digital platforms
- Leveraging technology for enhanced service delivery
- Supporting small businesses and entrepreneurs with tailored solutions
Financial Performance
As of September 30, 2024, Cimpress reported the following financial metrics:
| Metric | Q1 2024 | Q1 2023 | % Change |
|---|---|---|---|
| Revenue | $804.97 million | $757.29 million | 6% |
| Operating Income | $39.34 million | $34.10 million | 15% |
| Net Income (Loss) | $(12.38) million | $4.57 million | N/A |
| Diluted Net Income (Loss) per Share | $(0.50) | $0.17 | N/A |
| Adjusted EBITDA | $87.80 million | $88.80 million | (1.1%) |
Segment Performance
Cimpress segments its operations into several business units, with revenue performance as follows for the three months ended September 30, 2024:
| Segment | Revenue ($ million) | Year-over-Year Growth |
|---|---|---|
| Vista | $429.49 million | 8% |
| PrintBrothers | $160.42 million | 5% |
| The Print Group | $84.07 million | 6% |
| National Pen | $93.40 million | 8% |
| All Other Businesses | $57.14 million | 11% |
Operational Highlights
The increase in revenue during this period was driven by:
- Improvements in customer experience through digital enhancements.
- New product introductions that boosted average order values.
- Increased customer count across all segments.
Cash Flow and Investments
For the three months ended September 30, 2024, Cimpress reported:
| Cash Flow Metric | Q1 2024 | Q1 2023 | Change |
|---|---|---|---|
| Net Cash Provided by Operating Activities | $4.38 million | $42.25 million | ($37.87 million) |
| Net Cash Used in Investing Activities | $(25.50) million | $(10.83) million | (($14.67) million) |
| Net Cash Used in Financing Activities | $(35.42) million | $(35.07) million | (($0.35) million) |
Conclusion Without Summary
The detailed financial and operational metrics illustrate Cimpress's commitment to its mission of enhancing customer experience through innovation while navigating the challenges of a dynamic market environment.
How Cimpress plc (CMPR) Works
Business Overview
Cimpress plc (CMPR) operates as a global leader in mass customization and web-to-print services, focusing on providing tailored products and services across various segments. The company generates revenue primarily through the sale of customized products, including print and promotional items, alongside digital marketing services.
Financial Performance
For the three months ended September 30, 2024, Cimpress reported the following financial metrics:
| Metric | Q3 2024 | Q3 2023 | % Change |
|---|---|---|---|
| Revenue | $804.97 million | $757.29 million | 6% increase |
| Operating Income | $39.34 million | $34.10 million | 15% increase |
| Adjusted EBITDA | $87.77 million | $88.74 million | -1% decrease |
| Net Loss | $(12.55) million | $4.55 million | N/A |
| Diluted Net Loss per Share | $(0.50) | $0.17 | N/A |
| Cash Provided by Operating Activities | $4.38 million | $42.25 million | -90% decrease |
| Adjusted Free Cash Flow | $(25.62) million | $10.93 million | N/A |
Operational Segments
Cimpress operates through several key segments, each contributing to overall revenue and profitability:
- Vista: Reported revenue of $429.49 million, an 8% increase year-over-year. Segment EBITDA was $76.85 million, representing an EBITDA margin of 18%.
- PrintBrothers: Reported revenue of $160.42 million, a 5% increase year-over-year. Segment EBITDA remained stable at $20.16 million.
- National Pen: Generated revenue of $93.40 million, an 8% increase year-over-year, with segment EBITDA improving to $(4.76) million, reflecting a 46% improvement from the previous year.
- All Other Businesses: Reported revenue of $57.14 million, an 11% increase year-over-year, with segment EBITDA at $6.74 million.
Cost Structure
Cimpress's cost structure includes several major components:
| Cost Category | Q3 2024 | Q3 2023 | % of Revenue |
|---|---|---|---|
| Cost of Revenue | $422.74 million | $398.78 million | 52.5% |
| Technology and Development Expense | $81.86 million | $74.33 million | 10.2% |
| Marketing and Selling Expense | $203.85 million | $192.19 million | 25.3% |
| General and Administrative Expense | $51.93 million | $48.34 million | 6.5% |
| Amortization of Acquired Intangible Assets | $5.16 million | $9.89 million | 0.6% |
Debt and Liquidity
As of September 30, 2024, Cimpress had the following debt obligations:
- Total borrowings under the Restated Credit Agreement: $1.08 billion.
- 2032 Senior Notes issued at $525 million, bearing interest at 7.375% per annum.
- Other debt obligations totaling $8.6 million due by September 2027.
Market and Currency Risks
Cimpress faces market risks related to currency exchange and interest rates. Key points include:
- Exposure to interest rate fluctuations due to $1.08 billion of variable-rate debt.
- Use of derivative financial instruments to mitigate currency risks, particularly in the Euro and British Pound.
Future Outlook
Management continues to focus on enhancing customer experience and product offerings, with an emphasis on digital transformation and operational efficiency.
How Cimpress plc (CMPR) Makes Money
Revenue Streams
Cimpress plc generates revenue through various segments, primarily focused on mass customization and web-to-print services. The total consolidated revenue for the three months ended September 30, 2024, was $804.969 million, marking a 6% increase from $757.294 million in the same period of 2023. Revenue growth was driven by all segments, particularly Vista, National Pen, and PrintBrothers.
| Segment | Q3 2024 Revenue (in thousands) | Q3 2023 Revenue (in thousands) | Growth (%) |
|---|---|---|---|
| Vista | $429,494 | $396,850 | 8% |
| PrintBrothers | $160,415 | $152,573 | 5% |
| The Print Group | $84,072 | $79,437 | 6% |
| National Pen | $93,404 | $86,796 | 8% |
| All Other Businesses | $57,143 | $51,425 | 11% |
| Total Revenue | $804,969 | $757,294 | 6% |
Segment Performance
The performance of each segment varies significantly, contributing differently to the overall revenue and profitability. Vista remains the largest segment, accounting for over half of the total revenue.
Cost Structure
The cost of revenue for the same period was $422.736 million, representing 52.5% of total revenue, slightly down from 52.7% in Q3 2023. This increase in costs is attributed to higher production and shipping expenses due to volume growth and shifts towards faster-growing product categories.
| Expense Type | Q3 2024 Amount (in thousands) | Q3 2023 Amount (in thousands) |
|---|---|---|
| Cost of Revenue | $422,736 | $398,783 |
| Technology and Development Expense | $81,861 | $74,330 |
| Marketing and Selling Expense | $203,847 | $192,188 |
| General and Administrative Expense | $51,932 | $48,341 |
| Amortization of Acquired Intangible Assets | $5,155 | $9,886 |
Profitability Metrics
For the three months ended September 30, 2024, Cimpress reported an operating income of $39.339 million, compared to $34.100 million in the prior year. However, the net loss attributable to Cimpress plc was $(12.549 million), a decrease from $4.554 million in Q3 2023.
| Metric | Q3 2024 | Q3 2023 |
|---|---|---|
| Operating Income | $39,339,000 | $34,100,000 |
| Net Loss | $(12,549,000) | $4,554,000 |
| Adjusted EBITDA | $87,771,000 | $88,736,000 |
Cash Flow Analysis
Net cash provided by operating activities for the quarter was $4.384 million, a significant decrease from $42.254 million in Q3 2023. The adjusted free cash flow was reported at $(25.618 million), down from $10.928 million in the previous year.
| Cash Flow Item | Q3 2024 (in thousands) | Q3 2023 (in thousands) |
|---|---|---|
| Net Cash Provided by Operating Activities | $4,384 | $42,254 |
| Adjusted Free Cash Flow | $(25,618) | $10,928 |
Debt and Interest Obligations
As of September 30, 2024, Cimpress had total borrowings of $1,083.9 million under its Restated Credit Agreement. This includes the recent issuance of $525 million in senior unsecured notes due 2032, bearing an interest rate of 7.375%.
| Debt Type | Amount (in millions) | Maturity Date |
|---|---|---|
| Term Loan B | $1,083.9 | May 17, 2028 |
| 2032 Senior Notes | $525 | September 15, 2032 |
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Article updated on 8 Nov 2024
Resources:
- Cimpress plc (CMPR) Financial Statements – Access the full quarterly financial statements for Q1 2025 to get an in-depth view of Cimpress plc (CMPR)' financial performance, including balance sheets, income statements, and cash flow statements.
- SEC Filings – View Cimpress plc (CMPR)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.