Mobile marketing company Buongiono has published its Q3 financial results, reporting a decrease in profits as the company invested in new revenue streams. 

The companys pre-tax profit for the first nine months of the year was €4m (£3.4m), which represented a decrease of €11m compared to the same period in 2010. 

“The first nine months of this year have generated significant results, especially regarding M&A operations and accelerations of new revenue streams,” says Andrea Casalini, CEO of Buongiorno. “These results were achieved at the cost of additional expenditures and the sacrifice of profitability in the short-term. The reduction of the EBITDA and of net profit was, in this sense, planned, although it was accentuated by the slightly less positive performance of more traditional services in some geographies. However, we are overall satisfied and confident about future EBITDA growth.”

Buongiorno completed the acquisition of Dada.net in May 2011, with the impact on the groups accounts reflected in the books since June 2011. The company also spun off its B2B operation into a separate arm, although the company says the effects of this are not yet reflected in the books. 

Buongiornos consolidated value of production of the third quarter was €75.2m (€64.3m in Q3 2010), while the figure for the first nine months of 2011 was €199.8m (versus €192.8m during the first nine months of 2010). 

For the first nine months of the year, the Industrial Added Value (IAV), which is defined as total core business revenues less variable costs of sales and marketing, amounted to €89.4m, increasing from €88m in the same period of last year.

In terms of overall revenue, the company grew to €1.96m – an increase of 3 per cent over the same period last year.