artnet AG
artnet AG: Artnet Shareholder Meeting highlights Robust Results and Innovation

Artnet Shareholder Meeting Highlights Robust Results and Innovation

• Revenue increases in 2021 and the first half of 2022
• Cautious outlook in view of the war in Ukraine and the clouding of the global economic situation
• Relaunch of the price database in the second half of the year will consolidate artnet’s top position as the leading online address for the art market
• Pascal Decker confirmed as Chairman of the Supervisory Board, Michaela Diener and Hans Neuendorf re-elected to the Supervisory Board

New York/ Berlin, August 26, 2022: Artnet AG, a public limited company listed in the Prime Standard of the Frankfurt Stock Exchange, was able to expand its position as a leading trading platform for the art market in the past fiscal year 2021 and in the first half of 2022.

Artnet’s CEO Jacob Pabst expressed his satisfaction with the company’s business performance, as revenue increased 14% in 2021 and 8% in the first half of 2022.

Pabst continued that,“Our goal for the months and years ahead is clear: We aim to further expand Artnet’s market leadership as the world’s largest and most important platform for fine art, with more than 55 million users per year. We’re driving innovation with a whole range of investments. We will continue to ensure that the unique synergies between our Data, Media , and Marketplace segments will broaden the art market and make transactions and information even more accessible in the future.” At the same time, during the presentation of the 2022 half-year figures, Pabst warned that the deterioration of the global economic situation in the second half of the year could also have an impact on the art market. Other topics discussed at today’s AGM included: the presentation of the positive results of the external review on the correctness of the company’s management in the past years, and the election of the future members of the Supervisory Board. The event was held virtually in view of the restrictions imposed by the Covid-19 pandemic.

Robust results in 2021 and the first half of 2022: The company’s revenues totaled $24.6 million in 2021, which represents a 14% increase in revenue. As Pabst detailed, during the 2021 financial year, Artnet saw increases in all of the company’s business units. In the first half of 2022, the company’s revenue increased 8% to $12.9 million compared to the same period last year.

Data: Update with new content and new features in the second half of the year: The Data segment peaked at more than 15 million auction results in 2021. Revenue in this segment grew 4% to $7.7 million in 2021. In the first half of 2022, however, data segment revenue declined 2% YoY to $3.8 million. However, the company is soon rolling out its mobile-first optimized Price Database. “In the second half of the year, a new and improved Price Database will be revealed, featuring new content including in-depth data analysis and AI, the whole thing mobile first,” says Pabst.

Marketplace: Growth 2021, tense overall economic situation 2022: In the Marketplace segment, Artnet increased revenues to $10.3 million in fiscal year 2021 (+6% compared to 2020). In the first half of 2022, the tense overall economic situation had a negative impact on the Marketplace segment. Revenues were $4.9 million, down 13% from the same period in 2021, as Jacob Pabst explained, “There are solid growth drivers such as prints & multiples and photography. However, Contemporary Art sales, failed to meet expected growth targets, at Artnet as well as the art market overall.”

Media: Growth and return of the luxury segment The Media segment reported a 48% year-on-year increase in revenue to $6.7 million in 2021. The number of pageviews increased to a total of 210 million. “Deep customer loyalty and strong brand positioning are driving very positive momentum in our Media segment,” Pabst reported. Due to continued demand from advertisers and in particular the return of the luxury segment, Artnet’s Media segment achieved growth of 72% to $4.2 million in the first half of 2022.

Pascal Decker confirmed as Chairman of the Supervisory Board, Michaela Diener and Hans Neuendorf re-elected to the Supervisory Board: In the election to the Supervisory Board, the Company is pleased to report that the existing members were confirmed again. Thus, Dr. Pascal Decker remains Chairman of the Supervisory Board of Artnet AG, as well as Prof. Dr. Michaela Diener, and Artnet’s founder Hans Neuendorf. Thus, the voting shareholders expressed their confidence in the members of the Supervisory Board and decided to continue the strategic growth direction of the company. Following the election, Decker said: “My sincere thanks go to the shareholders. I regard the broad support for my re-election as a strong vote of confidence. Together, Prof. Dr. Michaela Diener, Hans Neuendorf and I are now looking ahead. Together with the Management Board, we as the Supervisory Board will consistently expand Artnet’s leading market position.” Jacob Pabst, CEO, thanked the members of the Supervisory Board for their willingness to once again assume this important control function for Artnet.

Results of the special audit are available At the Annual General Meeting: the company also presented the results of the external review of the correctness of its business management in the past years, which the company announced at the last Annual General Meeting in December 2021. The external auditor came to the following conclusions:

• According to the auditor, the salary of CEO Jacob Pabst is within a normal range for the size of the company and the experience of the executive. It is “appropriate”.
• Although the advisory fee for Galerie Neuendorf is considered high by the auditor, the auditor states, “Of course, the consultant, Hans Neuendorf, is of considerable value to the company he is advising because of his wealth of experience and contacts.”
• The salaries of Albert Neuendorf (Chief Strategy Officer) and Sophie Neuendorf (VP Investor Relations) are in line with their responsibilities and experience.
• Henri Neuendorf is no longer employed by Artnet AG and his salary during his employment with Artnet was in line with his experience and activities.

Editorial note

All key company figures can be found at: http://www.artnet.com/investor-relations/

About Artnet

Artnet has an unparalleled 55 million users annually, making it the largest global platform for fine art. Founded in 1989, Artnet has revolutionized the way people discover, research, and collect art today. Artnet’s Data provides mission-critical resources for the art industry, encompassing more than 15 million auction results and AI- and ML-driven analytics, further driving transparency and insight into the art market. Artnet’s marketplace connects leading galleries and auction houses with its global audience, offering a curated selection of over 250,000 artworks for sale worldwide. Artnet Auctions, the pioneering online-only auction platform, offers unprecedented reach, liquidity, and efficiency for buyers and sellers. Artnet News covers the events, trends, and people shaping the global art market with up-to-the-minute analysis and expert commentary. It is the single most-read news publication in the fine art industry, with a rapidly growing, dedicated audience. Together, Artnet’s broad synergistic product offering provides a comprehensive ecosystem that drives and informs the modern art market.

Artnet AG is listed in the Prime Standard of the Frankfurt Stock Exchange, the segment with the highest transparency standards. The majority of operations are headquartered in New York at its  wholly-owned subsidiary, Artnet Worldwide Corporation, a New York based entity founded in 1989. Artnet Worldwide Corp. owns a London based subsidiary, Artnet UK Ltd.

ISIN: DE000A1K0375

LEI: 391200SHGPEDTRIC0X31

Contact:

Sophie Neuendorf

sneuendorf@artnet.com