Monday, May 17, 2021
Harte-Hanks Inc. (HRTH)
A Good Start To A Promising Year
Harte-Hanks is a marketing services company that provides multichannel marketing solutions as well as consulting, data analytics, and strategic assessment. The company’s offerings focus on business-to-business, retail, finance, and automotive segments through digital, social, mobile, and print media offerings. Harte-Hanks strives to develop better customer relationships through its marketing and analytical services for clients. The majority of its revenue is derived from its marketing services in the retail, technology, and consumer brand segments.
Michael Kupinski, Director of Research, Noble Capital Markets, Inc.
Refer to the full report for the price target, fundamental analysis, and rating.
Overachieves Q1 expectations. Total company revenues increased 8% to 43.75 million, 6.5% above our $41.10 million estimate. The revenue growth was the first time since 2014! The company’s Customer Care segment accounted for the largest upside variance (+10.4%), but each segment was better than our estimate. Adjusted EBITDA was significantly better than expected, $2.23 million versus our $600,000 estimate.
Draws a line in the sand. Management indicated that it believes that the base revenues for the company is $40 million per quarter. The favorable revenue outlook reflects continued strength in its Customer Care business into the second quarter and improving revenue trends in its Marketing and Fulfillment & Logistics Services segments. We are raising our full year 2021 revenue estimate from $166.4 …
This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).
*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision.
