Correction: Quarterly Interim Statement 2024: Stable Results amid Continued Challenging Art Market Conditions

Correction:
Quarterly Interim Statement 2024: Stable Results amid Continued Challenging Art Market Conditions

New York/Berlin, September 3, 2024: Artnet AG, the leading online marketplace and information provider for the art market, today published its Quarterly Intermin Statement for the first quarter of 2024. Total revenue saw a decrease of 11% to EUR 5,322k EUR in the first quarter of 2024. This is relative to a significant overall art market decline of 29.5% in the first half of the 2024 financial year. Artnet was able to minimize the downward impact of a depressed art market, supported by stable results from its Marketplace and Data segments. Operating Income for the first quarter of 2024 was EUR –836k EUR. The negative overall result is primarily due to lower-than-expected performance in the Media segment in a challenging market environment. "Continued inflationary pressure as well as socio-economic instability is negatively impacting the entire art market. Additionally, the luxury goods market has suffered losses, negatively impacting advertising budgets of key customers.” said Jacob Pabst, CEO of Artnet, during the announcement of the figures. 

Stubborn inflation is still damaging consumer spending power and confidence in many areas. Several economies have experienced increased recessionary pressures, notably Germany. The difficult economic conditions in 2023 and through the first quarter of 2024 prompted consumers to allocate their money more conservatively, negatively affecting art market sales in terms of volume and value. Key democratic elections in 2024 are also causing market uncertainty. Management budgeted for and anticipated a slower market in the first half of the year, with the potential for improvements in the second half of 2024. Given the current market dynamics, economic conditions may only improve in 2025. 

Starting in the 2023 financial year, Artnet introduced a restructuring project focused on strategic cost-saving measures to help support the company’s financial stability. One of the cost-saving measures is the downgrade from the Prime Standard to the General Standard in Germany’s stock exchange. Although the General Standard still requires a high level of transparency in reporting, cost-savings will be realized as quarterly financial statements will no longer be required. Artnet will, however, continue publishing half year and annual reports, as well as conduct the Annual General Meeting for shareholders. 

Artnet adopted stringent ESG reporting standards in 2020, defining key areas of responsibility and setting specific goals. The 2023 annual report includes Artnet's voluntary ESG report for 2023. The group's strategy is based on a vision for a more sustainable art business, corporate responsibility, and social engagement. With its reporting on ESG initiatives, Artnet once again takes a leading role, continuing its commitment to driving positive change and promoting sustainable business practices.

The Quarterly Interim Statement for the first quarter 2024 is available here.

For more news and releases on investor relations, visit here.

About Artnet

Artnet has an unparalleled 60 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 17 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 290,000 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