LONDON (Alliance News) - Matomy Media Group Ltd said Thursday that it expects to post earnings and revenue below market expectations for 2015, and adjusted earnings before interest, tax, depreciation and amortisation in its first half below the previous year, due to stricter internal regulations imposed by media trading platforms.
The digital advertising firm expects to posted Ebitda, adjusted to strip out finance expenses, gains on re-measurement of fair value, losses from affiliated companies, non-recurring items and share-based payments, between USD26 million to USD28 million in 2015. It expects revenue of between USD275 million and USD285 million for the year.
Additionally, it expects adjusted Ebitda of around USD10 million for the half year to end-June, which would be down 21% from the USD12.6 million it posted in the previous period.
Matomy attributes the decline to "comprehensively stricter internal regulations imposed by various prominent media trading platforms, including a recent implementation by one of the leading media trading platforms of a new media verification and screening tool that resulted in an immediate decrease in the amount of digital media available for purchase."
It also saw weaker trading in its first quarter across the company, Matomy said.
However, Matomy said it remains confidence in future growth of the overall performance-based advertising sector, and its own strategy and operating model.
Shares in Matomy are trading down 18.6% at 140.10 pence Thursday morning, one of the worst performers in the London Main Market.
By Hana Stewart-Smith; hanassmith@alliancenews.com; @HanaSSAllNews
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