Last checked at 27 May 2021 07:00
27 May 2021
XLMedia PLC
("XLMedia" or the "Company")
AGM Statement
XLMedia (AIM: XLM), a global digital performance publisher, provides an update ahead of its Annual General Meeting ("AGM") at 10.00am today. As noted in the Company's Notice of AGM announcement, shareholders must not attend the meeting in person.
At the meeting, Stuart Simms, Chief Executive Officer of XLMedia, will make the following statement:
"We have made a solid start to 2021, supported by a good performance in the Personal Finance and European Sport verticals. This, alongside our recent acquisitions in US Sports vertical, continues to partially offset the ongoing weakness across our European Casino assets.
"The integration of our US Sports assets is progressing well and is expected to add materially to the Group revenue for the current financial year and beyond. However, and as previously disclosed, we expect revenues in the Casino vertical to decline further in 2021 and will continue to adjust our cost base accordingly as we further stabilise this vertical in the medium term. We expect this decline to be partially offset by the improving performance of both European Sport and North American Personal Finance.
"Given the robust performance and the increased revenue visibility of the business so far this year, the Group currently expects to deliver revenue for full year 2021 of between $65 million and $70 million.
"As outlined in our 2020 full year results published in April, we continue to invest in the ongoing transformation of the business, including the systems and technology that underpin performance, to build an infrastructure platform which will support the anticipated growth in future years. This investment, and the additional operating costs associated with the recent acquisitions, will hold back profit progression in the current year.
"In the medium term, the Company expects to deliver year-on-year profitable revenue growth and to leverage the infrastructure investment to reduce ongoing operating costs, leading to a gradual return to the operating margin levels last experienced in 2019."
The information contained within this announcement (the "Announcement") is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulation (EU) No. 596/2014. Upon the publication of this Announcement via a Regulatory Information Service, this inside information is now considered to be in the public domain.
For further information, please contact:
XLMedia plc Stuart Simms, Chief Executive Officer Iain Balchin, Chief Financial Officer www.xlmedia.com
| ir@xlmedia.com |
Vigo Consulting Jeremy Garcia / Fiona Hetherington www.vigoconsulting.com
| Tel: 020 7390 0233 |
Cenkos Securities plc (Nomad and Joint Broker) Giles Balleny / Max Gould www.cenkos.com
| Tel: 020 7397 8900 |
Berenberg (Joint Broker) Mark Whitmore / James White / Tejas Padalkar www.berenberg.com | Tel: 020 3207 7800 |
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Notes:
XLMedia is a global performance publisher. Operating globally across a variety of verticals including online gaming, personal finance and sports, the Group uses proprietary data and advanced targeting capabilities to build valuable connections with consumers through high-quality content - a value which can be passed onto XLMedia customers.
Group strategy is rooted in two fundamental corporate objectives to evolve the XLMedia business, speed transformational progress and drive global growth:
· A balanced portfolio of online assets
o Proactively managing the portfolio to ensure exposure to a diverse range of attractive territories and vertical markets, with different stages in their lifecycle/maturity. XLMedia seeks to achieve this through realigning the weighting of assets and moving towards more regulated markets (the US) and verticals (Sports), with more data-driven, conscious business model selection. In doing so, the Group seeks to promote sustainable revenue growth for the business and its customers, alongside data-driven intelligence to inform investment cases.
· Branded, content-rich, engaging websites
o Cultivating premium publishing brands with a shared belief in quality. XLMedia seeks to achieve this through focused consolidation of its portfolio and resources to concentrate only on those publishing assets which are optimised for its chosen markets. In doing so, the Group seeks to deliver content-rich, consumer centric sites which promote tangible user value while benefiting and extending the capabilities of our customers.