The information contained within
this announcement is deemed to constitute inside information as
stipulated under the retained EU law version of the Market Abuse
Regulation (EU) No. 596/2014 (the "UK MAR") which is part
of UK law by virtue of the European Union (Withdrawal)
Act 2018. The information is disclosed in accordance with the
Company's obligations under Article 17 of the UK MAR.
Upon the publication of this announcement, this inside information
is now considered to be in the public domain.
8 February 2024
XLMedia plc
("XLMedia" or the "Group" or the "Company")
FY 23 Trading
Update
XLMedia (AIM: XLM), a leading global
digital media company, provides the following trading update ahead
of the publication of its results for the twelve months to 31
December 2023 ("FY 23" or the "Period").
The Group expects to deliver revenue
and Adjusted EBITDA results in line with market expectations, with
FY 23 revenues expected to be c.$50m and FY 23 Adjusted EBITDA*of
c.$12m.
As at 31 December 2023 the Group had
cash at bank of $4.8m. The reduction in cash in the Period reflects
deferred acquisition payments, media partner minimum guarantee
payments and other exceptional costs.
During the Period, the Group saw the
return to growth of its premium European assets (Nettikasinot,
WhichBingo and Freebets.com), and also made further progress in
replacing legacy technology and implementing further cost reduction
measures.
Following a strong start to the year
in the US with the launch of online sports betting in Ohio, there
were significant changes in operator customer acquisition activity
including the withdrawal of the Barstool Sportsbook betting brand,
and the launch of ESPN BET in mid-November. Following the
substantial spike in revenues in early 2022 driven by the launch of
online sports betting in New York, revenues in FY 23 reflect the
reduced scale of state launches in the period.
Current Trading and Outlook
2024 will see the launch of online
sport betting in the state of North Carolina in mid March. North
Carolina is expected to be a material market for sports betting,
and XLMedia remains well placed for the launch with both owned and
media partner brands. Further state launches are not currently
planned during 2024, but following the US election and into 2025 we
expect to see an acceleration in the legalisation of online sports
betting in the remaining 20 unregulated US states, with five
currently in active ballot initiatives.
2024 will be a year of consolidation
for XLMedia. XLMedia will continue to focus on growing its premium
European brands and maximising existing opportunities in the US.
The Group will look to deliver additional savings to right size the
business in preparation for further market growth in
2025.
Notice of Results
The Group will report results for FY
23 in early April 2024, at which time management will provide
insight into the Group's performance for 2023 and plans for 2024.
The Company will issue a Notice of Results, including details of a
webcast for shareholders, nearer the time.
* Adjusted
EBITDA is defined as the operating profit after adding back
depreciation, amortisation, impairment, share based payments,
exceptional minimum guarantee cost, restructuring costs and aborted
deal related costs.
For
further information, please contact:
|
XLMedia plc
David King, Chief Executive
Officer
www.xlmedia.com
|
ir@xlmedia.com
via Vigo Consulting
|
|
Vigo
Consulting
Jeremy Garcia / Fiona Hetherington /
Kendall Hill
www.vigoconsulting.com
|
Tel: 020 7390 0233
|
|
Cavendish Capital Markets Limited (Nomad and
Broker)
Giles Balleny / Callum
Davidson
www.cavendish.com
|
Tel: 020 7220 0500
|
About XLMedia
XLMedia (AIM: XLM) is a leading
global digital media company that creates compelling content for
highly engaged audiences and connects them to relevant
advertisers.
The Group manages a portfolio of
premium brands with a primary emphasis on Sports and Gaming in
regulated markets. XLMedia brands are designed to reach passionate
people with the right content at the right time.