XLMedia H1 profits double

Egaming performance marketing firm reports 103% YoY rise in EBITDA as revenues across all business areas soar

XLMedia this morning posted a 103% year-on-year rise in profits during H1 2015 after bolt-on acquisitions and strong growth in the company’s mobile business significantly boosted revenues in the period.

Revenues at the AIM-listed company soared 85% year-on-year to $37.8m (£24.3m) with its media business growing the fastest, up 160% to $17.5m (£11.3m), and now accounts for 48% of total revenues.

Publishing revenues grew 36% to $14.4m (£9.3m) and partner network revenues increased 94% to $4.9m (£3.2m).

As a result the egaming performance marketing firm reported EBITDA more than doubled from US$6.4m (£4.1m) in H1 2014 to $12.9m (£8.3m) during the six months ended 30 June 2015.

“During the first six months of the year we continued to develop the business and invest in our main technology and mobile capabilities, which further underpin our key performance and profit drivers,” Ory Weihs, XLMedia chief executive, said.

XLMedia completed a number of acquisitions during the period, including a majority stake in web and mobile marketing company Marmar Media in a deal worth up to $7.36m (£4.72m).

In May the company also acquired a series of mobile-facing websites which the company said at the time was required to ramp-up its presence on mobile following a rapid increase in traffic from the channel.

Weihs said the acquisitions had driven the company’s performance during the period. “We made significant progress with executing our strategic plan, with acquisition of performance marketing companies as well as bolt on publishing assets,” Weihs said.

“These acquisitions complement the Group’s existing business and add diversification through the addition of more clients, products, regions and marketing channels,” he added.