LBG Media (LBG) Trading update summary

Trading performance and revenue growth

• First half revenue reached £42.3m, up 55% year-on-year, with organic growth at 29%.

• Direct revenue rose 92% to £22.0m, driven by strong UK and US performance and successful UEFA Euro 2024 campaigns.

• Indirect revenue increased 28% to £19.7m, with web indirect accelerating and enhancing revenue diversification.

• Adjusted EBITDA expected at £10.2m, a 240% increase, supported by operational leverage and the Betches acquisition.

• Global audience expanded to 493m, up from 410m a year ago.

Strategic developments and outlook

• Betches contributed £7.1m revenue and £1.5m adjusted EBITDA, with integration progressing well.

• Cash and cash equivalents stood at £26.6m at period end.

• UEFA Euro 2024 campaigns boosted H1 revenue, reducing typical H2 advertising revenue weighting.

• New Facebook commercial model caused short-term volatility in indirect social revenue, but confidence remains in long-term strategy.

• Board expects full-year performance in line with market expectations of £86.0m revenue and £23.5m adjusted EBITDA.

Operational and reporting changes

• Changed accounting reference date and financial year end from 31 December to 30 September.

• New reporting calendar aims to improve business planning and transparency for stakeholders.

• Future accounts will be published for six months ending 31 March and twelve months ending 30 September.

• Expanded proforma disclosures planned for future statements to enhance clarity on comparative periods.

• Next half year results to be announced on 18 September 2024.