17 May 2016 07:00
Crossrider plc
("Crossrider" or the "Group")
Trading update
Crossrider (AIM:CROS), the creator of digital advertising platforms specialising in monetising web and mobile media through the use of big data, today provides the following update on current trading.
Since the last trading update on 15 March, announced with the Group's final results for FY15, structural changes in the markets in which Crossrider operates have negatively impacted on the outlook for future trading. Mobile revenue growth rates have declined significantly, particularly within mobile subscription campaigns which have been negatively impacted by increased regulation in certain countries.
In addition, as previously announced, revenue from monetising Web apps through advertising is in decline. The rate of decline is significant and notably faster than previously expected, which will impact the Group's revenue and earnings for FY16.
The Directors therefore expect Group revenue and EBITDA for the current financial year to be approximately 25 per cent lower than 2015. Despite these challenging headwinds, the business remains operationally cash generative, the balance sheet remains strong with US$70m of cash and the Board is confident in the Group's ability to execute accretive acquisitions.
- Ends -
For further information contact:
Crossrider plc Don Elgie, Executive Chairman Mark Carlisle, Chief Financial Officer
| +44 (0) 20 3772 2496 via Bell Pottinger |
Bell Pottinger David Rydell Sam Cartwright
| +44 (0) 20 3772 2496 |
Shore Capital Bidhi Bhoma Toby Gibbs
| +44 (0) 20 7408 4090 |
About Crossrider
Crossrider is a creator of digital advertising platforms specialising in monetising web and mobile media through the use of big data. The Company's web and mobile platforms power ad networks, agencies and direct publishers and enable the delivery of relevant digital advertising through the analysis of big data, making online marketing significantly more efficient and cost effective.
The Group operates web and mobile platforms which generate big data, enabling the development of a proprietary ad serving algorithm and engine that can extract value from this data to deliver relevant advertising to targeted users.
Crossrider's vision is to become the de facto standard platform for delivering relevant web and mobile adverts to billions of people, powering the next generation of digital advertising.
www.crossrider.com