XLMedia expects results to be in line with expectations

Finance News

XLMedia expects its full year results for the year ended 31 December 2021 to be in line with expectations, delivering revenue of approximately US$66.6 million (2020: US$54.8 million) and adjusted EBITDA of approximately US$17.2 million (2020: US$12.2 million). Cash balances (including short and long-term deposits) at FY 2021 are expected to be c.US$24.7 million (FY 2020: US$15.4 million).

The company’s sports vertical performed well during the year, with revenue of approximately US$25.2 million (2020: US$11.3 million), buoyed by two US sports acquisitions and a number of publishing partnerships. The Group now has North American coverage across 15 states, with an increasing market opportunity as more states legalise online sports betting.

Personal Finance generated revenues of approximately US $8.8 million (2020: US$8.4 million). H2 2021 continued to be in a state of transition and FY 2022 revenue is expected to be less than FY 2021, with trading continuing to be challenging.

The group’s european casino assets, which generated revenues of approximately US$23.2 million (2020: US$31.7 million), will continue to face trading pressures as tail revenues decline further. Our Finnish Casino assets are facing negative regulatory change which will significantly impact revenue performance in the coming year.

Continued progress has been made rationalising and reorganising the Company to further capitalise on the North American market opportunity and to materially reduce risk from legacy areas of the business. This initiative is well advanced, with additional costs to be incurred until mid 2022 as expected.

Whilst the group expects the US sports vertical to deliver strong growth in FY22, this will be, in part, offset by the managed decline of the European Casino vertical and restructuring of the Personal Finance vertical.