Audioboom blames Apple software change for slower growth
Published: 08:59 23 Jul 2024 BST
Podcast specialist Audioboom Group PLC (AIM:BOOM) blamed changes to the way Apple devices download content for modest revenue growth in its latest half-year.
Interim revenues rose by 7% to US$34.1 million in the six months to the end of June 2024, but Stuart Last, chief executive, estimates that software changes by Apple (iOS 17) cost the company an additional US$9 million.
Last added that Audioboom performed in line with industry forecasts and expects the “growth rate to substantially improve across the second half of the year.”
“We have more than US$65 million of advertising bookings in place—the same level as the entirety of last year's revenue—which means, with more than five months of the year remaining, all future bookings will translate directly to growth.”
Due to the Apple changes, downloads dropped to 94.8 million in the second quarter from 125.9 million a year ago, though this was in line with the decline across the industry, Last said.
Revenue per 1,000 downloads rose 38% to US$60.09, while flat underlying profits of US$300,000 marked the third consecutive quarter of underlying profitability, Audioboom added.
Interim pre-tax losses were US$1.35 million (compared to US$10.6 million).
