LBG Media plc, the owner of LadBible, says it has a “clear line of sight” to reaching a turnover of £200m.
In its unaudited results today, the company revealed a 7.5% increase in revenue, to £67.5m and Adjusted EBITDA £17.4m (up 10.8%).
The Manchester group’s confidence in reaching the £200m revenue figure is based mainly on improvements in its operating model in Australia and New Zealand, which is anticipated to “drive improved profitability in 2024” and the acquisition of Betches Media, LLC. The Betches move has been described as a “step-change” in its progress in the United States and has helped grow its global audience.
During the period that audience grew 24% year-on-year to 452m worldwide, with the US accounting for of 141m (including the acquisition of Betches).
Video views reached 128bn and are up 31% compared to last year.
In terms of revenue breakdown, direct income was up 5.5% to £29.3m, reflecting “higher activity levels with new and existing clients” and more blue-chip advertising. 75% of this revenue was from repeating clients. Indirect revenue rose 10.4% to £37.1m, which was due to more video views and audience growth. Betches recorded pro forma revenue of $17.2m in the last financial year – contributing £2.3m to LDB Media plc’s income post acquisition.
Looking specifically at Australia and New Zealand, the group has signed a multi-year partnership with Val Morgan Digital, the largest online media publisher for young adults in Australia, for the delivery of direct revenue via “a low-risk margin-share agreement.” It believes this will work as a template to role out in other regions.
“Our revenue and EBITDA growth in 2023 demonstrates the Group’s unique position and resilience in the face of some really testing market conditions. The strategic and operational progress we have made this year provides impetus and puts us in a strong position to realise our ambitions,” stated CEO, Solly Solomou.
“We have always believed in our responsibility for using our platforms and original content creation capabilities to champion socially responsible causes. Major campaigns in the year have included the ‘Have A Word’ campaign, with the Mayor of London, calling on men to challenge misogyny and partnering with The Prince’s Trust to safeguard young people’s careers, among other initiatives with charities such as If U Care Share and World Vision.
“As one of the world’s largest digital entertainment businesses, our relationships with large blue-chip advertisers continue to deepen and grow, with an increasing roster of brands working with us year-after-year. We operate in the largest and fastest growing segment of the advertising market and provide an unparalleled proposition for brands wanting to access young adult audiences. Combined with ongoing expansion in the US market and our diverse revenue model, we are confident in our position to create significant value for shareholders in the years ahead.”
